Electronics firm closing Austin operations, eliminating 60 jobs
Arrow Electronics Inc., a Colorado-based electronics distributor, is closing a facility in North Austin in a move that will eliminate 60 jobs.
The layoffs at the facility on Braker Lane will begin Nov. 22, according to a WARN letter the company sent to the Texas Workforce Commission. A WARN letter, which stands for the Worker Adjustment and Retraining Notification Act, is a federally mandated notice employers must provide to state governments in the event of significant layoffs.
Arrow acquired the Austin facility, which recycles electronic devices, when it bought TechTurn in 2012.
Arrow operates similar facilities in Dallas and cities outside of Texas including Reno, Nev. and Columbus, Ohio. The recycling work will be moved to other Arrow sites and employees will be offered the opportunity to relocate, an official said.
Austin company adding 4 hotels to portfolio
Austin-based Summit Hotel Properties has deals in the works to acquire four hotels with a total of 503 guest rooms, the company said Tuesday.
Summit is purchasing three California Hampton Inns, located in San Diego, Santa Barbara and Ventura, for $59 million, CEO Dan Hansen said. Summit will, in turn, spend about $3 million on improvements to the properties.
In addition, Summit is finalizing the $37.5 million purchase of a Hilton Garden Inn near Houston’s world-renowned Galleria shopping mall. Approximately $3 million in upgrades are planned, the company said.
Deals to acquire the properties are expected to close by year’s end. Sellers for the four hotels were not disclosed.
Nationwide, Summit’s portfolio consists of 93 hotels in 24 states with a total of 10,976 guest rooms.
Consumer confidence dips as jobs outlook dims
WASHINGTON — Americans’ confidence in the economy fell slightly in September from August, as many became less optimistic about hiring and pay increases over the next six months.
The Conference Board, a New York-based private research group, said Tuesday that its consumer confidence index dropped to 79.7 in September. That’s down from August’s reading of 81.8, which was slightly higher than previously estimated.
Consumers’ confidence is closely watched because their spending accounts for 70 percent of economic activity. The September reading was only slightly below June’s reading of 82.1, the highest in 5 ½ years.
While confidence has bounced back from the depths of the recession, it has yet to regain a reading of 90 that typically coincides with a healthy economy.
GM to sell $4.5 billion in notes to ease debt
DETROIT — General Motors will sell $4.5 billion in bonds to reduce debts owed to union-run trusts that pay health care bills for the company’s U.S. and Canadian retirees.
The company said Tuesday that it will spend $3.2 billion from the bond sale to buy 120 million shares of GM preferred stock from a U.S. trust that provides health care to retired members of the United Auto Workers union. The lower-interest bonds will replace a 9 percent annual dividend on the stock.
It’s buying the U.S. trust’s shares for $27 each, a $2 premium. After the sale closes, the U.S. trust still will hold 140 million preferred shares, which GM can buy back for $25 each at the end of next year
GM also will use $1.2 billion from the new bonds to pay off 7 percent notes, retiring the debt now held by a trust controlled by the Canadian Auto Workers union, now called Unifor.