Steel Dynamics benefits after Cash for Clunkers ups demand

Fort Wayne Steel Dynamics, the sixth-largest steelmaker in the U.S., beat Wall Street estimates for the third quarter due to cost cuts and a pickup in demand because of the Cash for Clunkers program. North American steelmakers restarted many of their idled mills as they saw a spike in demand after the government program, prompting automakers to boost 2009 production, Reuters reported. Steel Dynamics raised its third-quarter earnings forecast last month, citing continued strength in orders for flat-rolled steel and stronger volumes in metal recycling. (Star report)

Gannett posts profit by cutting costs as ad sales fall

Cost cutting produced a solidly profitable third quarter for Gannett Co. But the latest financial results for the country’s largest newspaper publisher show another big decline in ad revenue. Gannett owns USA Today, The Indianapolis Star and more than 80 other newspapers, as well as 23 television stations. Its earnings report Monday follows a similar report last week from McClatchy Co., another big newspaper owner that has managed to profit even as its main revenue source withers. Gannett’s ad sales in its publishing division dropped 28 percent from a year ago. That follows a 32 percent decline in the second quarter and a 34 percent decline in the first. Layoffs and other belt-tightening moves helped the McLean, Va.-based company earn $73.8 million, or 31 cents per share.

(Star report)

Greenhouse planned

Sullivan Hardware wants to erect a 3,000-square-foot greenhouse next to its store at 4838 N. Pennsylvania St. A city zoning board approved a variance request for the project last week. The greenhouse will fit on the north side of the store. As part of the variance, city planners want the hardware store to complete a sidewalk along 49th Street.

Kroger buys office

Supermarket chain Kroger has bought the Northside Indianapolis office building that has housed its regional offices since 1980. Kroger had a lease to occupy the entire 50,000-square-foot building at 5960 Castleway West Drive, near East 82nd Street and I-465. The sale price wasn’t released. The seller was a subsidiary of Toronto-based Brookfield Properties, which owned the building since December 2004. The Kroger Central Division has 152 food stores, 127 pharmacies and 56 fuel centers operating under five banners: Kroger, Scott’s, Owen’s, Hilander and Pay Less, with locations primarily in Indiana and Illinois, in addition to five stores in Missouri, one in Michigan and one in Ohio. (Star report)

Honda production

Honda Motor Co. says it may move production of the popular Fit hatchback to the U.S. to offset the effects of a stronger yen. Spokesman Ed Miller says the company has not made any firm decisions, nor has it decided which of the company’s U.S. plants might build the vehicle. The hatchback is currently built at a facility outside Tokyo. The effects of the stronger yen versus the dollar is diluting the profits made on exported vehicles. Honda’s plant in Greensburg, Ind., makes the Civic sedan.

Overdraft fees

Bank customers who overdraw their checking accounts would get new protections from excessive penalties under legislation proposed Monday by the Senate banking committee chairman. The measure by Sen. Christopher Dodd, D-Conn., would give people a choice in whether they want to participate in overdraft programs that charge fees for covering ATM withdrawals and debit card transactions. Most banks now automatically enroll customers in overdraft programs. That means a sale will go through if a person spends more than is in his account, but the customer will be hit with a fee, usually in the $25 to $35 range, even if the overdraft is just a few dollars.

Star news services