REVIEW
June 6 – 12
Northrop Pays:
Northrop Grumman Corp. agreed to pay $111 million to settle claims that its TRW Inc. unit overcharged the federal government on certain projects. In settling the case, L.A.-based Northrop didn’t accept liability. The lawsuits were filed by a former employee and the Department of Justice under provisions of the U.S. False Claims Act.
Settlement Deal:
Gemstar-TV Guide International Inc. and TiVo Inc. settled litigation. L.A.-based Gemstar sued TiVo in 2000 for selling a video recorder with an interactive television listing that allegedly infringed on Gemstar’s patent for a similar system. TiVo countersued, charging Gemstar with antitrust violations. The settlement announcement included word that TiVo will use a Gemstar license and content.
MCA Phases Out:
As part of an expected cutback, about a third of the staff at MCA Records was let go. What remains of the staff and artist rosters will be moved to Geffen Records, which is part of Universal Music’s Interscope Geffen A & M; banner.
Too Deal:
Mattel Inc. awarded teen-clothing retailer Too Inc. a license to create and sell Barbie-inspired fashions and accessories for seven- to 14-year-old girls. The items, which include T-shirts, embroidered tops and cargo pants, will be sold in 520 Limited Too stores starting in July. Financial terms weren’t disclosed.
Chip Sale:
Vitesse Semiconductor Corp. agreed to acquire Multilink Technology Corp. in a deal that Camarillo-based Vitesse valued at $22.9 million. New Jersey-based Multilink designs and develops integrated circuits and other products. The agreement values each Multilink share at $2.98, a 23 percent premium to a recent closing price.
Ad Growth:
Advertising on U.S. broadcast and cable channels will grow at a compound rate of 5.7 percent from 2002 to 2007, to $37.4 billion, according to a study by PricewaterhouseCoopers. Spanish-language advertising is expected to reach $1.5 billion, the study says, a 50 percent jump from 2002. The study notes that advertisers will be seeking venues with the widest possible reach.
OC Caution:
A survey by UC Irvine’s Graduate School of Management of Orange County executives found that 58 percent expect improved financial performance in 2003, compared with 68 percent of those surveyed a year ago. In addition, 58 percent said they expect to add employees, equipment or facilities over the next five years, compared with 70 percent of those who responded to the poll last year.
Hockey Scores:
It didn’t turn out too well for Mighty Ducks fans but Game 7 of the Stanley Cup Finals was the highest-rated National Hockey League game since at least 1980. ABC, which like the Ducks is owned by Walt Disney Co., drew 4.6 percent of the 106.7 million U.S. households with televisions. Ratings in the New York and Los Angeles markets were especially high in the New Jersey Devils’ 3-0 victory over Anaheim.
Kirkland Dies:
George D. Kirkland, executive director of the Los Angeles Convention and Visitors Bureau since 1990, died. He was 60. For the past two months, Kirkland had been undergoing an aggressive treatment program after being diagnosed with cancer. He is survived by his wife, Francis, son George III, daughter Kathleen and three grandchildren. A private memorial service is planned at the Church of the Good Shepard in Beverly Hills where Cardinal Roger M. Mahony, Archbishop of L.A., will officiate. In lieu of flowers, the family has requested contributions be made to the Los Angeles Travel and Tourism Education Foundation, which Kirkland founded to help support travel and tourism programs at Belmont and Fremont High Schools.
PREVIEW
June 16 – 22
Sports Beat:
Some big games at home for the Dodgers: A three-game series (17th-19th) against division-leading San Francisco and then a three-game weekend series (20th-22nd) against the world champ Anaheim Angels. The Galaxy is home on Wednesday (18th) against the San Jose Earthquakes. The Sparks are home on Thursday (19th) against Seattle.
Energy Chat:
The chairman and chief executive of Sempra Energy, Stephen Baum, speaks to a luncheon meeting of Town Hall Los Angeles on Tuesday (17th) at the Millenium Biltmore Hotel. For information: 213-628-8141.
Hollywood Future:
L.A. City Councilman Eric Garcetti will address prospects for Hollywood development during the morning-long Hollywood Economic Summit on Wednesday (18th) at the CineramaDome Entertainment Center, 6360 Sunset Blvd., hosted by the Hollywood Chamber of Commerce. For information: 323-469-8311.
Celebrating Volunteerism:
L.A. Works, a non-profit group that promotes volunteerism throughout Los Angeles, hosts its first annual community awards session on Saturday (21st) at Staples Center. City Attorney Rocky Delgadillo and Endeavor partner David Lonner are being honored. For information: 323-224-6510.
Economic Reports:
Has deflation truly reared its head? Some clues could emerge on Tuesday (17th) with release of May’s consumer price index. Also on Tuesday are May housing starts, capacity utilization and industrial production. On Thursday (19th) it’s the leading economic indicators.
Downtown Living:
Viewpoints about downtown housing developments will be the subject of a Central City Association luncheon meeting on Thursday (19th) at the Hyatt Regency Hotel. Session will feature several prominent downtown developers. For information: 213-624-1213.
Earnings Releases:
Quarterly reports are due from Korn/Ferry International on Wednesday (15th) and Infonet Services Corp. and KB Home, a component company of the S & P; 500, on Thursday (16th).
Bidders:
The Women’s Business Procurement Project kicks off on Tuesday (17th) in Studio City. It’s part of a nationwide drive to get women business owners involved in supplier contracts in corporate and government markets. For information: 888-418-7922.
