ENERGY
In a 40-minute meeting, Gov. Gray Davis asked President Bush to back price caps on wholesale electricity; Bush declined, saying price caps don’t work and would stifle power companies’ incentive to build new plants; Davis said he will sue to force federal regulators to impose the caps Southern California Edison said it will default on principal payments on $200 million in six-year notes Assembly leaders floated a new rescue plan for Edison that would make the state’s largest businesses pay for most of a $3.1 billion bailout of the utility Atlanta-based Mirant Corp. said it would drop plans to build a 500-megawatt plant in Antioch because of California’s “hostile business climate” The Unit 3 reactor at the San Onofre Nuclear Generating Plant resumed operation four months after a fire shut it down A state Senate panel launched a probe of private electricity trading floors Warm temperatures put the state close to rolling blackouts Thursday; early Friday the California Independent System Operator warned of expected shortages.
TOP STORIES
Congress passed and sent to President Bush a $1.35 trillion tax cut over 10 years A dissident slate of three directors apparently won election to the 12-member board of ICN Pharmaceuticals Inc., Costa Mesa, at its annual meeting (see story on page 7) PacifiCare Health Systems Inc., Santa Ana, lowered its profit estimate for the year by 43%.
TECHNOLOGY
Electronic Data Systems Corp. said it will buy the 14% of Unigraphics Solutions Inc., Cypress, that it doesn’t already own for $170 million; seven shareholder suits were filed the next day, alleging the price undervalues the company Interplay Entertainment Corp., Irvine, said it was in talks with a suitor Boeing Co. will lay off about 600 employees at its Long Beach plant, or about 12% of the workforce there Stephen Dukker, former president and CEO of eMachines Inc., Irvine, filed to sell 8 million shares of the company NQL Inc., Santa Ana, said it has laid off 8% of its 200-employee workforce Optimal Robotics Corp., Montreal, acquired the information technology service unit of Santa Ana-based Alpha Microsystems for $1.1 million.
HEALTHCARE
Sybron Dental Specialties Inc., Orange, acquired Switzerland’s Hawe Neos Holding SA for $45 million Interpore Cross International Inc., Irvine, agreed to buy American OsteoMedix Corp. of Virginia for $20.5 million in cash and stock Cooper Cos., Lake Forest, acquired Finland’s CL-Tinters Oy for $14 million A cancer-victims group sued PacifiCare Health Systems Inc., Santa Ana, and four other HMOs alleging they are unlawfully denying coverage of proton beam radiation therapy to treat prostate cancer A unit of Warburg, Pincus Equity Partners LP said it plans to acquire new shares totaling a majority interest in Micro Therapeutics Inc., Irvine, for $56 million, subject to the approval of existing shareholders Shares in ChromaVision Medical Systems Inc., San Juan Capistrano, surged more than 30% after the company said ImClone Systems Inc., New York, will use ChromaVision’s imaging system to research and develop cancer drugs Cardiac Science Inc., Irvine, said reviews by federal regulators have again delayed its plans to acquire Sweden’s Artema Medical AB.
GOVERNMENT
The county’s proposed 2001-01 budget totals $4.64 billion, up 3% from the current fiscal year The District Attorney’s Office is investigating Laguna Beach Councilman Wayne Baglin for possible conflict of interest over his role as broker in the sale of two parcels to the city for a senior’s center; Baglin abstained from council votes relating to the sale Two former administrators sued the Orange Unified School District alleging wrongful termination The state Senate adjourned without considering a bill that would require Tustin to turn over 100 acres of land on the closed Tustin Marine base to Santa Ana schools County officials asked the federal government for $11.9 million in homeless program funding; they estimate the number of homeless in OC is 19,740, up about 6% from 2000 The Orange County Transportation Authority voted to support state legislation to add more municipal representatives to its board The Transportation Corridor Agencies is studying a third entrance to the Riverside (91) Freeway from the Eastern (241) Toll Road.
FINANCE
Westcorp, Irvine, raised $61 million in a secondary offering A former employee dropped his suit in OC Superior Court against PricewaterhouseCoopers, alleging the firm reneged on a promise to sponsor his application for permanent U.S. residency First American Corp., Santa Ana, completed its acquisition of Credit Management Solutions Inc., Annapolis Junction, Md.
WHAT ELSE IS NEWS
A joint venture of Fluor Corp., Aliso Viejo, and a Mexican firm won a $195 million contract to build a power plant in that country CKE Restaurants Inc., Anaheim, named president and CEO Andrew Puzder to its board, replacing former president and CEO Tom Thompson HomeBase Inc., Irvine, opened 17 House2Home stores in Southern California over the Memorial Day weekend Big Mexican retailer FAMSA opened a 21,000-square-foot Santa Ana store selling furniture, electronics and appliances Walt Disney Co. plans to add a new California Adventure attraction based on “Who Wants to Be a Millionaire?” Aloha Airlines launched nonstop service to Maui from John Wayne Airport Newport Beach has asked a judge to bar live entertainment and dancing at Josh Slocum’s, a restaurant part-owned by Dennis Rodman; Orange County prosecutors filed three misdemeanor charges of disturbing the peace against Rodman for his May 12 birthday bash in Newport Beach Owner Linda Jemison will close the Linda’s Doll Hut club at the end of the summer.
