Thursday morning headlines

Stocks extend losses: More gloom on Wall Street this morning - even record-low inflation is seen as a negative. Dow is down about 250 points in early trading.

Good news on mortgages: New foreclosures in the state accounted for 1.34 percent of all loans in the first quarter, only slightly higher the national average of 1.23 percent. (LAT)

Jobless legislation: House and Senate leaders announced a deal this morning to extend unemployment benefits for the long-term unemployed through the end of the year. (AP)

Calpers retreats: Maybe the giant pension fund won't ask for $700 million from the state after all. The money would have been used to make up for the fund's investment losses, but now the board is reconsidering. (LAT)

Asking city for a loan: Developer CIM Group, which happens to be a bidder on 10 city-owned parking garages that are up for sale, is asking to borrow $19.2 million to finish a Mid-City shopping center. From the LAT:

The proposal would allow the city to keep at least 51% of the sales, utility and business taxes generated by the shopping center. Up to 49% of the remaining proceeds could be used by CIM Group to repay its loan. That arrangement drew fire from one neighborhood activist who pointed out that sales, utility and business taxes normally go into the city's general fund, which pays for basic services such as police, parks and libraries. For months, city officials have been coping with a projected $485-million budget crisis by paring back both the workforce and city services that are supported by that fund.

Oil arrives in Louisiana: The gunk has washed into the state's wetlands for the first time. From AP:

Brown ooze from the spill coated marsh grasses and hung in the shallow water of a wetland at Louisiana's southeastern tip, the first heavy oil seen on shore so far. Gov. Bobby Jindal declared Wednesday it was just the outer edge of the real spill, much heavier than an oily sheen seen before. "This is the heavy oil that everyone's been fearing that is here now," Jindal said during a boat tour. The wetlands at the mouth of the Mississippi are home to rare birds, mammals and a wide variety of marine life.

Bank accused in Danny Pang case: A court-appointed receiver alleges that HSBC's U.S. unit helped Pang and others create and send false accounting reports that reassured investors their money was secure. Pang committed suicide last fall. From the WSJ:

According to the lawsuit, Mr. Pang raised $951 million from investors, mostly in Taiwan, of which $823 million hasn't been repaid. Mr. Pang proceeded to "loot" the company, the lawsuit alleges, in part by paying $107 million in what it described as "excessive" compensation and fees to himself and others, and by taking unsecured personal loans, and loans to fund PEMGroup's operating expenses.

Guilty plea in investment scheme: Mary Elaine Perkins, who owned a Hermosa Beach loan company, is accused of a scheme to defraud 90 investors of about $7 million. (LAT)