Business news in brief

Peco Energy Co., which serves 1.6 million customers in the Philadelphia area, has budgeted $500 million for capital improvements this year, a 25 percent increase over last year. Peco spokesman Michael Wood said the spending would include $42 million more for modernization of electric and gas facilities to meet increased demand, $22.7 million for smart-meter development and energy-efficiency programs, and nearly $18 million more for technology upgrades to its customer information management system. The total does not include $200 million in federal stimulus money Peco is receiving to improve its smart-grid capacity. - Andrew Maykuth

Hersha Hospitality Trust, Philadelphia, said its public offering of 24 million common shares would be priced at $4.25 a share. The hotel operator said it expects to raise $102 million, or $117.3 million if the underwriters exercise their overallotment option for 3.6 million additional shares. The real estate investment trust, which owns interests in 76 hotels, mainly from Boston to Washington, said it would use the proceeds to pay down its revolving line of credit and for general purposes. Company shares closed up 27 cents, or 6 percent, at $4.79. - Roslyn Rudolph

Passengers on all of US Airways' mainline domestic flights will have to use a credit or debit card to pay for food and beverages because the company will no longer accept cash for onboard purchases, Philadelphia's dominant carrier said yesterday. Many airlines have switched to only credit- and debit-card purchases for drinks and snacks so their flight crews don't have to carry large amounts of cash, or store money in hotel rooms on overnight layovers. The change applies only to the airline's so-called mainline flights. US Airways Express or commuter flights will continue to accept only cash. Both cash and credit cards will be accepted on flights to Europe, South America, and the Middle East. A cashless cabin makes it easier for airlines to track and adjust inventory. Carriers also have found that travelers tend to spend more if they put purchases on a card. - Linda Loyd

Anyone wishing to comment on Comcast Corp.'s planned takeover of General Electric Co.'s NBC Universal unit has until May 3 to contact the Federal Communications Commission. The agency said on its Web site that final responses are due June 17. (Comment via http://go.philly.com/fcc; refer to MB Docket No. 10-56.) Comcast, Philadelphia, is trying to buy a 51 percent share in NBC Universal, creating a $28.2 billion joint venture with Fairfield, Conn.-based GE. The deal would give the largest U.S. cable company control of assets including the NBC television network, 10 NBC TV stations, and a movie studio. - Bloomberg News

A federal appeals court ruled that the Federal Reserve can reveal information to news agencies seeking to learn about loans that private banks received from the 12 Federal Reserve Banks as they used government bailout money to survive the banking crisis. The U.S. Court of Appeals for the Second Circuit in Manhattan said in two opinions that the information is not automatically exempt from news organizations' Freedom of Information Act requests. Cases were brought by News Corp.'s Fox News Network L.L.C. and Bloomberg L.P. Fox and Bloomberg had requested details about loans that private banks received in 2007 or 2008, and the collateral the banks provided. The Federal Reserve said it is studying the ruling. - AP

Former Federal Reserve Chairman Alan Greenspan said the central bank and other federal regulators "failed" during the financial crisis because they had become too complacent about risks. "Even with the breakdown of private risk management, the financial system would have held together had the second bulwark against crisis - our regulatory system - functioned effectively," Greenspan said in the text of a speech at a Brookings Institution conference yesterday. He echoed comments he made in a paper released Thursday citing the Fed's failures to rein in the housing bubble and growth of the largest U.S. banks. Greenspan, who ran the central bank from 1987 to 2006, said low interest rates weren't to blame for inflating the bubble, placing the blame instead on regulators. Greenspan said he and others at the Fed didn't fully understand the extent of the housing bubble and its ramifications for the economy. - Bloomberg News

Boeing Co. will speed up production plans for its 777 and 747 models in anticipation of greater demand from commercial airlines. Both are wide-body planes that can carry more than 300 passengers and fly longer routes. Several Asian airlines have ordered the planes, which are also more fuel-efficient than other aircraft models. Asian and Latin American carriers have led the way for a surprisingly strong recovery, while improvement at U.S. carriers has lagged. The industry's leading trade group, the International Air Transport Association, cut its 2010 loss forecast in half for global airlines to $2.8 billion. The group also lowered its 2009 loss estimate to $9.4 billion from $11 billion because of the year-end rally. - AP

A three-day strike by British Airways cabin-crew members affecting thousands of travelers is going ahead today after last-ditch talks between the airline's management and union leaders collapsed. The walkout has forced BA to cancel thousands of flights, but it still hopes to operate around 65 percent of its international schedule over the period. The Unite union has gathered some support from unions in the United States, Germany, and Spain for its action - taken to protest a pay freeze and changes to working conditions - but the other unions have so far stopped short of pledging direct action that would affect BA's ability to refuel and service its planes. "Tens of thousands of BA people stand ready to serve our customers," said BA chief executive Willie Walsh. "BA will be flying tomorrow." - AP

The level of commercial/multifamily mortgage debt outstanding decreased 1.7 percent in the fourth quarter, to $3.4 trillion, the Mortgage Bankers Association reported. Year over year, the amount of mortgage debt outstanding was $99 billion lower than at the end of 2008, a decline of 2.8 percent. Declines were driven by drops in commercial and multifamily mortgages held in CMBS and construction loans held by banks and thrifts. "Driving the decline was the CMBS market, with essentially no new mortgages coming in, and banks and thrifts, with declines in their construction-related holdings," said association vice president Jamie Woodwell. - Alan J. Heavens