BRIEFCASE $5 MILLION NET LOSS POSTED BY CYTRX.

Byline: - Staff and Wire Services

CytRx Corp., a Los Angeles-based biopharmaceutical company, reported Friday a second-quarter net loss of $5 million or 21 cents per share, versus a net loss of $900,000 or 8 cents per share a year ago.

For the six months ended June 30, CytRx reported a net loss of $6 million or 26 cents per share, versus a net loss of $1.1 million or 10 cents per share, for the comparable period of 2002.

CytRx has focused its efforts this year on acquiring new technologies and initiating related research and development programs. As a result, the company reported research and development expenses of $2.3 million, compared with $127,000 a year ago.

The company made a payment in cash and common stock of nearly $2.1 million in April to the University of Massachusetts Medical School for licenses covering applications for proprietary gene silencing technology to treat specified diseases, including ALS, obesity and type II diabetes.

``Significant progress was achieved on the operating front that will position the company for future growth,'' said Chief Executive Officer Steven A. Kriegsman.

Firm's closure causes problems

SAN FRANCISCO - Mid-sized lender Capitol Commerce Mortgage abruptly closed Friday, stranding hundreds of prospective borrowers who had been counting on the firm to finance home purchases and refinancings at low rates that are no longer available.

The closure came just a few weeks after Sacramento-based Capitol Commerce celebrated one of the busiest months in its 17-year history - the lender funded $3.7 billion in mortgages during July, according to several account executives interviewed Friday.

Messages left at Capitol Commerce's headquarters weren't returned Friday.

Losing a loan now is particularly painful because mortgage rates have been rising since mid-June. That means borrowers who have to reapply for loans might get stuck with a much higher monthly payment than on the loans they thought they had locked into a few weeks ago.

The difference may add up to several hundred dollars a month, making a home purchase or refinancing less viable.

Toyota recalls Sienna minivans

WASHINGTON - Toyota Motor Co. is recalling 34,437 Sienna minivans because the fuel tank is prone to damage and could cause a fire, the National Highway Traffic Safety Administration said Friday.

The recall covers minivans from the 2004 model year that were sold to the public starting in January.

According to NHTSA, a part of the Sienna's fuel tank was damaged during severe front-end crash tests conducted by the Insurance Institute for Highway Safety. A fire could result if fuel leaked from the damaged tank.

It was not immediately known whether any injuries were caused by the defect. Toyota officials weren't available for comment early Friday.

Dealers will replace the fuel tank for free. Owners are scheduled to be notified of the recall later this month.

Consumer prices increase in July

WASHINGTON - Consumer prices rose modestly and big industry boosted production by the largest amount since the beginning of the year, encouraging news for the economy's budding rebound. The Consumer Price Index, the government's most closely watched inflation barometer, increased 0.2 percent in July for the second month in a row, the Labor Department said Friday.

Economists said the report suggested that the nation's pricing picture is fairly stable. A second report from the Federal Reserve offered a fresh sign that the industrial sector of the economy is on the mend. After being flat in June, production at the nation's factories, mines and utilities jumped by 0.5 percent in July, the biggest increase since January.