NATIONAL

President to propose initiatives to help at-risk borrowers

President Bush today intends to discuss ways to help the hundreds of thousands of borrowers hard hit by the housing slump and credit crunch that are rocking financial markets.

In a White House event, Bush will talk about several initiatives and reforms to help homeowners with risky mortgages keep their homes, a senior administration official said Thursday night.

The official said Bush will direct Treasury Secretary Henry Paulson and Housing Secretary Alphonso Jackson to work on an initiative to help troubled mortgage holders get services and products they need to keep them from defaulting on their loans.

The official spoke on condition of anonymity.

WEAK RESULTS Sears Holdings Corp. posted its lowest profit in nearly two years Thursday after another round of weak sales at Kmart and Sears stores sent the retailer's net income tumbling 40 percent.

Net income for the period ended Aug. 4 fell to $176 million, or $1.17 a share, from $294 million, or $1.88, a year earlier, when the company was helped by a one-time gain.

Revenue dipped 4 percent, to $12.24 billion. Analysts expected $1.13 a share and revenue of $12.32 billion.

MAXIMUS RESOLUTION Reston, Va.-based Maximus Inc. agreed to pay $30.5 million as part of an agreement with the U.S. attorney's office for the District of Columbia and the Justice Department's Civil Division.

The agreement resolves allegations that Maximus employees, including a former company vice president, "decided to cause" the District of Columbia's Child and Family Services Agency to submit claims to the Medicaid program for services whether or not services had been provided.

Former Denver Mayor Wellington Webb was appointed to the Maximus board in September 2003. Richard Montoni, who was chief financial officer at Arapahoe County-based Ciber Inc. from 1996 to 2000, also is a board member.

LOCAL

Surgery successful for Level 3's Crowe, company says

Level 3 CEO James Crowe has undergone successful surgery, and a tumor was found to be benign, the Broomfield communications carrier said Thursday.

"Mr. Crowe has undergone his scheduled surgery, which was completed without complications," Level 3 said in a statement. "It is anticipated that Mr. Crowe will resume his work schedule following a two- to three-week recovery period."

The tumor of the pituitary gland was discovered during a routine physical exam.

PLANT TO REOPEN Montreal- based Intertape Polymer Group said it will reopen its manufacturing facility in Brighton on Oct. 1.

Intertape will need 25 employees there to run its Film Line operation, which produces the polypropylene film used in making adhesive tape.

WATER MARK Three local Early Head Start child-development centers will share $25,000 thanks to sales of 250,000 bottles of Mile High H2O water, a partnership of Deep Rock Water and the city and county of Denver.

The money will be divided among the Family Star Montessori and Early Head Start, Catholic Charities and Clayton Family Futures Early Head Start.

ALL SMILES The Improv Comedy Club & Dinner Theatre will open its first club in Colorado on Oct. 5 at the Shops at Northfield Stapleton.

ECONOMY

Economic growth robust

The economy grew at its strongest pace in more than a year during the spring as solid improvements in international trade and business investment helped offset weakness in housing.

The gross domestic product, the broadest measure of economic health, expanded at an annual rate of 4 percent in the April-June quarter, significantly higher than the 3.4 percent rate the government had initially estimated a month ago, the Commerce Department reported Thursday.

But the growth spurt could be short-lived. There are concerns that the recent turmoil in the financial market could dampen economic activity in the second half of this year.

The 4 percent GDP growth rate for the second quarter marked a sharp jump from the anemic 0.6 percent pace of the first quarter.Associated Press

THIS JUST IN...

• Gov. Bill Ritter named 33 Coloradans to a variety of statewide boards and commissions. Colorado Banking Board: Stephen A. Sherlock, of Lamar; Dan R. Ford, of Bayfield; Rick Padilla, of Greenwood Village; and Adam P. Coyle, of Parker. Economic Development Commission: William T. Sisson, of Grand Junction; Wellington E. Webb, of Denver; Brent Orr, of Wray; Richard L. Monfort, of Greeley; and Don Elliman, director of the Colorado Office of Economic Development and International Trade. Board of Trustees for Western State College of Colorado: Sandra L. Mark, of Gunnison. Board of Trustees for the University of Northern Colorado: Darlene J. LeDoux, of Lakewood. Higher Education Competitive Research Authority board of directors: David -Skaggs, executive director of the Colorado Department of Higher Education. State Capitol Building Advisory Committee: Richard G. Weingardt, of Denver; Diann L. Sill, of Central City; and Georgianna Contiguglia, of Denver. Correctional Industries Advisory Committee: A. Neal Hall, of Penrose; and Douglas S. Snyder, of Cañon City. Regional Air Quality Council: Bennet Manvel, of Fort Collins. Colorado Commission for the Deaf and Hard of Hearing: Shelley J. Strickfaden, of Morrison; Joseph M. Benedetto, of Northglenn; NancyJean B. Eubanks, of Denver; and Deborah G. Mohney, of Boulder. Board of Landscape Architects: Jennifer D. Staroska-McCoy, of Denver; James F. Ramos, of Lafayette; Todd Williams, of Morrison; Ted J. Ciavonne, of Grand Junction; and Heather E. Jones, of Denver. Mined Land Reclamation Board: Ira J. Paulin, of Holly; Barbara Green, of Denver; and Ray E. Peterson, of La Salle. Colorado Health Facilities Authority board of directors: Ann C. Kiley, of Denver; and George "Skip" Gray III, of Denver. Governor's Advisory Council for Persons with Disabilities: state Rep. Morgan L. Carroll, of Aurora.

• Starz Entertainment LLC appointed Peter Demas as executive director, key initiatives, and Rachel Falleroni as executive director, program and promotion planning and scheduling. They will be based out of the corporate office in Douglas County.

• Ronald M. Sega, former NASA astronaut and current undersecretary of the Air Force, is joining Colorado State University as a professor of systems engineering and as vice president for Applied Research for the Colorado State University Research Foundation.

Rocky staff and wire reports

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