California puts 90-day hold on foreclosures

MORTGAGES

State halts foreclosures for 90 days

California is imposing a 90-day moratorium on housing foreclosures under a new law that took effect Monday.

The law is expected to make lenders try harder to keep borrowers in their homes. Lenders must prove they tried to modify the delinquent loans before they can begin foreclosing.

But supporters acknowledge the California Foreclosure Prevention Act won't stop thousands of foreclosures from eventually happening. There have been more than 365,000 foreclosures in California since early 2007, with many more already scheduled.

The bill passed in February is similar to the Obama administration's Making Home Affordable program that began in March.

AEROSPACE

Boeing ponders revamp of 777

Boeing Co. may build a new wing for its 15-year-old 777 plane to compete with the Airbus A350 as the Chicago company's Dreamliner model loses out on contracts when a bigger aircraft is needed.

Airbus' A350-1000 will seat 350 people when it enters service in 2013 -- 60 more than the largest 787 Dreamliner. The 777 can carry almost 370 passengers but needs a new wing to boost its efficiency, Boeing commercial planes chief Scott Carson said.

He added that Boeing could also respond with a bigger 787 or even an all-new model.

Boeing starts unit for drone projects

Boeing Co.'s defense business announced a new Unmanned Airborne Systems division, which will group all the company's drone projects to better compete for military contracts.

The formation of the Seattle division reflects the growing interest by various air forces in unmanned aerial vehicles for such uses as surveillance, coastal patrols and tracking natural disasters.

HOUSING

Builder sentiment index falls 1 point

The National Assn. of Home Builders' housing market index slipped one point in June, reflecting builders' uncertainty about when their business prospects might improve.

The Washington-based trade association said the index fell to 15 -- the first decline since January, when the index dropped to an all-time low of 8.

Index readings lower than 50 indicate negative sentiment about the market.

MUSIC

Virgin Media, Universal in deal

Virgin Media, the cable TV operator owned by entrepreneur Richard Branson, launched a new kind of music download subscription service with Universal Music Group, the largest music company.