Thursday morning headlines

Stocks way down: The push-pull pattern continues and today is looking like a pull session. In early trading, Dow is down about 140 points.

Air traffic improving: The FAA says its flight computer system is up and running again. Now the airlines must play catch-up on all the flights that have been delayed and cancelled, many of them based out of Atlanta. LAX has had only minor delays. From ABC News:

The system electronically inputs pilots' flight plans to computers, telling air traffic controllers the anticipated route and altitude of each flight after taking off. Controllers reached by ABC News say they have had to enter those plans manually, resulting in a slowdown of takeoffs and landings. Flight plans are processed by the FAA at two centers - one in Utah and another in Georgia. The FAA is investigating which center experienced the computer problem.

More IOUs?: Controller John Chiang warns that if tax revenues keep coming in below projections, the state could have trouble making payments as early as next spring. From the WSJ:

Regarding the prospect of delayed payment of its obligations, Mr. Chiang, the state's controller, said: "We don't want to revisit the dangerous scenario we were in twice last year....It's all in the governor's and legislature's hands, and if they're serious about protecting Californians, they'll resolve it quickly." But state legislators don't expect swift resolution.

Budget woes into the future: Don't expect tax revenue to really pick up until the 2014-2015 budget year, according to the state's chief budget analyst, Mac Taylor. From the LAT:

A major reason the recovery will take so long, say many experts, is California's place at the epicenter of the real estate slide and the resulting foreclosure wave. Moreover, "the mess in Sacramento is going to affect the California economy," said Jerry Nickelsburg, senior economist at UCLA Anderson Forecast, "and not in a good way." Californians must get used to a state that offers fewer services -- and has higher taxes -- than before the real estate boom, Taylor's report suggests. But it remains to be seen how much residents will accept.

Hooray for muni bonds!: A glut of state offerings, not to mention all the discouraging budget news, is having only minimal impact on the market. From the LAT:

The per-share net asset value of the Franklin California Tax-Free Income fund, which holds $14.2 billion of state and local debt, was $6.90 on Wednesday, a drop of 4% from the 52-week high of $7.19 on Oct. 5. That's unfortunate for anyone who bought near the high, but year-to-date the fund's total return (share price gain plus interest earned) still is a hefty 15.6%. And that's even better than it looks, given that the interest earned is exempt from state and federal income tax.

AOL downsizing: After its spinoff from Time Warner next month, the company wants to reduce its workforce by at least a third. It's asking for 2,500 volunteers. (MediaMemo)

Glass ceiling persists: Just over 10 percent of the executive positions in CA's biggest companies are women, according to a new study, a slight decline from 2008. What's the problem? "It's a mix of sociology, corporate culture and skill building," said Wendy Beecham of the Forum for Women Entrepreneurs and Executives. (LAT)

DirecTV going global: That's where media titan John Malone expects the El Segundo-based satellite service to focus, especially with the hiring of former Pepsico executive Michael White as CEO. Malone's Liberty Media is about break out Liberty Entertainment and merge it with DirecTV. He expects White to make a big push in Latin America. (DJ)

"New Moon" watch: Huge advance sales for the "Twilight" sequel that opens at 12:01 a.m. on 3,500 screens (quite a few are already sold out). Projections for the full weekend box office are in the $85 million range.(THR)

Hollywood Reporter sale nears: The Wrap's Sharon Waxman says the deal may close on Friday. Also included in the purchase by James Finkelstein are Billboard, Adweek, Brandweek and Mediaweek. Still no word on price.