Business Today

DILLER SUES VIVENDI: Barry Diller's USA Interactive sued Vivendi Universal in a Delaware court over a tax dispute, saying the French entertainment company reneged on a partnership agreement involving a joint venture, Vivendi Universal Entertainment. The two sides have been negotiating the dispute since December.

CRYO-CELL DELAYS: Cryo-Cell International Inc. delayed its financial filing for the quarter ended Feb. 28, saying it may have to restate revenue and earnings from previous years, resulting in potential liability of up to $5.1-million. The Clearwater company said it expects a net loss for the first quarter of up to $1.1-million on revenues of up to $1.7-million. Cryo-Cell, which hired new auditors in March, said it may file within five days or seek SEC guidance. The report was signed by chairwoman Mercedes Walton, who has been named acting chief executive since the resignation April 8 of chief executive, president and chief operating officer John Hargiss. Also, Beth Houghton, chairwoman of Signature Bank in St. Petersburg, has been appointed interim president and chief operating officer.

MARCH PRODUCTION OFF: Production at U.S. factories, mines and utilities fell 0.5 percent last month as manufacturers cut back during the war with Iraq and utilities generated less power because of warmer weather, the Federal Reserve reported. Production declines in February were revised to 0.1 percent. The percentage of factories in use in March was the lowest in two decades.

CATALINA TO MISS MARK: Shares of Catalina Marketing Corp. plunged 17 percent to a four-year low Tuesday after the company said it will miss earnings projections. The company blamed higher costs and a half-dozen clients that did not come through with expected advertisements in its Health Resources unit. Wall Street was expecting earnings per share of 41 to 43 cents. Instead it will be 10 to 12 cents when the company reports May 8. Catalina shares closed at $15.51, down $3.18. Also, Mike Bechtol was appointed president and chief operating officer and three new group presidents were named. David Diamond, who had been in charge of emerging businesses, has left the company.

HCA LOWERS EXPECTATIONS: HCA, the nation's largest hospital chain, warned of lower-than-expected earnings for the quarter ended March 31 because of fewer patients at hospitals and outpatient surgery centers. The Nashville company, which has nine hospitals in the Tampa Bay area, said net income would be $465-million to $475-million, or 89 cents to 91 cents a share, for the quarter. Although short of expectations, that would compare to year-ago net income of $385-million, or 74 cents a share. HCA blamed a weak flu season for a 9 percent drop in hospital admissions, as well as the closing of obstetrics departments in seven hospitals, including its facility in Largo. Bad weather in certain markets also contributed to a nearly 3 percent drop in outpatient surgeries. HCA will report earnings April 22. Its stock dropped Tuesday nearly 20 percent to close at $28.90, down $7.17.

ACCOUNTING BOARD PICK: The Securities and Exchange Commission announced Tuesday it has chosen William J. McDonough, president and chief executive of the Federal Reserve Bank of New York since July 1993, to head the new agency created by Congress to oversee the scandal-tainted accounting industry. The five SEC commissioners voted unanimously to select McDonough, 68, who already had planned to leave the Fed yet has been touted as a possible successor to Fed chairman Alan Greenspan.

WAL-MART BARS SITE: Wal-Mart wasted no time in demanding removal of a Web site touting a way to print barcode stickers that can be placed on items in a store to illegally ring up cheaper prices. And the operator of the site, re-code.com, said that since receiving a cease-and-desist letter from Wal-Mart, the site has disabled a link that would allow users to print barcode labels that could be slapped on store items for an illegal discount.

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