BRIEFCASE.

Byline: - Staff and Wire Services

Teamsters press for Coke boycott

Striking Teamster members in Los Angeles and Hartford, Conn., on Thursday began pushing a boycott of Coca-Cola products.

Targeting consumers at Wal-Mart's Sam's Clubs, Teamsters began handing out fliers asking for a boycott of all Coca-Cola products, including Coca-Cola, Dasani water, Dr. Pepper and Sprite.

Nearly 2,000 Teamsters who work at Coca-Cola bottling plants and distribution centers in Los Angeles and Hartford went on strike Monday in a dispute over health care payments.

Bank to team up with Countrywide

A joint lending venture was announced Thursday by Countrywide Financial Corp. and Community Commerce Bank, a subsidiary of TELACU, the nation's largest community economic development corporation.

TELACU Community Mortgage will give home buyers access to a variety of home financing programs while simplifying the process of buying a home.

The joint venture will offer competitive loan products, interest rates and services, including zero-down loans, fixed and adjustable rate options and flexibility on rates and terms.

Economy better off than thought

WASHINGTON - The pothole the economy hit in March apparently wasn't very deep.

Economic activity advanced at a solid 3.5 percent pace in the first quarter of the year, somewhat better than initially thought.

The latest reading on gross domestic product, released by the Commerce Department on Thursday, raised hopes that there is enough momentum to maintain economic expansion and job growth in the months ahead.

The new GDP figure represented an upgrade from the 3.1 percent annual growth rate first estimated for the January-to-March quarter. That pace, which had been the slowest in two years, had drawn concerns about the nation's economic strength.

30-year mortgage rates drop again

WASHINGTON - Rates on 30-year mortgages declined for the seventh time in the past eight weeks, a downward trend that has helped push sales of both new and existing homes to record levels.

Mortgage giant Freddie Mac reported Thursday in its weekly survey that rates on 30-year, fixed-rate mortgages averaged 5.65 percent, down from 5.71 percent last week.

It was the seventh decline in the past eight weeks and pushed the 30-year mortgage down to the lowest level since mid-February.

Former AIG execs face civil lawsuit

ALBANY, N.Y. - New York Attorney General Eliot Spitzer on Thursday filed a civil suit against American International Group Inc., accusing the nation's largest insurance company and two former top executives of using ``deception and fraud'' to boost the company's stock price.

The suit filed in state Supreme Court in Manhattan accused AIG's former chief executive Maurice ``Hank'' Greenberg and former chief financial officer Howard I. Smith of orchestrating an accounting scheme that made AIG's financial picture appear brighter than it was, misleading both investors and state regulators.

The lawsuit accuses AIG of employing a variety of questionable accounting devices. The suit said, for example, that AIG ``engaged in at least two sham insurance transactions'' to give the impression its reserves were higher than they were.

Greenberg's attorney, David Boies, didn't immediately respond to a request for comment and Smith couldn't be reached for comment.

Auto sales might roll down for May

DETROIT - After surprisingly strong auto sales in April, analysts predict demand was lower in May, a trend that could mean further production cuts at General Motors Corp. and Ford Motor Co.

May's slower pace can be attributed to higher gas prices, rising car loan rates and weak consumer confidence, Burnham Securities analyst David Healy said in a research note. Automakers are scheduled to release May sales figures on June 1.

Car prices also rose due to reduced incentive spending by GM, Ford and DaimlerChrysler AG's Chrysler Group. Vehicle prices, which fell 1.9 percent in 2003, have climbed 1.8 percent since September, Healy said. So far this year, the Big Three's average incentives per vehicle have been around $3,700, or $400 less than their peak in 2004, Healy said.

China may change currency system

WASHINGTON - China is likely to move within months to adopt a more flexible currency system as U.S. officials have been prodding it to do, Treasury Secretary John Snow said Thursday.

However, skeptical lawmakers said the Chinese were not likely to scrap their current system unless the Bush administration applies more pressure.

Simi Hospital CEO is stepping down

SIMI VALLEY - Margaret R. Peterson, president and CEO of Simi Valley Hospital, resigned Thursday. She will continue in her role until a successor is found.

Peterson announced her resignation during a board of directors meeting after five years in her post.

``Dr. Peterson will definitely be missed. She has made some tremendous accomplishments at the hospital. We look forward to working with her until a transition has been made,'' said Jeremy Brewer, a hospital spokesman.