M A I L T O :

Awards Reception: Thursday, August 20, 2014 • 5:30 – 7:30pmUniversal Hilton Hotel – Universal City • Tickets: $75 / Corporate Table of 10: $650

NOMINEES ANNOUNCED! See page 6 or visit www.sfvbj.com/bizevents

SAN FERNANDOVALLEY BUSINESS JOURNALVolume 19, Number 15 July 28 - August 10, 2014 • $4.00

sfvbj.com

T H E C O M M U N I T Y O F B U S I N E S S TM

By MARK R. MADLER Staff Reporter

To catch up with other universities, CalState Northridge is setting up a technologytransfer program to commercialize researchdone by faculty and students.

The university has hired CristKhachikian, a former Cal State Los Angelesengineering professor with degrees fromUCLA and MIT, to head the initiative, which isstill in its infancy.

The university needs to hire staff, establishpolicies, educate faculty and, of course, getmore research funding. But there is a founda-tion to build on: The school brings in about $32

By JOEL RUSSELL Staff Writer

After nearly a decade in the laboratory and accumu-lated losses of $172 million, Kythera Biopharma-ceuticals Inc. finally has a shot at making somemoney – and providing a role model for other localbiotech startups.

The Food and Drug Administration on July 10accepted the Westlake Village company’s paperworkseeking approval to market its flagship drug ATX-101.It’s an injectable chemical that breaks down fat cells,

and the company will market it asthe first non-surgical treatment fora double chin.

Although Kythera has neversold a product, investors love it.The company went public in late2012 and raised $72.5 million, fol-lowed by a secondary offering lastyear for $125 million. The compa-

ny had a market capitalization of $784 million and aclosing share price of $34.62 on July 23.

Ahmed Enany, president of the Southern CaliforniaBiomedical Council, a Los Angeles trade group, said

Marriott SaleChecking OutHOSPITALITY: L.A. firm buyinglarge Warner Center property.

BIOTECH: Kythera reaches milestoneas FDA to review anti-fat compound.

By ELLIOT GOLAN Staff Reporter

The Warner CenterMarriott is being acquired byCentury City real estateinvestment and developmentfirm Laurus Corp. – the lat-est example of how hotels arethe hottest sector in the com-mercial real estate market.

The price for the 474-room corporate lodging at 21850 Oxnard St.being acquired from the Teachers RetirementFund of Illinois is undisclosed but is expectedto be well into the “nine figures,” according to

Tech TransferEnters CSUNTECHNOLOGY: Northridgeschool begins new program.

LOS ANGELES • GLENDALE • SANTA CLARITA • BURBANK • CONEJO VALLEY • SIMI VALLEY • SAN FERNANDO • CALABASAS • AGOURA HILLS • ANTELOPE VALLEY

By STEPHANIE FORSHEE Staff Reporter

As National Football League teams get readyto start knocking heads next Sunday in apreseason game, there will be one player on

the field with perhaps the most at stake.It’s BRG Sports Inc., the local sporting goods

manufacturer that is the leading supplier of NFLhelmets through its Riddell subsidiary.

With concerns over concussions ever growing,the company is being sued on multiple fronts,from NFL players to youth leagues, over the safe-ty of its product.

Indeed, some analysts believe owners Fenway

Partners LLC, a New York private equity group,tried to sell off the helmet business last year when itdownsized predecessor company Easton-Bell SportsInc. and renamed it BRG – but there were no takers.

Now, Fenway is stuck with the business anddoing the best it can, defending itself on the legalfront while releasing more advanced helmet designsit claims are safer than ever.

“It’s certainly our goal to always be moving for-ward with the protective performance of our foot-ball helmets,” said Thad Ide, BRG’s senior vicepresident of research and development. “Our

Please see TECHNOLOGY page 48Please see SPORTS page 46

Please see BIOTECH page 47

Concussion furor, rivals rattle helmet-maker Riddell

Please see HOSPITALITY page 46

Investors See Double Over Chin Drug

Smash Mouth: Packers QBAaron Rodgers takes a hard hit from 49ers defensive end Ray McDonald during 2013 NFC wildcard game in Green Bay.

CRUNCHTIME

News &Analysis

The LooneyTunes gang willteach your kidsto read – andyou can tweetto boot.PAGE 5

UpFront

Have an extra$200,000 lyingaround? Checkout this classiccar auction.PAGE 3

HITTING PAY DIRT: The Santa ClaritaValley may seem an unlikely place butit’s where developers are buildingindustrial projects. And firms seekingmodern space and lower leases aren’tfar behind.

SPECIAL REPORTREAL ESTATE QUARTERLY

BEGINNING ON PAGE 15

Khan

Market capitalizationof Kythera, which has yet to receive

FDA approval.

$784million

The greaterValley’s largestlaw firms.PAGE 10

List

01_sfvbj_072814.qxp 7/24/2014 9:54 AM Page 1

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RCFE License Pending

B-2 Program Still Flying

8 SAN FERNANDO VALLEY BUSINESS JOURNAL NEWS & ANALYSIS JULY 28, 2014

AB-2 Spirit stealth bomber appeared inthe skies above Palmdale this month aspart of a commemoration marking the

25th anniversary of the aircraft’s first flight.About 3,000 people turned out on July 17

at the Northrop Grumman Corp. plant,where 21 of the bombers were built andwhere they return for maintenance andupgrades. Among the speakers at the ceremo-ny were pilots who flew the aircraft in testingflights and in combat missions.

Dave Mazur, vice president and B-2 pro-gram manager for Northrop’s aerospace sys-

tems division,described the anniver-sary event as a way torecognize the impor-tance of the bat-wing-shaped jet to the U.S.military, the companyand the Palmdalefacility.

“To a large degree,the reason NorthropGrumman is what it istoday is when wewon the B-2 con-tract,” said Mazur.

Northrop, in Falls Church, Va., receivedthe B-2 contract in 1981 and rolled out the69-foot plane for its first public viewing inPalmdale in 1988. The first flight was July 17,1989 with Northrop test pilot Bruce Hindsand U.S. Air Force Col. Richard Couch atthe controls. Hinds was a speaker at theanniversary event.

Spirit and its stealth technology had ori-gins from the Cold War as a way to defeat theradars of the Soviet Union. This could bedone with stealth aircraft whose “flyingwing” profile was more difficult to detectwith radar.

Spirit, however, was not the first stealthaircraft for the U.S. military. That designationgoes to the F-117 Nighthawk from LockheedMartin. That aircraft was designed atLockheed’s Skunk Works advanced develop-ment division when still located in Burbank.The F-117 was retired from service in 2008.

Currently 19 B-2s are assigned to the509th Bomb Wing based at Whiteman AirForce Base in Missouri, and one stays atEdwards Air Force Base for testing ofupgrades. In 2008, the program had its onlycrash when Spirit of Kansas was destroyedafter take-off on Guam.

The aircraft return to Palmdale for periodicupgrades and maintenance. Northrop has about

1,100 employees on the B-2 program out of itsworkforce of 3,000 in the Antelope Valley.

Repairing and upgrading a plane takesabout 13 months although Mazur said thereare efforts to reduce that time.

“The longer we have the B-2 the less timethe warfighter has it,” Mazur said.

Upgrades include improved fiber opticsand communications equipment.

The anniversary event was attended byNorthrop employees, suppliers, elected offi-cials and representatives of the Air Force. Inaddition to Hinds, other speakers included AirForce Brig. Gen. Steven L. Basham, co-piloton the first B-2 combat mission over Kosovoin 1999, and Brig. Gen. Glen D. VanHerck,commander of the 509th Bomb Wing.

The B-2 program has now been aroundlong enough there are some Northropemployees on their second generation servic-ing the aircraft, Mazur said.

There still remains time for a third genera-tion to be involved considering the 20 Spiritaircraft in service are expected to keep flyinguntil 2058.

Charter MarketingJet Edge International has added the polo

season at the Bridgehampton Polo Club onLong Island as the latest high-profile event towhich it is providing air charter service.

The Van Nuys firm is the official privatejet partner for the polo season that lasts untilAug. 23.

Claudia Duran, vice president of market-ing at Jet Edge, said the sponsorship fits inwith the firm’s strategy to position itself as aluxury brand going after a clientele that canafford flying in large-cabin Gulfstream jets.

Geographically, the partnership makessense for the jets based in Los Angeles,Florida and New York, Duran said.

“Between those three points there is a lotof transit to (Long Island),” she added.

The Bridgehampton partnership followson the heels of Jet Edge hooking up withHollywood trade publication Variety in Mayto make its fleet available to attendees of theCannes International Film Festival. Jet Edgewas also a sponsor of a Cannes event pro-duced by Variety, owned by Penske MediaCorp. in Los Angeles.

The partnership resulted in Variety elevat-ing its brand and Jet Edge tapping into theHollywood community, Duran said.

There are discussions between the twocompanies to partner together for the TorontoFilm Festival in September. Jet Edge ChiefExecutive Bill Papariella is taking part in aVariety event later in the year honoringHollywood business managers, Duran said.

Staff Reporter Mark R. Madler can be reachedat (818) 316-3126 or mmadler@sfvbj.com.

AEROSPACE: Stealth aircraftbuilt 25 years ago returnsfor regular maintenance.

Misty Eyed: Former B-2 workers turn out for July 17 gathering in Palmdale.

AVIATIONMark R. Madler

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