TOP STORIES
Shares of CKE Restaurants Inc., Anaheim, fell to a 52-week-low after it posted an operating loss for the fourth quarter; the company said it is consulting with investment bankers on “strategic alternatives” for its struggling Hardee’s chain … An OC jury ordered William Lyon Co. to pay $54 million to John Markley, former employee and partner of Gen. William Lyon; Markley said he was fired for refusing to divert his ownership interests in projects to help the company pay off loans in the early-’90s recession; Lyon’s attorney said he would seek to have the verdict thrown out … Edwards Lifesciences Corp., Irvine, began trading on the NYSE after being spun off from Baxter International; the stock hung around the 14 level for most of the week, giving the company a valuation of about $800 million Flashhcom Inc., Huntington Beach, received commitments for $84 million in a private offering and named president and CFO Richard N. Rasmus CEO, replacing Brad Sachs, who remains chairman; Flashcom was sued by customers alleging the firm charged them for Internet service not rendered, which the company denied.
GOVERNMENT
Supervisors met in closed session to evaluate County Executive Officer Jan Mittermeier but took no action, as speculation swirled that her days as CEO were numbered; Mittermeier admitted interviewing for the new COO position at LAX, but said she would withdraw her application because of the publicity (see Comment, page 94) Mittermeier suspended work on 12 El Toro airport-related contracts, pending legal clarifications of the recently passed anti-airport Measure F; a federal judge earlier had denied a request by the county to temporarily suspend El Toro spending curbs, but said he would entertain a more detailed motion; a Navy official told the Times that it was still the government’s intent to turn the base over to the county for use as an airport.
DEALS
San Clemente Hospital and Medical Center’s parent is considering two offers for the facility, said the hospital’s medical chairman … Entrepreneur Media Inc., Irvine, sold a majority interest in its Entrepreneur.com unit to eCost.com, a unit of Los Angeles-based Creative Computers/IdeaMall … Save Most Desert Rancho Ltd., Laguna Hills, acquired Skypark Business Center from H-A Irvine Associates, Irvine, for $13.3 million … MaiSoft Inc., Laguna Hills, agreed to be acquired by New Jersey-based IVoice.com Inc. for $6 million … Corinthian Colleges Inc., Santa Ana, acquired the three-campus Georgia Medical Institute … Cousins Properties Inc., Atlanta, sold the Laguna Niguel Promenade for $26.7 million to Sun Belt Management Inc., Delray, Fla. … Toshiba America Medical Systems Inc., Tustin, signed a two-year, $10 million contract renewal and expansion with MHA/MedEcon Group Purchasing Organization, Florham Park, N.J. … SM & A; Corp., Newport Beach, received a five-year government contract worth up to $47 million to provide information, communications and simulation services … Bergen Brunswig Corp., Orange, received a five-year contract extension worth an estimated $560 million to supply pharmaceuticals to Defense Department hospitals and bases in the Southwest … South Africa-based Idion Technology Holdings completed its acquisition of Irvine-based Vision Solutions Inc. for $62.5 million (see related stories beginning on page 25).
WHAT’S NEW
UCI molecular biologist Alexander McPherson received a $14 million grant from NASA to create two devices to study protein crystals aboard the International Space Station … ECommercial.com, Aliso Viejo, changed its name to MindArrow Systems Inc. and began trading over the counter under the symbol ARRW … Techniclone Corp., Tustin, said it will license some of its anti-tumor technology to Scotia Pharmaceuticals … Irvine-based Lincoln Mercury officials said they are planning to expand the Lincoln line to up to nine models over the next five years … Fidelity National Financial Inc., Irvine, and Tyler Technologies Inc., Dallas, agreed to jointly develop a real estate services web portal … Quality Systems Inc., Tustin, said it will launch a consumer health web portal … Anaheim-based Lunada Bay Corp., a swimwear licensee for Irvine-based Mossimo Inc., said it will launch its own swimwear line in July.
FINANCIAL
ENable Solutions Inc., Irvine, received $18 million in venture funding from Crosspoint Venture Partners … EyeSys Technologies Inc., Irvine, a unit of bankrupt Premier Laser Systems Inc., also filed for bankruptcy … The board of Impac Commercial Holdings Inc., Newport Beach, increased the company’s repurchase authority to 20% of all shares … Ista Pharmaceuticals Inc., Irvine, said it hopes to raise $86.3 million in an IPO … Onyx Acceptance Corp., Foothill Ranch, completed the sale of $59 million in notes backed by residual cash flows from other securitizations … Western Digital Corp., Irvine, said it expects to post better-than-predicted results for its fiscal third quarter … Autobytel.com, Irvine, said it expects to post better-than-predicted first-quarter results … First American Financial Corp., Santa Ana, said it will invest up to $1 million in RE3W Inc., Costa Mesa, which is planning a transaction-based real estate web site … Axcelerant Inc., Irvine, said it raised $1 million in seed financing Autobistro, Newport Beach, filed for Chapter 7 bankruptcy liquidation.
PERSONNEL
Fidelity National Financial Inc., Irvine, named COO Patrick F. Stone to the additional post of president to replace Frank P. Willey, who was named vice chairman … Sheldon Razin retired as president and CEO of Tustin-based Quality Systems Inc. but will remain its chairman; executive VP Patrick Cline was named interim president and CEO … Larsake Sandin, a co-founder of Swedish firm InfiniCom AB, was named chairman of Scoop Inc., Santa Ana, which InfiniCom acquired recently.
LITIGATION, INVESTIGATIONS
The AARP and several homeowners filed claims in bankruptcy court totaling more than $300 million against Irvine-based First Alliance Mortgage Co. … Police and FBI agents raided the home of Anaheim surgeon Jerry Nilsson, a friend of the late Biofem founder Larry Ford, a suspect in a botched murder attempt; without comment, police released Nilsson, who said he had no idea what the raid was about Eleven workers sued Fluor Corp., Aliso Viejo, in connection with a 1997 explosion at a nuclear-weapons complex near Richland, Wash. … An OC jury ordered Farmers Insurance Group to pay $31 million to an Orange businessman who alleged the firm failed to live up to the terms of a liability policy … A bankruptcy trustee sued to recover $2.2 million allegedly diverted for personal use by the three principals of DFJ Italia, Irvine, and the home of one, Luigi Difonzo, was raided by authorities.
IN CONCLUSION
UCI accepted a record 12,735 high school seniors for the coming fall term … David Cline, CEO of Balboa Instsruments Inc., Costa Mesa was named the state’s small-business person of the year by the SBA … A clerk in the county treasurer’s office was convicted of grand theft for stealing three tax checks from the office and cashing two of them … The Festival of Arts secretary said petitions filed to force a vote to recall board members did not have enough valid signatures … OC restaurateur and former Hollywood strongman Turk Varteresian, 78, died of a heart attack.
