MAJOR PAPERS:

• Corporate advertisers are not flocking to YouTube despite the fact that the video sharing site attracts one billion views a day, upsetting Google Inc's (NASDAQ: GOOG) expectations for a strong revenue stream, according to the Wall Street Journal. Total ad revenue for Google this year will be about $200M from the site, where the company is counting on growth beyond its text ads from Web searches.
• A day after Microsoft Corporation (NASDAQ: MSFT) said it would be interested in reopening talks to acquire some of all of Yahoo! Inc (NASDAQ: YHOO) if Carl Icahn's proxy battle succeeds, the Wall Street Journal reported that Yahoo! CEO Jerry Yang accused Microsoft of "trying to destabilize" the company "without a real desire to complete a deal".

• The Atlanta Journal Constitution reported that Comair, a subsidiary of Delta Air Lines Inc (NYSE: DAL), is set to cut 300 pilots and 220 flight attendants from its staff. The paper said the layoffs will go into effect in September when Comair cuts its flight schedule as part of Delta's capacity cuts and will affect crew members based at Cincinnati/Northern Kentucky International Airport and New York's John F. Kennedy International Airport.

• Iran successfully test-launched a long-range version of its Shahab-3 missile, according to Iranian news service Al-Alam. The missile can reach U.S. military bases in the Persian Gulf and Israel.

Circuit City Stores, Inc. (NYSE: CC) is an awful business right now, and a big shareholder of the retailer wants Chairman and CEO Philip Schoonover to get the heck out. According to The Wall Street Journal (subscription required), Wattles Capital Management LLC owns 6.5% of Circuit City, and it's getting pretty tired of the CEO's dismal performance.

Bravo to Wattles -- it irks me when chief executives who aren't up to par remain at the helm of the ship. Regular, small-time investors really have no say in anything -- but the big-guy activists can throw their weight around and enter into proxy battles to keep the pressure on management. I completely agree with Wattles and its reasoning regarding the current state of Circuit City, and I hope its efforts will pull the retailer in a new direction and inspire fresh, shareholder-value-enhancing strategies. Easier said than done, of course, but with Circuit City's stock currently stuck below $5 a share, management needs some outside influence.

Circuit City is having a tough time against competitors like Wal-Mart Stores, Inc. (NYSE: WMT) and Best Buy Co., Inc. (NYSE: BBY); its brand equity is definitely suffering. As far as investing in Circuit City goes, it's not even a tiny blip on my radar at the moment; I'll have to wait and see how a turnaround -- if it is genuinely forthcoming -- evolves.

Disclosure: I don't own shares in any of the companies mentioned here; positions can change at any time.