First Tennessee boosts net income
The parent company of First Tennessee Bank boosted its second quarter earnings by 61 percent from a year ago, increasing net income for common shareholders to $90.8 million, or 39 cents per share.
First Horizon National Corp., the biggest banking firm in Chattanooga and across Tennessee, said earnings, adjusted for non-recurring gains, came to 27 cents per share. The results topped Wall Street expectations by a penny a share.
First Tennessee said its average loans volume was up 11 percent, deposits were up 10 percent, revenue was up 11 percent, net interest income was up 13 percent and fee income was up 6 percent in the quarter.
"Our bankers are expanding relationships and attracting new business in our growth markets in Middle Tennessee and the Mid-Atlantic as well as in established markets like East and West Tennessee," First Horizon CEO Bryan Jordan said in a statement.
First Horizon Corp. plans to complete its previously announced $2.2 billion acquisition of the Capital Bank Financial Corp. in North Carolina in the fourth quarter, pending shareholder approval. The combined bank will be the fourth-largest regional bank in the Southeast with $40 billion in total assets.
Alternator, wiring causes Fiat recall
Fiat Chrysler is recalling over 1.3 million vehicles worldwide to fix malfunctioning alternators that can cause engines to stall or a wiring problem that can make air bags deploy unexpectedly.
The wiring recall covers nearly 771,000 Dodge Journey and Fiat Freemont SUVs from 2011 through 2015. The company says wires can chafe against steering wheel trim, causing electrical short-circuits. That can set off the driver's front air bags, cause wipers to come on unexpectedly, cause switches to fail or illuminate the air bag warning lights.
Customers who see any of the issues should contact a dealer. Dealers will install a covering on the wires or replace them if needed. FCA says it knows of five minor injuries related to the problem but no crashes.
The alternator recall affects nearly 566,000 Chrysler 300s, Dodge Challengers and Chargers and Durango SUVs from 2011 through 2014. Also covered are certain 2012 to 2014 Jeep Grand Cherokees.
The alternators can wear prematurely. That could cause engine stalling and compromise anti-lock brakes and electronic stability control.
Takata asks court to halt air bag suits
Japanese auto parts supplier Takata is asking a Delaware bankruptcy judge for an injunction prohibiting the governments of Hawaii, New Mexico and the U.S. Virgin Islands from prosecuting lawsuits involving the company's lethally defective air bag inflators.
In a complaint filed Thursday, Takata also is seeking to extend the automatic halt of litigation against a company in bankruptcy to hundreds of individual lawsuits against automobile manufacturers who installed the faulty air bags. The judge will hold a telephonic status conference on Takata's request Tuesday.
Takata says allowing the lawsuits to proceed would seriously jeopardize its restructuring efforts, including the planned sale of most of its assets to a Chinese-owned rival for $1.6 billion.