Business News brief

First Posted:

Local foreclosures rise

A new report by real estate industry data provider First American CoreLogic says residential foreclosure rates rose in June in the Scranton/Wilkes-Barre area to 2.1 percent from 1.6 percent a year earlier. The local rate is lower than the 2.63 percent national rate but higher than Pennsylvania’s 1.6 percent rate.
But in the latest 12-month period ended in June, the number of foreclosure filings declined compared to the prior 12 months, to 2,245 from 2,631. The figures include filings in the three-step foreclosure process.
Ninety-day delinquencies also rose locally, in Pennsylvania and nationally in June, with the Scranton/Wilkes-Barre rate up to 5.2 percent compared to 3.8 percent in June 2008.
Wal-Mart fighters merge
Two union-backed groups announced Friday they are merging so they can consolidate their efforts to pressure Wal-Mart Stores Inc. to provide higher pay and better benefits.
Wal-Mart Watch, backed by the Service Employees International Union, will move under the name WakeUpWalMart.com, a group backed by the United Food and Commercial Workers Union. In separate efforts, the groups have spent years criticizing Wal-Mart, issuing news releases, running ads and enlisting Wal-Mart workers.
Wal-Mart has 1.4 million U.S. workers.
Borgata owner under fire
One of the co-owners of Atlantic City’s top casino could be forced to sell its 50 percent stake as a result of concerns by New Jersey officials over alleged organized crime ties of its partner in a Chinese casino venture.
The state Attorney General’s Office is concerned over ties that MGM Mirage, which owns half of the Borgata Hotel Casino & Spa, has to Pansy Ho, the daughter of Chinese casino magnate Stanley Ho.
He has been accused of ties to Asian organized crime gangs, but never charged, and he denies any crime ties.
MGM says Pansy Ho, a partner in a Macau casino, is a suitable business partner.
Nacchio sentence slimmed
An appeals court has ordered a new, shorter sentence for ex-Qwest CEO Joe Nacchio, saying his six-year term for insider trading was too long.
The 10th U.S. Circuit Court of Appeals ruled Friday that the trial judge overstated the amount of Nacchio’s alleged financial gain.
Nacchio was convicted in 2007 of 19 counts of insider trading and acquitted on 23 counts. Prosecutors alleged he sold $52 million in Qwest Communications International stock based on nonpublic information that the Denver-based telecommunications company was at risk.
The appeals court did not say exactly what Nacchio’s sentence or fine should be, sending those determinations back to a lower court.