The Briefcase for June 3

Grifols to divest center in Winston-Salem

Grifols S.A. said in a regulatory filing Wednesday that as part of buying Talecris Biotherapeutics Holdings Corp., it must divest Talecris' plasma-collection center in Winston-Salem to Italian biotechnology company Kedrion SpA.

The transfer of the center at 250 YWCA Way must take place within 10 days of Grifols acquiring Talecris, according to Federal Trade Commission requirements.

Grifols, based in Barcelona, Spain, is a coalition of companies that serves health-care professionals and patients in more than 90 countries. It develops, makes and markets plasma derivatives, IV therapy, nutrition, diagnostic systems and medical materials.

Grifols also must divest a plasma-collection center in Mobile, Ala., a facility in Melville, N.Y., and the exclusive U.S. right to sell the Factor VIII product under the Talecris brand name Koate.

Richard Craver

Dynamic Airways gets FAA jet approval

Dynamic Airways LLC said Thursday that it has gained Federal Aviation Administration approval to add a second Boeing MD-88 jet to its air carrier certification.

Dynamic, based in Smith Reynolds Airport in Winston-Salem, began charter-airline service in November.

The company said that the second jet will be based out of the country to support a long-term contract with a new international customer.

The company is owned by Dynamic Aviation of Bridgewater, Va., which has nearly 500 employees in five sectors: intelligence, surveillance and reconnaissance; airborne-data information; fire management; aerial dispersant spraying for agricultural and other needs; and the release of sterile insects for crop and livestock purposes.

Among Dynamic Aviation's customers are national defense, military intelligence and federal agencies; state and local governments; and private companies.

Dynamic Airways began with 40 employees in Winston-Salem, including a small number of former employees of defunct Pace Airlines Inc. Guy Cannady, its chief operating officer, said that the company expects to add 10 to 15 local employees for every charter aircraft it brings into service.

"We look forward to adding more aircraft to our fleet before the end of the year, as our operations continue to expand," Cannady said.

Richard Craver

Bank of the Carolinas official resigning

Bank of the Carolinas Corp. said in a regulatory filing Thursday that Robert Johnson, its chief lending officer of its bank subsidiary, is resigning from his post, effective June 10.

Johnson informed the bank of his decision May 27.

Johnson was listed among the bank's top four executives in its proxy filing that included executive-compensation figures. Johnson received a 59 percent raise in salary in 2010 to $135,000.

Bank of the Carolinas, like many local community banks, has struggled with trying to resolve problem commercial and residential mortgage loans during the recession.

The bank's subsidiary has operated under a "consent order" with federal and state regulators since April 27. Under a consent order, a bank agrees to regulatory oversight of its operations.

In February, the bank opted to defer its quarterly preferred cash dividend to the U.S. Treasury. It received $13.18 million from the Treasury in April 2009 as part of the Troubled Asset Relief Program.

Richard Craver

Retail report suggests shopper pullback

Shoppers are showing signs of pulling back on spending on discretionary items like clothing and home goods as gasoline and groceries eat up more of their paychecks.

Those pressures led many retailers on Thursday to report only modest revenue increases in May, the latest sign of the economy hitting a soft patch. Retailers that cater to wealthy shoppers and warehouse clubs like Costco that also sell gas reported the biggest gains.

The Associated Press

N.C. representatives back textile trade initiative

All 13 U.S. House representatives from North Carolina support a bipartisan effort that urges U.S. trade representatives to negotiate "strong textile and apparel terms" into the Trans-Pacific Partnership free-trade agreement talks.

The partnership currently involves Australia, Brunei, Chile, Malaysia, New Zealand, Peru, Singapore, the United States and Vietnam. The talks involved plans to expand the partnership.

According to the American Manufacturing Trade Action Coalition, the rules of origin being negotiated could apply to trade between the U.S. and virtually any country down the road, including China.

"As a result, it is critical to craft them as carefully as possible," said the 52 House representatives in a letter to Ron Kirk, the U.S. trade representative. There were 26 Democrat and 26 Republican supporters of the letter.

"A loophole-free rule of origin that encompasses fiber, yarn, fabric, dyeing and finishing, thread, pocketing and assembly is needed to make sure that any potential agreement is favorable," said Smyth McKissick, the chief executive of Alice Manufacturing of Easley, S.C.

Richard Craver

Groupon files papers for public offering with SEC

Rapidly growing online coupon seller Groupon Inc. is dangling its most tantalizing deal yet — an initial public offering of stock.

The prospect is likely to intensify a debate about whether a bubble is forming around promising but unproven Internet companies.

Groupon took the first step toward selling its stock on Wall Street by filing its IPO papers Wednesday with the Securities and Exchange Commission. The much-anticipated filing comes just two weeks after LinkedIn Corp., a popular Internet service for professional networking, saw its shares double in their first day of trading.

Groupon, based in Chicago, offers its subscribers the chance to purchase daily discounts targeted to their city and preferences. For example, a subscriber might pay $20 for a $40 gift certificate to a spa, restaurant, car wash or yoga studio. The Winston-Salem Journal partners with Groupon to offer its Daily Deal at JournalNow.com.

The initial price of Groupon's shares and the number of shares won't be set until it gets closer to going public. That process typically takes three to four months.

From staff and wire reports