ENERGY
Gov. Gray Davis announced 40 long-term agreements between the state and power companies at an average of $69 per kilowatt hour, about half the average price in the past year; he also said conservation still will be necessary to avoid blackouts this summer.
Top stories
Broadcom Corp., Irvine, said 3Com Corp. had canceled a contract for networking chips and the chip maker lowered its first-quarter earnings estimate to about one-third of analysts’ expectations; its shares fell 16% to 40 1/4 on the news; Broadcom was sued by shareholders alleging it had misrepresented its financial information Costa Mesa-based ICN Pharmaceuticals Inc. said it will sell 40% of its European operation to the public as part of its break-up, twice the amount it previously announced, and will sell off the remaining 60% over time; meanwhile, dissident shareholder David Batchelder is seeking to reclaim his seat on ICN’s board Newport Corp., citing higher-than-expected revenue from newly acquired Richmond-based Kensington Laboratories Inc., revised its earnings forecast for 2001 upward OC Transportation Authority chief Arthur Leahy halted planning for the proposed CenterLine light-rail project and scrapped an effort to secure federal funding Supervisor Todd Spitzer will run for the Assembly seat being vacated by Bill Campbell, R-Villa Park.
TECHNOLOGY
U.S. Robotics Corp., Schaumburg, Ill., opened an emerging-business unit in Irvine with 25 employees Intersil Holding Corp., Irvine, warned that its first-quarter revenue and earnings will not meet analysts’ expectations Kingston Technology Co., Fountain Valley, laid off 19 workers in a consolidation of sales teams Tig Krekel resigned as president and Joe DeSarla quit as exec VP of Boeing Satellite Systems A judge ordered Irvine-based WareNet Inc. to continue to provide Internet services to Newport Corp., Irvine, until litigation between them is resolved Printronix Inc., Irvine, warned that its sales this quarter will lag its prior-year numbers Advanced Communications Technologies Inc., Irvine, plans to acquire Orbcomm Global LP, which is in bankruptcy Transdimension Inc., Irvine, received $13 million from a group led by Shelter Capital Partners, Los Angeles Enfrastructure Inc., Aliso Viejo, named Michael Piraino president and COO; Piraino had been president and CEO of Emergent Information Technologies, Newport Beach Irvine Sensors Corp., Costa Mesa, won a $2 million federal R & D; contract; meanwhile, shareholders elected Dr. Mel Brachears chairman, replacing James Alexiou, and approved raising the number of authorized shares of the firm Aspeon Inc., Irvine, sold its consulting contracts to Aecio Technology Group Inc., for $900,000 and ended talks to sell its food-service ASP to its management for $3.5 million Founder Naveen Chanana was named chairman of RemoteVideo Inc., Irvine.
GOVERNMENT
Voters in Aliso Viejo approved its incorporation, which will occur July 1 The Huntington Beach City Council voted to seek funds to acquire the 183-acre Bolsa Chica mesa and preserve it as open space Buena Park voters failed to pass a tax to fund construction of a new police station Continued use of John Wayne Airport funds for planning of the proposed El Toro airport could force an increase in fees at JWA, its director said State water officials ordered six South OC cities to test their runoff into Aliso Creek The South Orange County Community College District named former trustee Teddi Lorch director of human resources, settling an age-discrimination suit she had brought.
HEALTHCARE
Unihealth Foundation reduced its stake in Santa Ana-based PacifiCare Health Systems Inc. from 13.5% to 10.8% by selling 1 million shares and said it will sell up to another 1 million Edwards Lifesciences Corp., Irvine, filed a patent-infringement suit against Minneapolis-based Medtronic Inc. Shares of NeoTherapeutics Inc., Irvine, rose 20% to 4 31/32 on news that investor Peter Kellogg has a 6.6% stake in the firm TriZetto Group Inc., Newport Beach, cut its first-quarter loss estimate, citing a mathematical error in the previous calculation Nexell Therapeutics Inc., Irvine, name president William A. Albright Jr. to the additional post of CEO, replacing Richard L. Dunning, who remains chairman Cardiac Science Inc., Irvine, received regulatory approval to market its Powerheart defibrillator in Canada.
REAL ESTATE
Michael Stockstill resigned as senior director of media relations at The Irvine Company The county sued developer Kathryn G. Thompson alleging default on a $1 million construction loan for an affordable-housing project, although county officials said they do not know her whereabouts.
FINANCE
Westcorp Inc. and WFS Financial Inc., Irvine, will offer shareholders rights to purchase additional shares at a discounted price BYL Bancorp, Orange, will take a charge of up to $1.7 million repurchase mortgage loans allegedly fraudulently originated by nonemployees and sold to investors, and said it will “vigorously pursue all possible remedies.”
WHAT ELSE IS NEWS
Kia Motors America Inc., Irvine, was sued over allegedly defective brake systems on its 1998-2000 Sephia sedans Cypress exporter Jeffrey Jhyfang Lo, acquitted of smuggling charges last year, has asked a federal judge to order the government to pay his legal expenses, alleging prosecutors entrapped him and prosecuted him in bad faith California Adventure closed its Mulholland Madness mini-roller coaster ride to make adjustments; three accidents involving the ride have been reported to the state since the park opened last month A fire caused $1 million in damage to the Sleepy Hollow antiques mall in Garden Grove State inspectors ordered the theater on the former El Toro base closed, forcing the annual “CHOC Follies” fundraiser to seek a new venue.
