Business Briefs

Reported by Star-Bulletin staff & wire

Friday, September 26, 1997

Ship-monopoly bill
sails through Senate

The U.S. Senate yesterday gave final passage to a measure that aims to boost Hawaii's cruise ship business.

While the measure, included in defense appropriations, has to do with transferring technology in the cruise business and reducing U.S. shipyards' dependence on the military, it includes language that gives American Hawaii Cruises a monopoly in the large cruise ship business in Hawaii.

Sen. Daniel K. Inouye said the measure, previously approved by a House-Senate conference committee, encourages the building of new cruise ships in the Unites States. The bill would allow American Hawaii Cruises to use a foreign ship while it builds new ones in the United States.

Inouye said the bill will lead to about 700 seafaring jobs in Hawaii in the next 18 months and eventually 2,000 jobs.

The measure now goes to President Clinton, who is expected to sign it.

N.J. regulators OK
ITT's 'trivestiture'

ATLANTIC CITY, N.J. -- New Jersey casino regulators today agreed to ITT Corp.'s plan to split itself into three parts to fend off a hostile $8.3 billion takeover bid by Hilton Hotels Corp.

The state Casino Control Commission said the split would not damage the financial stability of ITT's property here, Caesars Atlantic City Hotel Casino. Hilton, meanwhile, is suing to stop the so-called "trivestiture," saying shareholders deserve a vote.

ITT wants to complete the split before shareholders can vote on the Hilton bid.

The case now moves to Las Vegas, where U.S. District Judge Phillip Pro is to hear arguments Tuesday on the legality of the breakup.

In addition to the $8.3 billion purchase price, Hilton would take responsibility for $3.2 billion in ITT debt.

The Nevada Gaming Commission said yesterday it won't considered the split-up plan until Pro decides if it's legal, Bloomberg News reported.

Apple narrows list
of CEO candidates

NEW YORK -- Apple Computer Inc. has narrowed its search for a new chief executive, the Wall Street Journal reported today.

The leading candidates to succeed Gilbert Amelio, whom Apple ousted as CEO in July, are Samuel Palmisano -- personal computer chief at IBM; Ed Zander -- president of a major unit at Sun Microsystems Inc.; David Dorfman -- an executive vice president at SBC Communications Corp.; and Joe Costello -- president and chief executive of Cadence Design Systems Inc., the Journal reported, citing sources close to the situation.

Representatives of the four executives either declined to comment or could not be reached, the Journal said.

The Journal also said that Apple may ask interim CEO Steve Jobs to serve as the company's non-executive chairman after a chief executive is named. Jobs declined comment.