Week in review
TUESDAY
Washington Mutual Inc., the nation’s largest savings and loan, said that problems in the mortgage and credit markets are forcing it to close offices, lay off more than 3,000 workers and set aside as much as $1.6 billion for loan losses in its fourth quarter.
Of the jobs cut, five were in Spokane and one in Coeur d’Alene.
“Consumer electronics retailer CompUSA said Friday it will close its store operations after the holidays following sale of the company to Gordon Brothers Group LLC, a restructuring firm. Financial terms weren’t disclosed. A company representative declined to comment on the fate of the Spokane CompUSA.
WEDNESDAY
WASHINGTON – The Federal Reserve dropped its most important interest rate to a nearly two-year low on Tuesday and left the door open to additional cuts to prevent a housing and credit meltdown from pushing the economy into a recession.
“Washington Mutual’s move to slash staff and launch a massive stock offering to shore up its finances may smack of desperation, analysts said Tuesday as the bank’s shares tumbled 12.4 percent.
THURSDAY
At least 22 biodiesel pumps are slated to open around the Inland Northwest in coming months through a partnership between a Colorado biodiesel company and a Lewiston-based fuel distributor, company representatives said Wednesday.
“The Federal Reserve on Wednesday announced a novel approach to injecting money into the banking system as it struggles to combat a severe credit crunch that threatens to drag the country into a recession. The Fed said it would conduct two auctions this week where banks can bid for up to $40 billion in loans, money that they will have to bolster their own reserves.
FRIDAY
The Labor Department said Thursday that wholesale prices rose by 3.2 percent last month, the biggest increase in 34 years. The jump reflected a 34.8 percent surge in gasoline prices.
“Two partners are converting an aging apartment building on the South Hill into seven condominiums. They’re renovating the 85-year-old building, 701 W. 14th Ave., into homes that would attract people from out of town while retaining the four-story structure’s Arts and Crafts look. The condos will range in size from about 1,000 square feet to a 2,516-square-foot top floor penthouse with private elevator access, large skylights and a view west.