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California bill-paying problems near 9-year high

February 24, 2025

An early warning sign of bill-paying problems is flashing for California and the nation.

To check Californians’ financial health, my trusty spreadsheet examined consumer debt statistics compiled by the New York Fed. These numbers for 2024’s final three months provide a window into the bill-paying habits of roughly 90% of the population with credit histories.

Ponder a metric that tracks debts moving into 30-days-or-more-late status. Basically, we’re talking about the first skipped payment.

As 2024 ended, 3.25% of California borrowings fell into this worrisome bucket – the highest level since 2016’s first quarter. Yes, almost nine years ago, when the economy’s rebound from the Great Recession was kicking into high gear.

Nationally, skipped payments are even higher: 4.14% of debts entered the earliest of tardy status in the fourth quarter. It’s the biggest boost since the first quarter of 2020, just before the coronavirus upended the business climate.

Now, for context, this level of skipped bills is below the pace 2003-2005, boom times just after the turn of the century.

And 2024 is nowhere near the wave of early missed payments during the Great Recession. In 2009-10, these late payments averaged 14.4% of debts in California and 10.8% nationally.

Still, today’s growing bill-paying pressures help explain rising consumer angst, anxieties that are otherwise contradicted by economic yardsticks that suggest a robust economy.

Bigger picture

It’s one thing to miss one payment. It’s another when those late bills run even tardier.

Ponder debts that are 90 days or more late. Across California, that was 1.6% of debt in the fourth quarter, up from 1.2% at year-end 2023 and the highest since the first quarter of 2021.

Yet this tardiness is still solid repayment, historically speaking. In the pre-pandemic period of 2018-19, the average bill was 1.9% tardy. And we’ll note the 11.6% average of 2009-10.

Californians have been better at this level of bill paying than most Americans, too.

Nationally, 1.9% of debts were tardy in the fourth quarter, up from 1.7% a year earlier. Like California, this is low: 3.1% of bills were late in 2018-19 and 7.9% in 2009-10.

Big borrowers

Californians carry lots of debt, mainly due to lofty home prices and mortgages.

At year-end 2024, outstanding consumer borrowings statewide totaled $86,130 per capita, with 79% of those debts tied to first mortgages.

The nation’s $60,630 of debt per capita is almost one-third less than California. And the typical American has 69% of their borrowings linked to a mortgage.

But consumers have cooled their willingness to borrow recently, a sign of skittish shoppers.

California’s debts grew 1.4% in the past year after expanding just 0.1% in 2023. Compare that with debts jumping by 8% in 2022 or growing at a 2.7% average annual pace in 2018-19.

And U.S. borrowings are shrinking, falling at an 0.7% annual rate in the fourth quarter. That’s a switch from 1.9% growth for 2023, 7.3% in 2022, and 3% in 2018-19.

Home sweet home

Whatever the payment challenges, they are not mortgages.

As of year-end 2024, California mortgages that went unpaid for 90 days or more accounted for only 0.6% of all loans. Yes, that’s up from 0.4% a year earlier and 0.5% in 2018-19.

So, 2024 wa relatively typical for late bills. Remember, 11.9% of California home loans in 2009-10 went unpaid for 90 days or more.

Ponder similar trends nationally: 0.6% of U.S. mortgages are 90 days late – equal to a year ago and below 1% of 2018-19. This metric hit 8.1% in 2009-10.

Bottom line

Pick your reason for more skipped payments: Stubborn inflation. High interest rates. Sluggish job markets. Or the evaporation of stimulus-fueled savings.

Regardless of the cause, it seems balancing a typical household budget was challenging as 2024 ended. While it was not historically significant, it was noticeably more difficult.

Consider a consumer’s worst-case scenario: bankruptcy. New filings remain rare, though they are are modestly more common. (Note: Some legal challenges have made bankruptcy an even less-appealing option.)

California’s new bankruptcies increased to 35 per 1,000 consumers in the fourth quarter, up from 32 at year-end 2023. However, this pace is less frequent than the 56 per 1,000 in 2018-19 and 266 in 2009-10.

This mimics national trends: At year-end 2024, there were 42 new U.S. bankruptcies per 1,000 consumers, up from 40 a year earlier. This metric averaged 76 in 2018-19 and 211 in 2009-10.

Jonathan Lansner is the business columnist for the Southern California News Group. He can be reached at jlansner@scng.com

Orange County Register

Starbucks lays off 1,100 corporate employees as coffee chain streamlines

February 24, 2025

By DEE-ANN DURBIN, Associated Press Business Wrtier

Starbucks plans to lay off 1,100 corporate employees globally as new Chairman and CEO Brian Niccol streamlines operations.

In a letter to employees released Monday, Niccol said the company will inform employees who are being laid off by mid-day Tuesday. Niccol said Starbucks is also eliminating several hundred open and unfilled positions.

“Our intent is to operate more efficiently, increase accountability, reduce complexity and drive better integration,” Niccol wrote in the letter.

Starbucks has 16,000 corporate support employees worldwide, but that includes some employees who aren’t impacted, like roasting and warehouse staff. Baristas in the company’s stores are not included in the layoffs.

Niccol said in January that corporate layoffs would be announced by early March. He said all work must be overseen by someone who can make decisions while the the Seattle coffee giant reduces the complexity of its structure and eliminates silos within the company that slow communication.

“Our size and structure can slow us down, with too many layers, managers of small teams and roles focused primarily on coordinating work,” Niccol wrote.

Starbucks hired Niccol last fall to turn around sluggish sales. He has said he wants to improve service times — especially during the morning rush — and reestablish stores as community gathering places.

Niccol is also cutting items from Starbucks’ menu and experimenting with its ordering algorithms to better handle its mix of mobile, drive-thru and in-store orders.

Starbucks’ global same-store sales, or sales at locations open at least a year, fell 2% in its 2024 fiscal year, which ended Sept. 29. In the U.S., customers tired of price increases and growing wait times. In China, its second-largest market, Starbucks faced growing competition from cheaper rivals.

Starbucks shares were flat in premarket trading Monday.

Orange County Register

Galaxy shut out by San Diego FC in 2025 home opener

February 24, 2025

Galaxy forward Diego Fagúndez, right, moves the ball against San Diego FC defenders during the first half of an MLS soccer match at Dignity Health Sports Park in Carson, Calif. on Sunday, Feb. 23, 2025. (Photo by Raul Romero Jr., Contributing Photographer)

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CARSON — The Galaxy raised the championship banner, brought out the sixth MLS Cup for a walk through the supporters section and officially kicked off 2025 and the long journey to try to repeat.

As MLS has a way of proving, no two seasons are alike and the Galaxy learned that Sunday.

After going unbeaten at Dignity Health Sports Park last season, the Galaxy, in front of a sellout crowd of 25,224, dropped their home and season opener to an expansion team and new in-state rival San Diego FC 2-0.

The loss was the first at home since the final game of the 2023 season (Oct. 21).

“I thought most of the night (we were) a little disconnected in terms of our positions and specifically kind of in our midfield, where we needed to be and when we needed to be there,” Galaxy coach Greg Vanney said. “I felt like we weren’t very dynamic in the front half of the field and when we were getting forward and getting into forward positions, we weren’t really turning, advancing possessions into attacks.

“I felt like it was a little bit stagnate, not as dynamic as we’ve obviously seen in the past, in terms of breaking down the other team.”

In the 52nd minute, a bad pass from new starting goalkeeper Novak Mićović, combined with a bad first touch by defender Emiro Garces led to a loose ball that fed directly toward San Diego’s Anders Dreyer, who’s left-footed shot ended as the franchise’s first goal.

“It’s a tough ball to handle,” Vanney said. “I didn’t feel like Novak was under as much pressure as it looked like he did when he hit the ball. For Novak maybe to be a little bit calmer, to deliver a pass that’s a little more friendly at the point that it arrived at Emiro, I think it was almost more self-defense then actually doing something with it. The whole thing just seemed a little bit rushed and it didn’t need to be.

“I felt that through the course of the game, there were a lot of what I call for our group uncharacteristically unforced errors, choices that sometimes didn’t make sense to me, it looked a little bit not settled and that’s something we have to keep taking steps at.”

Mićović came up two big saves afterward that kept the deficit at 1-0, allowing the Galaxy’s attack to finally show signs of life.

Unfortunately, that didn’t happen until late, with the additions of Miguel Berry, Ruben Ramos and Elijah Wynder as the Galaxy picked up their pace on attack.

“Ultimately the game turns on a mistake,” Vanney said. “I thought toward the end, when we got some urgency, we started to get a little more dynamic, we started to move a little bit more, break lines with our run, get to the endline and started to see things that looked like real opportunities.”

However, as the Galaxy pressed, chasing the one-goal deficit, San Diego would find the second goal late in stoppage time on a counter attack, ending with Dreyer’s second goal of the night to seal their first franchise win.

“They prepared well,” Galaxy defender and captain Maya Yoshida said of San Diego. “There’s no excuse that we even we (though) miss a couple of experienced players, who can change the game, we prepared well, we already have the base of the team since last season, of course the new players have to understand how we play still, but instead of six weeks of preparation for them, we should have done better and today’s totally lost.”

San Diego FC’s arrival gives California a fourth team, joining the Galaxy, LAFC and the San Jose Earthquakes, which could lead to several new rivalries springing up across the state. Something that commissioner Don Garber touched on before the game.

“Rivalries are what makes MLS so exciting,” Garber said. “One of the reasons why we wanted a team in San Diego …Look at the El Trafico (rivalry between the Galaxy and LAFC), we used to joke about the competition being named after the characteristic that people aren’t crazy about it, but now its one of the most anticipated events that we have in MLS, played in the Rose Bowl, having 70-80,000 people attending those games.

“So, it’s going to be really interesting to see what happens between those four clubs. The good part about it is, the fans and the teams create those very natural and authentic rivalries. It’s not a league marketing program.”

For the Galaxy, losing Sunday is the quickest way to start a new rivalry. The teams will meet again May 24 in San Diego.

Galaxy shut out by San Diego FC in 2025 home opener Orange County Register

Lynn Biyendolo early goal lifts USWNT over Australia in SheBelieves Cup

February 24, 2025

Australia forward Caitlin Foord (9) and United States defender Gisele Thompson (15) battle for the ball during the first half of a group stage match in the SheBelieves Cup women’s soccer tournament, Sunday, Feb. 23, 2025, in Glendale, Ariz. (AP Photo/Samantha Chow)

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GLENDALE, Ariz — Lynn Biyendolo scored 42 seconds into the match and the United States beat Australia 2-1 on Sunday in the SheBelieves Cup.

Michelle Cooper scored her first international goal in her second appearance for the U.S., which improved to 2-0 in the four-team round-robin tournament.

Biyendolo’s goal was the fastest by a U.S. player since Ashley Hatch scored 24 seconds into a match in November 2021, also against Australia.

Biyendolo, formerly Lynn Williams, was married in the offseason. It was her 22nd international goal.

Michelle Heyman scored in the 80th minute for Australia.

Cooper’s goal in the 68th minute made it 2-0.

“It was absolutely surreal,” Cooper said. “I looked at (teammate Ally Sentnor) and I said, ‘I’m so sorry’ because I basically stole it from her. But she was like, ‘It’s OK, I’m happy for you.’ So it felt great.”

U.S. coach Emma Hayes changed her entire starting lineup following the team’s 2-0 victory over Colombia on Thursday in the tournament opener in Houston. It was just the sixth time in the team’s history that the full lineup was swapped out in back-to-back games.

Gisele Thompson and Claire Hutton made their first starts for the national team. Gisele’s older sister Alyssa Thompson also started.

Mandy McGlynn was in goal for the United States as Hayes continues to consider a top goalkeeper following Alyssa Naeher’s retirement last year.

Hayes has been bringing in new players and tinkering with lineups ahead of Women’s World Cup qualification next year, and Cooper appreciated the opportunity.

“I just want to get to know the players and build good connections and get to know the staff, to hopefully build a relationship and build their trust in me to be on this team,” Cooper said.

The Matildas continue to struggle without superstar Sam Kerr, who hasn’t played for the national team in more than a year after ACL surgery.

In Sunday’s earlier SheBelieves match, Japan beat Colombia 4-1. Mina Tanaka, who plays in the NWSL with the Utah Royals, scored in the eighth minute and again on a penalty in the 80th. Real Madrid’s Linda Caicedo scored for Colombia.

The final SheBelieves matches will be played Wednesday in San Diego. The United States plays Japan and Colombia faces Australia. The winner of the tournament, now in its 10th season, is determined by accumulated points.

Lynn Biyendolo early goal lifts USWNT over Australia in SheBelieves Cup Orange County Register

Ducks force OT but fall to Red Wings

February 24, 2025

Detroit Red Wings right wing Patrick Kane (88) celebrates after scoring against the Ducks as Red Wings right wing Alex DeBrincat (93) looks on during the first period of an NHL hockey game Sunday, Feb. 23, 2025, in Detroit. (AP Photo/Duane Burleson)

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DETROIT — Patrick Kane scored his second goal of the game on a breakaway with a minute left in overtime and the Detroit Red Wings beat the Ducks 5-4 on Sunday night to end the Ducks’ four-game winning streak.

Marco Kasper, Alex DeBrincat and Kane scored during the first 5:06 of the game, the fastest any team has scored three goals this season. Michael Rasmussen added a power-play goal for Detroit, which squandered a late two-goal lead and improved to 8-1-1 in its last 10 games. Alex Lyon made 24 saves.

The Red Wings bounced back from a 4-3 overtime loss to Minnesota on Saturday in which they gave away a two-goal lead in the third period.

The Ducks scored twice in the final 2:16 after pulling goaltender Lukas Dostal for an extra skater.

Cutter Gauthier scored twice, including the tying goal with 53 seconds left. Ryan Strome and Owen Zellweger also scored for the Ducks. Dostal made 31 saves.

Takeaways

Ducks: They allowed just six goals during its four-game streak. The Ducks gave up more than four goals for the first time in 14 games.

Red Wings: Detroit converted on three of four power plays. Its power play, ranked second in the league, has produced 50 goals. Only Winnipeg (51) has scored more with the man advantage.

Key moment

The Ducks’ Isac Lundestrom and Brian Dumoulin were sent to the penalty box at 4:21 of the first after committing tripping penalties. DeBrincat converted during the 5-on-3 advantage, knocking in a rebound of a shot by Dylan Larkin. Kane scored from the high slot during the subsequent 5-on-4 advantage, giving Detroit a 3-0 lead.

Key stat

DeBrincat has regularly produced against the Ducks. He has 15 goals and 28 points in 18 games.

Up next

Both teams play Tuesday. The Ducks visit Buffalo, and the Red Wings are at Minnesota.

Ducks force OT but fall to Red Wings Orange County Register

Sea lions found in distress off Malibu, acid toxicity is suspected

February 24, 2025

MALIBU — An outbreak of domoic acid is sickening sea lions in the waters off Malibu, according to wildlife officials.

Workers at the California Wildlife Center responded to at least 14 calls for sea lions in distress over a four-day period, the center said in a Facebook post on Saturday.

“Though we have not confirmed the cause for these animals’ illness, their signs and the recent rains make the situation highly suspicious for domoic acid toxicity,” the post said. “Malibu residents, visitors, and other beachgoers are advised to keep their distance from animals on the beach and call or text our Marine team at 310-924-7256 for assistance with animals in distress.”

Domoic acid is an algal bloom resulting from a single-celled organism called Pseudo-nitzschia. There are benign and toxic strains which animals may be exposed to through ingestion of contaminated fish. In its toxic form, DA damages the brain and heart, even in low doses. Signs in marine mammals include seizures, a craning head motion known as “stargazing,” and highly lethargic or comatose states.

The public is advised to not interact directly with animals such as sea lions in distress as they may lunge and bite without warning.

Orange County Register

Swanson: On any given Sunday in MLS, a champion can lose to an expansion team

February 24, 2025

Galaxy midfielder Riqui Puig places the 2024 MLS Championship Cup during a presentation prior to the start of an MLS soccer match against the San Diego FC at Dignity Health Sports Park in Carson, Calif. on Sunday, Feb. 23, 2025. San Diego FC won 2-0. (Photo by Raul Romero Jr., Contributing Photographer)

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CARSON – That sound that echoed through Dignity Health Stadium on Sunday night, spoiling the Galaxy supporters groups’ familiar songs and chants?

That was an alarm clock going off. And who doesn’t hate that sound?

After hitting the snooze button all throughout a ho-hum preseason, the Galaxy were forced to wake up and face a new day, a new season, reality. It might have been Sunday Night Soccer on Apple TV, but the Galaxy played as if they had a bad case of the Mondays, having to go back to work, back to the drawing board, their 2024 dream season really and truly over.

Add a fourth P to the “Killer Ps” – Puig, Pec, Paintsill – who wrought so much damage last season for the Galaxy: Parity.

The thing the MLS prides itself on.

Where on any given day, any team can win. Where, on this given Sunday, the expansion team beat the defending champs: San Diego FC 2, LA Galaxy 0. New Kids On The Block > OGz.

Where the team that spoiled its fans with a record 18 goals en route to its league-record-extending sixth MLS Cup last December can have its celebratory season-opener and last season’s unbeaten-at-home record spoiled on Day 1, by a team playing Game 1.

Where an afternoon can start with a trophy relay, fireworks and a banner ceremony and end with fans streaming for the exits, well before the final whistle’s blown.

Exactly how Major League Soccer likes it, I guess.

If you didn’t know any better, you wouldn’t have been able to guess which was the new team and which was the defending champion.

Because the defending champs entered Sunday’s match without pace-pushing forward Joseph Paintsill (quad) and havoc-causing, hell-raising heart-of-the-matter midfielder Riqui Puig (ACL), who will be out for weeks and months, respectively.

The Galaxy also traded Dejan Joveljić (21 goals in 2024) to Sporting Kansas City for necessary salary cap relief, benched goalkeeper John McCarthy in favor of the younger Novak Micovic (whose pair of impressive saves Sunday were overshadowed by a critical mistake that led to Anders Dreyer’s goal in the 52nd minute) and insulted veteran defender Maya Yoshida, whose reward for captaining the Galaxy to the title was a pay cut (salary cap relief strikes again!)

That left Gabriel Pec as the Galaxy’s only returning prolific scorer and thus the focal point of San Diego’s defense, which bottled him up, limiting the 24-year-old Brazilian forward to just one shot on target.

The vibes, so immaculate and unimpeachable last season, morphed into frustration Sunday.

The good and bad news: There’s a long season ahead, and so, so much work to do – all with the added benefit of having the defending champion’s target on their backs, a burden felt even by players who weren’t a part of the trophy-raising last season.

Like Christian Ramirez, the striker form Garden Grove who made his Galaxy debut Sunday, finishing without a shot in 63 minutes: “It becomes a championship game for teams to prove themselves against us.”

Or against what’s left of them.

Still, Yoshida said: “We should have done better. Today is totally lost, defeat … after the game, they are celebrating like [they won] a cup final. We have to be ready for this.”

And Coach Greg Vanney called his new-look team’s performance out of sync in every sense: “disconnected,” “disjointed,” “we weren’t very dynamic.”

“We didn’t look like a team that just won the championship,” he said. “We looked like a team that was fitting some things together still.”

Understandable, no?

But losing at home? No good.

“Thats what I said in the locker room: ‘This can’t happen,’” said Vanney, whose club’s last loss in Carson came on Oct. 21, 2023. “‘This is where we get points, this is where we win. We don’t lose at home.’

“Is it a rallying cry?” he asked. “It’s a wake-up call.”

Rise and try to shine, Galaxy. You’ll always have last season, but now it’s time to get up and get back to work.

Swanson: On any given Sunday in MLS, a champion can lose to an expansion team Orange County Register

Limited Clippers can’t stop surging Pacers in loss

February 24, 2025

INDIANAPOLIS — Tyrese Haliburton had 29 points and 12 assists for his 16th double-double of the season, Aaron Nesmith scored a season-high 19, and the Indiana Pacers defeated the Los Angeles Clippers 129-111 on Sunday.

Haliburton scored 17 points in the third quarter, when the Pacers (32-23) took a 101-83 lead. The All-Star point guard shot 9 of 14 overall with four 3-pointers.

The Pacers, who are an NBA-best 16-5 in 2025, had seven players score in double digits. Indiana center Myles Turner returned from a three-game injury absence with 17 first-half points.

The short-handed Clippers (31-25) were without leading scorer Norman Powell (left knee soreness) and No. 3 scorer Kawhi Leonard (left foot soreness). Powell averages 24.2 points per game, and Leonard 16.9.

That meant veteran All-Star guard James Harden looked to take more shots — he went 9 of 17 with six 3s to finish with 31 points and 11 assists. Ivica Zubac added 22 points.