Review
APRIL 30 – MAY 6
No New Taxes: Gov. Arnold Schwarzenegger said he would keep his promise not to raise taxes when he updates his plan this week to balance the state’s budget on Thursday (13th). The governor told California business leaders that he will resist lawmakers who he said want to grow the state’s bureaucracy. Democrats have called for higher taxes to pare down proposed spending cuts. “We are going to be cutting, cutting, cutting and making sure that the public sector doesn’t get out of control,” he said.
Safeway Hit: Safeway Inc. reported a 73 percent drop in first-quarter earnings as a result of the Southern California supermarket strike. Net income for the Pleasanton-based company was $43.1 million, or 10 cents per share, compared with $162.6 million (36 cents) for the like period a year earlier. The strike, which ended Feb. 28, reduced profit by 27 cents. Chief Executive Steven Burd, who is under pressure to step down as chairman, cut prices at Safeway’s Vons and Pavilion stores to regain customers after the strike.
NBC Hire: Kevin Reilly was named president of NBC entertainment, replacing Jeff Zucker, who has been promoted to head the entertainment, news and cable group out of New York. Reilly will be charged with trying to maintain the network’s ratings lead in the desirable 18-49 demographic, despite the loss of “Friends” next season.
Earnings Results: United Online Inc. reported first-quarter net income of $12.4 million, compared with $7 million for the like period a year earlier. Revenue for the Westlake Village Internet company rose 46 percent to $107.7 million. DaVita Inc. reported first-quarter net income of $52.9 million, compared with $36.4 million for the like period a year earlier. Revenue for the El Segundo-based operator of kidney dialysis centers rose 16 percent to $535.4 million. News Corp., parent of the Fox network and Twentieth Century Fox studios, reported third-quarter net income of $465 million, compared with $275 million for the like period a year earlier. Revenue for the Sydney-based media giant rose 19 percent to $5.2 billion. Tenet Healthcare Corp. reported a first-quarter loss of $122 million, compared with a loss of $20 million for the like period a year earlier. Revenue for the Santa Barbara-based hospital company was $2.75 billion, down from $2.75 billion. Separately, Tenet confirmed that it would move the company’s headquarters to Dallas to save money. The relocation will begin this year and affects 115 workers. Health Net Inc. reported first-quarter net income of $15 million, compared with $72.1 million for the like period a year earlier. Revenue for the Woodland Hills-based health insurer rose 7.8 percent to $2.92 billion. Northrop Grumman Corp. reported first-quarter net income of $232 million, compared with $253 million for the like period a year earlier. Revenue for the Los Angeles-based aerospace company rose 21 percent to $7.1 billion. DirecTV Group Inc., now controlled by News Corp.’s Fox Entertainment Group Inc., reported a first-quarter net loss of $639 million, compared with a loss of $50.9 million for the like period a year earlier. Revenue for the El Segundo-based satellite TV service rose 22 percent to $2.51 billion. Gemstar-TV Guide International Inc. reported a first-quarter loss of $39.8 million, compared with $45.4 million for the like period a year earlier. Revenue for the Los Angeles-based publisher of TV Guide fell 9.7 percent to $98.4 million. THQ Inc. reported fourth-quarter net income of $5.4 million, compared with $7.7 million for the like period a year earlier. Revenue for the Calabasas-based maker of video games rose to $123.1 million from $66.8 million.
Preview
MAY 10 – 16
Sports Beat: The Lakers play the Spurs in the fourth game of the semifinals Tuesday (11th) at Staples Center. If the series continues beyond that, Game 5 is scheduled Thursday (13th) in San Antonio and Game 6 Saturday (15th) at Staples. The Dodgers are back in town with a three-game mid-week series (11th-13th) against the Chicago Cubs, followed by a three-game weekend series (14th-16th) against Cincinnati. The Galaxy is home on Saturday (15th) against the Colorado Rapids. Also on Saturday, it’s the 129th running of the Preakness from Pimlico Race Track in Baltimore. The Angels and Avengers are away.
Garamendi Speaks: The National Association of Woman Business Owners, Los Angeles, will discuss workers’ comp reform over breakfast with state Insurance Commissioner John Garamendi on Tuesday (11th). For information: 800-266-8762.
Economic Reports: Wednesday (12th): March trade deficit. Friday (14th): April consumer price index, industrial production, capacity utilization and preliminary University of Michigan consumer sentiment data for May.
Film Festival: France celebrates the world of film with the 57th Festival de Cannes beginning on Thursday (13th) and running through the following week.
Hollywood Women: The Hollywood Chamber of Commerce presents its annual Women of Distinction awards on Thursday (13th) from noon to 1:30 p.m. at the Henry Fonda Music Box Theater (6126 Hollywood Blvd.). For information: 323-469-8311.
Writer Talk: Acclaimed author E.L. Doctorow is the featured speaker on Tuesday (11th) at the Skirball Cultural Center in an ongoing series sponsored by the Writers Bloc. Doctorow will be discussing his recently released “Sweet Land Stories” with Leo Braudy, professor of English at the University of Southern California. Reservations required. For information: 310-335-0917.
Berry Fun: Oxnard is the setting for the annual California Strawberry Festival over the weekend (15th and 16th) at Strawberry Meadows of College Park. Lots of berries, of course, along with other food and entertainment and contests. For information: 888-288-9242.
Music From Afar: Kayhon Kalhor, master of the spike fiddle, performs improvisations with artists from a new generation of Persian musicians on Thursday (13th), at the Skirball Cultural Center. For information: 310-440-4500.
