### Denotes Press Release
Pictures from the Past—1991—Ricco/Wilets/Cusick/Hartman
Winning 1st Place in the Western Association of Equipment Golf Tournament
was the foursome composed of (l to r) Gerry Ricco, President, Rockford Industries, Inc; Dale Willets, National Accounts Manager, Rockford Industries, Inc.; Mark Cusick National Accounts Manager, Rockford Industries, Inc.; Larry Hartman, Vice-President Rockford Industries, Inc.
Classified Ads---Jobs Wanted
Sales: Scottsdale, AZ.
19+ years in middle-market-leasing. Concentrations in Medical/Manufacturing/IT& General in multiple geographic territories. Well versed in direct calling& closing efforts to C- Level& subordinate management. email:email@example.com
Sales: Prairie Village, KS Have substantial deal flow and database of broker referral sources. Generated and closed over $22M LY. Seeking exclusive relationship w/direct founder. email:firstname.lastname@example.org
Sales: Philadelphia , PA Seeking an open opportunity to advance in the automotive, commercial leasing & finance industry......... email: email@example.com
Sales: Orange County, CA.
Skilled deal-closer at above-average rates. Entrepreneurial. Accomplished lease-structurer specializing in transportation. Exp. in direct/ captive & syndicator environments servicing vendors, brokers, & end-users.
Sales: Louisville, KY
I have been in leasing/financing of construction, machine tool, and mfg equipment for 20+ years. Traveled KY, IN, OH and TN.
Sales Manager: Atlanta, GA
30 years in transportation Finance with strong management/ sales background. Represented company on national & region markets. Started two successful operations- produce profits and growth. Email:firstname.lastname@example.org
Sales Manager: Seattle, WA
Senior level sales professional w/ (20) plus experience in mid market financing & leasing. The last (8) plus years being self employed in middle market brokerage. Email:email@example.com
Sales Manager: New York, NY
I have over 25 years owning an independent leasing company that specialized in truck leasing. Tow trucks, Limos, ambulances, tractors, etc.. Email:firstname.lastname@example.org
Sales Manager: Atlanta, GA
Professional. finance mgr. w/formal credit ed./ reg. vp/ secured/unsecured commercial loans/ direct end user network/equip. leasing/structuring small,mid,big ticket transactions. 10+ years NE & SE. Have vendor servicing w/existing and active network of accounts will bring with me. Email:AlanAustin2000@msn.com
full list at: http://126.96.36.199/LeasingNews/JobPostings.htm
Weather Closes East Coast Leasing Companies as well as other businesses.
It’s no secret the blizzard curtailed President Day sales. It has brought all traffic to a virtual standstill in Washington, Baltimore, Atlanta, Philadelphia, New York, Boston and the rest of the Northeast Corridor.
In addition to the closed airports, halted or delayed bus and train schedule, you will find many businesses closed today.
If readers will let us know what is happening in their area, or have any
information to pass on about the opening of equipment leasing offices,
please let us know.
FDIC to Sell $5.7 MM So. Pac. Lease Portfolio
The Federal Deposit Insurance Corporation will sell the remaining $5.7 MM lease portfolio of Southern Pacific Bank. The leases were originated by Southern Pacific BanCapital, a division of Southern Pacific Bank, which was closed by the California Commissioner of Financial Institutions on February 7.
The portfolio consists of 20 middle market leases in two pools--one of lease loans secured by equipment and the leases thereof; the second consists of direct finance leases. One workout agreement and two defaulted leases in the process of liquidation will also be offered.
The process is a competitive sealed bid sale will be conducted by the FDIC, with electronic information available beginning February 24. Hard copy due diligence will be conducted at the former bank location in Torrance, California, from March 3 through March 21. The bid deadline has been set for March 26.
More Inside about the So. Pac. Lease Portfolio-- John Kruse—
I'm glad the writer of the story for The Daily Breeze sent you his
piece on the subject,
but (like Paul Harvey says) "There Is More To The Story" on a historical basis and even a greater LEASING connection than what was noted in the article.
As I recall, one of your past newsletters, several months ago, noted that
Southern Pacific Bank was in trouble and maybe shut down. I assumed you had
some insight or insider information relative to their problems and/or their
involvement in the leasing industry, when you published that article.
(Our earliest mention of difficulties was: Southern Pacific Bancorp (3/2002) “for the time being” not going to be able to take any more intermediary business, according to W. Scott McCullum, Capital Advance Leasing. editor )
Southern Pacific Bank (formerly Southern Pacific Thrift & Loan)
has had a great deal of involvement in the equipment leasing arena over the
last 9 or 10 years.
In the latter part of 1993, Southern Pacific Thrift & Loan (SPT&L) started a
leasing division called Southern Pacific Leasing. Phil Walden (CEO of
Saddleback Financial fame after Unicapital's BK) was the Division's
President (and subsequent President of Imperial Business Credit, Inc.) In
1994, Southern Pacific Leasing was spun out of SPT&L, became a wholly owned
subsidiary of Imperial Credit Industries, Inc. (NASDAQ ICII and the holding
company of SPT&L) and was known as Imperial Business Credit, Inc. (IBCI).
About the same time, IBCI acquired all the assets/staff of First Concord
Acceptance Corp, Denver, CO., one of Gordon Robert's old operations.
Shortly after that acquisition, IBCI negotiated the purchase of about
$35,000,000 to $40,000,000 of small ticket leases from New Era Funding
(formerly Datronic Rental Corp.). Since I was heavily involved in that
acquisition, I got to know Bob Fisher (New Era's Credit Manager at the time)
very well. After that, IBCI acquired Ron Wagner's Heritage Leasing group in
San Diego including Bill Hansen (of CMC fame). The last major acquisition
IBCI made, which I, again, was heavily involved with, was in the latter part
of 1995 or first part of 1996 and that was the Avco small ticket leasing
group in Orange County. That group also had an office over in Atlanta, GA.
and their portfolio was about $101 million gross and about $90 million net.
IBCI was subsequently shut down in 1998 or 1999 during a
restructuring/recapitalization of ICII and its subsidiaries.
As you can see, Southern Pacific Bank and its parent, Imperial Credit
Industries, Inc. had an extensive involvement in equipment leasing, both
past and present. I'm not sure what will happen to ICII, as a result of
Southern Pacific Bank's closure, but ICII had other subsidiaries, besides
the Bank. ICII's stock has been delisted for more than a year, now and
currently trades at about $0.01 or less in the OTC-Bulletin Board market.
Kruse Financial Services
The List. http://www.leasingnews.org/list.htm
Actually, in several articles we have noted the first one to close down their operation, Ron Wagner at Commerce Securities, Sacramento, was well ahead of the pack. He could smell what was happening in the leasing industry and decided it was time to play golf. Perhaps it was his knowledge of what was happening at Southern Pacific, and what he could see at Advanta, Unicapital, United Capital, and Sierra Cities. Or perhaps he had a conversation with you John. Editor )
Note: This is not the same John Kruse who was at Capital Stream. I have been
trying for over two years to get this John Kruse to do a “Whatever Happened to...”
as it would be fascinating reading.
November 16,2000 Leasing News
Finally trapped the famous Ron Wagner down. He has a house in San Diego and one in the Desert, where he plays golf. He told me he is no longer with El Dorado Bank, parent of Commerce Security. He told me he had recommend Dave Copp, and considered himself now on a sabbatical. I wanted to reach him for a quote on a story we will run next week.
It was interested to speak to him and learn why they decided to close down Commerce Security Leasing. This is really a thumb nail of what he said, and I don't want to get it out of context. Commerce Security was one of the first to get out of the marketplace and in hindsight, was ahead of the trend that follows ( or is happening today ). Downsizing or just closing is prevalent and tightening of credit in all broker relationships is happening.
Ron said the margins weren't there, both brokers and vendors had learned the tricks of application only, telemarketers and the internet was bringing in leasing transaction with problems not covered by professionals and having relationships with lessees, brokers were expecting more and more with less and less margins and more and more problems and he could see the writing on the wall. Of course, Ron has been around longer than many with much experience in all phases of leasing.
I think he may get bored playing golf all the time, but it is Winter in the desert, and I bet he stays there while the weather is warm and waits until Spring to see what thaws out. He didn't tell me that, and I apologize to him if I left anything out or "misquoted" him, but that was the gist of the conversation.
And yes, I see "downsizing" becoming quite prevalent in the leasing industry and also see "different" times ahead, especially the first and perhaps the second quarter of next year. -
Noiel Fontaine New VP at Golden Eagle Leasing
Noiel Fontaine has accepted a position as Vice President General Equipment
Leasing & Broker Relationships for micro ticket lease transactions from
$500-$10,000 for Golden Eagle Leasing. The equipment Golden will accept ranges from automotive to
printing equipment and high tech. The credits range from A-C and Golden has
a start up program as well for new businesses.
Noiel has over 11 years of experience developing vendor and broker equipment
leasing relationships on a national basis, during this period he has
originated over $200 million in equipment lease fundings. Prior to joining
Golden Equipment Leasing in January of 2003, Noiel was General Sales Manager
for Leasecomm managing the national sales force for vendor and broker
Previously, he has held positions with Crocker Capital as Vice President of
Vendor programs both in California and Massachusetts and Heller Financial as
an Assistant Vice President for Vendor programs. Noiel earned his MBA in
Finance from Babson Graduate School of Management in 1992.
Noiel is married with two young children and lives in Wayland, MA. He
confesses to being a die hard Red "1918" Sox fan and Patriots fan. Outside
of work he compete in triathlons and skis with his family in the white
mountains of New Hampshire.
Vice President General Equipment Leasing & Broker Relations
Golden Eagle Leasing
Hurray for Noiel!!!! Give him a call. Mention your read about him
in Leasing News. We wish him the best of luck in his new endeavor
When Leasecomm was closing down, he did his best to help out
brokers, clean up what he could, and was very pro-active. editor
Fitch: Downgrades Accelerated In Q4; U.S. Bond Market Ends 2002 On Down Note
Fitch Ratings-: Following a third quarter reprieve, the pace of corporate credit deterioration picked up speed in the fourth quarter. Volume downgrades exceeded upgrades by a dollar margin of 20 to 1. In the fourth quarter, 8.2% of the U.S. corporate bond market was downgraded (affecting $203.3 billion in par value), .4% was upgraded ($10.2 billion in bonds) and .4% defaulted ($8.8 billion). In the third quarter, volume downgrades totaled 3.7%, upgrades 1.2%, and defaults 1.2%. The investment grade sector produced approximately 82% of fourth quarter downgrades compared with 55% of volume downgrades in the third quarter. On a relative scale, the dollar ratio of downgrades to upgrades was 20 to 1 for both the investment grade and speculative grade sectors. Fourth quarter highlights included:
--The mix of investment grade vs. non-investment grade bonds declined from Sept. 30, 2002 to Dec. 31, 2002. As of Sept. 30, 2002, 82.2% of the market was rated investment grade and 17.8% was rated speculative or non-investment grade. The ratio deteriorated to 81.2% investment grade, 18.8% speculative grade by Dec. 31, 2002;
--All rating categories experienced net downgrades in the fourth quarter. The worst performing rating pools were the 'AA' and 'B' categories. In the fourth quarter, 24.6% and 12.4% of 'AA' and 'B' bonds, respectively, were downgraded. The 'AA' rating pool was also the worst performing bucket in the third quarter; --In step with third quarter activity, volume downgrades were concentrated in banking & finance ($105.6 billion), energy ($23.4 billion), utilities ($17.8 billion), and telecommunications ($14.9 billion). The four sectors combined made up 80% of all volume downgrades in the fourth quarter;
--2002 new issuance was concentrated in longer term debt. Approximately 30.1% of 2002 new issuance was scheduled to mature by 2005, while 38% of 2001 new issuance was scheduled to mature in the subsequent three years. Investment grade companies in particular continued to extend debt maturities in response to the difficult operating and economic environment.
The report, '2002 Ends on a Down Note for the U.S. Bond Market' is available on the Fitch Ratings web site at 'www.fitchratings.com' in the 'Credit Market Research' section under 'Research', or by contacting the Ratings Desk at 1-800-893-4824.
Contact: Mariarosa Verde 1-212-908-0791 or Paul Mancuso 1-212-908-0225, New York.
First Day: New HTML e-Mail Newsletter Format
by Christopher “Kit” Menkin
Maria Martinez-Wong is at her computer at 6:00am, Monday through
Friday the new 2.8gig CPU computer and cable internet connection we provide for her. The purpose is to post the website edition for East Coast readers. At the same time, she is going to send out the HTML Leasing News version along with the new “Day in American Leasing History.” If you have not notices, she posts in the upper right side the time she has finished posting the day’s edition on the website.
Subscribers will note Leasing News is basically a duplicate of the web site, sent
by e-mail, where you can click on headlines to go to the stories. You can also
scroll the stories, too, just like the web site. You also have access to all the features on the web site with the click of a mouse. This was not available in the text version. We can now also format the news with more news links and pictures.
For readers with questions, when I am “on line,” you can ask questions “live.”
Telephone calls result in playing telephone tag or due to the time difference
of East Coast and West Coast, are often left in “voice mail.” This new feature
should speed up the process for subscribers, who we are trying to treat as
“First Class Passengers.”
The new format will give me time to work on stories and also create a
more streamline format.. While three other leasing sites use a service to collect and post to the internet, due to our size, format, we must do this ourselves.
We looked for almost a month to find software that would automate
our process. We do not just print press release headlines with a link to the press release.
Thanks should also go to Carl Moberg of Streakwave Technology, who
wrote the basic programs. Not just the contact forms, but he also
maintains all the classified ads on his web server. The “Kit Menkin
Live” he wrote. He did all the “code” work. Maria did the graphics.
As of today, we have “This Day in American History” is now only sent
to subscribers. Now you can hit the period of time and go to this
section. The format is now more “headlines” before the subject.
There is less writing, more links, and the headline approach. It was getting too long and cumbersome. Putting in this new format will allow several changes to occur over the next few months into a more rapid and easier to read format, plus allow readers to learn more about a subject, see pictures, if you are interested. You have the choice in a more readable format.
Readers who view Leasing News on the web site solely may not know that in the past
the e-mail version had ““Day in American History” as my signature.
It grew over the years into 11 to 12 pages daily. It was becoming
to large to maintain, plus send in text format.
Due to the time and costs involved, it is now available only to HTML subscribers.
It basically is an incentive for readers to pay to subscribe. As an added bonus,
even though it does not have the “look” of the new version, subscribers may
receive in text format, as it is sent out earlier than the HTML edition. This
is primarily for the benefit of our East Coast readers.
I would like to thank the people who participated in our beta test, who
gave us feed back. We consider the format still under development,
but basically accomplishing the first step that we wanted to achieve.
Bob Baker, Wildwood Financial, St. Louis, MO
Steve Crane, Bank of the West, Walnut Creek, CA
Phil Dushay, Global Leasing, New York, NY
Steve Geller, Leasing Solutions LLC, Wesley Hills, NY
Ken Greene, Attorney, Greenbrae, CA
Bruce Kropschot, Kropschot Financial Services, Vero Beach, FL
Charlie Lester, LPI Financial, Marietta, GA
Barry Reitman, Keystone Leasing, Blooming Grove, NY
Bob Rodi, LeaseNow, Warrendale, PA
Jeffrey Taylor, Bountiful, Utah
Bob Teichman, Teichman Financial Training, Sausalito,CA
Rob Yohe, Yohe and Associates, Stilwell, KS
Ginny Young, Brava Capital, Orange, CA
Go here to learn more about our new HTML subscription version:
NAELB---Friday Last Day for Hotel Discount for March Conference
2003 Conference Committee
Shari L. Lipski (Chairperson)
Edwin C. Sigel, Ltd.
Heather Von Bargen
ComCo Equipment Leasing
ACC Capital Corp.
Media Capital Associates, LLC
First Capital Equipment Leasing Corp.
Lease One Systems
Berkowitz, Lefkovits, Isom & Kushner
Jon Haas, CLP
There are a series of excellent workshops. We don’t have the space
to list them all, and suggest you download the brochure.
NAELB Annual Meeting
HOTEL R E G I S T R A T I O N D E A D L I N E
EARLY BIRD REGISTRATION DEADLINE
February 21 ( after this date, add a $100 to the figures below)
Broker $425 Funder $575
(membership in any leasing association qualifies you
to attend. Also if you decided to join NAELB, $150
credit toward your membership dues).
The event is being held:
March 20-23, 2003
Hyatt Regency Oakbrook
If you haven't made your hotel reservations, now is the time. Call the general Hyatt reservations at 800-233-1234 and make your reservations for the Hyatt Regency Oakbrook. Book your reservation on-line, or just take a look at the hotel and amenities by clicking on http://oakbrook.hyatt.com/property/index.jhtml. We have a special rate of $124 for any NAELB meeting participant. When you call, mention NAELB. This special rate cannot be guaranteed after February 21, 2003.
Book your flight today and save. The best airline rates are the ones that are booked early. Visit your preferred airline of
choice and book your flight to Chicago O'Hare International Airport (11 miles from hotel) or Chicago Midway (15 miles from
Members tell us that one of the best opportunities to network and meet others in the brokerage community is at the NAELB
Annual Conference. Don't wait any longer, register today and save $$! After February 21, registration fees increase by $100.
For more information on this meeting and to register click the following link: www.naelb.org/ events.shtml
5621 Departure Drive, Suite 113
Raleigh, NC 27616
Ramona Capriglione Now a CLP
The CLP Foundation is pleased to extend congratulations to our newest Certified Lease Professional, Ramona Capriglione, CLP with Wildwood Financial Group, Ltd.
The CLP Foundation is the official governing body for the Certified Lease Professional ("CLP") Program. The CLP designation sets the standard for professionalism in the leasing industry. This designation identifies and recognizes individuals within the leasing industry who have demonstrated their competency through continued education, testing and conduct. The letters "CLP" behind their name represent a visible recognition of this professional achievement and status.
For further information about the CLP Foundation and the CLP Program please contact:
Cindy Spurdle, Executive Director
Business Leasing News Latest Edition
In case you do not already know, the February edition of Business Leasing
News is available at
The lead story this month relates to the new FASB changes affecting off-balance sheet entities. It is critical that the leasing community understand that these
rules affect private and public companies, and that the period to effect
restructuring is very short. Many synthetic leases, for example, will end up
on the balance sheet of the "primary beneficiary," which is usually the
Other articles this month cover issues on sale leasebacks, venture
capital investing, and the President's economic plan as it affect leasing,
with supporting sites and articles.
Your reporting is as interesting as always. Keep up the good
All the best,
David G. Mayer
Patton Boggs LLP
2001 Ross Avenue
Dallas, Texas 75201
Tel: (214) 758-1545
Fax: (214) 758-1550
Author of: Business Leasing For Dummies
Publisher of: Business Leasing News
News Briefs plus Sports: The NFL Draft
Bill Would Ban Spam E-Mail in California
Robust chip sales predicted; demand for digital gadgets seen as key reason
Compare You Gas Pump Prices with Texas
Estimated Salary Caps for NFL Teams
The Draft to Be Held April 26-27, 2003
(to start Noon, Saturday)