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Personal Finance Finding the best card for travel perks, see Page B3.
www.bendbulletin.com/business
THE BULLETIN • THURSDAY, MAY 19, 2011
MARKET REPORT
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2,815.00 NASDAQ CLOSE CHANGE +31.79 +1.14%
STOC K S R E P O R T For a complete listing of stocks, including mutual funds, see Pages B4-5
B U S I N E SS IN BRIEF
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12,560.18 DOW JONES CLOSE CHANGE +80.60 +.65%
1,340.68 S&P 500 CLOSE CHANGE +11.70 +.88%
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can direct him or her to the right person or organization in Central Oregon’s network for business support, such as Economic Development for Central Oregon or the city of Bend’s recently appointed business advocate, Jon Skidmore. “Everybody really has the goal to see the Central Oregon community become vibrant and economically diverse, and so as much as we can work together to refer each other so that businesses are getting the best help that they need for the issues that they’re facing, I would love to, you know, build that culture of sharing and … of working together along the lines,” Curley said. See Gardener / B5
The Bulletin
The McDonald’s on Northeast Third Street in Bend, which has been closed for rebuilding since late January, will reopen Tuesday, according to a news release. The new building sports free wireless Internet access inside and a 24-hour, double-lane drive-thru. The restaurant, which opened in 1973, was the first McDonald’s in Central Oregon. Now there are seven, under the locally owned McDonald’s of Bend, Sisters and La Pine franchise.
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BONDS
Ten-year CLOSE 3.16 treasury CHANGE +1.28%
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$1495.60 GOLD CLOSE CHANGE +$15.80
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$35.094 SILVER CLOSE CHANGE +$1.606
COCC hires economic gardener Citi, reviving, to help small businesses grow awards CEO By Jordan Novet
Bend McDonald’s to reopen Tuesday
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The Small Business Development Center at Central Oregon Community College is adding a gardener to its staff — an economic gardener, that is. Steve Curley, who has abundant experience in branding and marketing, will head the center’s new economic gardening program. For no charge, Curley will advise Central Oregon smallbusiness owners on how to grow their companies and expand into markets outside the region, which in turn can add more living-wage jobs to the local workforce. When a business owner’s requests are beyond Curley’s scope, he
What is economic gardening? The concept of economic gardening, pioneered in Littleton, Colo., in the 1980s, is different from the more conventional economic development model. While the latter focuses on drawing big companies to a place, the former has more to do with developing, or growing, what entrepreneurship is already there.
big pay deal By Eric Dash New York Times News Service
After spending years as one of Wall Street’s lowest paid chief executives, Vikram Pandit received a $23.2 million retention package that could catapult him to the top of the list. Pandit earned a token annual salary of $1 as he steered Citigroup back into the black over the last two years. But on Wednesday, Citi’s board awarded him as much as $16.5 million in stock and options as well as a cash payment valued at more than $6.65 million as part of a special profit-sharing program for top executives. See Citigroup / B5
Fed signals new focus on interest rates A majority of Federal Reserve policymakers said at their most recent meeting that the best next step in their program to stimulate the economy would be to reduce the balance sheet and then focus on interest rates, according to minutes of the April meeting released Wednesday. But they also said that simply discussing interest rates and other options did not mean that any move “would necessarily begin soon.” The minutes, closely watched for any signs of change in Federal Reserve monetary policy, were released as the central bank was nearing the close of its program to buy $600 billion in Treasury securities by the end of June — its main effort to pump money into the economy as a stimulus. Economists and the financial markets will be parsing the language of the central bank and its officials in the coming weeks for signs of what the central bank might do when that program ends.
WTO upholds ruling on Airbus subsidies A World Trade Organization appeals panel Wednesday upheld a ruling that Boeing lost market share to its European rival, Airbus, as a result of billions of dollars in low-cost government loans, according to European and U.S. officials. But the panel rejected U.S. claims that state financing for the Airbus A380 superjumbo jet was automatically prohibited under global trade rules, the officials said. Appeals judges at the trade body, which is based in Geneva, concurred with the initial finding that loans extended to Airbus over the course of four decades did constitute unfair subsidies that had caused Boeing to lose aircraft sales. — From staff and wire reports
ABOVE: Boneyard Beer coowner Anthony Lawrence holds a four-pack of cans with RPM IPA labeling on them, similar to the cans that will be released in upcoming months. LEFT: Clay Storey, left, checks a fermenting tank filter while assistant brewer Brit Nelson checks levels in a fermenting tank and Lawrence pours bags of malt into the tank, during a morning IPA brewing session at Boneyard Beer in Bend on Tuesday.
B-day at the
Boneyard By Ed Merriman • Photos by Andy Tullis • The Bulletin
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ou won’t find any monsters or mad scientists there, but Bend’s Boneyard Beer is the Frankenstein creation of Tony Lawrence, who scavenged parts from Army surplus stores,
junkyards and brewery warehouses across North America to build what he says is the area’s first wholesale brewery. Lawrence said before he founded Boneyard Beer a year ago with partners Clay Storey, 38, and Melodee Storey, 37, he worked for 23 years as a brewer and brewery equipment builder, innovator, designer
Factory output and capacity utilization
and installer across the United States, Mexico, Canada and France. Boneyard Beer co-owners, from left, Anthony Lawrence, Melodee Storey and husband Clay Storey share a celebratory cheer while discussing their first year of business in the Boneyard Beer tasting room in Bend on Tuesday. Boneyard is celebrating its one-year anniversary with the Boneyard Birthday Bash, or B.B.B., which will be open to the public, 21 and older, from 7 to 11 p.m. Saturday at The Old Stone in Bend. The party will feature a new beer brewed by Boneyard specially for the event, as well as music by Truth Hero, food by Island Wild fish tacos and photos by the Photo Lounge.
Industrial production index 2007=100 96
93.1 94 92
Lawrence, who migrated to Bend from Santa Barbara, Calif., in 1988, and the Storeys, who came here together from Portland in 1991, described themselves as ski bums who originally came to Central Oregon for the snowboarding and skiing at Mt. Bachelor. See Boneyard / B2
90 AM J J A S O N D J F M A 2010 2011
Capacity utilization index 2007=100 78
Jobs outlook bleak for college graduates, studies show
76.9
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By Catherine Rampell New York Times News Service
74 72 AM J J A S O N D J F M A 2010 2011 NOTE: All figures seasonally adjusted SOURCE: Federal Reserve Board AP
The individual stories are familiar. The chemistry major tending bar. The classics major answering phones. The Italian studies major sweeping aisles at Walmart. Now evidence is emerging that the damage wrought by the sour economy is more widespread than just a few careers led astray or postponed. Even for college graduates — the people who were most
protected from the slings and arrows of recession — the outlook is rather bleak. Employment rates for new college graduates have fallen sharply in the past two years, as have starting salaries for those who can find work. What’s more, only half of the jobs landed by these new graduates even require a college degree, reviving debates about whether higher education is “worth it” after all. “I have friends with the same degree as
me, from a worse school, but because of who they knew or when they happened to graduate, they’re in much better jobs,” said Kyle Bishop, 23, a 2009 graduate of the University of Pittsburgh who has spent the past two years waiting tables, delivering beer, working at a bookstore and entering data. “It’s more about luck than anything else.” The median starting salary for students graduating from four-year colleg-
es in 2009 and 2010 was $27,000, down from $30,000 for those who entered the workforce in 2006 to 2008, according to a study released Wednesday by the John J. Heldrich Center for Workforce Development at Rutgers University. That is a decline of 10 percent, even before taking inflation into account. Of course, these are the lucky ones — the graduates who found jobs. See Graduates / B5