VW adds $11 million parts facility
Volkswagen Group of America has completed a $6.8 million Pacific Northwest parts distribution center in Rocklin, Calif., and plans to invest another $4.5 million to open a new training center in Eastvale, Calif., just outside Los Angeles. The facilities, which represent an estimated $11.3 million investment, are part of the company's long-term commitment to the U.S. market and a broader strategy to invest more than $7 billion in North America through 2019.
"The new parts distribution center and upcoming training center in California is a testament to Volkswagen Group of America's continued investment and commitment to the U.S market, our customers, and dealers," said Hinrich J. Woebcken, president and CEO of Volkswagen Group of America Inc. "The company remains focused on these types of strategic investments that will enable long-term growth in the United States."
New Vogtle reactors hit milestones
Georgia Power Co. said workers at Plant Vogtle have completed construction of the 601-foot-high vertical level and completed delivery of the fourth and final coolant pump for the two new reactors being added to the nuclear plant near Waynesboro, Ga.
Construction of the new Westinghouse AP-1000 reactors is still only one-third complete, but company officials heralded the latest milestones for the 5,300 workers on site this week as significant achievements toward Units 3 and 4 at Vogtle.
David McKinney, vice president for Southern Nuclear, told the Georgia Public Service Commission last week contractors have assured him there will be no more delays in the project, which is already three years behind schedule.
"We're in a healthy situation versus what's left to be done," he said.
Inventories edged higher in April
Stockpiles held by U.S. businesses edged up slightly in April, while sales jumped by the largest amount in two months.
Business inventories increased 0.1 percent in April following a 0.3 percent gain in March, the Commerce Department reported Tuesday. Total business sales rose 0.9 percent in April after a 0.2 percent sales increase in March. It was the best showing since a 1.1 percent sales advance in February.
A slowdown in restocking empty store shelves has been a drag on overall economic growth over the past two quarters. But analysts are hoping stronger sales will give businesses more confidence to replenish their inventories in coming months, helping to boost economic growth.
In April, inventories held at the wholesale level rose 0.6 percent, the only category to show a gain. Stockpiles held by manufacturers and retailers both dropped 0.1 percent.
In the January-March quarter, the reduction in stockpiling trimmed 0.2 percentage point from growth.
The economy, as measured by the gross domestic product, grew at a lackluster 0.8 percent rate in the first quarter. But economists believe stronger consumer spending will help boost growth to around 2 percent in the current April-June quarter.
Roofing firm accused of forced labor, kickbacks
Two owners of a longtime Kansas City-area roofing company forced workers who are in the U.S. illegally to either pay kickbacks and obey other demands or be reported to immigration authorities, an indictment unsealed Tuesday alleges.
Tommy Frank Keaton, 70, of Shawnee, Kan., and Graziano Cornolo, 55, of Lenexa, Kan., are charged in the 17-count federal indictment with labor trafficking, conspiring to harbor aliens for commercial advantage or private financial gain, and transporting, harboring and encouraging aliens not lawfully in the country to stay. The two are co-owners of Canadian West Inc. and RAM Metal Products - both of which also are named as defendants in the indictment - doing business as Century Roofing. The crimes go back at least to 2009, prosecutors said.
Century Roofing, which said on its website it has been in business since 1990, mainly used workers who are in the country illegally to complete commercial and residential roofing projects in the Kansas City area, the indictment said. Roofing crew leaders were paid in cash and threatened with being fired if they didn't pay kickbacks to the company owners, prosecutors said.
Bank issues first Cuba credit card
A small Florida bank will issue the first U.S. credit card intended for use in Cuba and make it easier for Americans to travel and work on an island largely cut off from the U.S. financial system.
Stonegate Bank said its MasterCard, available today, will let U.S. travelers charge purchases at state-run businesses and a handful of private ones, mostly high-end private restaurants equipped with point-of-sale devices. Until now, Americans have generally had to bring cash to Cuba and change it either at state institutions that impose a fee or in informal exchanges with locals.
Staff and wire reports