Motorola's Iridium project gainsMotorola Inc. moved closer...


August 03, 1993

Motorola's Iridium project gains

Motorola Inc. moved closer to launching its global wireless telephone network called Iridium, announcing yesterday that it had secured $800 million in international financing.

"We have reached the minimum commitment" for the $3.4 billion project, Motorola Vice Chairman John Mitchell said. Agreements with 12 investors or investment groups mean Motorola can begin building Iridium's 66 satellites. The company will seek another $800 million in equity investment over the next 18 months and plans to borrow the remaining $1.8 billion.

U.S., Food Lion reach settlement

The Labor Department and Food Lion Inc., based in Salisbury, N.C., have reached a multimillion-dollar settlement over alleged violations of federal overtime and child labor laws by the supermarket chain, government officials said yesterday.

Labor Department sources, who asked not to be identified, said the case amounted to a "record-breaking" wage-and-hour settlement involving a private employer. The settlement concludes eight months of intense negotiations between Food Lion, which has more than 1,000 stores in 14 states, and the Labor Department.

GM's mid-July sales up 8.4%

General Motors Corp. said yesterday its mid-July sales were up 8.4 percent, leaving the domestic auto industry with an overall improvement of 13.2 percent in the period.

GM said its car sales in the July 11-20 period were up 9.9 percent, and its light truck sales rose 5.7 percent. GM did not report its sales with other domestic car and truck makers on July 23 because of its two-week vacation shutdown. The strong car sales by GM pushed the industry's annualized selling rate for the period to 6.7 million.

Opel demands retraction from VW

Adam Opel AG, General Motors Corp.'s German subsidiary, demanded yesterday that Volkswagen AG Chairman Ferdinand Piech retract accusations the company interfered in a German government probe of VW.

The demand was the latest salvo in an escalating war of words between the two companies over the defection to VW of Jose Ignacio Lopez de Arriortua, GM's former worldwide purchasing chief, and allegations that he and others stole confidential GM documents for use at Volkswagen.

Jury rules against Korean firm

In a case filled with corporate intrigue, a federal jury has ruled a Korean firm improperly acquired General Electric Co.'s secrets for making industrial diamonds. GE said it would seek damages in the case and an injunction to block the defendant, Iljin Corp., from using the stolen technology.


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