Compiled by Julie Leupold
TECHNOLOGY
A federal judge in Santa Ana delayed the trial of cofounder and former Broadcom Corp. chief executive Henry Nicholas until February 2010 to ensure co-defendant and former Broadcom finance chief William Ruehle goes to trial first.
In other Broadcom news, the Irvine communications chipmaker gave a sales outlook for the current quarter of $800 million to $875 million that fell short of Wall Street’s expectations. Analysts had been looking for profits of $87 million on sales of $953 million. Broadcom also said it plans to cut some 200 jobs, or 3% of its work force.
Aliso Viejo’s QLogic Corp. reported results for the December quarter that topped analysts’ expectations. Excluding charges, the company posted profits of $43 million, up 5% from a year earlier and beating analysts’ expected $37 million in profits. Including charges, QLogic saw profits of $31 million on sales of $164 million.
Costa Mesa’s Emulex Corp. gave an outlook for the current quarter that fell short of analysts’ expectations. For the three months through March, Emulex said it’s expecting revenue of $78 million to $85 million, less than the $102 million analysts were looking for. Excluding charges, the company is looking for profits of $2 million to $4 million, well short of analysts’ expected $14 million in profits.
Irvine’s Printronix Inc., a maker of printers for manufacturers and retailers, is set to buy assets from bankrupt Chantilly, Va.-based TallyGenicom LP. The company didn’t say which of its U.S. assets Printronix is set to buy. It has manufacturing and office sites in Washington, Virginia and Texas.
Lake Forest’s Western Digital Corp. reported December quarter profits that were down from a year earlier but beat Wall Street analysts’ lowered expectations. Excluding charges, Western Digital posted profits of $123 million, down 60% from a year earlier and handily beating analysts’ expected $69 million. Including charges, Western Digital recorded $14 million in profits on sales of $1.8 billion, down 18% from a year earlier and in line with expectations.
Needham & Co. analyst Richard Kugele downgraded Santa Ana-based Ingram Micro Inc.’s stock to “hold” from “buy” and cut his fourth-quarter estimates to profits of $46 million on sales of $8.6 billion, far below Wall Street’s estimates. Ingram Micro is set to report fourth quarter results Feb. 18.
HEALTHCARE
A Citigroup Inc. analyst upgraded Irvine-based nursing home operator Sun Healthcare Group Inc. to “buy” from “hold.” Taylor said he upgraded Sun because he believes investors have discounted the stock for a more severe Medicaid and Medicare reimbursement outlook than was probable.
REAL ESTATE
Santa Ana-based title insurer First American Corp. hired former Freddie Mac Chief Financial Officer Anthony “Buddy” Piszel as its chief financial officer and treasurer. Piszel, 54, had been with McLean, Va.-based Freddie Mac for a year and a half. Prior to that, Piszel served as chief financial officer for Woodland Hills-based Health Net Inc. He replaces First American’s interim chief financial officer, Max Valdes.
APPAREL
Anaheim-based Pacific Sunwear of California Inc. said it cut 47 people at its headquarters and 10 field management positions, an 11% reduction in its management staff. It also expects to cut the amount of clothes it carries by 20% per square foot for the 12 months through January 2010. The cuts are designed to save $5 million in the next year. Foothill Ranch-based Wet Seal Inc., another mall retailer, said it cut 41 management and corporate jobs and expects to save about $3.3 million for the 12 months through January 2010. Most of the cuts, 37, were in Foothill Ranch.
FINANCE
Boeing Co. is laying off 71 workers in Orange County this month, according to records filed with the state. Seven of the positions are at its Anaheim facility and 63 are in Huntington Beach. Boeing announced in 2006 it was closing its Anaheim defense-focused operation and moving most of the 3,700 jobs to the Huntington Beach plant by 2010.
GOVERNMENT
Criminal charges were dismissed against former sheriff Mike Carona’s wife Deborah Carona and his longtime friend Debra Hoffman. The prosecution decided not to continue with their trials after a jury exonerated Mike Carona of the majority of charges against him.
OTHER NEWS
Six OC men face criminal fraud charges in an alleged $52 million investment scam that was said to promise big profits to more than 1,000 people from luxury developments next to golf courses. The criminal cases, filed in Orange County Superior Court by California Attorney General Jerry Brown, follow civil charges brought by the Securities and Exchange Commission against the operators of Irvine-based Carolina Development Co. Vander Tuig of Rancho Santa Margarita and Jonathan Carman of Laguna Hills were arrested along with Mark Sostak of Ladera Ranch and Soren Svendsen of Coto de Caza. Scott Yard of Costa Mesa and Robert Waldman of Irvine are wanted for custody. Arraignments are set for Feb. 11.
Virgin America will start flights from John Wayne Airport April 30. The airline, which is based in Northern California and is partially owned by Britain’s Virgin Group Ltd., will fly five flights a day from John Wayne to its hub in San Francisco. Virgin America will launch the Orange County service with special introductory fares starting at $59 for its main cabin.
