EXECUTIVE SUMMARY: TOP STORIES
Compiled by Roger Bloom
Exult Inc., Irvine, signed a 10-year, $700 million contract to manage the payroll and employee benefits of Newark, N.J.-based Prudential Financial Inc. Cooper Cos., Lake Forest, will acquire the eye-care unit of U.K.-based Biocompatibles International PLC for $34 million in cash and debt assumption along with a $63 million loan to Biocompatibles.
ENERGY
A joint venture of Duke Energy Corp. and Aliso Viejo-based Fluor Corp. will build three power plants valued at $1.2 billion, to be operated by Duke Pacific Gas & Electric filed a $4.1 billion claim against the state, alleging it was prohibited from selling power generated at its plants as promised under the state’s 1996 electricity deregulation law.
TECHNOLOGY
Conexant Systems Inc., Newport Beach, said Chief Executive Dwight Decker and other senior management will not receive raises until the company posts two consecutive profitable quarters; Conexant posted better-than-expected revenue for the quarter ended Dec. 31 and said it will lay off another 150 to 200 employees, mostly in its Mindspeed Technologies unit; Decker predicted the company will turn a profit this year Infinilink Corp., Rancho Santa Margarita, filed for bankruptcy liquidation Daniel Queyssac was elected to the board of Verteq, Santa Ana, to replace George Argyros, who resigned to become U.S. ambassador to Spain Western Digital Corp., Lake Forest, named Chief Operating Officer Arif Shakeel to the additional post of president Eaton Aerospace, an Irvine-based unit of Cleveland-based Eaton Corp., will lay off 150 of its 4,000 U.S. employees because of the slumping commercial aviation market SI Technologies Inc., Tustin, named Andrew Fite chief financial officer Bruce Acacio, chief executive of California Software Corp., Irvine, agreed without admitting guilt to pay a $30,000 civil penalty to settle federal charges that the company overstated sales and earnings in 1999 and 2000 by recognizing revenue prematurely.
HEALTHCARE
Cypress-based PacifiCare of California plans to offer lower deductibles and co-payments to members who choose “preferred” primary-care doctors Sicor Inc., Irvine, paid $39 million in cash plus 1.1 million common shares trading at 15.75 to buy back about 70% of its convertible preferred shares, eliminating about $4.3 million in annual dividend payments A consortium of large health insurance purchasers rated UCI Medical Center highest in California in a survey that rated hospitals on several patient-safety measures.
GOVERNMENT
The Orange County Transportation Authority will widen 1,000 yards of the westbound Riverside (91) Freeway and pay $4 million to the 91 Express Lanes as reimbursement for the toll lane operator’s estimated revenue loss due to the easing of congestion; meanwhile, Supervisor Todd Spitzer was elected chairman of the transportation agency’s board The Air Transport Association said it opposes an extension of noise limits and a night curfew at John Wayne Airport beyond their scheduled Dec. 31, 2005, expiration A poll conducted for Chapman University found 56% of county respondents in favor of the anti-El Toro airport Measure W, which would mandate a large park at the former air base, with 26% opposed and 18% undecided The legislative analyst said Gov. Gray Davis’ proposed state budget for fiscal 2003 will lead to a $4 billion operating deficit in fiscal 2004 Cottonwood Christian Center sued the city of Cypress, claiming the city is illegally holding up permits for construction of a church facility on 18 acres in a redevelopment area near the Los Alamitos Race Course The Fullerton City Council voted 3-2 to overturn the Planning Commission and not allow a new sports bar to be developed on Harbor Boulevard in the city’s downtown area.
REAL ESTATE
Westfield American Trust will acquire MainPlace/Santa Ana mall as part of a larger $5.3 billion deal involving 35 properties The 251-room Doubletree Hotel Santa Ana-Orange County Airport opened at 201 E. MacArthur Blvd. Wisconsin-based Kohl’s Department Store has signed a lease for a 93,000-square-foot store in the Mercantile East shopping center in Ladera Ranch The family of late real estate developer Frank Doyle donated $1 million toward construction of a new arts building at Orange Coast College, and the building will be named for him.
FINANCE
Troy Group Inc., Santa Ana, named James Klingler chief financial officer, replacing Del Conrad, who resigned.
WHAT ELSE IS NEWS
Amtech Lighting Services, Anaheim, received a multiyear, multimillion-dollar contract from General Motors Dealership Identification Leasing Corp. for maintenance of signage at more than 1,000 GM dealerships in the U.S. Quiksilver Inc., Huntington Beach, signed a deal with TVN Entertainment Corp. to create an action-sports subscription-video channel New Horizons Worldwide Inc., Anaheim, named Martin G. Bean chief operating officer Florida-based Mars Music will close its stores in Santa Ana and The Block at Orange Knott’s Berry Farm closed its VertiGo thrill ride after an identical ride at an Ohio theme park collapsed Walong Marketing Inc., Buena Park, recalled several brands of jelly candy because they are a choking hazard (see story, page 6) Gotcha co-founder Marvin Winkler is placing the company under the aegis of Broadband Interactive Group, which he also co-founded and purchased out of bankruptcy this month Metrolink opened a new rail stop in Tustin Mike Doyle, operator of the Revere House in Tustin, is transferring control of the restaurant to the property owner, Norm Richards of Idyllwild.
