Co-op puts checks in mail

Slightly less than 1,400 checks worth $9.2 million were mailed Wednesday to farmers and businesses owed money as a result of the September 2000 bankruptcy of Lawrence-based Farmers Cooperative Assn.

Mel Squyres, trust manager for the bankruptcy, said the checks represent payment in full to all unsecured creditors in the case. The checks also include a one-time interest payment of 1.25 percent.

The checks do not include any patronage payments, which is a type of dividend cooperatives pay their members. Squyres said the co-op could begin making those payments, which total about $9 million, in two years, but likely would not be able to complete the payments for seven to 12 years.

Above from left, Squyres, Jim Carpenter, chairman of the unsecured creditor’s committee and bankruptcy attorney John Cruciani, examine the checks, which should be received by members no later than Monday.

Telecommunications

Sprint on track to hit goals

Sprint Corp. said on Wednesday its wireless business would add more subscribers in the first quarter than analysts were expecting, pushing the unit’s stock up 20 percent to its highest level in three weeks.

The Westwood-based company said its Sprint PCS unit would add 700,000 to 750,000 net subscribers, compared with Wall Street expectations in a range of 550,000 to 700,000 subscribers, and would yield cash flow approaching $600 million before customer service center closing costs, which will include the PCS customer service center in Lawrence.

Foreign trade

Allies angry about tariffs

Steel-producing countries around the world reacted angrily Wednesday to the U.S. decision to impose punitive tariffs on imports, saying the move betrayed years of work toward freer global trade and could spark an all-out trade war.

Britain’s trade secretary, Patricia Hewitt, said she and Prime Minister Tony Blair were “bitterly disappointed.” In Germany, Economics Minister Werner Mueller said it placed “a considerable strain” on U.S.-European relations.

The European Union said it would complain to the World Trade Organization after President Bush slapped tariffs of up to 30 percent on several types of imported steel in an effort to help the ailing U.S. industry.

Japan and South Korea said they were considering a complaint to the WTO, and Chinese Foreign Trade ministry spokesman Gao Yan said the Chinese government expressed “strong dissatisfaction” at the decision.

Economy

Fed survey signals rebound

The economy showed more signs of improving in January and early February, a Federal Reserve survey says, offering fresh evidence the nation is recovering from the recession.

The Fed’s latest survey of business activity around the country, released Wednesday, suggested that signs of a rebound were becoming more widespread and now were evident in most areas.

Economists believe the Fed at its March 19 meeting will hold rates steady as they did at their January meeting.

The news helped Wall Street. The Dow Wednesday closed up 140.88, or 1.4 percent, at 10,574.29, rebounding almost completely from a 153-point loss the previous session. The average has advanced a total of 468 points since Friday.