Managing employees is never easy, but in today’s economy it can be particularly challenging. Many managers feel increased pressure to do more with less – and in many cases, a lot less. Mistakes will inevitably occur, but managers can avoid some of the most common errors by knowing where the traps lie. By reviewing the Top 10 Management Mistakes below, managers can help safeguard against potential claims and keep the workplace running smoothly.

1. Email Blunders

Scenario #1: An employee emails you that, after 25 years with the company, he is giving some thought to resigning from his position. You write back that you agree it is about time he retire and enjoy his “golden years” and attach information about Social Security and MediCare.

Scenario #2: You have a disagreement with an employee and let off some steam by sending some particularly nasty comments about the employee to your fellow manager.

Scenario #3: You are checking your gmail account from your desk. A friend forwards you a YouTube video that is hilarious yet full of offensive language. You forward it to a coworker you know will love it.

Emails can “make or break” a case that is in litigation. Common email mistakes include:

Thinking emails are deleted after pressing the delete button

Believing emails are confidential if written only to internal management

Viewing emails as a conversation instead of a formal letter

Not reviewing carefully before pushing “send”

Recommendation: Before finalizing any email, imagine it blown up to a 3’x4’ poster size and read aloud in front of a jury. Taking this step may help you avoid all too common email blunders.

2. Failing to Document (Even Verbal Warnings)

Rule of Thumb: “If it is not in writing, it didn’t happen.”

The employment lawyer’s mantra is “document, document, document.” Various methods of documentation include notes to the file, letters to the employee, memos to general staff, emails to management personnel, minutes of management meetings, etc. In whatever form, almost everything that happens in the workplace with regards to possible employee claims should be documented (including in-person meetings and verbal warnings).

3. Not Documenting Properly

Rule of Thumb: “If it’s not documented well, better that it not be documented at all.”

Though documentation is crucial, a poorly documented incident can weaken even the strongest case. Managers should carefully review all documentation and consider consulting counsel before finalizing any writing.

4. “Sugar Coating” Reviews and Terminations

Managers are often tempted to “sugar coat” reviews and the reasons an employee is terminated. This could turn sour if the employee is angry and inclined to sue.

It is inconsistent if at the time of discharge, a manager tells the employee, “You are being laid off. It has nothing to do with your performance,” and then turns around during litigation and attributes the layoff on “poor performance.”

Similarly, positive performance evaluations are commonly used by terminated employees in litigation in an effort to demonstrate they were good performers and the reasons they were given for termination were “pretextual.”

Pretextual means “a fictitious reason that is concocted in order to conceal the real reason.” Examples include where an employee is fired for having work-related injury, for lodging complaint (e.g., harassment, discrimination) or for excessive absences related to “protected activities” (e.g., disability, jury duty, witness duty, etc.).

Recommendation: Discuss and plan what you are going to say or write before saying or writing it. Be honest and concise. Explain the reasons behind the review or termination, but don’t be defensive or argue. Remember, a single review or termination may be the linchpin for a future claim.

5. Ignoring Employee Complaints

As a supervisor, you represent the company. Being a supervisor is a 24/7 job. If you learn of potentially unlawful conduct, you must notify HR or upper management immediately. Once a supervisor is aware of such conduct, the company is deemed to be on notice.

Once certain complaints arise (e.g., harassment, discrimination, etc.) conduct is reported, the company must promptly conduct an investigation. Workplace investigations are essential not only to managing the workplace and resolving disputes before lawsuits arise, but employers are under a legal obligation to conduct investigations. Moreover, properly conducted investigations often lead to an important defense after a lawsuit is filed

General investigation guidelines include, but are not limited to:

Interviewing the complainant and alleged perpetrator

Interviewing additional witnesses

Gathering additional evidence

Documenting every step

Evaluating and determining a factual conclusion

Assessing and addressing (if necessary) the future impact of the complaint on the workplace environment

6. “Off the Clock” Work

Employers have record keeping obligations, which include keeping track of all hours worked by non-exempt employees. Employers should record the stop and start time of all work being performed, including the beginning and ending of each meal period. Employers must pay for all work they actually know or “should know” is being performed by employees (including any “off the clock” work).

Managers are often accused of pressuring employees to work “off the clock” in an effort to avoid paying employees for all the hours worked and overtime premiums or “shaving” time records in an effort to reduce costs and increase bonuses for themselves. Sometimes honest mistakes are made, which may still lead to false accusations.

Example: Employee forgets to clock in or out and manager makes correction on time card.

Recommendation: Have employee initial the change to acknowledge that the corrected time accurately reflects the time worked.

7. Meal and Rest Break Violations

Meal Break Rules California law currently requires employers to provide a 30-minute unpaid, duty-free meal break for each work period of more than 5 hours. However, if the total work period is no more than 6 hours, the meal period may be waived by mutual consent of both the employer and employee.

A second meal period of not less than 30 minutes is required if an employee works more than 10 hours per day. But, if the total hours worked is no more than 12 hours, the second meal period may be waived by mutual consent of the employer and employee, but only if the first meal period was not waived.

Employees must be relieved of all duty during their 30-minute meal period. “On duty” meal periods are permitted only when (i) the nature of the work prevents an employee from being relieved of all duty, and (ii) agreed to in writing by the employer and employee.

The penalty for failing to provide a meal period is one additional hour of pay for each workday the meal period is not provided

Recommendation: Ensure employees are provided meal breaks and that records reflect meal breaks are in fact taken (i.e., require employees to clock out and in for the full 30-minute break).

Rest Break Rules

Employers must “authorize and permit” non-exempt employees to take a 10-minute rest break for each 4-hour work period, or major fraction thereof. However, no rest break is required for employees whose total daily work time is less than three and one-half hours. Rest breaks should be taken in the middle of each work period, if possible. Rest breaks may not be combined with meal breaks or used to come in late or leave early.

Recommendation: Do not deny employees the ability to take 10-minute rest breaks.

8. Not Enforcing Overtime Rules/ Failing to Pay Overtime

California employers must provide time-and-one-half the employee’s regular rate of pay for (i) all hours worked beyond 8 in a single workday (or 40 in a workweek), and (ii) the first 8 hours worked on the seventh consecutive day worked in a single workweek. Employers must pay double the employee’s regular rate of pay for (i) all hours worked beyond 12 in a single workday, and (ii) the hours worked beyond 8 on the seventh consecutive day worked in a single workweek.

Payment of overtime wages earned in a pay period may be delayed until no later than the payday for the next pay period. If you delay payment of overtimes wages to the following pay period, you must itemize the hours as corrections on the pay stub for the period in which they are paid and identify the date of the pay period to which they are attributable.

Failure to pay overtime results not only in an obligation to pay the overtime owed, but also in other potential penalties under the Labor Code.

9. Not Being Familiar With Various Leave Rules

In California, certain leaves are required by law while others are optional. Additionally, some leaves apply only to employers of certain sizes. For example, Pregnancy Disability Leave (PDL) applies to employers with five or more employees whereas the federal Family and Medical Leave Act (FMLA) and state California Family Rights Act (CFRA) only apply to employers with 50 or more employees. All employers (even those with only one employee) must provide workers’ compensation disability leave and jury and witness duty leave. Yet, no employer is required to provide paid vacation or sick leave.

Because the different types of leaves, both required and not, interact with each other in different ways, it is important to understand the various laws and corresponding obligations.

10. Writing Up Employees for “Protected” Activities (and Using Those Write-Ups as Basis for Termination Decisions)

There is an extensive list of activities that cannot be used as grounds for terminating an employee. Certain activities are protected by the law, and employers may not terminate an employee for participating in such activities. Nor should employees be written up for these reasons. They include, but are not limited to, disclosing wages, political activity, taking limited time off for a child’s school or day care activities and refusing to take a polygraph test.

Luis “Lou” Guerrero has always been good with numbers and working through problems logically. So pursuing a career in accounting was a natural fit, because it gave him the opportunity to help businesses intelligently navigate their finances.

A certified public accountant, he worked with the small business audit group and tax department of Touche Ross & Co. (now Deloitte & Touche) for eight years, and ran his own accounting practice for a stint.

In 1995, he joined the Pasadena-based accounting firm now known as Krost, Baumgarten, Kniss & Guerrero. He helped launch a division of the company, KBKG, Inc., in 1999 to specialize in cost segregation studies. KBKG now also helps businesses obtain green building and Enterprise Zone tax credits, among other services. KBKG has an office in Woodland Hills.

Guerrero said many business owners don’t know about the financial benefits of doing a cost segregation study and how to go about obtaining other tax credits. As a result, they’re missing out on thousands, if not millions, of dollars in increased cash flow.

Question: What is a cost segregation study?

Answer: Cost segregation is a tax savings tool that allows companies and individuals who have constructed, purchased, expanded, or remodeled any kind of real estate to increase cash flow by accelerating depreciation deductions and deferring federal and state income taxes.

In general, it’s easy to identify furniture, fixtures, and equipment that are depreciated over five or seven years for tax purposes. However, the studies go far beyond that by dissecting construction costs that are usually depreciated over 27-and-a-half or 39 years.

The goal is to identify all construction related costs that can be depreciated over five, seven, and 15 years. For example, 30-90 percent of the total electrical costs in most buildings can qualify as personal property that’s eligible to be depreciated over five or seven years.

Reducing tax lives results in accelerated depreciation deductions, reduced tax liability, and increased cash flow. Conducting a quality study involves a review of cost detail and blueprints, site inspection, photo documentation, cost estimation, and preparation of a report. KBKG works with a team of engineers and tax experts.

Q: What’s the financial benefit of doing this type of study?

A: The depreciation for a property with a cost segregation study allows for a significant increase in deductions within the first five years.

Assuming a combined tax rate of 41 percent and a return on investment factor of eight percent, every $100,000 of costs shifted from 39-year property to five-year property creates a present value tax benefit of approximately $22,000. Every $100,000 of costs shifted from 39-year property to 15-year property creates a present value tax benefit of approximately $12,000.

Q: What types of clients/properties are best suited for cost seg studies?

A: Anybody who has paid taxes over the past five years and acquired a building in the past 15 years. And any structure used for business or as rental property is eligible. But cost segregation studies are not as relevant for buildings somebody has owned for a long time. The longer you’ve owned a building, the lower the present value benefit.

If you’re planning on holding the property for only a few years, it probably doesn’t make sense. In general, clients plan on holding the property for three, four, five years or more. And every time a property exchanges, a study can be done again. It’s a present value play. You’re changing the timing to get tax deductions now versus later on.

Q: Why are you focusing on cost seg?

A: The original accounting firm, now known as Krost, Baumgarten, Kniss and Guerrero, was founded in 1939 in Pasadena. Over the years it specialized in restaurants. One restaurant in particular had 20 locations. After doing cost seg studies on those properties, the client was able to secure a $2 million refund.

Up until the late 1990s, there were hundreds of court cases about cost segregation and the IRS was fighting the concept. But around 1997, a landmark case (Hospital Corporation of America vs. Commissioner) provided the legal support to use cost segregation studies for computing depreciation. That’s when we jumped in.

We created two separate companies, KBKG, Inc. being the one that specializes in cost segregation. And we realized the best way to sell the concept was to do it directly to other CPAs. So we started by offering a lot of continuing education to CPAs. In turn, they would often hire us or their clients would hire us to do the studies.

Q: KBKG also specializes in helping businesses secure green building and Enterprise Zone tax credits. Can you tell me more about these?

A: The most common green tax credit is the residential 45L tax credit, which is applicable to residential developers such as those building single family homes, apartments or condominiums. All apartment and residential condo developments completed on or after August 8, 2005 are worth assessing. They can receive up to $2,000 per unit for things like reductions in electricity and gas usage, increased insulation and using Energy efficient appliances.

Q: How do business owners access the credit?

A: A study needs to be done to look at the Energy efficiency of the property. We conduct an engineering-based study to determine how many units qualify for the tax credit. That study is then given to the client’s CPA who applies for the credit. Most residential construction in California completed after Aug. 8, 2005 qualifies because we have such strict building standards.

Another green tax credit is Section 48. Business owners can get a credit worth up to 30 percent of the amount they spent on equipment such as fuel cell properties, small wind Energy, and equipment that heats or cools a structure with solar energy.

And since many businesses are not paying as much taxes right now, because of the economy, the federal government is offering grants in lieu of the credits for the same amount of money.

Q: What about Enterprise Zone credits?

A: This is another one of those often overlooked credits that can be very useful to businesses paying California taxes. The Enterprise Zone credit approves up to $37,440 in state credit over a five-year period for each eligible employee. And there are a lot of opportunities in the San Fernando Valley for getting Enterprise Zone credits.

Understandably, there is a lot of cynicism about government and our elected officials these days. I share it, too, and often wonder if any ethics reforms could ever be enacted to regain voters’ trust.

As the City of Los Angeles grapples with a $200 million budget deficit in the midst of the Great Recession, City Hall seems inept in addressing the budget problems or even identifying the problem.

(Incidentally, the budget deficit is projected to be $400 million next year.)

For years, many of us have been urging City Hall to rein in spending and work on improving our business climate, all the while warning them about the cyclical nature of economics and L.A.’s real estate market.

(Nobody likes party poopers to rain on a good parade; people like me are typically called buzzkills).

Until the mayor finally began to appropriately consolidate niche agencies such as human relations and environmental affairs last week, the only casualty was the monthly city council meetings in Van Nuys.

Hopefully, we’ll see more examples of fiscal responsibility this month.

Here in the Valley, the growing cynicism about city government runs much deeper than just fiscal mismanagement. DWP rates have increased significantly, while its failing infrastructure has flooded neighborhoods and destroyed homes and businesses. Our trash fees have gone up, but have not been spent entirely on what we were told originally. And none of the city councilmembers, who earn $178,000 a year plus health benefits, pensions and free cars, have offered to take a pay cut.

To me, the most outrageous thing about our city’s budget deficit is how many of previous Controller Laura Chick’s audits have been ignored.

Some of these could have saved the city hundreds of millions of dollars and averted the current crisis.

My personal favorite Chick audit is the one that found that more than $1 billion is written off by the city each year as uncollected debt.

That means that Los Angeles is unable to collect on fines, fees and penalties that are owed for such offenses as false fire and burglar alarms, unpaid business taxes, code violations, and ambulance costs.

In other words, it pays to ignore the city’s laws.

Collectively, our elected officials are letting us down. For most Valley taxpayers, it seems that too many decisions are made for the benefit of those who have the most resources to contribute to city officials’ campaigns. While there is some degree of truth about that, I don’t think money plays quite as much of a role as people think. Surely, money plays a role, but I think that money buys access more than favorable outcomes.

Nonetheless, in the effort to earn back the trust of regular people, it would be interesting if a series of ethics reforms were to be proposed for L.A. politicians.

For starters, what if a state law governing our Metro board was extended to city officeholders that prohibited them from voting on matters in which any of their contributors had a financial interest?

Developers and lobbyists would definitely be impacted, as would unions and corporate interests doing business with the city. How would that impact public policy in Los Angeles? Would decisions be made more objectively, or would officeholders’ decisions be influenced by the millions of dollars spent on independent expenditures each election cycle?

A proposed reform that is being discussed by city officeholders this month is public financing of campaigns so that candidates could opt not to accept campaign contributions and instead rely on taxpayer dollars to get their messages out.

Prop. 15, which is on the June 8 ballot, seeks to do something similar for candidates running for Calilfornia Secretary of State. However, the Prop. 15 system would be paid through fees on registered lobbyists and their clients. Many business and labor groups don’t like it because they end up funding the entire program for the benefit of the entire state. Good point. Lobbying on legislative issues does not influence the outcome of elections the way campaign contributions do.

Here is an idea for public financing of campaigns at the state and local levels: What if 3-5 percent of each campaign contribution over $100 was earmarked for a “good government fund” that would be allocated to candidates who reject three and four digit campaign contributions?

And while the City of L.A. is at it, let’s stop pretending that we already have matching funds for candidates. The system is rigged in a way that candidates don’t become eligible for matching funds until they’ve raised $50,000 from private individuals. Out of the dozens of election cycles for all city offices since this ethics rule went into effect, how many “grassroots” candidates have actually qualified for matching funds? By my count, just two – David Vahedi who narrowly lost to Paul Koretz and Walter Moore who came in a distant second to Antonio Villaraigosa last year. Let’s lower the threshold for qualifying for matching funds so city races become more competitive and therefore more substantive.

In any event, the city’s handling of the budget deficit is outrageous, which has resulted in a dramatic increase in cynicism.

There might be a revolution being waged over the local blogs and within neighborhood councils, but until meaningful political reform laws are enacted, I’m afraid the budget deficit and levels of cynicism will both get worse.

Brendan Huffman is the owner of Huffman Public Affairs, a San Fernando Valley-based consulting business, and the co-host of Off the Presses, an internet radio talk show broadcast on www.LATalkRadio.com every Thursday morning.

A subsidiary of Teledyne Technologies Inc. has acquired an interest in a company that manufactures core components used in aircraft navigation systems.

Teledyne Scientific & Imaging LLC has an option to acquire a controlling interest in Optical Alchemy Inc. after three years, and full ownership after five years based on Optical’s performance.

The investment, the details of which were not disclosed, increases Thousand Oaks-based Teledyne’s involvement in infrared and visible imaging systems for military operations, especially those using unmanned aircraft.

Because of their low weight, the components made by Optical are well suited for unmanned aircraft, which require persistent surveillance and precise targeting, said Teledyne Chairman, President and CEO Robert Mehrabian.

During the first quarter of 2010 most employers will keep staff levels steady in the Los Angeles, Long Beach and Santa Ana areas, according to a new report.

The quarterly survey conducted by the employment services company Manpower Inc. indicated 74 percent of businesses interviewed expect to maintain their current staff levels from January to March of next year.

Twelve percent of companies expect to reduce their payrolls, 9 percent plan to hire more employees and five percent of businesses were not certain of their hiring plans, according to The Manpower Employment Outlook Survey.

Metro Regional Director for Manpower, Inc, Lee Fossey, said area hiring levels appear to be slightly stronger than the previous quarter when 12 percent of companies interviewed intended to add employees but 17 percent of them planned to reduce staff levels.

“Employers have similar hiring intentions compared to one year ago, when 13 percent of companies surveyed planned to increase staff levels and 15 percent expected to cut payrolls,” he said.

For the coming quarter, Fossey said job prospects appear best in Wholesale & Retail Trade and Professional & business Services.

In the areas of Durable Goods Manufacturing, Transportation & Utilities, Education & health Services, Other Services and government, employers plan to reduce staffing levels, according to the report.

Companies in the field of construction are expected to hire.

Nationally, 12 percent of the more than 28,000 employers surveyed, expect to increase their staff levels during the January – March period, while 12 percent expect to reduce their payrolls.

Seventy-three percent expect no change in hiring, and 3 percent are undecided.

The next Manpower Employment Outlook Survey will be released on March 9, 2010 to report hiring expectations for the second quarter 2010.

Glendale-based Nestle caused a ripple in the world of chocolate lovers when it recently announced it was making changes “to improve” its secret Nestle Crunch recipe.

“Nestle Crunch lets fans of all ages feel like kids again, so you can bet they have definite opinions about what we’ve changed in our secret recipe,” said Tricia Bowles, spokesperson, Nestle Confections & Snacks.

Originally launched in 1938, the new version of the “Crunch” product was launched with an ad campaign whose theme is “What’s behind the even more scrumptious taste?”

So what exactly is different about the new Nestle Crunch? The company is not exactly saying. In fact, Nestle wants to fuel “…further speculation,” while pointing consumers to its Facebook page to share feedback.

“We first mentioned our new recipe on the Nestle Crunch 800 number and we’ve been blown away by the more than 400,000 calls that have poured in from fans,” said Bowles.

The past month’s earnings picture in the Valleys presented a portrait of companies whose losses either continued or began to ease, and even showed a few flickers of light at the end of the tunnel as some companies returned to profitability by the close of the first quarter of the calendar year.

Among the improved was restaurant operator and franchisor DineEquity Inc., which narrowed its net loss in the fourth quarter when compared to the previous year.

The Glendale-based company, owner of the IHOP and Applebee’s brands, said a write down of Applebee’s intangible assets contributed to the quarterly results.

DineEquity reported a net loss of $48.2 million, or $2.84 per diluted share, on revenues of $355.2 million for the quarter ending Dec. 31. For the same period in 2008, the company had a net loss of $137.1 million, or $8.15 per diluted share, on revenues of $355.5 million.

Same store sales decreased for the quarter and fiscal year at both IHOP and Applebee’s, a reflection of fewer customers and lower average guest checks.

Meanwhile, K-Swiss Inc. narrowed its losses, as worldwide revenues for the fourth quarter of 2009 decreased 21.4 percent to $42 million compared with $53.5 million in the prior-year period.

Broken down by national and international performance, the company’s domestic revenues decreased 31.8 percent to $18.1 million in the fourth quarter, while international revenues decreased 11.2 percent to $23.9 million.

The fortunes of the region’s tech industry were typified by the performance of Vitesse Semiconductor Corp., which narrowed its net loss for the first quarter when compared to a year ago, a result of cost cutting measures, company officials said.

The Camarillo-based developer of high performance semiconductors reported a net loss of $33.9 million, or $0.10 per diluted share, on revenues of $41.7 million for the quarter ending Dec. 31. For the same period the previous year, Vitesse had a net loss of $190 million, or $0.84 per diluted share, on revenues of $49.8 million.

The first quarter results included a $21.6 million related to debt restructuring completed in October.

On the dot-com front, online marketing service provider ValueClick Inc. fell short of having its revenues meet guidance expectations for the fourth quarter.

Still, the Westlake Village-based firm showed marked improvement in the quarter when compared to a year ago with net income of $15.5 million, or $0.18 per diluted share, on revenues of $110.4 million. For the same period in 2008, the company had a net loss of $251.8 million, or $2.90 per diluted share, on revenues of $110 million.

The company had issued a guidance of revenues for the fourth quarter between $128 million and $138 million.

Those guidance figures, however, did not take into account the sale of the Web Clients business for $45 million, which was included as a discontinued operation for 2009.

media continued to stay in a holding pattern for the most part, with some segments proving to be noteworthy exceptions.

Case in point, television, which was a bright spot for The Walt Disney Co. in Q1.

In fact, cable and broadcasting networks were the only Disney business segments to show an improvement in revenues for the first quarter when compared to a year ago.

The Burbank-based entertainment and media conglomerate had flat growth in parks and resorts and filmed entertainment and a drop in revenues for consumer products and interactive media.

Overall, Disney reported a net income of $844 million, or $0.44 per diluted share, on revenues of $9.7 billion for the quarter ending Jan. 2. For the same period in 2008, the company had a net income of $851 million, or $0.45 per diluted share, on revenues of $9.6 billion.

Media networks revenues increased by 7 percent to $4.2 billion for the quarter on higher subscription rates and licensing fees. Consumer product revenues dropped by 3 percent to $746 million, while Interactive Media, which includes video games and online sites, fell by 29 percent to $221 million.

During the quarter the company incurred $66 million in restructuring charges related to severance and other costs; and $39 million in write-offs for abandoned film projects.

But for some niche-market media concerns, there were few if any bright spots. Net income dropped by 71 percent at Crown Media Holdings in the fourth quarter when compared with the previous year.

The Studio City-based owner and operator of the Hallmark Channel and the Hallmark Movie Channel had net income of $373,000, or $0.00 per diluted share, on revenues of $77.6 million for the quarter ending Dec. 31. For the same period in 2008, Crown reported net income of $1.3 million, or $0.01 per diluted share, on revenues of $75.2 million.

At the same time, DreamWorks Animation SKG Inc., played it cool, with no new feature film releases during the fourth quarter, 2009, the company’s most recent reporting period. The studio relied on DVD sales, cable sales, and television specials and series to drive its fourth quarter financial results.

The Glendale-based studio reported net income of $43.6 million or $0.50 per diluted share, on revenues of $194.2 million for the quarter ending Dec. 31. For the same period in 2008, the company had net income of $51.6 million, or $0.58 per diluted share, on revenues of $199.8 million.

Having released only one feature in 2009 – “Monsters vs. Aliens” – DreamWorks Animation is coming out of the gate much stronger in 2010 with an unprecedented three films, starting with “How to Train Your Dragon” in March, followed by the summer release of the latest installment of the “Shrek” franchise, and concluding with “Megamind” in November. All three films will be released in the 3D format.

On the opposite end of the spectrum, net losses widened for Image Entertainment Inc. in the third quarter as sales continued to drop for DVDs and Blu-ray discs. The company is currently wrapping up its fourth quarter for 2009.

A significant loss notwithstanding, Image’s digital distribution business was the one bright spot for the Chatsworth-based home-entertainment programming producer and distributor.

But the bigger story for Image Entertainment was that it faced financial difficulties the past year, but escaped possible bankruptcy after new ownership stepped in.

For the quarter ending Dec. 31, the company reported a net loss of $2.1 million, or $0.09 per diluted share, on revenues of $25.1 million. For the same period a year ago Image had a net loss of $304,000, or $0.01 per diluted share, on revenues of $39.2 million.

Digital distribution, however, showed positive growth for the third quarter with revenues of $1.3 million, an increase of 34.3 percent over the same period a year ago.

Camarillo-based Salem Communications is another media company whose\ most recent earnings statement revealed industry turbulence. Despite shedding money-losing properties, such as radio stations in Milwaukee, and its CCM magazine title, the conservative media company continued to post losses in 2009.

In fact, Salem posted a net loss of $1.6 million, or $0.07 per diluted share on revenues of $51 million for quarter ended Dec. 31, 2009. For the same period in 2008, the company had a net loss of $30.6 million, or $1.29 per diluted share, on revenues of $55 million.

Even solidly ‘brick-and-mortar’ companies saw losses continue during their most recent reporting periods.

PS Business Parks, Inc. reported net income of$9.9 million, or $0.40 per diluted share, on revenues of $67.7 million for the period ended Dec. 31, 2009.

This is compared to $9.5 million, or $0.46 per diluted share, on revenues of $71.0 million for the same period in 2008.

Aerospace suffered losses as well.

Monrovia-based aircraft and Energy systems manufacturer, AeroVironment, which has a facility in Simi Valley, reported a net income of $4.5 million, or $0.21 per diluted share, on revenues of $52.2 million for the third quarter ending Jan. 31.

That is a 24 percent decrease from the same period in 2008 when the company reported net income of $6 million, or $0.28 per diluted share, on revenues of $48.5 million.

Yet even with drops in revenue, some companies declared shareholder dividends.

The Ryland Group, Inc. said it would be doling out first-quarter dividends of three cents per share, payable April 30 to common stock shareholders of record as of April 15.

Headquartered in Calabasas, Ryland is one of the nation’s largest homebuilders and a mortgage-finance company.

Zenith National Insurance Corp., which has its headquarters in Woodland Hills, and which was recently purchased by a Canadian holding company, declared a regular quarterly cash dividend of fifty cents per share payable May 14 to stockholders of record at the close of business on April 30.