NO CHARGES: Federal prosecutors ended a criminal investigation of Angelo Mozilo, the former chief executive of Calabasas mortgage lender Countrywide Financial, without taking any action against him. A grand jury spent two years investigating Mozilo’s conduct during the mortgage crisis at Countrywide, which was taken over by Bank of America. In October, Mozilo paid $67.5 million to settle a civil securities fraud lawsuit by the Securities and Exchange Commission.
CONTRACT: The Pentagon handed the first phase of a job-rich $35 billion contract to Chicago-based Boeing Co. for aerial refueling tankers. Boeing beat the European Aeronautic Defense & Space Co. in bidding for the contract to build 18 planes for $3.5 billion. Boeing has said that its winning bid would mean about 4,500 jobs in California, including at Raytheon in El Segundo, Alarin Aircraft Hinge Inc. in the City of Commerce and Lamsco West Inc. in Santa Clarita.
SENTENCED: Former Walt Disney Co. executive assistant Bonnie Hoxie was sentenced to four months of home confinement for her role in a scheme to leak Disney earnings information to investors last year. Hoxie, 34, earlier pleaded guilty to conspiracy to commit fraud and other charges. Her former boyfriend Yonni Sebbag attempted to sell the inside tips by sending anonymous letters to 33 hedge funds and other investment companies, some of whom alerted authorities. Sebbag has been sentenced to more than two years in prison.
NEW DEAL: American Apparel Inc. has avoided defaulting on a key loan by amending its credit agreement with a lender, but the move came at a price: The company is now required to hit a profit target it had previously sought to eliminate. The apparel manufacturer and retailer signed an amended credit agreement with one of its largest lenders, London private equity firm Lion Capital LLP, that requires it to maintain a minimum consolidated level of earnings before interest, depreciation and amortization for 12 consecutive months.
REVAMPED: United Online Inc. unveiled a long-awaited remodel of its struggling ClassMates.com social networking site. Renamed MemoryLane.com, the site features a wider array of videos, magazines and other nostalgic content created between 1940 and 1999. The Woodland Hills Internet company, which also owns floral site FTD.com, acquired Seattle-based Classmates in 2004. But the service had faltered in recent quarters as both the recession and competition from free social networking sites made potential customers less inclined to pay for premium services. Classmates had roughly 57 million people registered with the site, but only a few million were premium members.
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