BRIEFCASE.

Byline: - Staff and Wire Services

Teamsters settle with food chains

The company that operates Ralphs and Food 4 Less announced Monday that it has reached a five-year labor agreement with seven Teamster locals in Southern California.

In a statement released from Kroger Co. headquarters in Cincinnati, company officials said the pact covers about 3,200 workers - members of Locals 63, 166, 495, 572, 630, 848 and 952 of the International Brotherhood of Teamsters.

Also on Monday, Vons announced that Teamsters Locals 495, 630 and 848 have ratified the tentative agreement reached with the company Sept. 19.

The new five-year contract covers 1,450 drivers, warehouse workers and mechanics in Southern California, according to Arcadia-based Vons officials.

Short-term rates mixed on T-bills

WASHINGTON - Interest rates on short-term Treasury bills were mixed in Monday's auction, with the rate on three-month bills declining slightly while the rate on six-month bills edged up to the highest level since spring 2001.

The Treasury Department auctioned $17 billion in three-month bills at a discount rate of 3.440 percent, down from last week's 3.495 percent. An additional $15 billion in six-month bills was auctioned at a discount rate of 3.745 percent, up from 3.715 percent last week.

In a separate report, the Federal Reserve said Monday that the average yield for one-year Treasury bills, a popular index for making changes in adjustable-rate mortgages, rose to 3.88 percent last week from 3.82 percent the previous week.

Whirlpool-Maytag probe assigned

DES MOINES, Iowa - The antitrust division of the Department of Justice will be investigating the proposed Whirlpool Corp. purchase of Maytag Corp., a department spokeswoman said Monday.

Investigation and approval by either the Department of Justice or the Federal Trade Commission is required before such mergers can occur. Which one takes on a case usually depends on which has more experience with the industry in question.

GM credit rating further declines

DETROIT - Fitch Ratings lowered General Motors Corp.'s credit rating further into ``junk'' status Monday, saying the automaker has made little progress in reducing its high costs and is vulnerable if gas prices remain high.

Fitch first cut GM to junk or high-risk, high-yield status in May. The latest action, which applies to GM and finance arm General Motors Acceptance Corp., lowered the rating one more level to BB, or two levels below investment grade. Standard & Poor's Corp. and Moody's Investors Service have also cut the automaker's rating to junk.

Production, sales halted on Mazda5

WASHINGTON - Mazda Motor Corp. said Monday that it had halted the sale and production of the 2006 Mazda5 crossover because a potential heat buildup in the exhaust system could lead to a fire.

Mazda said it recalled about 2,000 of the Mazda5s that had already been sold and told dealers not to sell an additional 700 still on dealership lots.