Follow LA Observed on Twitter here
Stocks open higher: The earnings news was disappointing yesterday - today less so. Wells Fargo and Morgan Stanley reported decent results, though also higher loan losses. Whatever - Dow is up 55 points in early trading.
Business spending is up: The companies that sell bulldozers and hydraulic lifts say that their customers are buying again, an encouraging sign for the economy. From the WSJ:
An upturn in spending by businesses or indications that companies are raising investment plans would be significant. Business spending on equipment, software and structures accounted for 9.5% of U.S. economic demand in the second quarter -- far below the 68.2% accounted for by consumer spending but still a potential catalyst for recovery.
Disney's view anytime: The Mouse House has come up with technology that allows consumers to pay a single price for permanent access to a movie or TV show across multiple platforms - Web, iPhones, cable, etc. It's a riff on "cloud computing." From the WSJ:
When a consumer buys a movie from a participating store, his accounts with other participating services--such as a mobile-phone provider or a video-on-demand cable service--would be updated to show the title as available for viewing. The movies wouldn't be downloaded; rather, they would reside with each particular delivery company, such as the Internet service provider, cable company or phone company.
Boeing hit by 787: The aerospace giant lost $1.6 billion in the third quarter because of charges taken from its much-delayed Dreamliner and its revamped 747. The company also lowered its full-year forecast. (AP)
Northrop beats estimates: Higher pension costs led to a drop in earnings, but the L.A. company also saw increased sales in shipbuilding and aerospace. (AP)
Relief for local hotels?: Year-ago comparisons are not hard to beat, but a new report shows a slight rebound for the first week of October in Anaheim, L.A., SF, NY, New Orleans and Boston. The number of group bookings in L.A. jumped by 18.1 percent. (LAT).
Fickle car buyers: A Chevy driver always bought a Chevy, right? Well, so far this year only 20 percent of car shoppers have stayed with the same brand. From the NYT:
In the glory days of Detroit's Big Three, the companies and their advertising agencies invested heavily to market slogans that covered a wide range of products. Ad campaigns like Chevrolet's "Heartbeat of America" and "Have You Driven a Ford Lately?" were used to market everything from small cars to big pickup trucks. Even Toyota followed suit with broad messages -- "I Love What You Do for Me" -- that covered everything it sold. Now, one size no longer fits all.
Port suit settled: The Port of Long Beach has reached an agreement with the American Trucking Association over disputed elements of the Clean Truck Program. From the LAT:
Long Beach officials have agreed to strip their plan of all requirements that are not directly tied to the goal of getting cleaner trucks on the road, including a demand that trucking companies file financial reports. Under the change, trucking companies would agree to comply with environmental, safety and security requirements. They would need to register their trucks with the port and equip them with radio frequency identification tags.
Malibu man pleads guilty: John McCarthy, who failed to report more than $1 million he transferred to a Swiss bank account, is the first person to be named publicly as part of an agreement between the Swiss and U.S. governments to identify suspected tax dodgers. (DealBook)
Cuts at Bon Appétit: The Conde Nast food monthly, which survives over its sister publication Gourmet, has left go six editorial people from the L.A. office. (NY Post)
Mark Lacter created the LA Biz Observed blog in 2006. He posted
until the day before his death on Nov. 13, 2013.