Quote of the Week
“With the housing market being the poster child of the slowdown, one would think that, overall, there is less construction, and pressure for labor would be reduced, and raw material prices would go down. But we have not seen it yet.”
, Ron Hall, executive vice president of the Southern California division of McCarthy Building Cos. Inc.
Click here for the story.
Friday, Nov. 17
Employees Are A Hot Commodity:
San Diego’s unemployment rate dipped to 3.6 percent in October, down from 3.9 percent in September and among the lowest rates in the state. It was below both California’s overall rate of 4.2 percent and the national rate of 4.1 percent, according to the state Employment Development Department. In the full year from October 2005, the region had a net gain of 17,100 jobs, or 1.3 percent.
, Mike Allen
Monday, Nov. 20
Akamai Sees A Buy:
Nine Systems Corp., a San Diego maker of media management tools for Web sites, will be acquired by Akamai Technologies Inc. in a cash and stock deal valued at $163 million, according to a definitive agreement announced today.
In the deal, Akamai, based in Cambridge, Mass., agreed to issue 3.1 million shares of its stock plus $7 million in cash to acquire privately held Nine Systems. Based on Akamai’s Nov. 20 closing price of $50.37, the stock transaction would be about $156 million, and combined with the cash would equal $163 million.
Nine Systems makes application software that powers the online media of many top national organizations, including the Universal Media Group, National Basketball Association, CinemaNow, CBS SportsLine and EMI Music.
, Mike Allen
– – –
Orange 21 Sees Red:
Carlsbad-based Orange 21 Inc., which makes the Spy Optic glasses line, reported a net loss of $778,000, or 10 cents per diluted share, on net sales of $11.4 million in the third quarter.
In the same period last year, the company had net income of $192,000, or 2 cents per diluted share, on net sales of $10.8 million.
Orange 21 stock trades on the Nasdaq as ORNG. Its stock closed Nov. 20 at $4.46.
The company sells its sunglasses and goggles to the action sports and youth lifestyle markets.
, Brad Graves
Tuesday, Nov. 21
President Bush and Commerce Secretary Carlos M. Gutierrez announced that San Diego-based Premier Inc. is one of three companies to win the 2006 Malcolm Baldrige National Quality Award, the nation’s highest presidential honor for organizational performance.
Premier provides a variety of services, including purchasing, insurance and informatics, for its 200 owners in the nonprofit hospital and health care sector. Premier has 932 employees and reported revenues of $500 million in its most recent fiscal year.
Companies were chosen for the Baldrige Award based on an evaluation conducted in seven areas.
, Andy Killion
– – –
No Wonder Jack Smiles:
Restaurant operator and franchiser Jack in the Box Inc. announced fourth-quarter and year-end earnings for the periods ended Oct. 1.
For the 12 weeks ended Oct. 1, revenues were $670.7 million, including a $24.8 million gain on the sale of restaurants and other assets, up from $600.5 million for the same period of 2005.
Quarterly net earnings were $33.2 million, or 94 cents per share, up from $21.5 million, or 61 cents per share, for the fourth quarter of 2005.
Year-end revenue was $2.8 billion compared with $2.5 billion in 2005. Annual net income came to $108 million, or $3.09 per share, from $91.5 million, or $2.57 per share, for 2005.
The company also announced that it would repurchase 5.5 million shares of its common stock for an amount not to exceed $335.5 million.
San Diego-based Jack in the Box is traded on the New York Stock Exchange as JBX and closed Nov. 20 at $58.57, up 43 cents from the previous session’s close.
, Andy Killion
Wednesday, Nov. 22
Downtown Partnership To Honor Businesses:
The Downtown San Diego Partnership, the area’s primary business association, is set to hand out kudos to eight individuals, organizations and a business at its annual Alonzo Awards dinner on Nov. 30 at the Manchester Grand Hyatt San Diego.
Awardees for this year are Malin Burnham, Founders Award; Sister RayMonda Duvall, Humanitarian Award; Sycuan Band of the Kumeyaay Nation, Alonzo Award; Hotel Occidental, Alonzo Award; Pam Hamilton, Alonzo Award; Jim Dawe, President’s Award; and Tom Anglewicz, Chairman’s Award.
About 500 people are expected to attend the event, according to Barbara Warden, the organization’s president.
, Mike Allen