Hereford House opens outdoor patio

A Lawrence steakhouse is expanding its seating to accommodate customers snuffed out since Lawrence issued a smoking ban last summer.

Hereford House, 4931 W. Sixth St., is opening its outdoor patio to customers beginning today.

The 1,500-square-foot area is set up with nine tables and 44 chairs, adding to the 16,000-square-foot restaurant’s capacity — and, more importantly, its comforts for customers who want to smoke with their meals or drinks.

Restaurant owner Rod Anderson said late last year that the ban was costing his business $10,000 a week. But opening the patio, adjusting the menu and revising other operations are expected to start paying off soon.

“We accept being a nonsmoking restaurant,” said Anderson, who had supported efforts to overturn the smoking ban. “We’re happy about having a place for people who want to smoke and dine. We’ve really put this behind us.”

Automobiles

General Motors cuts projections

General Motors Corp. on Wednesday abandoned projections of a break-even or even slightly profitable first quarter and slashed its full-year earnings outlook by more than half, citing poor North American business and rising health care costs. Its share price tumbled to its lowest in more than a dozen years.

The world’s largest automaker said it expected a first-quarter loss of about $1.50 a share, compared with a previous target of break-even or better. It expects income of $1 to $2 per share for the full year, down from its previous guidance of $4 to $5. GM is scheduled to report first-quarter results April 19.

GM shares tumbled $4.71, or almost 14 percent, to close at $29.01 on the New York Stock Exchange, its lowest close since late 1992, according to Thomson First Call.

Economy

Trade deficit hits high

The U.S. deficit in the broadest measure of international trade surged to an all-time high last year, increasing a potential threat to the economy as the country sank deeper into debt to Japan, China and other nations.

The Commerce Department reported Wednesday that the deficit in the U.S. current account increased by 25.5 percent last year to a record $665.9 billion. Forecasters said the 2005 deficit could be $100 billion higher than that as the United States continued to buy record levels of foreign consumer goods and oil.

The current account deficit represents the total amount of financing the United States needs to cover its international accounts and thus covers all aspects of foreign trade, from goods and services to investment flows among countries.