The Biz Buzz

The News Tribune Business Team will keep you updated on what's happening in the South Sound and beyond. Check here for news about economic development, aerospace, shopping and much more.

Talk to us
Got something to say? Here's the place to say it. We welcome your comments on what's going on in business in the South Sound that we should be discussing, reporting or analyzing here on our blog or in the pages of The News Tribune.

Contributors

Marce Edwards is the business editor. She has been at The News Tribune for seven years and has written about technology and big businesses in the South Sound including Weyerhaeuser and Russell. Before moving to Tacoma, she worked at The Idaho Statesman in Boise. She is a Northwest native who likes to garden and refuses to use an umbrella. She lives in Tacoma with her husband and two kids.

C.R. Roberts is a Tacoma native. Before joining The News Tribune, he worked as a freelance writer and part-time cowhand on a cattle ranch in Northern Idaho. He writes about small business, personal finance and other business issues.

John Gillie writes about the aerospace and airline industries, commercial development and consumer issues. During his 30-year-tenure at The News Tribune he has covered issues as diverse as the Native American fishing rights disputes, crime and the courts, the wood products industry and energy. He lived in Tacoma with his family for 25 years, but now lives in Kent because his wife heads a five-state non-profit foundation headquartered in Ballard, and it only seemed a sensible compromise to make considering their workplaces are 40 miles apart.

Kelly Kearsley has been a business reporter at The News Tribune since 2005. She covers the Port of Tacoma and international trade. Being born and raised in Spokane she’s used to living in cities with inferiority complexes and, in fact, prefers it. Prior to working at The News Tribune, she spent three years as a reporter for The Bulletin in Bend, Oregon and another year working stints for The Associated Press and Seattle Times. She graduated from Pacific Lutheran University. She lives in Tacoma with her husband and miniature schnauzer.

Calendar
May 2008
Sun Mon Tue Wed Thu Fri Sat
 << < Current> >>
        1 2 3
4 5 6 7 8 9 10
11 12 13 14 15 16 17
18 19 20 21 22 23 24
25 26 27 28 29 30 31
Archives
XML Feeds
What is RSS?
Misc
Who's Online?
  • preserve Email
  • CustomScoop Email
  • MrSinister Email
  • artman77 Email
  • Guest Users: 462
Get the most up-to-date news, insights and analysis of Tacoma, Pierce County and South Puget Sound business.
Friday, May 23rd, 2008
Posted by John Gillie @ 03:25:55 pm

In a move that illustrates the interdependence of the hotel and the airline industries, New York-based Loews Hotels today announced a program to reimburse customers for extra baggage fees imposed by airlines.

The chain's "Baggage Buy Back" program will credit guests checking in with $15 toward their hotel bill when they present an airline baggage fee receipt at the front desk.

American Airlines Wednesday announced it will begin charging passengers $15 to check their first bag starting June 15. Other airlines may follow.

The program will operate from June 15 through Labor Day, Sept. 1 at the chain's 18 U.S. and Canadian properties.

"In just the last few months, airlines have added myriad new fees to cover rising fuel prices," said Jonathan Tisch, Loews chairman. "At Loews Hotels, we want to demonstrate to our guests how much we appreciate their business, and one way we can do this is by helping them rein in some of the hidden costs of travel that are becoming increasingly common."

Loews has hotels in Annapolis, Md., Denver, Las Vegas, Miami Beach, Nashville, New York City, Orlando, Philadelphia, San Diego, Santa Monica, Calif., St. Petersburg, Fla. and Tucson, Ariz.

Categories: General, Tourism
Posted by John Gillie @ 03:00:52 pm

American and Delta airlines have followed United Airlines' lead in posting a big fare increase to airline industry computerized reservations systems today.

That increase, as much as $60 roundtrip for flights more than 1,500 miles will be the 12th successful increase that major carriers have posted this year if other carriers follow suit.

The fare increases follow American's move at midweek to charge customers $15 each way to check their first bag.

Both the fare increases and the fee hikes are aimed at keeping the carriers flying in what some analysts are saying is a bigger crisis than the 9-11 terrorist attacks.

That crisis is being driven by sharply rising fuel prices. Crude oil costs have doubled since this time last year, and jet fuel prices have increase even more.

The latest fare increases are happening as rumors emerge of even more bankruptcies in the industry. A handful of airlines, most of them smaller, have already gone bankrupt this spring. Among those, Aloha, Skybus, Eos and ATA are liquidating. Denver's Frontier Airlines is trying to reorganize, but high fuel prices, nervous banks and increased pressure from Southwest Airlines at Frontier's Denver hub have some industry observers suggesting that Frontier won't find financing to emerge from bankruptcy.

On analyst watch lists are US Airways and United, which are trying to merge. Mesa Airlines, once the strongest of the regional carriers, is short on cash, and Delta Airlines is threatening to cancel a Mesa contract to provide regional flights for the big carrier.

Categories: Aerospace, Tourism
Posted by C.R. Roberts @ 10:58:12 am

I'll be speaking later today with Charlie Hoffman, the Tacoma accountant who invented the XBRL accounting system a decade ago.

This week, the Securities and Exchange Commission proposed a rule that would mandate XBRL financial reporting by all publicly reporting corporations under its scrutiny. It's a major step – and still a bit confusing.

But earlier today there came a post to YouTube that puts everything in context. Take a look.

Especially if you're an accountant or an investor, it's well worth your while.

Categories: General
Posted by John Gillie @ 08:06:18 am

A new survey of airline passengers by survey firm J.D. Power and Associates rates Sea-Tac Airport 18th in overall satisfaction among the nation's 20 largest airports.

Only San Francisco International Airport and Minneapolis/St.Paul International Airport were rated below Sea-Tac in a survey of more than 21,000 passengers who took a round-trip flight between April 2007 and March 2008.

J.D. Power rankings chart for large airports

Sea-Tac earned 656 points out of a 1,000 in the survey. The top-rated large airport, Philadelphia International Airport, earned 690 points.

In the medium-sized airport category, Chicago's Midway Airport took first place and Oakland International took the last position.

In the small category, Dallas' Love Field was first, and Tucson International was last.

Among the aspects rated by Power and its survey respondents were airport accessibility, baggage claim, check-in, terminal facilities, security services, food and retail services.

Sea-Tac, which has just completed a $1.6 billion interior expansion and renovation, rated two out of what the survey company calls "Power Circles" in each of those categories.

Categories: General, Aerospace, Tourism
Posted by C.R. Roberts @ 08:05:51 am

The steak was tender, the beets amazing and that watermelon gazpacho was other-wordly.

A handful of staff members who serve conventions and galas at the Greater Tacoma Convention & Trade Center had a “Chef’s Roundtable Tasting” yesterday – sampling the early wares of new executive chef Allan Wambaa.

Born in Kenya, Wambaa (that’s him, above) learned his profession in Africa and later served as chef in the kitchens of Saudi Arabia’s Prince Fahd bin Khalid Al-Saud. He worked in several Seattle kitchens – most recently at Bell Harbor – and a few weeks ago took over the Aramark position of executive chef at the GTC&TC.

As we ate yesterday (I was there for professional reasons, of course, and I will be sending a check in recompense), I spoke with Monique Nadeau, the center’s catering sales manager. She explained that the quality of the food is becoming more important to those who rent space.

“I think it’s highly important,” she said. “We have some people – there is this cliché of the convention center rubber chicken. Otis (Huemmer, former executive chef) set the bar high for us. These groups are coming back. They want something different every time.”

Prospective clients can choose from a 32-page menu of GTC&TC offerings, but some choose to let the chef use his creativity and imagination.

They couldn’t do much better than choose yesterday’s menu:

Amuse Bouche: Cucumber and asparagus gelee with creme fraiche and chive.
Salad: Goat cheese and beet Napolean with citrus, shallot and hazelnut vinaigrette.
Intermezzo: Watermelon gazpacho.
Entree: (pictured above) Duet of port wine poached filet mignon and blue-nose sea bass; pommes Robuchon, Parisian vegetables, Shiraz reduction.
Dessert: Tropical fruit roulade with passion fruit and mint coulis.

If you’re planning a gala soon, go for the gazpacho especially. And the Napolean. And that coulis. Or the filet.

I’m still full.

Categories: Tourism
Posted by John Gillie @ 07:48:42 am

Debt rating agency Standard & Poor's has put nine major U.S. airlines on its "CreditWatch" with negative implications, but noted that Southwest and Alaska airlines were likely to be the least vulnerable to financial issues because of rising fuel prices.

"The dramatic incease in jet fuel prices has increased airline costs significantly over the past two months, and, if sustained, could threaten their liquidity and financial profiles," said S&P credit analyst Philip Baggaley.

"The ability of each airline to withstand this stress varies from case to case, and we believe that Southwest Airlines, by far the strongest and best-hedged U.S. airline, and Alaska Air Group, which we recently downgraded and which has the second-best fuel hedge position, are in a somewhat better position than others...," the ratings agency said.

S&P gave Southwest an A- rating and Alaska a B+.

Categories: Aerospace, Tourism
Posted by John Gillie @ 07:39:59 am

Most domestic airlines appear to have adopted a wait-and-see attitude toward American Airlines' initiative to charge $15 for the first bag checked.

American announced that fee at its annual meeting earlier this week.

As of Friday morning, none had followed suit with American, and American hadn't yet shown second thoughts on the fee by reversing course.

My guess is that many airlines covet the extra money that the $15 fee will raise (more than $300 million in American's case) but want to see if the actual implementation can be handled smoothly.

Will passengers pay the extra fee willingly or will they desert American by the thousands? Will the fee collection process clog check-in lines?

Will chaos erupt inside airline cabins as passengers compete for precious overhead luggage space? Will security lines at American's big hub airports in Chicago and Dallas bog down because of more carry-on luggage?

So far, the only airline that seem adamantly against the charge is Southwest, the only major still not collecting a $25 fee for a second checked bag.

Others such as SeaTac's Alaska Airlines say they have no plans to implement a first bag surcharge.

Categories: Aerospace
Posted by John Gillie @ 07:20:10 am

Sea-Tac Airport's 9,000-stall garage has a new feature designed to help customers find empty stalls in the massive garage.

The system uses 88 cameras coupled to a computer to detect empty parking spots and 80 signs to direct parkers to those spots.

The new system shows parkers who are entering the garage how many open spots exist on each floor so you won't waste time driving through a floor that's full or has only a handful of available slots.

Once on your chosen floor, an electronic sign will tell you how many spots are either direction from the entrance.

Additional signs will show how many spots are open within a four-row segment.

The new system could be useful this weekend when customers are expected to clog the airport. The Port of Seattle, which owns Sea-Tac, expects 109,000 fliers today, the busiest day of the Memorial Day weekend.

Categories: General, Aerospace, Tourism
Posted by C.R. Roberts @ 07:18:29 am

Being sick is about to get easier.

Tacoma-based MultiCare Health System and Rite Aid Corp. have announced a trial plan to station advanced nurse practitioners in a pair of South Sound pharmacies. For a flat fee of $59, patients will be examined, assessed and, if necessary, given a prescription for medication.

The “retail clinics” will open this summer inside Rite Aid outlets in Tacoma, at 7041 Pacific Ave., and in Lakewood, at 5700 100th St. S.W. MultiCare will lease space inside the stores.

“What we’re trying to do is provide value for people who may not be able to afford more expensive care,” said Dr. Andrew Baron, MultiCare’s new medical director for primary care services.

In a conversation yesterday, Baron said he expects patients to present with simple and acute complaints such as sinus infections, strep throat and bladder infections. Eventually, services may expand to include sports physicals. The facilities will not treat emergencies or chronic disease, Baron said, although the nurse practitioners can make referrals to more sophisticated clinics or hospitals.

“This model is very common,” he said, noting that similar express service is available in pharmacies in Seattle, and in Boise, where he previously worked.

“There is a lack of general primary care in the nation, and the Northwest is no different,” Baron said. “Less medical students are opting to go into primary care. You want to be able to meet the needs of the community you serve.”

The clinics will operate during regular pharmacy hours, closing patient registration an hour before the store itself closes. Along with a greeting area, the clinics will comprise an examination room.

“We’re there, we’re available, and when people come in, if they don’t have a primary care physician, we can put them into the system. I think it’s an advantage for patients,” Baron said.

Categories: General