TOP STORIES
Pinnacle Micro Inc., Rancho Santa Margarita, filed for Chapter 11 bankruptcy and said it is seeking a higher bid for its assets than the offer from Sigma Global Interactive Group, Newport Beach … St. Joseph Hospital, Orange, laid off 130 employees, about 4.3% of its work force … eMachines Inc., Irvine, increased its share of the PC market in the first quarter to 4.5%, displacing IBM from the top five sellers, according to industry reports … Former employees of Irvine-based 2TheMart.com, which has been acquired by GoToWorld.com, Orange, said their final paychecks bounced and they intend to file complaints with the state; GoToWorld said it had put money in the bank to cover the paychecks … UCI Medical Center said it will terminate its contract with PacifiCare Health Systems Inc., Santa Ana, because it said the health plan does not pay enough for the medical center to recover its costs; PacifiCare shares rose 20% on strong earnings expectations (see related item page 33) … GT Bicycles Inc., Santa Ana, a unit of Schwinn, said it will close its local fabrication and assembly operations and lay off about 100 workers … Platinum Capital Group, Irvine, terminated its subprime-lending operation and laid off 38 employees, about one-fifth of its work force.
FINANCIAL
Escrow.com Inc., a unit of Fidelity National Financial Inc., Santa Ana, received a $30 million investment from a group led by Softbank Corp. … PrintNation.com, Irvine, received $25.5 million in venture funding … McGlen Internet Group Inc., Tustin, raised $24 million in a private placement … I/O Magic Corp., Irvine, hired investment banker NC Capital Markets to help it identify growth strategies, including possible M & A; candidates … Buy.com Inc., Aliso Viejo, reported a first-quarter loss of $32.8 million, but said it added 450,000 customers … Shareholders of Irvine-based Powerwave Technologies Inc. approved a 3-for-1 stock split … The board of Standard Pacific Corp., Irvine, raised the ceiling of its stock repurchase program from $25 million to $35 million; the company has bought back $19.7 million worth of shares under the program … Onyx Acceptance Corp., Foothill Ranch, priced $450 million in automobile receivables-backed securities.
WHAT’S NEW
Edwards Lifesciences Corp., Irvine, suspended sales and clinical trials of its surgical patches to reinforce weakened aortas after discovering flaws in two of them … IJNT.net, Irvine, began trading on the Nasdaq exchange under the symbol IJNT and said it will change its name to Universal Broadband Networks soon … Pacific Sunwear of California Inc., Anaheim, said it will sponsor the next three X Games extreme-sports events … HomeBase Inc., Irvine, said it will debut its new House 2 Home store concept in Foothill Ranch and four other locations by fall … Broadcom Corp., Irvine, debuted a new ethernet switch on a chip that it said will enable desktop computers to transmit data 10 more quickly than existing fast-ethernet devices at less cost … Santa Ana-based Micro General Corp. moved from the OTC to the Nasdaq … Aliso Viejo-based Whyrunout.com contracted with Stater Bros. Markets to make deliveries of groceries ordered via Internet from Stater Bros. supermarkets … Boeing Co. said it will launch an inflight high-speed Internet service called Connexion and based in Anaheim … Finova Realty Capital Inc., Irvine, said it will withdraw from the commercial mortgage-backed securities market and instead focus on bridge and mezzanine funding … Kingston Technology Co. Inc., Fountain Valley, said it will spin off its storage products division as StorCase Technology … Cucina! Cucina! Italian Caf & #233; said it will open a restaurant in the Radisson Resort Knott’s Berry Farm, Buena Park May 13.
DEALS
Essex Property Trust Inc., Palo Alto, acquired the 161-unit Barclay Apartments in Anaheim for $10.7 million … Medstone International Inc., Aliso Viejo, acquired a 46% stake in MediCredit, Long Beach … MindArrow Systems Inc., Aliso Viejo, acquired Hong Kong-based Fusionactive.com Ltd. … Quest Software Inc., Irvine, said it will acquire Ottawa-based MessageWise Inc. … Gauss Interprise AG, Hamburg, acquired Magellan Software Inc., Irvine, and said Magellan’s management and employees will remain in place … Rockwell International Inc. said it will acquire Sony Corp.’s Irvine-based Trans Com inflight communications and entertainment unit … GolfGear International Inc., Garden Grove, acquired Bel Air Golf Cos., Fountain Valley, for $450,000 … PIMCO Advisors Holdings’ unit holders approved its acquisition by Allianz AG and the deal is expected to close May 5.
PERSONNEL
The Tribune Co. named its chairman, John Madigan, to replace Mark Willes as chairman of Times Mirror Co.; Willes also resigned as president and CEO, but retains a seat on the board; John Puerner was named publisher of the Los Angeles Times and John Carroll was named editor … Tai C. Pham was named CEO of the technology unit of Providential Holdings, Fountain Valley, and co-founder Nhi T. Le was named president and chairman of the unit … Corinthian Colleges Inc., Santa Ana, named Dennis Beal executive VP and CFO, replacing co-founder Frank McCord, who is retiring … CEO L. William McIntosh joined the board of Irvine-based Nexell Therapeutics James M. Haywood was named president and CEO of the Fidelity National Credit Services unit of Irvine-based Fidelity National Financial Inc.
LITIGATION, INVESTIGATION
Dr. Laura Schlessinger agreed to pay an undisclosed amount to settle a slander suit brought by the owner and manager of the Beach Access store in South Coast Plaza … Insurance companies for the bankrupt Baldwin Building Contractors agreed to pay $3.75 million to settle a construction-defects suit brought by the Summit Court Homeowners Association, Anaheim … FutureLink Corp., Irvine, said it settled lawsuits in Canada involving its founder’s new company, C Me Run Inc., with no payments by either party.
GOVERNMENT
Orange Unified School District teachers staged a one-day strike over a contract dispute; … The county’s internal audit department began looking into the awarding of the $2.8 million John Wayne Airport taxi contract to 8-month-old American Taxi … The Seal Beach City Council voted to ban smoking on the city pier, citing the danger of fire … Ross Johnson, R-Irvine, resigned as state Senate minority leader, citing illnesses in his family; he was replaced by Jim Brulte, R-Rancho Cucamonga.
IN CONCLUSION
Eighty percent of OC executives surveyed by UCI said they expect their firms to improve their financial performance in 2000 and a similar percentage said they expect to add workers, space and-or equipment in the next five years; Cal State Fullerton forecast continued strong job growth in OC in 2000, at 3.2%, but down from 3.5% in 1999 … A sewage spill forced the closure of more than a quarter-mile of shoreline in Seal Beach … The Irvine Co. donated a 60-acre hilltop parcel near Laguna Beach to the county.
