The age of $4 gas arrives in U.S.

Sometime in the coming week, San Francisco is expected to become America’s first major city to pay an average of $4 for a gallon of regular gas. The citywide averaged, tracked by the American Automobile Association, stood at $3.985 today; California’s average stood at $3.876. According to Gasbuddy.com, the price of regular gas in California ranged in the last 48 hours from a low of $3.69 at a Costco in El Centro, on Interstate 8 between San Diego and Yuma, Ariz., to a high of $4.59 at a Shell station in Bridgeport, about 90 miles south of Lake Tahoe.

Meanwhile, the average price of regular gas is $3.465 in Louisiana and $3.435 in Baton Rouge. Gasbuddy.com reports the price of regular gas in Louisiana ranged in the last 48 hours from a low of $3.26 at an Exxon station at Plank Road and Harding Boulevard in Baton Rouge to a high of $3.69 at a DOC station at La. 357 and McCarthy Lane in Opelousas.

A new energy report from CIBC World Market forecasts increasingly tight oil supplies will continue to push the price of oil higher, with the cost of crude hitting $150 a barrel by 2010 and $225 a barrel by 2012. This will result in skyrocketing consumer gas prices, with the national average easily topping $4 this summer, reaching $5.50 in summer 2010 and hitting close to $7 by 2012.

Outraged by high gas prices? Taking almost-daily price increases with resignation? Send your comments here.

The Bulldog moving into Southdowns

The Bulldog, a New Orleans tavern, will open its first location in Baton Rouge this fall in the renovated Southdowns Shopping Center. The tavern, which specializes in import, draft and microbrewed beers, is going into the old Dreamland BBQ/Dreaux's Grill location. "We've always really wanted to be in Baton Rouge, because it's close to our core in New Orleans," says Eddie Dyer, one of the Bulldog owners. "It took us a while to get in the right location." The Bulldog has two locations in New Orleans and one in Jackson, Miss.; Dyer also operates Lager's in Metairie. Dyer says he's still working on the menu for the Baton Rouge location, but the plan is to make the tavern "more food-oriented" with salads, chicken tenders, hamburgers and steaks. The bar will have touches found in the other Bulldogs, such as a patio and an extensive variety of beers. "We're going to have at least 50 beers on tap and at least 100 different bottles," Dyer says. Mark Hebert of Kurz & Hebert Commercial Real Estate helped Dyer select the location. "We wanted to be in a central city area, not way out in the suburbs," he says. Meanwhile, while the Bulldog is set to move in the shopping center, Southdowns Lounge has set a closing date. The bar will shut down May 17 after more than 40 years in business. Southdowns Lounge will be turned into a wine bar/retail store, operated by Marcello's Wine Market owner Gene Todaro.-- Timothy Boone

New home sales plunge to lowest level in 16 1/2 years

Sales of new homes plunged in March to the lowest level in 16 1/2 years as housing slumped further at the start of the spring sales season. The median price of a new home in March compared to a year ago fell by the largest amount in nearly four decades. The Commerce Department reported this morning that sales of new homes dropped by 8.5% last month to a seasonally adjusted annual rate of 526,000 units, the slowest sales pace since October 1991. The median price of a home sold in March dropped by 13.3% compared to March 2007, the biggest year-over-year price decline since a 14.6% plunge in July 1970.

Publisher takes aim at earmarks

Earmarks have become an issue in Washington as politicos and government watchdog groups have complained about the special appropriations tacked onto the federal budget. And they're popping up in Louisiana, Business Report Publisher Rolfe McCollister says. There are 66 items in the state budget that send money to local groups. "Sure, many of the groups are recognizable and established organizations. But should fraternities, local festivals and a gun club be funded with our tax dollars?" McCollister says. "You still have to ask, 'Why are any of these projects coming to the state for funding instead of raising it locally?'" Plus, McCollister offers no endorsement in the 6th District Congressional election, says the Anthony Bell case is a mockery of justice, urges legislators to leave the motorcycle helmet law alone, discusses visits by President Bush and U.S. Sen. John McCain to Baton Rouge and thanks supporters for the Day of Caring. Read his column here. Send comments to editors@businessreport.com.

Pharmaceutical firm announces opening of headquarters

Esperance Pharmaceuticals Inc., the state's first biotech company, which began as a startup in the Louisiana Emerging Technology Center on the LSU campus, today announced the opening of its corporate headquarters and labs in LETC. Esperance, which focuses on the discovery and development of anticancer agents, was founded on patented technology discovered by scientists at the Pennington Biomedical Research Center, LSU AgCenter and LSU's flagship campus. Hector Alila, Esperance president and founder, says the company's platform technology is a huge advance with great potential for developing more potent and safer drugs that target cancer cells without harming healthy cells. Research so far has been promising. Esperance was initially set up as Louisiana Fund I LP, an early stage venture capital fund. Co-investors are Themelios Venture Partners LP of Shreveport and Research Corporation Technologies Inc. of Tucson, Ariz.--Steve Clark

Report says Louisiana ranks high for entrepreneurs

Louisiana was tied for fourth in a survey of entrepreneurial activity by states, with 440 people starting businesses out of every 100,000 adults. The Kauffman Index of Entrepreneurial Activity, found that Louisiana and Tennessee had the same rate of startups in 2007. Idaho, the District of Columbia and Arizona were tied for first, with 460 startups per 100,000 adults. West Virginia was ranked last, with 80 entrepreneurs out of 100,000.

New York Times reports from Renaissance Village

When FEMA was looking for places to put FEMA trailers to house Hurricane Katrina victims, Louisiana governments said no. But Baker was willing to provide a place for the hundreds of people displaced by the storm, and Renaissance Village was established. Renaissance Village is closing at the end of May, and The New York Times reports on what happened after a small community opens its doors to hurricane victims. "We agreed we’d do what’s right,” Baker Mayor Harold M. Rideau says. “It was a no-brainer as far as I was concerned.” One Renaissance Village resident told the newspaper he cares more about Rideau than New Orleans Mayor Ray Nagin. Read the story here.

Friday deadline for Influential Women in Business nominations

Friday is the last day to make nominations for Business Report's annual salute to Influential Women in Business. The awards go to women business owners or managers who are making a noticeable difference in the Capital Region. Winners will be spotlighted in the June 3 issue of Business Report. All nominations must be made here by 5 p.m. Friday.

News roundup: Hollywood Casino revenues steady; study shows weather top cause of flight delays; Lamar CEO, Rex king stranded on remote island

Business about the same: Hollywood Casino Baton Rouge had nearly $34.8 million in revenue during the first quarter, virtually unchanged from the $34.9 million the riverboat brought in during the first three months of 2007. Penn National Gaming, Hollywood's parent company, saw its revenues go up by 3% in the quarter, from $596.3 million to $613.5 million. Rain, rain, go away, so I won't have to fly another day: A new study shows that nearly 14% of 21 million flights were canceled or delayed because of weather. The report, by WeatherBill, also calculated how much of a delay is caused by an inch of rain at an airport. Atlanta sustains a 29-minute delay for every inch of rain, while flights at Chicago's O'Hare are pushed back 37 minutes per inch of rain in the summer and 75 minutes per inch in the winter. Lost? Lamar Advertising CEO Kevin Reilly; John Koerner, the reigning king of Rex; and Keith Ouchley, Louisiana director of the Nature Conservancy are among eight prominent Louisiana residents stranded on a remote Pacific island after their charter plane experienced engine trouble, The Associated Press reports. The island has electricity and supplies and the group is not considered in danger. The group last week traveled to Palmyra Island, about 1,000 miles southwest of Hawaii, for what was supposed to be a five-day trip. They were scheduled to leave the island Saturday. As of late Wednesday, however, they were still stranded on the island. Plans are to bring a smaller plane to the island and shuttle the stranded visitors in small groups, which could happen late Friday.