Press and Sun-Bulletin from Binghamton, New York • 26

8C NYSE 7B MUTUAL FUNDS GB Money pressconnects.com Press Sun-Bulletin FRIDAY OCTOBER 27, 2000 A T-BOND 5.73 JEFF PLATS KY BUSINESS EDITOR 607-798-1178 A COW 53.64 NYSE A NASDAQ 42.61 A AMEX1.61 0 4i Kellogg makes $3.9 billion cash bid for Keebler I i i .11, in intm I 3 BY JAMES PRICHARD Associated Press Tony the Tiger is taking up residence inside the Keebler elves' hollow tree. Cereal giant Kellogg Co. announced Thursday that it is buying cookie and cracker maker Keebler Foods Co. for almost $3.9 billion in cash. The merger will create a company with almost $10 billion in annual sales and further extend Kellogg's operations beyond the breakfast table and into faster-growing areas of the food business.

future." He called Keebler a company that's not only profitable and growing, but also well-managed, efficiently run and has modern equipment. "We know we can learn a lot from Keebler," Gutierrez said. Domestic cereal sales make up 37 percent of Kellogg's annual sales revenue. With the acquisition of Keebler's cracker and cookie lineup, that figure would drop to 27 percent, which should please investors, Gutierrez said. Keebler's biggest shareholder, Flowers Industries Inc.

of Thomasville, had been looking since this past Transition teams from both companies will determine whether any jobs or production facilities will be affected, though no work force cuts were expected in Battle Creek, which will remain the company's base, Kellogg spokesman Richard E. Lovell said. Chief Executive Sam K. Reed and other key Keebler executives will remain with the new company, Lovell said. Kellogg will pay $42 for each of Keebler's shares and will assume Keebler's debt of about $500 million.

The deal, which is subject to stockholder and regulatory approval, is expected to close during the first quarter of 2001. Elmhurst, Keebler has 92.1 million shares of stock outstanding, valuing the company at almost $3.9 billion. At the close of trading Thursday on the New York Stock Exchange, Kellogg shares were up $1,563 to $24,313 and shares of Keebler were up $1,063 to $40,438. "Combining these twocompanies should result in better growth for both," said Carlos M. Gutierrez, Kellogg chairman and CEO.

"What we are creating is a stronger food company that is better positioned for the ASSOCIATED PRESS Kellogg Chairman and CEO Carlos M. Gutierrez, right, and Keebler CEO Sam K. Reed, left, are flanked by Tony the Tiger and Ernie the Elf. summer for a buyer for its 55 percent stake in the cookie company and approved the sale to Kellogg. ExCEL salutes Sen.

Libous Nirchi's to offer expanded menu at new location vll Ml'l-MlJ P' I 1 1 I ttSSttoa-mtrT' j--," CHUCK HAUPT staff photographer W. Libous Training Room is located in the Decker Health Science Center, a'nd it will be used for business meetings, ExCEL and community education training programs. ExCEL's mission is to provide resources, including education and referral, that supports and aids in the success of Southern Tier, small businesses. Broome Community College's Excellence Centerfor Entrepreneurial Leadership (ExCEL) opens a new training center Thursday, honoring state Senator Thomas W. Libous, an alumnus and supporter of BCC.

The training room is equipped with a state of the art projection system and wireless laptop computers. The Senator Thomas he said. That's why he leased the former Jim and Nick's Bar-B-Q on Washington Avenue from Fallen Oak Associates. "Eventually, I hope to buy the building." But for now, he just has to get it open, sometime between Thanksgiving and Christmas, he hopes. Rather than the usual Nirchi's operation of walking up to the counter to order a pizza or some pasta or a sub, at this one, the waiter will come to you.

And the menu will be different, too, he said. I ust felt Endicott needed a place where the kids could eat pizza and you could eat surf and turf," Nirchi said. About 30 percent of the menu will be pizza and Italian fare, the rest will feature steaks, seafood and chicken, accompanied by a full bar. Nirchi likens his new restaurant to some of the chains that have come into the area in the past decade or so: TGI Friday's and Ruby Tuesday, for example. "For some reason, all the major restaurants skipped this area," Nirchi said.

Fiacco won't be able to cut through back yards to get to the new restaurant he lives in Vestal now but he might wander a few blocks from work to it. And if he goes back to the original Nirchi's, he can still pick up a can of tomatoes, or a ball of provolone. Just because Rocco Nirchi has a new idea doesn't mean he has to change the old one. BY TODD McADAM Business Writer For his next restaurant, Rocco Nirchi is going to try something different. "This is a full-service, casual dining restaurant," Nirchi said Thursday from his new place on Washington Avenue in Endicott.

"It's not a pizzeria." Neither was the first Nirchi's, on the North Side of Endicott, at Pine and Bermond, to be exact. Rick Fiacco remembers cut-ting through back yards to pick up a can of tomatoes or a loaf of bread on his way home. Rocco's folks owned it then, and Fiacco remembers when they started selling slices and pies to supplement the cold cuts. "I used to be a paperboy, and I remember going there after I was done and getting said Fiacco, who now manages the nearby CVS on North Avenue. "I remember Rocco's mother working behind the counter.

It smelled so good cut up on the counter." That scent about 35 years ago started a chain that grew as Rocco Nirchi grew older. Today, the pizza chain has 10 restaurants, eight of which are in the Triple Cities. One is in Wysox, and one in Charlotte, N.C. Most of them are franchised. But this restaurant, Nirchi says, is going to be closer to his backyard.

"Basically, I've lived in Endicott all my life, and I believe in the place," Customers eagerly wait for PlayStation! GOOD QUESTION STEVE RHODE and MIKE KIDWELL Use credit judiciously over holidays Question: Every year I go crazy with the credit cards during the holidays. This year I am determined not to go overboard. Help! Answer: Believe us, you're not the only person who ends up with a big credit card hangover after the holidays. We're not Scrooges, but we don't want to see anyone go into hock for gifts that are forgotten by the time New Year's Day rolls around. Here's what we suggest: Sit down and make two lists.

One should be of all your favorite holiday memories and experiences. You probably won't be able to remember many of the gifts! Instead, you might think of things like going out to cut down the tree, caroling with friends, or sledding when you were young. With that list in mind, decide what experiences you want to create for yourself and your family ones that aren't expensive but will be memorable. Your second list should be all the people you want to give something to. Not have to, but want to.

Be creative. One of the winners of our Savviest Scrooge contest, a grandmother, gave her grandchildren a coupon for $5 with a wise saying for each month of the year and their birthdays. Her grandchildren had to explain what the saying meant to them in order to cash in the coupon. The kids had something to look forward to, and she spread out the expense over the year. Another family adopted a holiday project each year, like learning to make candles and soap.

The fruits of their labor became the gifts they gave. Another good idea is to give gifts of time, like coupons for baby-sitting, cooking, or a ride for an elderly person. Although reining in spending on kids can be more challenging, consider giving them fewer gifts but making them higher quality so they won't break or wear out quickly. Remember, the holiday season comes every year. Try to pay off purchases that you put on credit cards in three months.

All I want to do is consolidate my credit card debt and finally get rid of my cards. Right now, it's difficult for me not to take on mere debt because my paycheck is stretched so thin that I end up having to charge things like dental bills and auto repairs. No one will give me a loan without collateral, however. I know I can do this but I need your help. You can do it, but don't count on a debt consolidation loan for your solution.

You're only going to get rid of those bills when you learn how to live on less than you bring home. If your paycheck is stretched thin, you're either going to have to make it larger or keep on cutting expenses that aren't absolutely necessary. For ideas on how to live frugally, visit www.cheapskatemonthly.com or www.frugal-moms.com. Make sure you are paying the lowest rate possible on your current debts. Rhode and Kidwell are authors of Get Out Of Debt: Smart Solutions To Your Money Problems and the hosts of the radio show, MoneyHelp.

I "'fit Vs -1 i--. 2 only 10 out of 60 in line who was able to get a PlayStation2. Thousands of people, from hard-core gamers in their 20s and 30s to grandmothers looking to buy PlayStation2 for their grandchildren, went home empty-handed. Many online buyers were disappointed as well. sold out of PlaySta-tion2 consoles within 30 seconds.

But by early afternoon, more than 300 PlayStation2's were listed for sale on the online auction site eBay. Some bids for the console topped $800. In a more traditional market, on Manhattan's Upper East Side scalpers were seen hawking PlayStation 2 consoles at $1,500 a pop. early and waited. In Minot, N.D., police were called to a Wal-Mart store after receiving reports of people threatening others waiting in line.

In Woodstock, two customers were ticketed for disorderly conduct. Other shoppers took things in stride, ordering pizza and watching the World Series on miniature TVs. Customers themselves tried to keep the peace by organizing the lines and keeping tabs on when people snowed up. "We are trying to create harmony," said James Reyes, 30, who waited all night outside the Circuit City store on Manhattan's Upper East Side. Reyes, who describes himself as a game addict, was one of Many in line throughout night BYAMNE D'INWOCEWZIO Associated Press NEW YORK When it came to getting your hands on a Sony PlayStation2, it didn't pay to be polite.

With Sony acknowledging it can't meet demand because of parts shortages, consumers resorted to whatever tactics seemed necessary when the widely anticipated video-game console went on sale Thursday. In some cases, that meant picking fights with security guards or pushing their way into the front of the line at 3 a.m. Others simply showed up Brent Collins of Vienna Township, carries a new PlayStation 2 from Meijerin Flint Township, Mich. Collins was lucky enough to be one of the first 20 people in line, who received vouchers to purchase the units at midnight Wednesday. Daimler Chrysler posts first loss in nine years Long-distance woes lead WorldCom to restructure BY JUSTIN HYDE Associated Press DETROIT Atough U.S.

market and the extreme steps taken by the Chrysler arm of DaimlerChrysler AG to stay competitive pushed the automaker's adjusted earnings down 78 percent in the third quarter, company officials said Thursday. The decline came from a 579 million euro loss ($512 million) at Chrysler, its first operating loss in nine years, as the company increased incentives by $900 million in the quarter and launched new versions of its minivans at three factories. DaimlerChrysler warned investors in September that it would face a loss of roughly $500 million. The company's stock was up 30 cents to $43.73 just above its 52-week low in trading on the New York Stock Exchange. The results "were not particularly good, even considering the warning," said UBS Warburg analyst Saul Rubin.

"Its clear that where they were once strong they're now weaker." DaimlerChrysler officialssaid Thursday that their financial results should improve for the fourth quarter, and promised a round of cost cuts at every level. Ebbers. "But like others we are facing our share of industrywide challenges" and pricing pressures. On Wednesday, outlined a plan to break itself into four separate pieces, undoing a series of costly acquisitions designed to make the company a one-stop shop for telephone, television and Internet. In Thursday's trading on the Nasdaq Stock Market, shares of WorldCom fell $3.50 to $21.75.

them," Ebbers said as the company released its third-quarter earnings. The quarterly report was in line with the company's and Wall Street's estimates, but showed unpaid bills by customers took a $405 million bite out of its pocketbook. Notably, voice revenues grew only 2 percent to $2.58 billion compared with the third quarter of 1999. "All in all, this was a solid quarter for WorldCom," said to focus on the company's healthier Internet and data service businesses. Like WorldCom is expected to create a separate "tracking" stock for long distance to distinguish that struggling business from the rest of the company.

WorldCom is the nation's second biggest long distance provider after "We have the right assets to have a fast growing digital business and we plan to take full advantage and focus on BY MATT MOORE Associated Press JACKSON, Miss. A day after Corp. said it would break into four separate companies, WorldCom Inc. confirmed Thursday it will embark on its own restructuring to address the deteriorating market for traditional long distance. WorldCom Chief Executive Bernie Ebbers said he will detail a plan next Wednesday MARKET MOVERS INFO SITE BUSINESS HEADLINES NEWS TO USE Corning, Cisco cut deal on optical firm CORNING Corning which is paying $3.6 billion for Pirelli SpA's 90 per Anheuser-Busch Cos up $2.50 at $42.13 The leading beer maker reported higher earnings late Wednesday.

down $1.38 at $22.00 Investors digest news that the telecom giant will split itself into four separate units. Nortel Networks, up 50 cents at $45.50 The Canadian telecom equipment maker declined on wor ries about a revenue shortfall. Lernout Hauspie, down $2.81 at $5.13 The Wall Street Journal reports that the company's claim it received multimillion dollar license payments isn't supported by statements filed with Belgium's central bank. Nextel Communications, down $731 at $28.81 First Union cuts its rating of the mobile phone operator to buy from strong buy. IN THE TIER Robert Bradley, financial consultant at Lesko Financial Services Inc.

of Binghamton, has been named a senior representative for his continued high performance levels. Dr. Paula E. Gessner of Washington Avenue, Endicott recently attended the New York Chiropractic Council's 11th annual convention in New York City. Frank Rogers of Rogers Industrial Specialists in Binghamton was named employee of the month for October.

He was cited for excellence in customer service and outstanding The company announced Napster for the Mac on Wednesday and the program was available to be downloaded from Napster's Web site. "Despite making inroads to new users, Napster is still embroiled in a copyright infringement lawsuit brought against it by members of the Recording Industry Association of America. Homeownership at record high WASHINGTON Home ownership rates have soared to 67.7 percent, the highest level in history, during the third quarter of 2000, Housing and Urban Development cent ownership of an optical components business, is buy stock. Details of the transaction were not disclosed. The business makes lithium pump lasers, niobate modulators and other components used in fiber-optic communications networks.

Napster available to Mac users REDWOOD CITY, Calif. Legally troubled Napster Inc. set its sites on Apple computer users, making its popular music swapping software available for Macintosh operating systems. ing the remaining 10 percent stake owned by Cisco Systems Inc. The fiber-optics company said Thursday that Cisco has agreed to sell its portion of the Milan, Italy-based business in return for an undis Secretary Andrew Cuomo said Thursday.

The rate surpasses the 673 percent target the Clinton Administration set in 1995. Cuomo said 71.6 million Americans own homes, a recordnumberof them minorities, women and city dwellers. From wire service reports closed amount of Corning.