Tuesday morning headlines

Still struggling with a computer virus, so posting will be hit and miss the next couple of days.

Stocks edge higher: IBM earnings were disappointing, but the Dow is at the 11,100 mark in early trading.

Goldman makes big money: The Wall Street giant may be caught up in a mega-scandal, but it still reported a first-quarter profit of 91 percent. Not exactly the best time to be doing so well. (NYT)

Who approved Goldman deal?: About a dozen senior executives signed off on the now-infamous plan to let hedge fund investor John Paulson take control of a mortgage product. From the WSJ:

The SEC complaint doesn't name any of the members of the mortgage committee at the time. But it alleges that a memorandum by the committee the day it approved the deal shows it had full knowledge of Mr. Paulson's role in selecting the deal's investments. The March 12, 2007, memo by the committee said: "Goldman is effectively working an order for Paulson to buy protection on specific layers of the [deal's] capital structure."

Mayor presents budget: Faced with a deficit of nearly $500 million, Villaraigosa plans fewer than 1,000 layoffs, reports the LAT. That doesn't come anywhere close to closing the gap, so we'll see what he says later today during his State of the City address.

LAX to Europe?: Some flights are still scheduled from L.A. later today, but the situation seems to be changing by the hour (there's more ash drifting to Europe). London remains closed. (NYT, FlightStats)

Original Pinkberry closes: Lack of parking did in the West Hollywood location. The chain now operates 83 frozen yogurt shops worldwide. (LAT)

Karatz jury still deliberating: No verdict in the stock options backdating case after five days of talking. Jurors will resume today. (LAT)

Tribune case gets examiner: The plan is to look into the 2007 buyout that was engineered by real estate mogul Sam Zell. The examiner also would review the settlement that Tribune announced with certain creditors. (AP)

Calpers cuts deal: Apollo Capital Management, which handles $5 billion for California's giant pension fund, has agreed not to use a placement agent to secure any future capital commitment. From the SF Chronicle:

It also means no more contingency fees for Alfred Villalobos, the former CalPERS board member-turned-placement agent, who made $59 million in commissions on CalPERS investments, including $13.2 million on its investments with Apollo. And it may put some wind in the sails of a bill in the California Assembly that calls for the elimination of such fees and requires placement agents to register as lobbyists.

Gas prices stable: An average gallon of regular in the L.A. area is $3.116, down a shade from last week, according to the government's survey.

Lacter on radio: This morning's business chat with KPCC's Steve Julian looks at the improving economy and the new head of the DWP. Also at kpcc.org and on podcast.