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A FALL ISSUE
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Feature Stories - 012005-01

PEOPLE IMAGES CONVERGE WITH BUSINESS 2005
-----
Call them "Desperate Moguls," as in desperate to polish their legacies in Hollywood before it's too late.
-----
Ex-agent Michael Ovitz spent the latter part of 2004 on a Delaware witness stand, attempting to restore a reputation damaged eight years ago while serving as president of Walt Disney Co. Disney Chief Executive Michael Eisner, meanwhile, tried for much of the year to solidify his standing after angry shareholders demanded his exit come sooner than Tomorrowland.
-----
Nor were they the only ones in Hollywood who found their images in need of a little buffing, given the lowlights of the last 12 months:
-----Makes those Pepsi ads look like a bargain
-----
The FCC's proposed $550,000 indecency fine against CBS for Janet Jackson's breast-baring incident at the Super Bowl halftime show works out to $183,333.33 for every second of exposure.
---_Sounds more like Cheap Trick
----- After Avril Lavigne's record label paid a Nashville radio station to play the pop rocker's "Don't Tell Me" as an advertisement, it aired 18 times one Sunday morning, sometimes as frequently as 11 minutes apart, and pushed its way up the Billboard charts.
-----That guy in 'Terminator' was unavailable
----- Gov. Arnold Schwarzenegger named his "Twins" co-star Danny DeVito to the California Film Commission.
-----
Maybe he was just practicing to be a script doctor
----- The Writers Guild of America, West, had three presidents in less than three months, including one who resigned after making unsubstantiated claims that he once served as a top-secret military intelligence officer and had played college football under another name.
-----But gift wrapping was free …
-----Items Ovitz asked to be reimbursed for included $53 in Disney baby apparel for actor Tom Cruise; $65 for Disney clothing and a pen for Oprah Winfrey; and $68 in videos for David Letterman's birthday.
-----The goal was to find WMDs (Weapons of Monetary Destruction) …
-----Court papers in a lawsuit over whether Ovitz should have been paid a hefty severance package showed Disney christened a top-secret evaluation of his spending habits as "Project MSO," after his initials.
-----But what about the tens of millions who feel like they already know too much? …
-----In announcing a new talk show starring convicted felon Martha Stewart, producer Mark Burnett said her legal troubles had generated interest among "millions more who want to know more about Martha."
-----Imagine if she'd had twins …
-----Mindy Herman, the former head of E! Networks, reimbursed the cable channel nearly $8,000 after underlings complained that company funds were used to pay for her baby shower.
-----They can gather in the backyard for an Incredible barbecue …
-----After his company broke off talks with partner Walt Disney, Pixar Animation Studios Inc. Chairman Steve Jobs said every studio chief in Hollywood would "love to come to my house for dinner."
-----It's for people -- people who need help voting …
-----On her website, Barbra Streisand provided a link to the 31st Annual People's Choice Awards to vote for Michael Moore's President Bush-bashing documentary "Fahrenheit 9/11" for "Favorite Movie."
-----Imitation is the sincerest form of surgery …
-----The producers of a transgender reality series called "Sex Change" sued the makers of a rival reality show called "He's a Lady," saying they had stolen their idea.
-----
With questions like these, he could be forgiven for giving the cold shoulder …
-----
Eisner, in an appearance on "Larry King Live," was asked by a caller about the myth that Walt Disney is cryogenically frozen.
-----He still gets only one bag of peanuts …
-----In a Securities and Exchange Commission filing, DreamWorks Animation SKG Inc. said Chief Executive Jeffrey Katzenberg would "be entitled to industry-customary perks as are normally made available to entertainment industry studio chiefs," including not having to fly commercial.
-----If he could be thawed, we'd just ask him …
-----Federal Communications Commission Chairman Michael K. Powell wondered "if Walt Disney would be proud" after the company's ABC network promoted the show "Desperate Housewives" by staging a racy locker room romp between actress Nicollette Sheridan and Philadelphia Eagles wide receiver Terrell Owens.
-----
Of course, if Trump were on "CSI," the autopsy would show he's heartless …
-----
Donald Trump said that if CBS Chief Executive Leslie Moonves was a contestant on his reality show "The Apprentice," "he would have been fired by the third episode."
-----Help wanted: senior vice president, mail delivery …
-----A judge ruled that Universal Studios and Metro-Goldwyn-Mayer Inc. forfeited more than $25 million because they could not produce postal receipts proving that they met a deadline to apply for royalties for use of their films by cable and satellite providers.
-----Why Eisner will always remember the Daily Oklahoman's film critic …
-----A sampling of headlines from reviews of Disney's "The Alamo": Don't Bother Remembering New Version of Alamo (the Commercial Appeal in Memphis, Tenn.); You Probably Won't Remember This Alamo (Utah Statesman); You Won't Remember This Alamo For Very Long (Charleston Gazette); This Alamo Not Worth Remembering (Orange County Register); Don't Bother Remembering This Alamo (St. Louis Post-Dispatch); Forget This Alamo (Los Angeles Times); Finally a Movie Worth Remembering About the Alamo (the Daily Oklahoman).

///

Center Page /

NEWS CONVERGENCE
TIMELINE:
Top Stories To Start The Week With: 122004-52

NEWS CONVERGENCE
January 2, 2005 / WAR ON Gasoline PRICES
-----
California gasoline prices dropped to their lowest level since February, according to a weekly survey released Monday by the U.S. Energy Information Administration.
-----
The statewide average cost of self-serve regular fell 3.9 cents over seven days to $2.01 a gallon.
-----
Although an increasing number of stations are offering regular at $1.99 a gallon or lower, the averages for Los Angeles, San Francisco and the state as a whole haven't been below $2 since Feb. 16, government figures showed. The new average is 41.5 cents higher than last year
-----
Nationwide, the average fell 2.4 cents to $1.791 a gallon, 31.3 cents above year-earlier levels.
-----
A sell-off in oil-related commodities Monday in New York trading gave way later in the week. On Wednesday, oil prices jumped $1.87 a barrel to $43.64, after car bombs exploded in Saudia Arabia's capital and the U.S. government reported another drop in heating-fuel stockpiles for the winter. On Thursday, a barrel of light crude settled at $43.45. Oil markets were closed Friday.

Sales of Existing Homes Surge to Record High
-----
Sales of previously owned homes in the U.S. climbed to a record high in November as low interest rates and a rising economy kept pulling buyers into the market.
-----
Existing-home sales rose 13.2% from a year earlier to a 6.94-million annual rate, the National Assn. of Realtors reported. The previous high was 6.92 million in June. Buyers paid more too: The median price rose 10.4% to $188,200.
-----
November sales in the West increased 16.6%, the most of any region. Every region showed gains year over year, although sales in the Northeast slipped 1.3% from October to November.
-----
Several factors are keeping the market bubbling, including low mortgage rates.
-----
New housing units in California as measured by building permits issued totaled 17,460 for November, up 2.5% from October and 31.4% from November 2003, the California Building Industry Assn. said. California housing starts will total 210,000 units this year, up 7.3% from 2003, the association said.

Wet Seal to Shutter 150 Stores, Cut Jobs
-----
Wet Seal Inc. said that it would close about 150 stores and eliminate about 2,000 jobs.
-----
The retailer, based in Foothill Ranch, was "finalizing the details" and not prepared to disclose which of its 463 Wet Seal stores would be shuttered, spokeswoman Helen Rotherham said. The company has hired a liquidator to manage inventory as stores are closed, a process that should be completed by the end of February.
-----
There are 58 Wet Seal stores in California. The company employs 6,656 people nationwide.
-----
Wet Seal's interim chief executive, Joseph Deckop, said that the decision was difficult but was necessary to reduce costs and allow the retailer to focus on its strongest stores as it implements a new merchandising strategy.
-----
Analysts had been waiting to learn how many stores and jobs Wet Seal -- which has posted nine straight quarters of losses -- would shed.

U.S. Investigation of Chiron Advances
-----
The Justice Department has interviewed several mid-level employees of Chiron Corp.'s flu vaccine operations, a source said, indicating that the federal probe of the Emeryville, Calif., company was moving ahead.
-----
Investigators have talked in recent weeks with fewer than a dozen employees of Chiron's vaccine business, which is based in Britain, but interviews with other executives are planned, the source said.
-----
A spokeswoman for the U.S. attorney's office in New York declined to comment. Robert Bennett, an attorney who represents Chiron, couldn't be reached.
-----
Chiron came under scrutiny in October after British regulators shut its factory in Liverpool. British authorities said they found manufacturing lapses and bacterial contamination, and the closure prevented Chiron from shipping its flu shots to the U.S.
-----
Chiron said in mid-October that federal prosecutors in New York had subpoenaed documents related to the company's Fluvirin flu vaccine and its Liverpool factory.

Bid for Video Rental Firm May Turn Hostile
-----
Blockbuster Inc., the largest U.S. video rental retailer, said it would launch a $700-million hostile bid for Hollywood Entertainment Corp. if it continued to refuse to negotiate.
-----
Blockbuster said it would give the board until mid-January to respond to the bid Blockbuster made in November to buy Hollywood Entertainment shares for $11.50 apiece.
-----
The Blockbuster bid bests the $10.25-a-share offer by buyout firm Leonard Green Partners and Hollywood Entertainment's chairman, Mark Wattles. Another suitor, Movie Gallery Inc., has made an offer to buy Hollywood Entertainment's more than 1,900 video stores and 600 game stores for an undisclosed amount.
-----
If the Blockbuster offer is accepted, the company would pay $700 million in cash and assume $300 million in debt. Blockbuster executives said that if Hollywood Entertainment's board let them examine its its financial records, they might raise their bid.
-----
Neither Hollywood Entertainment nor Leonard Green Partners returned calls.

Microsoft to Curtail Its Passport Service
-----
Microsoft Corp. is abandoning one of its most contentious attempts to dominate the Internet after rival technology companies banded together in opposition and consumers failed to embrace the effort.
-----
The world's biggest software company said that it would stop trying to persuade websites to use its Passport service, which stores consumers' credit card and other information as they surf from place to place.
-----
The acknowledgment came after EBay Inc. posted a notice on its site, saying it would stop using Passport in late January and rely on its own service.
-----
Passport probably drew few new customers to Microsoft products. But it was initially seen as strategically important because it could have helped the company put itself in the middle of most electronic transactions.
-----
With more than 200 million users, Passport will continue to be the method for logging on to some Microsoft-owned services, such as e-mail system Hotmail.

Hormel Buys Maker of Dodger Dogs
-----
Hormel Foods Corp., maker of Spam, said it had purchased Vernon-based Clougherty Packing Co., producers of Dodger Dogs and Farmer John brand meats, for $186 million in cash.
-----
The marriage of pork-product purveyors is expected to help Austin, Minn.-based Hormel meet production needs and strengthen its presence in California and the Southwest, particularly among the region's growing Latino population, Hormel executives said.
-----
The Clougherty Packing management team and its workforce of about 1,800 -- including 300 workers on hog farms in Central California, Arizona and Wyoming -- are expected to stay.
-----
"We're happy as heck," said Joe Clougherty, president of his family's namesake company.
-----
Privately held Clougherty Packing doesn't disclose financial results, but Hormel executives said Clougherty's revenue was expected to be about $420 million in 2004.
-----
Quick to quell any concerns, Clougherty added that the Dodger Dog, the extra-long hot dog named for the baseball team, would "in no way change."

Retailers' Performance Still Up in the Air
-----
Holiday retail sales are getting mixed reviews.
-----
According to one estimate released Monday, credit card purchases through Christmas Eve were 8.1% ahead of last year. That "would indicate … a strong holiday season," said Michael McNamara, director of research for MasterCard Advisors, which released the report.
-----
An industry trade group stuck with its reckoning that sales would rise 4.5% over last year. "It's going to be an average holiday season," said a National Retail Federation spokesman.
-----
And the International Council of Shopping Centers figured there would be a mere 2.5% to 3% gain in same-store sales.
-----
A report issued late Monday by Visa USA showed sales on Visa cards in the week ended Dec. 26 grew 32% to $25.4 billion from the prior year. But there's no telling how much was due to an overall increase in the use of Visa cards
-----
For now, the industry waits to see how quickly consumers will turn gift cards into purchases.

 

ByLines: Editors Note
Donald Trump Bylines

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-----It just goes to show you, says Troy about the TV and Film industry -- "NOTHING IN THIS WORLD IS PERMANENT" . . . so follow the money - - and take some advice from a dinner-time chat with "Stonehead" -- Disappointments Are Great! Follow the Money . . . the Internet and the Smart- Daaf Boys.

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