Business Briefs

Reported by Star-Bulletin staff & wire

Wednesday, June 9, 1999

Allstate to buy unit of CNA for $1.2 billion

Northbrook, Ill. -- Allstate Corp. will buy the personal insurance division of CNA Financial Corp. for $1.2 billion, becoming the third-largest U.S. seller of home and auto insurance through independent agents. Allstate said it will pay CNA $140 million in cash and provide $950 million to back the division's policies. It also agreed to give CNA about $110 million to use its name for six years.

Starwood shops for time-share partner

Starwood Hotels & Resorts Worldwide Inc., the world's largest hotel operator and manager of nine hotels in Hawaii, wants to get into the time-share business. Starwood is looking to acquire or partner with a company already in the business, said Starwood executive Juergen Bartels.

Bartels' comments came after Hilton Hotels Corp. said it will convert the Hilton Lagoon Apartments, now rentals, to time share next year.

In other news . . .

George Fisher will step down as CEO of Eastman Kodak Co. at the end of the year, to be replaced by his top lieutenant, Daniel Carp.

Janet Yellen, head of President Clinton's Council of Economic Advisers, is resigning to return to college teaching. The leading candidate to succeed her is ex-CEA member Martin Baily.

Motorola Inc. will spend $1 billion in a 10-year venture with Sun Microsystems Inc. to make equipment for high-speed wireless computer networks.

NBC is buying a stake in TiVo Inc., a Silicon Valley firm which sells a set-top device that allows TV viewers to program their shows and skip commercials.