Bankruptcy

Kmart wins approval to close 316 stores

A federal judge has approved Kmart’s plan to close 316 stores and borrow $2 billion as part of its effort to emerge from Chapter 11 bankruptcy and continue operating.

Bankruptcy Judge Susan Pierson Sonderby approved those elements of the company’s reorganization plan Tuesday.

The store closings, which Kmart had announced earlier, will leave the company operating about 1,500 stores, located in every state except Alaska. The closings include Lawrence’s Kmart store at 31st and Iowa streets.

Kmart attorney Jack Butler called the closings fundamental to the retailer’s plan to leave bankruptcy in April.

Energy

Butler County denies wind farm proposal

The Butler County Commission on Tuesday night approved a conditional-use permit for one proposed electricity-generating wind farm project, but voted against a permit for another wind farm, which was proposed by a Lawrence company.

By a 3-2 vote commissioners approved a conditional-use permit application from Elk River Wind Farm LLC for a project to be located about three miles south of Beaumont.

However, by a 4-1 vote the commission denied an application from Lawrence-based Kansas Wind Power to obtain a permit to build a wind farm near Leon.

General Electric

Welch seeks to keep financial details private

Former General Electric Co. Chairman Jack Welch, who has suffered embarrassing disclosures in his divorce case, is seeking a court order to keep his pretrial testimony and other documents confidential.

A hearing on the issue was planned for today. Welch, who retired from GE in 2001, is not expected to attend, said his attorney, Samuel Schoonmaker.

Attorneys for his estranged wife, Jane Welch, denounced the move as a violation of her free speech rights.

Under the motion, filed earlier this month, the parties would be prevented from disclosing any pretrial discovery materials. However, it does not seek to seal the court file or to preclude the public or media from attending any court hearing or trial, Schoonmaker said.

Internet

Canadian pharmacies targeted by decision

A Canadian drug wholesaler said Wednesday it has stopped supplying GlaxoSmithKline Inc. products to pharmacists who sell medicine to U.S. patients over the Internet.

GlaxoSmithKline said last week it would cut off wholesalers if they supply the company’s products to 29 blacklisted pharmacies that sell medicine from Canada to U.S. customers.

Wayne Rivers, chief executive officer of United Pharmacists Ltd., said in a telephone interview his company had no choice but to comply with the GlaxoSmithKline directive.

Otherwise, he said, a cutoff in GlaxoSmithKline products would have left Canadian customers unable to get needed medicine.

Wall street

Bargain hunting lifts stocks, despite fears

Investors put their fears about Iraq on hold Wednesday, bidding shares higher for a second straight day despite President Bush’s warning that a war is more certain.

Lower prices following two weeks of heavy selling brought bargain hunters to Wall Street. But the market still had to fight hard for its gains — trading was choppy in response to Bush’s State of the Union address Tuesday night and bad earnings news from companies including Kraft Foods.

After dropping as much as 143.84 in early trading, the Dow Jones industrial average closed up 21.87, or 0.3 percent, at 8,110.71.