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Home My WebLink AboutZ-6459 Map 20. Busmess • THURSDAY, FEBRUARY 5, 1998 Copyright® Little Rock Newspapers, Inc. Arl ansas Democrat (6R�2`¢tfC [deports BY DON CHANEY ARKANSAS DEMOCRAT.GAZETTE Speculation about a possible de of First Commercial Corp. mtinued this week as an industry ade publication reported Tues- ty that the Little Rock bank hold - g company is accepting bids. American Banker reported urces "familiar with the situation" saying initial bids for First Com- ercial were due Tuesday and final Fers are due Friday. A sale agree - ant could be reached "early next :ek," the daily publication said. diver soars tbove $7 in ounce aper investor Buffett ,veals big purchase BY GREGG STEIN THE ASSOCIATED PRESS NEW YORK — A huge endorse- mt by one of the world's richest vestors sent silver prices surging a 10 -year high Wednesday, raising ,mories of a speculative binge it wound up trashing the metal. Silver surpassed $7 an ounce the first time since January 38 after legendary investor War- n Buffett's company disclosed .e Tuesday it had acquired 130 Ilion ounces of silver, now Irth $910 million. Buffett has legions of followers it track his every move, but rarely s the famed advocate of buy -and - Id stock investing steered them to commodities pit. "In my opinion, he's saying that Tunon stocks are a bit rich," said chael Metz, chief investment ategist at CIBC Oppenheimer. ' Mr. Buffett can't find any at- tctive common stocks, maybe at means you can't either and ould begin taking a look at com- modities." ` The silver contract for de- livery in March ._ rose 401/2 cents Wednesday to close at $7.02 a troy ounce on " the New York Mercantile Ex- rren Buffett change, giving it a two-day gain more than 12 percent. Since ffett's company, Berkshire thaway Inc., began buying sil- in July, the metal's value has red 62.5 percent. Berkshire's stake represents an imated 20 percent of the world's ter supply, excluding jewelry I other manufactured items. Phe developments evoked 'mories of 1980, when the Hunt ethers of Texas tried to corner market and drove prices from lund $6 an ounce to a high of '.50. That run-up led people to It down trophies, sell heirloom ce settings and search franti- ly for old silver quarters. But when the silver market col - sed just weeks after hitting its 1k, the Hunt brothers were left h $1 billion in losses. Rocks of several silver produc- rose sharply Wednesday. Sun- ne Mining & Refining Co. sped 39 percent, and Coeur Ilene Mines Corp. and Hecla ting Co. each rose 22 percent. persist,* First Commercial for sak", Memphis, said Wednesday he, of, - sees banks take the auctioh ap proach when trying to sell. "Their job is to get the best price," Moore said, noting that'so- liciting bidders can help accom- plish that. If First Commercial is for sale, Moore said, a sale price of $67 to $69 a share would be reasonable.'The company's stock closed Wednesday at $64.50, down 25 cents. The American Banker article said First Commercial has been See BANK, Page, 6D Lynn Wright, First Commer- cial's chief financial officer, de- clined to comment on the article or whether the bank is involved in sale talks. It's the company's policy not to comment on rumors, he said. This is the third news report in the past two weeks claiming that First Commercial is talking to bid- ders. Also citing those familiar with the situation, The Wall Street Journal and Bloomberg News said the sale price could be more than $2.5 billion. In an article Jan. 28, the Journal reported that First Commercial has hired the New York invest- ment banking firm of Keefe, Bruyette & Woods Inc. American Banker said the bank has also hired Morgan Stanley, Dean Wit- ter, Discover & Co. in New York Wright said First Commercial has a long-time relationship with an adviser — Don Delson — who recently started working for Keefe, Bruyette & Woods. He declined to comment on whether the bank had a relationship with Morgan Stan - Arkansas Democrat-Gazette/CHRIS JOHNSON Rodney Ely (left), owner of Satellite Coffee Co., and manager Terry White display the plans for the company's new location in the Heights neighborhood. The store will offer gourmet coffee and food in the old Hall Drug Store at the corner of Uni- versity Avenue and Kavanaugh Boulevard. ley. No one from Morgan Stanley could be reached for comment Wednesday. Companies reportedly interested in First Commercial include Am - south Bancorp. in Birmingham, Ala.; Banc One Corp. in Columbus, Ohio; Hibernia Corp. in New Orleans; Mercantile Bancorp in St. Louis; Norwest Corp. in Minneapolis; and Union Planters Corp. in Memphis. Those companies all declined to comment on the situation. John Moore, a banking analyst with Morgan Keegan & Co. in Satellite Coffee stakes Out corner. in el is area Plans include retail area, restaurant BY LEROY DONALD bakery business, Ely plans to have ARKANSAS DEMOCRAT -GAZETTE a large coffee retail area and the Rodney Ely, who established restaurant. the Satellite Coffee Co. restaurant "We're going to have some big, in downtown Little Rock, is taking hot meat sandwiches, hot soups. his ideas to the Heights. We'll have white bean and chicken He has leased the former Hall chili, pan -seared catfish sandwich - Drug Store space at Kavanaugh es, a sliced pork tenderloin sand - Boulevard and University Avenue with," he said. at the western end of the Heights The Satellite also will serve sal-. shopping area, where he will oper- ads, fresh juices and "smoothies"' ate a retail gourmet coffee shop during the day and breakfast -on and small restaurant. Saturdays and Sundays. The new business will be "Fun -type pancakes as welLas called Satellite Coffee Co. and traditional; omelettes and eggs Cafe, says Ely, who will continue done right, some fresh baked to operate the original cafe at 215 breads, hot maple syrup," :.'he N. Cross St. said. Hall Drug Store, at 5923 Ka- "We'll have a large space for in vanaugh Blvd., was a neighbor- door eating and hope to have an hood landmark for five decades, outdoor patio on the Kavanaugh' but its owners closed the store in side," he said. The restaurant will, November, citing health reasons. have a pickup window. Ely has leased the store space, Ely went to Florida after gradu about 2,000 square feet, and is ren- ating from Hall High School in -the ovating it for use as a full-scale early 1980s, but decided to return restaurant. about three years ago. "We have decided to take some "I had made a lot of 'good of our concepts up to the Heights friends here and have always had and serve a lot of the same cus- a good feeling about Arkansas. I tomers we're already serving," he wanted to bring back to Arkan'sa's said. "We have a wide group of some new ideas I thought were customers from the Heights and fun," he said. Hillcrest area." His small outlet on Cross Street Besides an enlarged coffee and See COFFEE, Page 2D Plans told for 2 west LR office buildings Project slated on West Markham Street BY DOUG THOMPSON his engineer, Pat McGetrick, to ARKANSAS DEMOCRAT -GAZETTE provide more detailed plans to the A former member of the city's city's planning staff by Feb. 26. If Planning Commission is seeking those are approved, the staff will permission to build two office recommend the development, Car - buildings in west Little Rock ney said. Developer Ramsey Ball wants Area residents do not oppose to construct the buildings, to in- the plan, said John J. Dellar of the elude commercial space, at Atkins Parkway Place Neighborhood As - Road and West Markham Street. A sociation. "Given the nature of the city official said Wednesday that area, with a GMC dealership next planners don't oppose the project door to it, we don't have any objec- but want more information before tions," Dellar said. giving final approval. The development would on two "We don't know yet what per- vacant lots on the west side of centage of the space will be com- Atkins, with Markham on the mercial and how much will be of- north. The 4.9 -acre development fice; that's one of the things we would include 310 parking spaces. want settled," said Dana Carney, Ball is a former member of the zoning administrator For the city's Planning Commission, leaving July Planning and Development De- 1996. He proposes a "planned of- partment. The Planning Commis- fice development," a more restric- sion will take up the issue at a tive designation than commercial e Li ; e cdo ce '� ekl pl i MARA IYNN RDI - 1 ,CHEN LPKWY. WMARKHAMST amount of commercial space on property zoned for offices. Ball was away and could not be reached Wednesday for comment. An almost square, two-story building at the south end of the de- velopment would enclose 40,500 ing with 18,000 square feet would extend almost to Markham, its longest side facing Atkins Road. Traffic will not enter Lorena Avenue at the south side of thede- velopment. Ball proposes access to the north onto West Markham and �t�ek 4 00 I ,rte, E a jam. l Arkniisas Democrat-GzzeWMATT ing with 18,000 square feet would extend almost to Markham, its longest side facing Atkins Road. Traffic will not enter Lorena Avenue at the south side of thede- velopment. Ball proposes access to the north onto West Markham and