REVIEW
Oct. 31 – Nov. 6
Tepid Recovery: Cal State Fullerton economist Adrian Fleissig forecasts modest economic growth for Southern California over the next three to six months. He said several factors, from California’s budget woes to the recent fires, would likely depress growth compared with that of the nation. The school’s index of leading indicators for Southern California rose 0.65 percent in the third quarter, marking the gauge’s fourth straight quarterly increase.
Earnings Reports: IndyMac Bancorp Inc. reported third-quarter net income of $49.7 million, compared with $37.2 million for the like period a year ago. Revenue for the Pasadena-based mortgage lender rose 32 percent, to $199.6 million. Edison International, parent of Southern California Edison, reported third-quarter net income of $544 million, compared with $352 million for the like period a year ago. Revenue for the Rosemead-based utility company rose 3.4 percent, to $3.83 billion. Maguire Properties Inc. reported third-quarter net income of $7.2 million, compared with a pro-forma loss of $6.8 million for the like period a year earlier (before the company went public). Revenue for the Los Angeles-based real estate investment trust was $62.5 million from $25.1 million. Health Net Inc. reported a third-quarter net loss of $2.4 million, compared with net income of $69 million for the like period a year ago. Revenue for the Woodland Hills-based health insurer rose 9 percent, to $2.8 billion. Macerich Co. reported third-quarter net income of $39.7 million, compared with $11.7 million for the like period a year ago. Revenue for the Santa Monica-based shopping mall operator rose 18 percent, to $117.4 million. Molina Healthcare Inc. reported third-quarter net income of $11.7 million, compared with $12.1 million for the like period a year ago. Revenue for the Long Beach-based managed care company was $197.5 million from $173.3 million. PacifiCare Health Systems Inc. reported third-quarter net income of $67.5 million, compared with $43.8 million for the like period a year ago. Revenue for the Cypress-based health insurer fell 1 percent, to $2.7 billion. News Corp. reported first-quarter net income of $422 million, compared with $162 million for the like period a year ago. Revenue for the parent of the 20th Century Fox movie studio rose 22 percent, to $4.65 billion.
Nemo News: Pixar Animation Studios and Walt Disney Co.’s undersea cartoon adventure “Finding Nemo” broke first-day sales records for videotapes. About eight million copies of the movie were sold, surpassing the previous record of five million by the companies’ “Monsters, Inc.” Pixar and Disney share costs and revenue equally after Pixar pays Disney a distribution fee.
Reagan Flap: Viacom Inc.’s CBS network canceled plans to show a two-part television movie called “The Reagans,” saying that it doesn’t present a balanced portrait of the former U.S. president. The program, which was scheduled to air on the network this month, will instead run on Viacom’s Showtime cable network. Republican allies had complained to CBS that the movie presented a distorted view of both Reagan and his wife Nancy, including fictitious comments concerning AIDS. In making the decision not to air the movie, CBS said its concerns about a lack of a balanced portrayal weren’t addressed by editing.
European Setback: Euro Disney SCA, operator of Europe’s largest theme park, said it obtained waivers from its lenders and a credit line from Walt Disney Co., giving the company more time to resolve its financial situation. Euro Disney shares on Aug. 1 had their worst drop since the Sept. 11, 2001 terrorist attacks as the company said it might not be able to repay loans because fewer people were visiting its parks.
PREVIEW
November 10 – 16
Global Discussion: The business perils and opportunities of the new global economy are discussed at the Westin Bonaventure on Thursday (13th) by former Senate Majority Leader George Mitchell, former Secretary of Defense William Cohen and former NATO Supreme Allied Commander Joseph Ralston. For information: 877-731-2222.
LACMA Portraits: A collection of self-portraits, including those of Albert Stieglitz, Walker Evans, Andy Warhol and Robert Mapplethorpe, make up an exhibition by the Los Angeles County Museum of Art that opens on Thursday (13th). The exhibition includes more than 130 selections from the museum’s Audrey and Sydney Irmas Collection. For information: 323-857-6000.
Economic Reports: Friday (14th): October producer price index, capacity utilization and industrial production. Also on Friday will be unemployment data for California and L.A. County.
Sports Beat: Another important Saturday in college football as top-ranked USC visits Arizona while UCLA is home against Oregon. In the NBA, the Lakers are home on Wednesday (12th) against Toronto, Friday (14th) against Detroit and Sunday (16th) against Miami. The Clippers are home Tuesday (11th) against Atlanta and Saturday (15th) against Orlando. The Kings are home on Thursday (13th) against Toronto.
VA Day: Tuesday (11th) is Veterans Day, always observed on Nov. 11 by the way, and set aside to honor all those who have served honorably in the military. Expect lots of commemorations, official and otherwise, involving the troops in Iraq. All federal offices will be closed, as well as the bond market, but the stock market and most businesses will be open.
Town Hall: Nobel Prize-winning economist Joseph Stiglitz, author of the new book “The Roaring Nineties,” speaks at a breakfast meeting of Town Hall Los Angeles on Tuesday (11th) at the Omni Los Angeles Hotel. L.A. Times business columnist James Flanigan will lead the discussion. For information: 213-312-9465.
School Summit: L.A. Mayor James Hahn and L.A. Unified School District Superintendent Roy Romer are among the participants on Wednesday (12th) of the Executive Education Summit, sponsored by the Los Angeles Business Council at the Getty Center. For information: 310-226-7460.
Chamber Status: Los Angeles Area Chamber of Commerce Chairman George Kieffer, along with other executive officers, discuss the organization’s future agenda at the annual state of the chamber membership luncheon on Wednesday (12th) at the Millennium Biltmore Hotel. For information: 213-580-7500.
