C P M C P M G Oct 07 2011 09:05:43:596PM Post-Gazette G A-7 Y K Y K

Business Page SATURDAY, OCTOBER 8, 2011 A-7

YOUR BUSINESS Fees alter many free checking accounts

By patricia sabatini the five largest banks and five a fee to carry the card or it’s more accounts were offering post-Gazette largest thrifts in 25 of the nation’s a transaction-based fee,” Mr. waivers to avoid monthly fees, biggest markets in August, McBride said. Bankrate said. The most com- Can German youth Free checking accounts — including Pittsburgh. For now, only 4 percent of mon waiver was a requirement once as easy to get as sniffles in a “The decline in free checking accounts charged a debit card for direct deposit, although con- kindergarten class — are drying is in full swing,” Bankrate senior fee at the register, and less than sumers should keep in mind employment model up. financial analyst Greg McBride 2 percent charged a monthly or that money deposited into these The percentage of banks said. annual fee for carrying a debit accounts won’t be earning inter- nationwide offering checking At the same time free check- card, Bankrate found. est. accounts that don’t require a ing was on the decline, fees and But the situation could change On interest-bearing check- be applied in the U.S.? minimum balance fell dramati- penalties were rising, the survey following the announcement last ing accounts, monthly balance cally this year to 45 percent, found. week that Bank of America, the requirements were up while n the United States, it is according to an annual survey by Overdraft fees hit a new high nation’s largest bank, planned to annual yields have plummeted. usually a given in working business forum Bankrate.com. That’s down from for the 13th straight year — ris- charge customers $5 a month to Banks increased the minimum Ilife that the road to success KlaUs F. ZiMMerMann 65 percent last year and a peak of ing to an average of $30.83, up use their debit cards beginning balance to avoid a service charge leads through a four-year col- 76 percent in 2009. from $30.47 last year, Bankrate next year. on interest checking accounts to lege. Given the profound cost Free checking offers are likely said. A spokesman for PNC, Pitts- an average of $5,587, up steeply of attending a university these demands of the contemporary to fall further as banks try to The average fee banks charged burgh’s biggest bank, has from $3,883 last year. Meanwhile, days, some parents begin sav- economy. I beg to differ. make up for major chunks of noncustomers to use their ATMs, declined to comment on whether annual yields skidded for the ing for a child’s tuition while What has happened in the revenue lost due to new federal known as a surcharge, rose to the bank might impose a debit fifth straight year to an all-time he or she is still in diapers. The intervening years really speaks regulations. About a year ago, $2.40, up from $2.33 last year. The card fee. low of 0.08 percent. impulse is understandable. for itself. Unlike the United banks were barred from charg- most common surcharge was Consumers who don’t want to With the fee environment in Doing better than one’s parents States, Germany has not de- ing overdraft fees for debit card $3. The fee banks charged their pay a debit card fee should shop flux, consumers should be vigi- has long been a way of defining industrialized. Manufacturing and ATM transactions unless a own customers for using another around for another bank or credit lant about reviewing their state- the American dream. remains a backbone of the customer expressly signs up for bank’s ATM, often called a for- union, or switch to using credit ments and any notices from their But is this really the best economy. And apprenticeships overdraft protection. And on Oct. eign fee, was flat at $1.41. cards, as long as they faithfully bank for changes in account path to success for the most often involve a fairly complex 1, caps took effect limiting debit For debit card users, new fees pay off their balance each month, terms, Mr. McBride said. people? Recent data paint a course of training, both in trade card swipe fees that banks collect could be on the way. Mr. McBride said. questionable picture. While schools as well as at the com- from merchants. “I think we will see an increase On the plus side, while free Patricia Sabatini: psabatini@ about 70 percent of U.S. high pany level. Bankrate.com’s survey polled in debit card fees, whether it’s checking was on the decline, post-gazette.com or 412-263-3066. school graduates go on to study Along the way, apprentices at a four-year college, the sad learn key concepts of technol- reality is that only about 60 per- ogy, business management, cent of them actually complete a applied analysis and an ever bachelor’s degree (or its equiva- higher degree of analytical business lent) in any field even within six reasoning. Apprenticeships are Hiring the ‘Moneyball’ way briefs years of enrollment. therefore far more than on-the- That means a surprisingly job training and a transition to high percentage of America’s a young person’s first job. They By Jane m. von Bergen : French ketchup young people is entering the also provide a solid basis for the philadelphia inquirer cuts don’t affect sales labor force armed with only lifelong updating of one’s profes- the h.J. heinz co., which a high school diploma — and sional skills. In “Moneyball,” the well- is based in pittsburgh but little or no work experience. Not At a time when public received baseball film, Oakland sells ketchup around the surprisingly, America’s youth and private budgets are very Athletics general manager Billy world, is taking calmly the unemployment is more than stretched, a determined focus Beane walks into the locker room, news that French officials are double the rate for the overall on providing real, future-ori- sits next to a player strapping limiting ketchup in schools population. ented job training can pay huge braces on his legs and delivers the to once a week and not on Meanwhile, in European dividends. It is not expensive news: traditional French foods. “the countries like Germany, Aus- and does not require young “You can’t have 26 players in the decision has virtually no im- tria and Sweden, youth unem- people and their families to take clubhouse,” Mr. Beane, played by ployment is about half the U.S. on a lot of debt. Brad Pitt, says. pact on our sales in France,” rate. That is surprising since However, one thing is true: All emotions fly across the play- said company spokesman these countries, like the United Whichever way one turns, exe- er’s face: a sliver of hope that the michael mullen. “heinz is States, were hit hard by the cuting any job training strategy visit is merely social, then panic, proud to serve the world’s fa- global financial crisis. will take time for it to bear real sadness, fear and, finally, resigned vorite ketchup to all consum- fruit in the workplace and in stoicism — he hasn’t made the ers in France who love the the broader national economy. 25-man roster that Major League great thick, rich taste of our It could well be a decade or two teams are limited to for the bulk of ketchup. heinz ketchup adds A surprisingly high before the real impact is felt. the season. a splash of fun and flavor to percentage of With such long timelines, “I’m sorry,” Mr. Beane says. any food, and it’s a classic three things are deadly: The Richard Gardner knows all philip seymour hoffman, who plays the manager in “moneyball,” condiment in any culture.” America’s young first is to hope for miracles; the about sorry. often butts heads with Billy Beane on personnel decisions. people is entering the second, to refuse to decide on “I know how it hurts,” said Mr. pa. small businesses any strategy; and the third is Gardner, of Marlton, a man in report weak sales labor force armed with to change the chosen strategy his early 60s who heard a similar said. “I thought I was immortal, players and stretch the club’s lim- owners of small and impatiently, often onto its very speech in May 2009, when he lost that I was going to survive until I ited budget. In 2002, the A’s payroll midsize businesses in penn- only a high school head, because the hoped-for his main job. He is still unem- retired.” totaled $41 million; the New York sylvania report weak sales diploma — and little results haven’t yet materialized. ployed — one of 14 million Ameri- Mr. Gardner is different from Yankees’ totaled $125 million. as their top challenge, but At least for now, the record cans without a job. many people who have be laid off, After a rough start that nearly more plan to raise prices to or no work experience. would indicate that the German “It is a hurt,” said Mr. Gardner, because he, like Mr. Beane, has caused Mr. Beane to lose faith in preserve profit margins in the strategy, which mixes academic who supervised more than 100 peo- also laid people off. his approach, the A’s started to face of higher wholesale and excellence with plenty of well- ple as a plant manager at Helvoet Michael Lewis’ book “Money- win. health care costs, according thought out training options Pharma Inc., formerly Owens-Illi- ball” tells how the Oakland A’s Maybe, Mr. Gardner says, hir- to pnc Financial services Americans have tradition- that do not require attending nois Inc., in Pennsauken and Bur- Beane, with a minuscule budget ing managers can take a leaf from Group’s latest business out- ally viewed college as a must a university, would have the lington. After he was laid off from for signing players, in 2002 over- “Moneyball,” and not always focus look survey. the autumn on the road to good jobs and upper hand over the approach Helvoet in May 2009, he landed a ruled his scouts and adopted a new on the obvious. survey also found fewer busi- financial security. Contrast that of the United States. contract job. That ended in May and controversial way of choosing “If you know the guy has skills, nesses planning to hire full- with Germany, where roughly What the German model also 2010. players by using exotic statistical but he’s shy or gets nervous in time workers in the coming two-thirds of people under the underscores is that the key to a “You spend 33 years with an evidence called sabremetrics. interviews, take a chance,” he said. six months: 9 percent vs. 15 age of 22 choose to enter into successful jobs strategy lies in organization and you help build Those statistics led Mr. Beane “Maybe he’s the diamond in the apprenticeships, typically a aligning the longer-term inter- it up and then you are let go,” he and the A’s to sign undervalued rough who will pull you through.” percent in the spring survey. three-year period of training at ests of citizens, companies and nine percent of the busi- a firm. Along with related tech- communities alike to create a nesses also are planning to nical instruction at a vocational prosperous future for individu- cut full-time staff, unchanged school, a young worker learns als and the nation as a whole. from the spring. the skills required for a given Working jointly and consci- consumers slash their occupation. entiously, not haphazardly or Office plan draws Rooney wrath What the low youth unem- at cross purposes, these forces borrowing in august ployment numbers and the good can greatly facilitate the school- By mark Belko at a time the Steelers are facing a and has worked with Sara Lee and consumers slashed their borrowing in August by the income prospects of skilled to-work transition by focusing pittsburgh post-Gazette deadline to advance the develop- Coca-Cola. In all, it has done more workers in Germany tell us on attaining practical skills. ment of the parcel or face possible than $750 million in development most in 16 months as fewer is that the best guarantee to In the world of today, those can A Pittsburgh parking operator termination of the option agree- involving some 10 million square people used credit cards and ensure future employability be extremely complex — and is pushing ahead with his bid to ment. The stadium authority has feet of space in the past decade. demand for auto and student may well lie in obtaining real mastering them extremely develop a “signature office tower” twice this year suspended enforce- Nonetheless, Mr. Rooney was loans fell. total borrowing job skills. rewarding. on the North Shore, a proposal ment of the deadline while it stud- unimpressed. The team and its dropped $9.5 billion in August, I am aware that there are Steelers president Art Rooney II ied parking issues related to the partners have developed two office the Federal reserve said those, especially American Klaus F. Zimmermann is di- Friday described as “a farce.” North Shore. The latest forbear- buildings, Stage AE, a hotel, and Friday. Borrowing for auto and economists, who claim that rector, IZA (Institute for the Study Merrill Stabile, president of ance period expires next week. restaurants and bars on the North student loans plunged $7.2 German-style apprenticeships of Labor), and professor of Alco Parking Corp., said he was Stadium Authority board Shore in the same period. billion in August. A category are an insufficient form of economics, University of Bonn, teaming with Cincinnati-based members will meet Wednesday to “We are in the middle of a very that includes credit cards fell preparation given the complex Germany. Al. Neyer Inc., a commercial real decide their next step. successful development. I don’t $2.3 billion. estate development firm, to design Mr. Stabile said he settled on see why a change in the developer and recruit tenants for the project. Al. Neyer after discussing poten- makes any sense, particularly if Disney’s iger to keep ceo “These are guys that, in my tial partners with people in the you consider that Mr. Stabile has job through March 2015 opinion, are a terrific fit to work real estate community. no real track record as a developer. disney ceo robert iger, business feedback with to get this site developed,” he In Pittsburgh, Al. Neyer has He has no real plan or tenants and 60, will remain in his job said. done work for developer Millcraft only now is showing up with a through march 2015 and then tHiS WEEK’S QuEStion: saks Fifth Avenue is closing its Mr. Stabile is seeking to build Industries in building out office developer that nobody knows. The serve as executive chairman downtown store. how important is this to pittsburgh’s retail the office tower on a 3.3-acre plot space for the state in the former whole thing is a farce,” he said. for another 15 months to help scene? of land next to Stage AE. He has Lazarus-Macy’s store Downtown. While Mr. Stabile acknowl- break in a new chief execu- • A city without Saks is a second-rate retail destination. offered the city Stadium Author- It also served as a consultant for edged that he didn’t have a tenant, tive, the company said Friday. • No problem. We’ve got Nordstrom. ity, which owns the property, $10 Millcraft and is a “very small he said he believed he would be the definite end to what will • Who can afford Saks? million for it. minority investor” in a project to able to land some in the next two be a decade-long tenure sug- The land is now controlled convert the State Office Building or three years. gests the eventual promotion by the Steelers, the Pirates and lASt WEEK’S rESultS: the national retail Federation says into apartments, said Jim Neyer, As for Mr. Rooney’s skepticism: of one of his two closest Continental Real Estate Cos. as executive vice president of real “I can’t ask for a better valida- halloween spending is expected to increase this year. what do lieutenants, either Jay rasulo, part of a decade-old option agree- estate development. tion of my choice. If the Steelers you plan to spend this year? (382 votes) ment reached with the authority Mr. Neyer said his company are making comments like that, I 55, the chief financial officer, • It’s a fun celebration. I will spend more and go all out. (6%) to develop the property between also had done extensive work for know for sure that I’ve made the or tom staggs, 50, chairman • I need a few new things. I will spend the same as last year. Heinz Field and PNC Park. the Elmhurst Group near Pitts- right decision,” he said. of the parks division. the two (29%) Under that agreement, the burgh International Airport and The team has threatened to sue veteran executives swapped • Time to recycle an old costume. My spending will go down. Steelers and their partners are has been involved in projects in Mr. Stabile for interfering with its jobs in late 2009 in a move (64%) obligated to pay $1.3 million for Cranberry and Altoona. business, but he and his lawyers that groomed both to take the land. In Cincinnati, it built a reser- say they have found the threat to over one day. Mr. Stabile is making his pitch vations center for Delta Air Lines be without legal merit. From local and wire reports.

business by the numbers

DOW JOneS gasoline prices local sTocKs STOCK ClOSe CHange STOCK ClOSe CHange MeTals WiDelY HelD sTocKs EQt CoRP 55.80 -.82 MattHInt 31.26 -.78 11,103.12 (-20.21) (aVERaGE $/Gallon yEstERday In MEtRo PGH.) STOCK ClOSe CHange Esb FnCl s 11.76 -.27 MInEsaF 27.54 -1.15 STOCK ClOSe CHange aK stEEl 6.67 -.30 Eaton s 38.63 -.36 Mylan 17.32 -.22 Gold at&t InC 28.44 +.03 $3.488 (-$0.008) 9.71 -.17 EduCMGMt 15.78 -.85 nIsouRCE 21.55 -.16 (troy oz) aMazon 224.74 +3.23 S&P 500 allEGtCH 37.23 -.95 ERIEInd 71.58 -1.87 nwstbCsH 11.93 -.40 $1634.50 aPPlE InC 369.80 -7.57 1,155.46 (-9.51) aEaGlEout 12.05 -.11 FnbCP Pa 8.70 -.39 PnC 47.75 -1.52 CHEVRon 94.40 -.21 Foreign eXcHange aMRsVFIn 1.78 -.02 FEdExCP 71.06 -1.14 PPG 73.48 -.23 SilvEr CoCaCola 65.90 +.51 naSDaq CurrenCy in $ $ in CurrenCy aMPCo 20.33 -1.20 FEdInVst 17.56 -.67 PaRKVFn 18.67 -.58 (troy oz) ExxonMbl 73.56 -.33 47.98 -.65 FstCwltH 3.66 -.30 RtI IntlM 22.97 -1.08 $30.958 GEnElEC 15.50 -.03 2,479.35 (-27.47) EuRo 1.3388 0.7470 aRIba InC 29.71 -.14 FstnIaGaRa 9.06 -.35 RanGERs 59.98 -.73 GooGlE 515.12 +.41 CanadIan dollaR 0.9621 1.0394 baKERM 18.83 -.89 FIRstEnGy 44.29 +.60 RuE21 23.95 -.38 CoPPEr IntEl 22.29 +.26 bKnyMEl 17.83 -.51 FostER 22.26 -.61 s&t bCP 16.67 -1.01 (pound) IbM 182.39 +.70 Pg/blOOmberg bEldEn 26.11 -.16 GnC n 21.27 -.48 sHawGRP 21.35 -.54 JPMoRGCH 30.70 -1.68 242.28 (-4.67) KeY raTes blaCKbox 23.26 -.24 GlaxosKln 42.88 +.51 tMs Intl n 7.85 -.19 $3.2665 JoHnJn 63.13 +.32 PRIME RatE: 3.25 dIsCount RatE: 0.75 Cbs b 21.51 -.18 HFF InC 9.01 -.20 tHERMoFIs 50.49 -3.18 MICRosoFt 26.25 -.09 CalGon 14.54 -.77 HEInz 50.36 -.07 usstEEl 21.94 -1.16 Aluminum oRaClE 29.91 -.10 Tracks stock prices of local publicly traded companies CPI 12 MontHs tHRouGH auGust 2011: +3.8% ConsolEnGy 36.02 -.89 HuntbnK 4.96 -.30 unVstaInls 28.70 -1.56 (pound) PFIzER 18.44 +.21 ConsolCM 17.49 -.16 IGatECoRP 11.93 -.34 VERIzonCM 36.16 +.25 $0.9840 PHIlIPMoR 65.13 +.55 tREasuRy bIll RatEs: 3-MontH: 0.01 6-MontH: 0.04 dICKssPtG 34.19 -.56 II-VI s 17.80 -.66 VIaCoMb 40.14 -.28 PlAtinum PRoCtGaM 63.91 +.30 CruDe Oil 10-yEaR notE: 2.06 30-y EaR bond: 3.01 doMREsCs 50.27 +.27 KEnnaMtl 34.00 -.17 55.73 -1.45 VERIzonCM 36.16 +.25 dynaVox 3.18 -.14 27.49 -1.72 wEsbanC 17.42 -.77 (troy oz) walMaRt 53.70 +.95 $77.96 (+$2.29) u.s. I bond: 0.00 u.s. E.E. bond: 1.10 EdaP tMs 1.54 +.01 MaCys 26.95 +.51 wEsCo Intl 35.59 -.31 $1489.00 wEllsFaRGo 24.54 -.83

For up-to-the-minute stock mArket ListinGs And other FinAnciAL news, visit PoSt-GAzEttE.Com/BuSinESSnEWS

E-mail: [email protected]  Phone: 412-263-1567  Web: post-gazette.com/businessnews  Editor: Brian Hyslop

C P M C P M G G Y K Y K