Key economic gauge rises to highest level ever

NEW YORK -- A key measure of future economic activity rose 0.2 percent in December to its highest level ever, helped by relatively strong consumer spending and growing indications the job market is improving. The report released Thursday coincided with government data suggesting that the employment picture may be improving. The increase in the Conference Board's Composite Index of Leading Economic Indicators, calculated since 1996, matched analysts' forecasts, and brought the gauge to 114.3, surpassing the previous high of 114.1 in November.

Plan to open millions of acres in Alaska to drilling

WASHINGTON -- Interior Secretary Gale Norton signed off on a plan Thursday for opening most of an 8.8 million-acre swath of Alaska's North Slope to oil and gas development. Some of the drilling could occur in areas important for migratory birds, whales and wildlife. The Interior Department's Bureau of Land Management will use the plan to manage a northwest portion of the government's 23.5 million-acre National Petroleum Reserve-Alaska. Geologists believe the reserve may contain 6 billion to 13 billion barrels of oil. Environmentalists said the management plan threatens the health of Arctic tundra, ponds and lakes that are home to wildlife and migratory birds and provide a vital subsistence hunting and fishing ground for native Alaskans.

Ex-Enron accountant pleads innocent to fraud

HOUSTON -- A former Enron Corp. accountant described as "a principal architect" of a scheme to mislead government regulators and investors turned himself in Thursday and pleaded innocent to federal fraud charges related to the energy giant's 2001 collapse. Speaking in a soft voice, Richard Causey, 44, entered his plea before U.S. Magistrate Judge Frances Stacy. He was released on $1 million bond, secured by $500,000 in cash provided by a brother-in-law. When asked if he was employed, Causey replied: "I am not." He was charged with securities fraud and conspiracy to commit securities fraud.

Mortgage rates drop to lowest figure in months

WASHINGTON -- Mortgage rates around the country dropped for the second straight week, welcome news to people thinking about buying a home or refinancing the one they already own. The average rate on 30-year mortgages fell to 5.64 percent -- the lowest rate in six months, and down from 5.66 percent last week -- Freddie Mac, the mortgage giant, said Thursday in its weekly nationwide survey of mortgage rates. Rates on 30-year mortgages have bounced around after sinking to a four-decade low of 5.21 percent in the middle of June.

Companies to get pension break from Congress

WASHINGTON -- Companies struggling to meet staggering pension obligations are in line for some immediate help from Congress -- reduced contributions to their retirement plans. It's a $26 billion break over the next two years, with additional relief for the airlines and steel industry. The Senate began debating the measure Thursday after more than 200 companies, including AT&T Corp., Exxon Mobil Corp. and IBM Corp., wrote senators last week urging quick passage. The legislation would reduce by about 10 percent this year and next the amount of money that companies have to pay into their defined benefit pension plans, which cover more than 43 million workers. For many companies, the first of those payments are due in April.

-- From wire reports