The Wrap News of note
(FORTUNE Magazine) – TO PLEA OR NOT TO PLEA Take note, Jeff Skilling. Jamie Olis, a former Dynegy executive, was sentenced to 24 years in prison after being convicted for his role in a book-cooking scheme. Meanwhile, two of his colleagues who copped pleas are expected to be sentenced to no more than five years.
MORE JOBS, MORE JOBLESS First the good news, then the bad. Employers added 308,000 new jobs in March, the fastest hiring rate in four years. Still, unemployment inched up a tenth of a percent, to 5.7%. At least this is a change from what we've come to expect on jobs: the bad news, then the worse news.
ANALYST UPGRADE Jim Covello, Goldman Sachs semiconductor-equipment analyst, reportedly defected to Citigroup for a $2.5 million package. Only days later he was lured back to Goldman for $3 million a year. Let's hope he's good: By our math, Citi could hire 150 analysts in India for the same price.
GMAIL If there has been one worry about Google, it's that, unlike Yahoo and Microsoft, it doesn't know anything about its customers. Soon it will. The company is testing Google e-mail, which will offer a whopping one gigabyte of storage--free. Like most everything Google touches, watch for this to be a huge hit.
THE DOCTOR IS OUT After 12 years at the helm of onetime biotech highflier Human Genome Sciences, William Haseltine, the 59-year-old founder, chairman, and CEO, plans to retire later this year. "It's time to get real professional management in this company," he said in a television interview. Bravo! It's a rare CEO who can admit when his time has come and gone.
THE SON ALSO RISES Evan Greenberg, son of longtime AIG CEO Maurice "Hank" Greenberg and onetime heir apparent to his father's position, was named CEO of ACE, a Bermuda insurer. Guess breaking with Dad wasn't such a bad move after all.
POOH'S CORNER After 13 years of wrangling over rights to Winnie the Pooh profits, a judge dismissed the lawsuit "with prejudice" because the family firm suing Disney used evidence obtained in a suspect manner. But just a few years ago a judge sanctioned Disney for destroying files important to the case. Looks as if both Mickey and Pooh are sporting a black eye on this one.