January 2010 Archives

It's a good questions that I'm sure a lot of people have been asking.

I'm not a big fan of excessive speculation and connecting of the dot since such behavior can lead to false rumors, ruined reputations and even war.

Having said that, please excuse me for indulging in some speculation about Ron Sugar in my latest column.

And this after we found ice-water on the moon. I'm sure Obama wants to avoid the obvious question: Why are we heading for the moon when can't even afford what we have on Earth?

President Obama to Propose Abandoning NASA's Moon Plan

(Space.com) CAPE CANAVERAL -- President Barack Obama will ask Congress to extend International Space Station operations through at least 2020 but abandon NASA's current plans to return U.S. astronauts to the moon, administration and NASA officials said Wednesday.

The president's 2011 budget request, due to be delivered to Congress on Monday, will direct NASA to invest in the development of U.S. commercial space taxi services to ferry American astronauts to and from the station.

In today's story on General Motors' decision to invest $246 million in electric-motor and electric-drive facilities in the U.S., a GM spokesman says Torrance is one of three possible sites where the carmaker will build its electric motors factory.

The other possible sites are in Michigan and Indiana.

Of the $246 million investment, $6 million is going to GM's Advanced Technology Center in Torrance.

While you can always hope that GM will build electric motors in Torrance, I would be surprised if that happened.

First of all, many companies have been moving their production facilities out of California to less-expensive states.

Furthermore, while $6 million may seem like a lot, it's actually small compared to the total $246 million being invested. The total investment will create 200 new jobs, but none of them in Torrance.

If GM was planning to build electric motors in Torrance, wouldn't its investment there be greater than $6 million?

On the other hand, electric car company Tesla recently said it would build its cutting-edge vehicles in Downey. That bucks the trend of manufacturers leaving the state.

Also, Southern California is a major hub for vehicle design and innovation, and that reality bodes well for Torrance as the location of GM's new electric motor factory.

So the notion that GM could build electric motors in Torrance may be unlikely, but it's hardly out of the question.

If true, this Santa Barbara firm's claim could change the whole dynamic in the the global warming problem.

Turning carbon dioxide into fuel

LONDON, England (CNN) -- You might have thought that recycling is limited to paper, plastics and glass. Well, think again. A Californian company is developing a new technique for recycling carbon dioxide, or CO2, and turning it back into fuel.

Carbon Sciences believe they have made a breakthrough with their technology, which they say can transform CO2 back into basic fuel building blocks efficiently.

Their biocatalytic process converts CO2 into basic hydrocarbons - C1 (methane) C2 (ethane) and C3 (propane) -- which can then be utilized to make higher-grade fuels like gasoline and jet fuel.

Read more on turning CO2 into fuel.

Hit by a triple whammy of high debt, a week economy and the Internet, newspapers are in rough straits. So what to do?

Go on strike.

That's one way for newspapers to get everyone's attention and find a solution to our problems sooner rather than later.

That's the topic of my Business Casual column this Friday.

And here's the original bankruptcy story on the company that owns the Daily Breeze.

With other companies like Honda pushing forward with new hybrids, Toyota has to work harder to maintain its lead in this niche.

Toyota: We Want To Build A Million Hybrids In 2011

(Business Insider) Toyota Motor Corp. plans to boost its global production of gas-electric hybrids to 1 million units in 2011, twice the volume of last year, according to Reuters.

The company plans to add roughly 10 new hybrid models over the next few years, and increase the number of sites where they can assemble hybrids.

Read more on Toyota's hybrid plans.

Here's a comment about banks and the foreclosure crisis from Sheri Rodriguez, one of our readers who happens to be a real estate broker:

When the banks were doing all these crazy loan for people that couldnt afford them the majority of the loans I would say about 99% of the loans have mortgage insurance on them. This is paid by the borrower and it insures the loan for the bank. Client defaults, bank forecloses and .then they collect the mortgage insurance. #1 why would they do a short sale?

Now I understand why B Of A swallowed up all those banks with all the toxic waste for loans for pennies on the dollar. That is why they are making such a big profit at this time and no one is talking about the mortgage insurance they are collect on all the forecloses they are doing. What insurance company is paying out the premiums and why is everyone feeling sorry for the banks. I feel like the government is going thru the back door and paying the premiums on these loans with our money. That is why no one is talking about it. Its seems to me like they (the banks) are making money coming and going. Please write about this.

Jeffrey Angus is a colorful character, funny, quirky and genuine. He was definitely one of my most interesting sources.

Too bad he left the South Bay for small-town America. Here's why he left.

It seems like Airbus and Northrop are convinced they'll lose the tanker contest to Boeing unless the specs are changed. This is an interesting game of chicken.

Airbus Criticizes Latest U.S. Air Force Specs for Refueling Tanker

SEVILLE, SPAIN -- European Aeronautic Defense and Space said Tuesday that the U.S. Air Force's latest specifications for a $50 billion contract to build aerial-refueling tankers would not yield any significant technological improvement on the capabilities of America's already outdated tanker fleet.

The European plane maker and its U.S. partner, Northrop Grumman, have said they would withdraw from the competition if the rules were not revised, a position that Sean O'Keefe, the new head of EADS's North American operations, reiterated Tuesday.

Read more on the aerial refueling tanker.

It's interesting that such an oil-rich nation would host a jet concept that presumably would reduce the need for oil.
Yet, on a certain level it makes sense because nations that depend too much on their oil revenue have made efforts to diversify their economies. That's why oil-rich nations have turned to nuclear power plants, which would be especially important as this finite resource begins to wane.

World's first solar jet to debut at Abu Dhabi summit

(Trade Arabia) Swiss officials will be unveiling the world's first solar powered aircraft at the 'World Future Energy Summit' to be held from January 18 to 21 in Abu Dhabi.

The summit is being hosted by Masdar at the Abu Dhabi National Exhibition Centre under the patronage of General Sheikh Mohammed Bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces.

Read more on the solar jet.

This seems like a lost cause, considering Toyota's financial troubles and need to cut costs.

NUMMI urges Toyota not to close plant

SAN JOSE, CA (KGO) -- NUMMI workers were at the San Jose International Auto Show, trying to convince Toyota not to close its Fremont plant.

Employees are asking people to sign petitions promising not to buy Toyotas, if it shuts down the NUMMI factory in the spring.

Read more on Toyota's NUMMI.

Any who'se been stuck in a job they hated could probably relate to my teenage experiences as a cashier at Ross Stores in Torrance.

But there's a lesson to be learned from that time so long ago and how it contrasts to today.

Here's my Business Casual column for Friday.

This would be bad news for Northrop's El Segundo facility, which does engineering work on the F-35. Although a shift to buy more F/A-18 Super Hornets is good for Northrop since it builds the center and aft fuselage for that plane in El Segundo.

Gates Calls for Delay in Pentagon Purchases of Lockheed F-35s

(Bloomberg) -- Defense Secretary Robert Gates has ordered a delay in the Lockheed Martin Corp. F-35 program, cutting the Pentagon's planned purchases by 10 aircraft in fiscal 2011 and a total of 122 through 2015, according to a budget document.

More than $2.8 billion that was budgeted earlier to buy the military's next-generation fighter would instead be used to continue its development.

Read more on F-35.

This seems like a strange thing to do in a recession, but it could pay off in the long run.

DirecTV CFO sees 'upward movement' in subscriber costs

(Reuters) NEW YORK - DirecTV Group (DTV.O), the leading U.S. satellite TV provider, said on Tuesday it expects its subscriber acquisition costs to increase in 2010 as it invests in more advanced services and products to differentiate itself from rivals at the cable companies.

DirecTV Chief Financial Officer Patrick Doyle said his company is investing in services such as multi-room viewing and broadband connections to set top boxes.

Read more on DirecTV.

Here's a blogger with some strong views on the aerial refueling tanker.

And here's my most recent Business Casual column on the topic.

If I ruled the world, things would be different. I'm sure everyone has entertained that thought at some point in their lives.

But if I were an adviser to the world's most powerful man, what would I tell him?

I offered up a little advice for President Barack Obama on this New Year's Day.

Read my Business Casual column for today.