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Show The Salt Lake Tribune BUSINESS UTAH BRIEFS, D-7 @ CONSUMER CORNER, D-7 BUSINESS GLANCE, D-8 Page D-6 JUNE 3, 1999 @ DILBERT, D-10 Trade War Talk Starts Skirmish in U.S. Market Indicators Dow Industrials BS Steel: American producers Greenspan: Protectionism would weaken U.S. economy NYSE 620.50 aA) seek tariffs on cheap imports ‘TRIBUNE STAFFand NE! 'S SERVICE REPORTS BY LESLIE MILLER THE ASSOCIATEDPRESS NASDAQ BOSTON — Federal Reserve Chairman Alan Greenspan warned against growing protectionist sentiment rates if inflationary pressures start to mount Greenspan instead focused on trade, reiterating a Wednesday, asking the federal government to impose punitive tariffs on a high-gradesteel product. The U.S. industry targeted cold-rolled flat carbon steel from Japan, Russia and 10 other countries in the third major round of trade complaints since imports reachedrecordlevels last year. The import surge has been blamedfor thousands of layoffs in t! he U.S. steel industry. And Utah’s Geneva Steel, which filed for Chapter 11 reorganization in February, has blamedit as the cause of some of its financial economycould be harmed if trade barriers were raised. difficulties. ‘Thelatest t remarksat an international business conference here. “Should weendeavor to freeze competitive progress in place, we will almost certainly slow economic growth ports by roughly 40 percent since November. U.S. producers say foreign countries continue to flaunt U.S trade laws that prohibit unfair pricing practices. “In spite of months of fighting, American steelmakers, their employees and communities continue to Wednesday,sayingit threatenedto slow the economy ‘The commentsto hundreds of busine: leaders helped calm edgyfinancial markets because 3reenspan did not mention the economy's current performance. Specifi- cally, he avoided mentioning the central bank's decision two weeksagotoshift policyto favorincreasinginterest Utah's Top Performers The Bloomberg Utah Index measures the warninghefirst soundedin April whenhesaid the U.S. stock performance of thestate's , we . major publicly, held companies Stock pnces weremixed Wednesday as investors pre pared terns elves I wa ie increase m interest rates sector. “Iam concerned abouttherecent evident weakening of supportfor free trade in this country,” he said in Utah Sales Up 6.8 Percent, According to 1998 Figures Utahnstaxable retail sales grew 6.8 percent in 1998, up from3.8 percent growth in 1997 Retail tradesales increased 5.3 percent, compared with 3.3 percent in 1997, while restaurant sales went up almost 8 percent, according to figures from the Utah State Tax Commission. Car and truck sales went up almost 7 percent last year, following a 2 percent gainin 1997 Sales in services, which includes hotels andother lodging, car repairs and amusement andrecreation, were up 10.7 percent. Computer anddata processing leases andsales increased 47 percent, the tax commission reported EconomySlows in May Utah's economylost ground in May See GREENSPAN, Page D-7 in the three states. © Use an indexof zero to 100 to rate the ceonomies. An index above 50 mieans a state's economy is grow i indox below 42 indicates the 300 low-rate mortgages for low- and moderate-in: fami eney, which finances and de {fordable homes and rentals wut the is offering a 5.95 percent fixed interest rate 30awe for buyers paying points Bach point is a percentage of the loan amount \ 6.25 perecat loan is available to qualilied Layers who pay no discount pom Vy live buyers qualify based on the Cost of the home they want to bu their ineame Iie average income of families that reevive t elp through the finance yt $31,000 wr At the if ervent rale, a family earning $310,000 could qualify for a $100,000 home with a monthly principal and interest payment of about $600 Mortguges are financed through the agency's sale of tax-exempt bonds The finance agency, which has fi nanced the purchase of nearly 50,000 homes since its inception in 1977. is self-supporting and receives no ap: propriations from the state Salt Lake Music Merger MUY Music World Inc, a privately held corporation based in New York City, haus agreed to acquire Health Builder International Inc a publicly held company bused in Salt Lake City that currently has no business opera ton In exchange for merging their as wis into Health Builders, MCY's harehulders will acquire control of Health Huilder in what is known as a ited in January of 1V90, in m the digital distri bution of music over the Internet Its product enables people to down load music directly onto their person al computers, order pre-recorded compact ¢ Financial rescue urged for people, not just economies THE ASSOCIATED PRESS WASHINGTON — In its first de- at graphic-arts business tailed look at the impact of the Asian financial crisis onglobal poverty, BY LESLEY MITCHELL. million rescue programs to protect people, not just economies “Countries that until recently believed they were turning the tide in thefight against poverty are witnessing its re-emergence,” said bank President James Wolfensohn. “We must now drawonthelessons of recent experienceto help us reshape our strat egies forthefuture Programsto avoid anddeal withfi nancial crises in all countries should boost social protections, referred to Longingto be graphic designers, they held jobs they didn't particularly care for: Rebecca did clerical work for the state Industrial Commission and Sam did production work for a print shop But the Guevaras had to learn more than howto be entrepreneurs: They had to learn how todesign logos, letterhead and other promotional materials their Weprepareda portfolio and walked ’ by economists as Shehas been in business a long time ren McArthur, said Ka president of the 150. member Salt Lake chapter. “She's amaz ing The couple have one employee. Sam focuses on the designsideof the business while Rebecca handles the research that goes into getting to know their clients and creating promotional materials, She the showing poverty rising again in India, continuing to go up in Africa and day the Guevaras run Art House Graphic the company, the group said nets.” other programs aimed at keeping morepeople from poverty The bank is responding to data Owners’ Salt Lake City chapter. “It was slowat first, but it got better That was more than 20 years ago. To: Studio in downtown Salt Lake City, a “safe ty bank saidin its annual update on glob al poverty. They include unemployment insurance, subsidized school fees, job creation, food subsidies and Rebecca Guevara. who has been named Business Owner of the Year by the National Association of Women Business small but well-known company that designs promotional materials for Utah businesses Rebecca Guevara's award from theas: sociation recognizes her rolein building “newly poor” and recom- mends urgent changes in financial m and Rebecca Guevara were in their mid-20s when they decidedto seeif they had what it takes to be their own boss. and has a successful business,’ the World Bank estimates there are 200 THE SALT LAKE TRIBUNE sharply worsening across Eastern Eu ropeandCentral Asia, Indonesia, hit Michact J, Miller’The Salt LakeTribune Rebecca Guevara was named Business Owner of the Year by the National Association of WomenBusiness Owners’ Salt Lake City chapter. also is in charge of securing space in knowthedirection wewant to go andour magazines, news} apers and other publi cations for the advertisements they cre ate goals, She does a lot of research and really Sam Guevara said The couple aid they purposely have kept their company small so they can work directly with clients, who say that is part of their appeal They know our busines: Larry Goldman, salesman for dairy products producer Cream O Weber in Salt Lake City. “They do a great job Art House created avariety of promo tional materials for Cream O° Weber's Chugs product — recyclable half pints. pints and quart-size containers of milk One of the big differences of being a gets to know the companies we create materialsfor,” early in thecrisis, is among the worst hit, with 30 million more people earning less than $1 a day thanit had be. See DESIGNER, Page D-10 and they fore the financial collapse. Worldwide, the number of people below that income, considered the benchmark for abject poverty, is esti matedat 1.5 billion — up 200million from1993. Final figures for 1999will not be availablefor several years, but the estimate is based ontrends since 1.2 billion poor werecounted in 1987. Despite the gloomy outlook for global poverty, the report said there has been widespread progress in health and education nator: Oil Firms Are Strangling West With Antitrust Tactics New Home SalesUp lly adjusted ann 5 of unit Rising Interest ales Help HomeSales TRIRUNE STAFF and NEWS SERVICE REPORT In Utah, where the real estate market has WASHINGTON — Americans have a case of home buying fever. New home sales reached their second-highest level on re cord in April as buyers, tryingto stay ahead of rising mortgage rates, rushed to close BY HANS GREIMEL THE ASSOCIATED PRE deal PORTLAND, Ore US. Sen, Ron Wyden took aim Wednesday at skyrock cling gasoline prices across the West saying he has industry insiders lined up to expose price fixing and consumer gouging In a report he hopeswill lead to a fed eral antitrust investigation, Sales of new single-family homes j 9.2 percent in April, followingfour straight nmionths of declines, the Commerce Depart ment said Wednesday Thesurge pushedsales of new homes toa easonally adjusted annual rate of 978,000 units in April, the second-highest level on the Or Democrat said gasoline companies are record different prices for the same grades of gas and are discriminating against small healthy economy but concerned about the Analysts said Americans, buoyed by a arbitrarily charging neighboring stations gas station operators All choice, this comes concentrate together power to reduce among a handful of oil company giants and to ex and to access various rousical promotion BY DAVID BRISCOE. She wins award for work presentations of what we could do,” said the Utah Housing Finance Agency avatlible ‘New Poor’ up and down 400 South, trying to make 300 Low-Rate Mortgages come World Bank Warnsof Of Faith’ Utah's May index came in at 46 3, don fiom 472 in April, Goss said making See STEEL PRODUCERS,Page D-7 company would provide economy is contracting. is the official complaints The Asia in economic crisis has reduced demand for steel abroad, leading foreign producerstofind an outlet Success Was ‘A Matter as the state's manufacturing sector But higher energycusts and a ro: bust service industry helped bolster the economy. according to Creighton University economics professor Ernie Goss. In his monthly assessment of the relative health of the economies of Utah, Wyoming and Colorado, Goss coll cts information from purchasing Associated Press Federal Reserve Chairman Alan Greenspan warnedtrade barriers would harm the economy. Designer’s continuedto sputter manager ducers join: ing the United Steelworkers of America in said Tuesday that free trade will end American sovereignty and cause theloss of American independence. In the past year, organized labor has successfully de- complaints camedespite reductionsin im- ted by unfairly priced and subsidized steel be de id Richard Riederer, president and chief import: executive o: f Weirton Steel Corp, one of eight steel pro- overall.” Free trade has come under attack bytheleft and the right recently Republican presidential hopeful Patrick Buchanan gee ad went in search of the bat steel producers 0 WASHINGTON — Leading U.S broadened their fight against low-priced imports See SENATOR, Page D-10 SERGE EE B prospects of even higher mortgage rates are buying homesnowto take a geof existing rates, which have been creeping up No doubt some of the strength in sales iy dueto buyers locking in before mort gage ratesgo higher,” omist with First Union. said David Orr, econ d over the past (wo years, low mort es continue to help move homes, say tors. But agents fear any marked in crease in mortgagerates will tilt the market even more in fayor of buyers over sellers andslow home-sales significantly At Wasatch Front mortgage lenders many buyers are locking in on rates now fearingthat increases are on the way A national survey of mortgage rates showed them hitting 7 pe t for the past two weeks, the highest level in 18 months And, the Mortgage Bankers Association of America reported Wednesday that loan applications increased 1.7 percent last week fromtheprevious week Becauseinterest rates are rising, house holds are jumping off the fence buying homestolock in rates. So you are going to see a nice boost in housingactivity because of that,” said the assoc tation’s economist Pavid Lereah |