Review & Preview
More Media Buys?: In a decision that could lead to further media consolidation, a federal appeals court ruled that the government must reconsider the current limits on the number of stations a network can own. The court also overturned a regulation that prohibited cable operators from owning television stations. In recent years, federal regulators have been relaxing restrictions on the ability of a single entity to own media outlets within the same city.
Company Line: Walt Disney Co. shareholders toed the line at the entertainment giant’s annual meeting last week, voting against four proposals opposed by the board. One would have kept the company from hiring auditors for consulting. The others called for special conditions for products manufactured in China, a report on theme park safety and a limit on the issuance of options to executives.
Pirate Shipping: The International Intellectual Property Alliance, whose members include the Motion Picture Association of America, the Recording Industry Association of America and other Hollywood groups, last week issued a report on piracy. The group urged the Bush administration to redouble its efforts to stop piracy in foreign markets, where it said the manufacture and distribution of pirated DVDs and CDs by organized crime is on the rise.
HMO Setback: The percentage of Californians enrolled in HMOs dipped below 50 percent last year for the first time since 1994, according to a Kaiser Family Foundation report. The enrollment decline, to 48 percent in 2001 from 55 percent a year earlier, reflects not only disenchantment with HMOs, but the growing popularity of more expensive health care options, such as “point of service” plans.
Chick Setback: Just as he was preparing a return to the microphone, legendary Lakers announcer Chick Hearn broke his hip in a mishap at a service station. Hearn’s right hip was replaced during surgery and doctors say that he could be back in action by late April.
Bankruptcy Blues: Personal and business bankruptcy filings nationwide jumped 19 percent last year, an early indication of how the recession has taken its toll. The total of 1.49 million surpassed the previous high of 1.44 million in 1998.
Shopping Spree: John Anderson’s Duesenberg Investment Co. will plunk down $185 million for the 600,000-square-foot office tower at 1900 Avenue of the Stars in Century City. The property, soon to be home to law firm Jeffer Mangels Butler & Marmaro, will be a companion to Anderson’s other Century City trophy building, 1800 Avenue of the Stars, home to his Topa Equities holding company.
Doesn’t Add Up: California lawmakers must trim another $5 billion from next year’s proposed budget because it overstates revenue and underestimates expenditures, according to legislative analyst Elizabeth Hill. Lower-than-expected receipts of federal funds would add to the shortfall, Hill said. Davis proposed erasing a $12.5 billion shortfall expected next year by shifting funds, borrowing and lowering spending, and he anticipated getting more federal money next year.
PREVIEW
Omens?: Among the companies releasing earnings reports this week are Asia Global Crossing Ltd. and its majority shareholder, Global Crossing Ltd., now operating under protection of the bankruptcy court. Other companies reporting this week include 99 Cents Only Stores and Smart & Final.
Data Bank: A raft of economic data is due out this week is projected to show that confidence and spending are up, while Gross Domestic Product and personal income are flat. Among the data are existing and new home sales, both of which are expected to slip slightly. Also due out is consumer confidence numbers, which is projected to see a slight increase. While personal income numbers, due out March 1, are projected to stay flat, personal spending figures are expected to show an increase of .5 percent. February’s truck sales numbers, also due out March 1 should show a slight decline, while auto sales will also be flat.
Name That Tune: It’s Grammy Week, with various shindigs around town leading up to the big night on Wednesday (27th) at Staples Center that awards musical artists of every stripe. (It’s also one of the more outrageously dressed groups you’ll come across.)
Sunday Run: The 17th annual L.A. Marathon takes place on a new, flatter course that is likely to produce faster times. The action starts at 8:45 a.m. on Grand Ave. downtown and finishes on Hope St.
All Aboard: Prefer the ocean to the pavement? Check out thousands of watercraft at the 46th annual Southern California (March 2-10) at the Los Angeles Convention Center. Dozens of exhibitors will be on hand peddling everything from ski boats and the latest in personal watercraft to million-dollar Yachts. Tickets are $9.
Primary Concern: It was billed at the last debate before the Republican gubernatorial primary on March 5, but a no-show by former L.A. Mayor Richard Riordan means it will be left to the two Bills (Jones and Simon) to duke it out at the Los Angeles Chamber of Commerce event Thursday (Feb. 28) at the Museom of Tolerance Theater. Xandra Kayden of the League of Women Voters will host the event, which will include questions posed by a panel of local journalists.
