By Roby Brock
Beckmann Volmer, a German-based wind energy company that has been in existence for about 15 years, will make a $17.5 million investment in Osceola and employ about 500 workers within five years.
One of the products that the company makes are the structural mainframes that support large wind turbines. The region’s steel industry, local infrastructure and proximity to Nordex’s Jonesboro wind turbine production plant were factors in attracting the company to Mississippi County.
Governor Mike Beebe, who visited Beckmann Volmer’s leadership on his European business trip in October 2009, joined local and company leaders at the announcement.
Legal spat could idle Fort Smith plant
A lawsuit filed in federal court could threaten the future of a $100 million wind turbine plant in Fort Smith. Mitsubishi Heavy Industries, Ltd. and Mitsubishi Power Systems Americas, Inc., filed an anti-trust lawsuit against General Electric Co.
The complaint charges GE with a scheme to monopolize the market for variable speed wind turbines in the U.S. and intimidating potential customers. A Mitsubishi representative said that because of GE tactics, the company had not sold any single variable speed turbines in the U.S. in two years.
“If GE’s unlawful conduct continues, the (Fort Smith) plant will have to sit idle, as there may be no U.S. demand for Mitsubishi turbines at a time when America is moving forward with an energy strategy that seeks to harness the power of the wind,” said spokesperson Sonia Williams.
GE denied the allegations.
Wal-Mart beats estimates
Wal-Mart Stores Inc. put its emphatic stamp on Arkansas’ earnings period by posting first quarter financial results well above Wall Street expectations.
Boosted by fast-growing international sales, the Bentonville-based retailer reported first quarter earnings of 88 cents per share on sales of $99.1 billion, compared with earnings of 77 cents a share and sales of $94.3 billion a year ago. Same-store sales in the U.S. were down slightly. Quarterly net income rose to $3.32 billion, up from $3.02 billion one year ago.
Wall Street had expected the Dow Jones bellwether to report first-quarter profit of 85 cents a share on sales of $98.3 billion, according to the analysts surveyed by Thomson Reuters.
Arkansas unemployment rate far below national average
Arkansas’ April unemployment rate remained stable in April at 7.8 percent, but still stood significantly higher than it was one year ago when the state’s jobless rate hit 7.1 percent.
Nonetheless, the state’s rate was more than two full percentage points lower than the U.S. jobless rate, which rose two-tenths of a percentage point from March to April to 9.9 percent.
Gains in five major industry sectors offset losses in five sectors, with one remaining constant. Manufacturing employment rose for the third straight month adding 2,600 jobs and construction rose by 500 for the first time in months.
PSC calls for changes to Entergy rate case settlement
The Arkansas Public Service Commission issued a ruling this week in a previously announced rate case settlement between Entergy Arkansas and the Attorney General’s office.
On May 10th, Attorney General Dustin McDaniel and Entergy Arkansas officials announced a settlement that would result in a $73.8 million base rate increase, roughly 8 percent, for Entergy customers. That settlement agreement would have resulted in residential customers seeing their bills rise 6.4 percent, large industrial users’ bills rising 8.5 percent and small commercial users would see a 13.1 percent increase.
The PSC objected to three provisions of the proposed settlement and asked all parties involved to file a revised agreement by Monday, May 24, 2010.
Four Arkansas firms recognized for export success
Four Arkansas companies were honored by Gov. Mike Beebe for their leadership and success in exporting throughout the world.
Beebe presented the Governor’s Award for Excellence in Global Trade to AmerCable Inc. of El Dorado; Weldon, Williams and Lick Inc. of Fort Smith; Cobb-Vantress Inc. of Siloam Springs; and Keith Smith Co. of Hot Springs.
Judging criteria was based on factors such as most recent percentage of export sales to total sales, growth of export sales over the past three years, the company’s goals and commitments internationally and the number of jobs saved or created due to the company’s export performance if applicable.
State lands $4.8 million green jobs grant
The Arkansas Department of Workforce Services received a $4.8 million grant from the U.S. Department of Labor to develop a program that will provide training for green jobs. The Arkansas Energy Sector Partnership grant, which totals $4,866,479, is funded with American Recovery and Reinvestment Act dollars and will provide training in energy efficient building, construction and retrofitting, renewable electric power and energy efficiency assessment.
DWS said that a total of 2,800 Arkansans will be recruited, including job seekers, incumbent workers, high school dropouts, offenders, disadvantaged and dislocated workers, and individuals living in auto-impacted counties, such as Cleburne, Desha, Greene and Logan counties. Workers will be trained for energy efficiency industries, energy auditors, energy raters and weatherization workers, according to a release.
Former Tyson exec, wife donate $3 million to Jones Eye Institute
Former Tyson executive Leland Tollett and his wife, Betty, have pledged $3 million to the Harvey & Bernice Jones Eye Institute at the University of Arkansas for Medical Sciences (UAMS). The pledge will establish the Leland and Betty Tollett Center for Retinal and Ophthalmic Genetics Disorders on the 8th floor of the center.
Leland Tollett, a two-time CEO of Tyson Foods, has served on the Jones Eye Institute Advisory Board for five years.
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Roby Brock, a freelance journalist based in Little Rock, writes weekly for the Arkansas News Bureau. His weekly television program airs at 10 p.m. Sundays in Central and Northwest Arkansas. His e-mail address is roby@talkbusiness.net; his Web site address is www.talkbusiness.net.
