Hallmark Aviation lands Aloha Air pact in Oakland

Hallmark Aviation, a business that handles ground arrangements for airlines at seven airports in California and Hawaii, has been hired to take care of Aloha Airlines passengers and bags bound for Hawaii and Las Vegas at the Oakland International Airport. Hallmark has been managing Aloha's traffic at Orange County's John Wayne Airport since May. Hallmark's 700-plus employees serve more than 5 million customers on over 34,000 flights a year. In addition to its traditional interisland service, Aloha provides daily service between Honolulu and Oakland, Honolulu-Orange County and links from those airports to Las Vegas.

FBI, SEC investigating Global Crossing accounting

NEWYORK >> Global Crossing, the fiber optic network operator whose recent bank- ruptcy filing was the largest ever by a telecommunications company, disclosed yesterday that the Securities and Exchange Commission had begun an investigation after accusations that the company improperly inflated its revenue. And law enforcement officials confirmed yesterday that the FBI was examining the company after receiving accusations of wrongdoing in its accounting, including fraudulent conduct.

The investigations come at a time when the collapse of Enron has led to increased concern among investors over accounting issues. The SEC began looking into the company's accounting after a former high-ranking executive, Roy Olofson, questioned the complex way revenues were booked. Global Crossing said it had informed its accountants, Arthur Andersen, of Olofson's accusations.

But a spokesman for Andersen, already widely criticized for its handling of financial disclosures at Enron, said the firm's accountants first learned of Olofson's concerns only last month, many months after they were first voiced in a letter.

Qualcomm shares decline after revenues questioned

San Diego >> Qualcomm shares fell to a 2 1/2-year low after a research group questioned accounting practices at the company that licenses patents for mobile phones, analysts said. Qualcomm defended its process. The Center for Financial Research and Analysis raised concerns about how Qualcomm reported revenue in the year ended in September, analysts said.

The shares fell 4.2 percent, or $1.65, to $37.46, and earlier fell to $34.59.

CFRA drew attention to Qualcomm's practice of exchanging licenses for equity in early-stage companies, Qualcomm Chief Financial Officer Anthony Thornley said. The company recorded as revenue about $7 million of the roughly $20 million it received in equity through such arrangements in fiscal 2001, Thornley said. Overall revenue in the period was $2.7 billion, he said.

"Accounting for those amounts was totally appropriate and in accordance with generally accepted accounting principles," Thornley said.

Dillard's department store founder dead at 87

LITTLE ROCK, Ark. >> Wil-iam T. Dillard Sr., who built one of the nation's largest retail chains out of a modest store he started during the Depression, died yesterday. He was 87.

Dillard's said its founder died at his Little Rock home.

Dillard was the chairman of Dillard's Inc., formerly known as Dillard Department Stores. The chain he started in 1938 with a 2,500 square-foot store in southwestern Arkansas now has nearly 350 stores in 30 states. The family still runs the chain and holds five of the 12 seats on the company's board. Dillard, who worked full days well into his 80s, had turned over the day-to-day management of the company to sons William II, Mike and Alex.