Business news briefs of April 6, 2004

Tuesday, April 6, 2004 | 10:50 a.m.

Utilities must set aside another $25 million

Nevada Power Co. and its sister company, Sierra Pacific Power Co. of Reno, must put into escrow another $25 million in cash to hold off a more than $300 million judgment handed down last year in favor of Enron Corp.

An order disclosed Monday, however, will prevent Enron from seeking any additional collateral during the appeals process.

In November, the utilities avoided payment of the judgment by placing $338 million in asset-backed bonds and cash into an escrow account. Enron had argued for additional cash collateral after the Nevada utilities made claims of possible bankruptcy following the August ruling.

With Monday's order, the utilities have $60 million in cash in escrow. The bond collateral can now be reduced by that $60 million.

The original dispute arose when Enron cancelled its contracts with the Nevada utilities amid the fallout from the Western energy crisis. Enron then demanded more than $300 million in termination penalties.

Voters deciding retail plan

LOS ANGELES -- Wal-Mart wants to offer its bargains in Inglewood, but many residents aren't buying the pitch.

Voters today were deciding whether to allow the nation's largest company to open a shopping development that opponents say skirts zoning, traffic and environmental reviews.

Wal-Mart has argued in Inglewood and elsewhere that its stores create jobs and said residents should be able to decide for themselves whether they want its stores.

Last year the Inglewood City Council blocked a proposed Wal-Mart shopping center, prompting Wal-Mart to collect more than 10,000 signatures to force today's ballot initiative.

Religious leaders and community activists, including the Rev. Jesse Jackson, rallied Monday to urge voters in the city of 117,000 to defeat the measure.