EXECUTIVE SUMMARY
Compiled by Mike Mason
TOP STORY
Irvine-based Broadcom Corp. narrowed its business units to four from six in a management restructuring that isn’t expected to result in layoffs. The chipmaker’s new units: enterprise computing, mobile and wireless, networking infrastructure and broadband communications. Broadcom, which grew largely from acquisitions, said the move was aimed at centralizing its management team.
TECHNOLOGY
Shares of Santa Ana-based Powerwave Technologies Inc. fell 18% to 7.4 after two analysts cut their rankings on the company, citing greater competition and the potential loss of business from key customer Nortel Networks Corp., which accounted for 57% of Powerwave’s sales in the June quarter … Irvine-based Exult Inc. said it plans to sell up to $100 million in convertible bonds. The human resources software and services company will use the funds to pay for acquisitions, working capital and contract costs, among other uses. Exult shares fell 12% to 8.4 after the announcement … Irvine-based Newport Corp. warned that its third-quarter results would be lower than expected because of delayed orders. Newport shares fell 11% to 15.8 on the news … Shopping.com, a one-
time Corona del Mar-based online retailer that was sold to what was then Compaq Computer for $257 million, is making a comeback as part of Australia’s DealTime Inc. DealTime has changed its name to Shopping.com Inc. and plans to launch a comparison shopping site.
HEALTHCARE
Fullerton-based Beckman Coulter Inc. won a $934 million judgment versus Singapore’s Flextronics International Ltd., which was found guilty of extorting extra payments from the company and violating a supply contract. The jury award is the largest ever in Orange County but includes about $930 million in punitive damages, which Flextronics said it would appeal. Flextronics said it expects to pay no more than $10 million after its appeal is heard … Shares of Irvine-based Spectrum Pharmaceuticals Inc. jumped 86% over two days to 9 after the company got “fast-track” approval from the Food and Drug Administration for Satraplatin, a drug to fight prostate cancer.
REAL ESTATE
Irvine-based American Spectrum Realty Inc. said it has sold eight apartment, industrial and office buildings in the Midwest since April for $43.8 million. The company bought two Houston office buildings and plans to buy three others in Houston by the end of the year. American also settled a lawsuit with former investors that requires the company to repay $1.2 million in legal fees plus $8.8 million before March 2006 … Newport Beach-based Health Care Property Investors Inc. bought four senior care homes from Brentwood, Tenn.-based American Retirement Corp. for $163.5 million. It also closed a $7 million loan as part of the deal. The homes together have 1,170 rooms and are 94% occupied … Irvine-based Standard Pacific Corp. plans to sell $150 million in five-year bonds. The homebuilder will use money from the sale to repay $100 million in notes that carry a higher interest rate.
FINANCE
Commerce National Bank, which is set to open in Fullerton later this year, said it raised $14 million in its bid to attract startup money through a public offering of stock. That’s $2 million more than the size of the business bank’s offering. Commerce National plans to return the excess funds to investors.
GOVERNMENT
Irvine’s City Council passed a new set of bylaws for the nonprofit Great Park Corp., which is charged with overseeing development at the former El Toro Marine base. Critics claimed the original set of bylaws held the nine-member board to little public accountability.
WHAT ELSE IS NEWS
Irvine-based Freedom Communications Inc. took final bids from an undisclosed number of interested buyers. Freedom’s investment bankers, Morgan Stanley and Evercore Partners, will meet with a panel of board members to select finalists that the full board will consider Oct. 1 … Wolfgang Puck Worldwide Inc. closed its struggling Irvine Spectrum restaurant amid a wider restructuring at the Beverly Hills-based chain. The Irvine Company, which recently settled a $72,000 claim for back rent with Wolfgang Puck, said it hasn’t found a replacement yet for the 7,700-square-foot space at the mall. Meanwhile, Wolfgang Puck caf & #233;s at Fashion Island, South Coast Plaza and the Block at Orange still are open … Chesterfield, Mo.-based Silgan Plastics Corp. plans to close its 96-worker Anaheim plant by the end of November, according to a filing with the state … Santa Ana nonprofit Latino Health Access nabbed a $600,000, three-year grant from Seattle-based Marguerite Casey Foundation. Latino Health will use the funds for services and education targeting uninsured and underserved Latino communities … The U.S. Equestrian Team picked San Juan Capistrano’s Oaks Blenheim Rancho Mission Viejo Riding Park to hold its Olympic show-jumping trials next May … Irvine-based Hines Horticulture Inc. said it plans to sell $175 million in eight-year bonds. The funds will be used to pay off borrowings of its nursery unit that carry a higher interest rate … Irvine-based Quantum Fuel Systems Technologies Worldwide Inc. said it won a contract with an unnamed European automaker for a hydrogen refueling system that will be used for fuel cell autos.
