TOP STORIES
Gov. Gray Davis endorsed a plan calling for the state to buy utilities’ power-line networks and land around power plants for about $7 billion and to allow a ratepayer surcharge; meanwhile, the Federal Energy Regulatory Commission said the state Independent System Operator cannot force power generators to sell electricity with no guarantee of payment Edwards Theatres Circuit Inc., Newport Beach, agreed to be acquired by Philip Anschutz and Oaktree Capital Management; terms were not disclosed but news reports put the price at $200 million to $300 million Aliso Viejo-based buy.com Inc.’s Chairman and CEO Gregory Hawkins and CFO Mitch Hill resigned and were replaced by board members Donald Kendall, a former PepsiCo CEO, as chairman, and James B. Roszak as interim CEO; Robert Price, former CFO of Pairgain Technologies Inc., Tustin, was named CFO Emulex Corp., Costa Mesa, warned that first-quarter sales may be flat and the firm’s shares fell 48% to 40 3/8 on the news; shares of fellow storage-networking firm QLogic Corp., Aliso Viejo, fell 22% to 54 13/16 Mitsubishi Motor Sales of America, Cypress, and its Japanese parent recalled more than 1.3 million vehicles worldwide, including 961,000 in North America Rain and the off-season opening contributed to smaller-than-expected attendance at Walt Disney Co.’s new California Adventure park in Anaheim in its first week Cardiac Science Inc., Irvine, plans to acquire Survivalink Corp., Minneapolis, for $71 million.
TECHNOLOGY
Starbase Corp., Santa Ana, plans to acquire Worldweb.net Inc. for $26.5 million and Atlanta-based Technology Builders Inc. for about $37 million Litronic Inc., Irvine, is being acquired by BIZ Interactive Zone Inc., Irvine, and take the name SSP Solutions Inc.; BIZ chairman and CEO Marvin Winkler will become co-chairman and CEO of the combined firm, and BIZ president and COO Rob Gorman will retain those posts; Litronic chairman and CEO Kris Shah will become the other co-chairman; the firms employ a total of 160; no layoffs are planned, officials said A unit of DDi Corp., Anaheim, will acquire Britain’s Thomas Walter Ltd. for $30 million; meanwhile, DDI raised $70.5 million in a sale of shares and convertible bonds Shares of Irvine-based Powerwave Technologies Inc. were downgraded by two analysts and fell 8.4% to 26 5/8 on the news Bridge Technology Inc., Garden Grove, canceled its sale of 60% of its Pacific Bridge Net unit to Worldwide Wireless Networks Inc., Orange Rainbow Technologies Inc., Irvine, issued an earnings warning for the fourth quarter and its shares fell 28% to 7 7/8 on the news Anaheim-based Telephonics Corp., a unit of Griffon Corp., received a $3.6 million Navy contract Myrient Inc., Irvine, named Toan V. Dinh CEO, replacing interim CEO Bryan L. Turbow, who remains president and chief technology officer Fluor Corp., Aliso Viejo, received a contract from BP Amoco PLC for maintenance management at a refinery in Texas City, Texas.
HEALTHCARE
UniHealth Foundation waived its right to sell 909,500 shares of PacifiCare Health Systems Inc., Santa Ana, back to the company (see related story, page 1) Peregrine Pharmaceuticals Inc., Tustin, said its president and CEO, John Bonfiglio, has taken an indefinite leave of absence and will be replaced on an interim basis by director Edwared J. Legere Funds affiliated with Cooper & LaVasseur LLC, Irvine, reduced their stake in Costa Mesa-based Apria Healthcare Group Inc. from 5.5% to 4.6% Leiner Health Products Inc., Carson, laid off 22 workers at its Garden Grove facility as part of a company-wide downsizing totaling 500.
GOVERNMENT
State parks officials abandoned a plan for a luxury resort at Crystal Cove State Park and said they will ask the Coastal Conservancy to raise about $12 million to buy out the developer and repair the cottages and septic system there for a nonprofit use to be determined later; remaining residents of the cottages received eviction notices from the state and filed suit challenging the state’s action An OC court commissioner issued a preliminary ruling that Measure H, which mandates that most of the county’s share of the national tobacco settlement be spent on healthcare programs, does not conflict with state law Navy officials have approved Tustin’s land-use plan for the closed Tustin air base; two Santa Ana school districts that received less land than originally proposed threaten to challenge the plan in court The OC Transportation Authority board postponed approval of up to $25 million for preliminary engineering studies of the proposed CenterLine light rail line to give the Anaheim City Council more time to debate the plan; the Anaheim city staff has recommended the council reject the plan The Coastal Commission declined to revoke Phoenix-based Athens Group’s permit for a $150 million resort development at Treasure Island in Laguna Beach.
REAL ESTATE
Opus West Corp., Phoenix, said it will begin construction of the 14-story Opus Center Irvine Phase 2 tower in May (see Commercial Real Estate Update, beginning on page 19) WL Homes, Newport Beach, acquired Estate Homes, Colorado Springs.
FINANCE
First American Corp., Santa Ana, will acquire LFC Nationwide, Sterling, Va., and its First American Title Insurance Co. unit acquired Del Norte County Title Co. Fidelity National Financial Inc., Irvine, will acquire a 77% stake in San Diego-based Vista Information Solutions Inc.
WHAT’S NEW
Diedrich Coffee Inc., Irvine, named Paul C. Heeschen chairman, replacing John Martin Tricon Global Restaurants Inc. established a $15 million loan pool for cash-strapped franchisees of its Irvine-based Taco Bell Corp. unit and said it may have to repurchase some restaurants FRD Acquisition Co., Irvine, operator of the Coco’s and Carrow’s restaurant chains, filed for Chapter 11 bankruptcy protection Steelcase Inc., Grand Rapids, Mich., will lay off 140 hourly workers and some salaried employees at its Tustin facility as part of a company-wide downsizing.
