Balboa Capital, Irvine, California
$20,543.22 Bulletin Board Complaint
Alleged “Bait and Switch”

This company appears on both lists:
www.leasingcomplaints.com (Be Careful of Doing Business)
www.evergreenleasingnews.org

 

Accurate Air Engineering, Inc., Cerritos, California signed a lease with Balboa Capital, Irvine, California on June 22, 2010 (1) for a "finance lease" for software supplied by wire from Telesoft Sunbelt Computers, Phoenix, Arizona (2). The software invoice was originally $133,000 and most was delivered in March, according to Accurate Air Engineering, where they made down payments (3).This company is a very strong credit, could have gone to their bank, and considering this is basically a "software" only for this dollar amount, certainly substantiate its creditworthiness.

What makes this a "legitimate complaint" for Leasing News is how it appears it occurred, how it relates to other complaints about Balboa Capital, as well as an apparent settlement that evidently has a nondisclosure clause, and the fact of a settlement, tends to give further credence to the complaint itself.

Accurate Air Engineering narrowed the bidding process down to Direct Capital, Portsmouth, New Hampshire, and Balboa Capital, whose bid was a 36 month "finance lease" of .0304. (The document fee was not brought up.)

The trick in this alleged "bait and switch" was a supposed lower rate with a quarterly payment, as made in other Balboa Capital leases, such as the Leasing News Bulletin Board complaint with Burton Lumber (who was not counting the payments until they had made a number of extra payments after the original lease had ended). (4)

This is now a quarterly payment, not monthly, designed for 12 quarterly payments with a security deposit to be applied to the twelfth month.

The way this works is what is assigned to Bank of the West in arrears are eleven payments, with Balboa keeping the security deposit as payment number twelve. Although the contract states the security deposit may be applied to the last payment, it is planned that way from the beginning. And the way the kicker is set up: Balboa charges what appears as a first payment, which they labeled a "prorated payment." Accurate Air views this as the first month payment.

In reality, it is profit, whatever the label may be.

There has been interim rent charged in other leases where it really is not for a set 1st or 15th of the month, but actually becomes almost a "payment." It is an old leasing ploy to collect a extra fee.

Accurate Air then paid the security deposit of $9,582.90 with the lease, and in July paid the prorated $9,582.90 plus $1,050.00 documentation fee to Balboa Capital. Adding the security deposit and 11 payments to Bank of the West that is 12 quarterly payments. The change of rate, the discount of one quarter payment increases the yield to lessor as well as the document fee and prorated payment.

(note: sales/use tax not on either of these payments to Balboa Capital).

And Ten Payments to Bank of the West:

• 09/13/2010 4th 10,517.23
  
• 12/14/2010 1st 10,517.23
  
• 03/14/2011 2nd 10,517.23
  
• 06/13/2011 3rd 10,517.23
  
• 09/12/2011 4th 10,421.40
  
• 12/13/2011 1st 10,421.40
  
• 03/13/2012 2nd 10,421.40
  
• 06/15/2012 3rd 10,421.40
  
• 09/12/2012 4th 10,421.40
  
• 12/13/2012 1st 10,421.40

(Note: Why sales/use tax decreased not explained)

Accurate Air noted they wanted to exercise the purchase option and received an invoice for $101.00 plus sales tax of $9.10 and a $479.00 termination fee (not covered in the lease contract).

At this time, Accurate Air believed Balboa Capital was to use the security payment (as per the lease contract)as the last payment to Bank of the West. Bank of the West said they owed it. In reality, Balboa Capital already utilized the security deposit as the twelfth and Accurate Air owed the 11th payment to Bank of the West.

At this time, an executive of the corporation got involved and learned about the sales/use tax on the monthly payment charged and paid by accounting department. Evidently when the bank told accounting they owed the sales/use tax, it was paid, when it allegedly should not be on a wire installation and maintenance of software in California.

Neither Bank of the West or the Accounting Department was aware of the situation of the issue of the collateral.

Leasing News was contacted, collected the documents, and attempted many times to reach officers of Balboa Capital, who never returned any telephone calls or emails. Bank of the West Indirect Equipment Lease Origination was contacted by Leasing News who stated the neither "prorated payment" was not given to Bank of the West, nor the security deposit (afterall, Bank of the West was only assigned 11 payments, not twelve. Under the circumstances, Leasing News was told they would waive the late charge to Accurate Air on the 11th payment to them. As to the sales tax/use, they were never informed about that from Balboa Capital, and as to not being charged on the "prorated" or "security deposit," that was for Balboa Capital and not Bank of the West.

From Accurate Air viewpoint making the 11th payment was paying an extra $10,517.40 as well as the sales/use tax on 11 payments and a $479.00 termination fee (4): an extra $20,543.22.

In the last discussions with Accurate Air the issue of who would request the sales/use tax return from the California Board of Equalization as well as the "Pro-Rata" payment was being discussed with Balboa Capital, who it seems was willing to return half of the "Pro-Rata" payment as well as Accurate Air would pay the 11th payment to Bank of the West.

It appears a non-disclosure agreement has been signed by both parties. The result is not public.

1. Balboa Lease
   Accurate Air Balboa PDF
   

2. $105,000 invoice http://leasingnews.org/PDF/BalboaInvoiceforlease_72013.pdf
   

3. Sunbelt Computers/Telesoft 3/23/2010 invoice
   http://leasingnews.org/PDF/VendorInvoiceAccurateAir_72013.pdf
   

4. archives/Apr2013/4_29x.htm#balboa_capital_complaint
   

5. Termination fee invoice
   http://leasingnews.org/PDF/TerminationFeestatement_72013.pdf
   

 

John Kenny Receivables Management • End of Lease Negotiations & Enforcement• Fraud Investigations • Credit Investigations • Asset Searches  • Skip-tracing • Third-party Commercial Collections john@jkrmdirect.com | ph 315-866-1167| www.jkrmdirect.com

(Leasing News provides this ad as a trade for investigations
and background information provided by John Kenny)

Classified Ads---Legal

(These ads are “free” to those seeking employment
or looking to improve their position)

San Diego , CA  Experienced in-house corporate, equipment leasing and financial services attorney seeks position as managing or transactional counsel. Willing to relocate. Cell Phone: 760-533-4058; Email:marshallrosenberg@gmail.com | Resume

Free Posting for those seeking employment in Leasing:
http://www.leasingnews.org/Classified/Jwanted/Jwanted-post.htm

All “free” categories “job wanted” ads:
http://www.leasingnews.org/Classified/Jwanted/Jwanted.htm

 

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Modern History of Leasing--abridged
Written by Tom McCurnin, Leasing News Legal Editor
Christopher Menkin, Leasing News Editor

Part Three of Four

“Hits the Fan”

During the course of this growth of the small to middle-market leasing industry which started in the 1970’s, there were many giants in the industry receiving third party originations ( in addition to direct sales). Companies like Credit America, Credit Alliance, First Interstate Credit Alliance, Orix Credit Alliance, Orix Financial Services, AT&T, Denrich, OPM, Dana, Phoenix, Rockford, Newcourt, Finova, Sierra Cities, Bombadier, FMC, Key, VGM, Leasing Solutions, Linc Capital, DVI, United Leasing, Fidelity, Unicapital, then Lyon Financial, Colonial Pacific, as well as banks once very active such as Crocker, Security Pacific, CoreStates/First Union, NCNB (which bought B of A), ManHan and First National of Chicago (both bought by Chase), Chemical, to name a few---and the list goes on to those no longer in the marketplace (and some still are such as GE) with perhaps only Bruce Kropschot of the Alta Group able to name them all.

When the subprime mortgage bubble burst in 2007, the high at at the first of the year in 2008 of National Association of Equipment Leasing Brokers (NAELB) was 1089 and Equipment Leasing and Finance Association (ELFA) was 741. 2010 the Eastern Association of Equipment Lessors merged with the United Association of Equipment Lessors and from a high of 495 members (70 were dual members) the group now the National Equipment Finance Association had a total of 159 members in 2011. NAELB was at 503. ELFA was at 514.

	3/31	2013	2012	2011	2010	2009	2008	2007	2006	2005	2003	2002	2001	2000
ELFA	514	583	565	582	604	700	741	768	817	780	732	862	873	850
NAELB	503	557	617	696	847	1021	1089	950	731	648	480	433	415	475
AGLFA	307	285	274	250	238	265	277	255	255	255	203	263	343	250
NEFA	159	193	191	210	274
EAEL	*	*	*	*	*	183	181	196	198	180	191	216	227	240
UAEL	*	*	*	*	*	289	314	314	314	297	248	378	379	589

(11)

By 2011, there were over 450 companies who were removed from the Leasing News "Broker/Lessor" list; many were one man shops, or perhaps up to 4, and noticeably several were dealers of equipment or real estate agents or those involved in factoring or credit card advances. There were less actual funding sources: 91 leasing companies by 2011 who had given up funding independent brokers, of which 30 had gone out of business, according to the Leasing News list count. Not only were companies not borrowing or expanding, money was not available to them, so many brokers and leasing companies began selling business loans, credit card advances or factoring of an invoice.

This time period also saw the growth of industrial banks, primarily in Utah, but other states as companies wanted the profit from credit card sales directly, and several automobile and equipment finance companies also established such banks such as CIT and Marlin Business Services. This gave them the ability to leverage their cash and also create less expensive lines of credit, as well as extend their lines of credit through the banking directly.

In addition, the “co-operative” came to leasing as One World Leasing, as well as brokers combining with a “back office company” or as a group getting together for recourse and nonrecourse funding and sharing mutually in the profits.

Interesting became the fact of the Equipment Leasing Association changing its name to Equipment Leasing and Finance Association as well as the merger of EAEL and UAEL into the National Finance Association. Other changes include GreatAmerica Financial as well as the many companies with “Capital,” such as Direct Capital. This was before the announcement of

changes in international accounting. It should be noted the Equipment Leasing and Finance Foundation noted 91% of the number of leases written the previous year were “finance leases,” often labeled a “capital lease,” but nevertheless for both accounting and tax, it was a “finance.” The large depreciation allowances perhaps the culprit. Or did “leasing” lose its “fizzle” when lessors were not returning advance rentals when leases did not go forward or were taking advantage of Evergreen lease clauses with extra payments, often one or two years, even with $1.00 purchase options.

Many of the banks who left the indirect marketplace were hit the hardest by “application only,” in which some would approve such transactions up to $150,000. In retrospect, it was not the independent broker, but the lack of financial statements and tax returns which gave the banks their greatest write-offs. In some cases it was quite dramatic, particularly in rolling stock as well as certain industries not having the capital to survive a slowing down of business. A recent informal survey found “…even on quality scoring models, losses were 2.5 to 3.0 times higher than with full disclosure transactions and collections were much higher.” (12)

The last three years have seen a combination of lack in demand for equipment, coupled with a lack of availability for businesses in general, especially small businesses, who at the same time are experiencing less profit, and independent brokers are squeezed in all directions, including more scrutiny with application and final documentation, thus many have left for other occupations, more notably factoring, cash advance from credit cards, as well as going back to work as an direct salesman for a leasing company or dealers, distributors, and manufacturers with their own lines of credit. A remarkable event is how many have or are retiring as well as have left the industry as evidenced by the demand for experienced employees in all aspects of leasing and finance finding much competition.

International changes in accounting will affect leasing, but it is too early to guess, although the large Lease-In/Lease-Out (LILO) and Sale-in/Sale-Out (SILO) transactions as Congress called was reversed, resulting in large losses for those involved. (12) There is a lot of controversy how more transparency will help accounting and how it will change the middle and large ticket leasing marketplace.

The small ticket has gone to many cash advance and loan with easier and faster credit decisions, including less paperwork and time involved in the actual sales operation.

Monday---Part Four of Four

“Where Do We Go From Here”

(11) http://leasingnews.org/archives/Apr2013/4_08.htm#memberships

(12) http://leasingnews.org/archives/Oct2011/10_28.htm#results

(13) http://www.leasingnews.org/Conscious-Top%20Stories/ELA_Tax_loop_hole.htm

 

 

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MicroFinancial Reports Flat Second Quarter
Writes Smaller Leases

MicroFinancial, Burlington, Massachusetts, specialists in micro leasing, with minimum of $500, reported Net income for the quarter ended June 30, 2013 was $2.5 million compared to net income of $2.6 million for the same period last year. The company specializes in the $500 to $25,000 range through its TimePayment Corporation, writing over 700,000 micro-ticket sales.

Richard Latour
President/CEO

"Although originations in the second quarter were flat year over year, we did see an increase of 19% quarter over quarter,” Richard Latour President/CEO, said."We also had increases of 7.0% and 13.1% in the number of applications and leases over the same period last year.

"The primary reason for the flat originations year over year was due to our continued focus on micro-ticket products which resulted in a decline in our average funded amount from approximately $5,500 in the second quarter of 2012 to $4,900 in the second quarter of 2013.

"In addition, we realized increases in revenues and cash receipts over the same period last year along with lower net charge-offs. Lastly, we signed up 289 new vendors for the quarter."

Revenue for the second quarter increased 6.7% to $15.7 million compared to $14.7 million for the same period in 2012, driven primarily by growth in lease revenue and rental income during the quarter. Revenue from leases was $10.4 million, up $0.4 million from the same period last year and rental income was $2.7 million, up $0.3 million as compared to the second quarter in 2012. Other revenue components contributed $2.6 million for the current quarter, up $0.3 million from the same period last year.

Quarterly Highlights:

• Net income was $2.5 million or $0.17 per diluted share which compares to $2.6 million or $0.18 per diluted share in the same period last year;

• Cash received from customers was $32.8 million or $2.22 per diluted share which represents an increase of 9.0% as compared to the same period last year;

• Revenue increased by 6.7% to $15.7 million as compared to the same period last year;

• Net charge-offs declined 10.5% to $3.9 million as compared to the same period last year;

• The Company was able to repurchase 82,169 shares under the buyback program; and

• The Company paid a cash dividend of $0.06 per share.
  

The provision for credit losses increased slightly to $9.6 million for the six months ended June 30, 2013, as compared to $9.4 million for the same period last year. Year to date net charge-offs decreased 15.7% to $8.1 million as compared to $9.6 million for the same period last year. Year to date cash from customers increased by 7.8% or $4.7 million to $63.9 million as compared to $59.2 million for the same period last year.

The company in 2011 opened an office on the West Coast, 2801 Townsgate Road, Westlake Village, California, to give both vendors and brokers an extra three hours, after the East Coast company closes. This office is equipped to handle as aspects of a lease from the initial sales call, credit approval and funding. It should be noted the company is presently looking for an inside sales representation:

http://jobview.monster.com/inside-sales-representative-job-westlake-village-ca-us-123727521.aspx

MicroFinancial Incorporated is the parent company of TimePayment Corp, and is traded on the NASDAQ symbol MFI.

MicroFinancial 2nd Quarter Statement:
http://leasingnews.org/PDF/MicrofinancialFinancialStatement_72013.pdf

 

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Leasing Industry Help Wanted

Orange, California Commercial Credit Analyst 3-5 Year underwriting experience Underwrite 15 to 20 credit apps a day, $75,000 started credit limit, above $75,000 with committee. This is a key position, important for the growth of Quick Bridge Funding. For more description of duties and requirements, please click on position www.quickbridgefunding.com Quick Bridge Funding provides working capital loans to small and mid-sized companies throughout the United States. With an innovative program we provide capital to an to an under-served market.

Leasing Coordinator West Los Angeles, California Grow with us: coordinate credit, documents, funding, and all processing--- helping small to medium size businesses survive as well as improve their profit. Dakota Financial is a small family style run company. Speak directly to the person in charge: Michael Green (310) 6969 3030 x 124 www.dakotafinancial.com We fund traditional leases as well as sale-leasebacks, private party sales, start-ups, and owner/operators from $10,000 up to $250,000.

Positions Available in Irvine and San Diego Funding Coordinators and Credit Analysts 1 year experience preferred, salary/benefits Funding Coordinator description: click here Credit Analyst description: click here Resumes: dean@cflbc.com

www.cflbc.com Commercial Finance & Leasing Bank of Cardiff, Inc, a finance lender licensed pursuant to the California Finance Lenders Law, license #603G469

For information on placing a help wanted ad, please click here:
http://www.leasingnews.org/Classified/Hwanted/Hwanted-post.htm

Please see our Job Wanted section for possible new employees.

 

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New Hires--Promotions

 

 

Jerry R. Drisaldi has been elected as Vice Chairman of OnePak, Inc. Board of Directors. He recently retired as president of International Sales at UPS following a 39 year career with the company. "Drisaldi was welcomed to the OnePak board by its Chairman Joe Lane, former President of IBM Credit Corp and GE Technology Finance, and former Chairman of the Equipment Leasing and Finance Association.

“Steven Andon, CEO of OnePak, also welcomed Drisaldi, saying: 'Jerry Drisaldi brings unrivaled world-class experience and executive skill to our early-stage enterprise. His energy and perspective will help OnePak position its online Return Center as the leasing industry standard.'

“OnePak’s revolutionary end-of-lease returns process for technology-related, medical and copier equipment offers lessees a convenient and economical full-service pack & ship solution, while providing lessors with data capture and management reporting for consistency and compliance. Through ReturnCenter.com, and other customized sites, OnePak makes the returns process cost- effective, uniform, and transparent, minimizing disputes and optimizing efficiencies."
www.linkedin.com/pub/jerry-drisaldi/8/36b/196

Luke Graham named managing director of AloStar Business Credit Lender Finance Division. He previously was managing director and business development manager for Wells Fargo Capital Finance. Prior is he was svp-director, Wachovia Securities (2003-2004), senior vice president, GE Capital Commercial Financial Services (1998-2003), vice president, Capital Markets Assurance Corporation 91993-1997), AVP, State bank of South Australia (1990-1991). Rutgers, The State University of New Jersey-Newark. MBA, Finance (1987 – 1992) Penn State University, BS, Economics (1984 – 1986).Carnegie Mellon University (1982 – 1984).

Brian Sprague hired as sales executive for Commercial Finance & Leasing Bank of Cardiff, Del Mar, California. Previously he was working in sales at Dimension Funding (August, 2012-June, 2013).University of Wisconsin-Milwaukee Bachelor of Arts (B.A.), Economics (2007 – 2009) University of Wisconsin-Madison, Muskego High School (1998 – 2001).www.linkedin.com/pub/brian-sprague/55/341/a40

 

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Loan Demand Up reports Beige Book
Twelve District Reports

The most recent report on current economic conditions by the twelve Federal Reserve districts report "...banking conditions were generally positive across the Districts. Overall loan demand increased modestly across most reporting Districts. New York District bankers reported mixed but generally steady loan demand. Some bankers in the Cleveland, Chicago, and Dallas Districts noted competitive pressures to reduce loan pricing.

"Bankers in the Philadelphia, Richmond, Cleveland, Atlanta, and Chicago Districts noted a shift toward new home mortgages and away from refinancing (which was led, in part, by increases in interest rates)

"Reports on credit quality indicated slight to moderate improvements across the reporting Districts. Improvements were noted by the New York, Philadelphia, Kansas City, and Dallas Districts. Credit standards remained largely unchanged, although some bankers in the Atlanta and Philadelphia Districts noted increased competition to ease credit."

Boston
monetarypolicy/beigebook/beigebook201307.htm?boston

New York
monetarypolicy/beigebook/beigebook201307.htm?new_york

Philadelphia
monetarypolicy/beigebook/beigebook201307.htm?philadelphia

Cleveland
monetarypolicy/beigebook/beigebook201307.htm?cleveland

Richmond
monetarypolicy/beigebook/beigebook201307.htm?richmond

Atlanta
monetarypolicy/beigebook/beigebook201307.htm?atlanta

Chicago
monetarypolicy/beigebook/beigebook201307.htm?chicago

St. Louis
monetarypolicy/beigebook/beigebook201307.htm?chicago

Minneapolis
monetarypolicy/beigebook/beigebook201307.htm?minneapolis

Kansas City
monetarypolicy/beigebook/beigebook201307.htm?kansas_city

Dallas
monetarypolicy/beigebook/beigebook201307.htm?Dallas

San Francisco
monetarypolicy/beigebook/beigebook201307.htm?san_francisco

Full Report:
monetarypolicy/beigebook/beigebook201307.htm

 

 

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Four Hot Franchises
QSRmagazine.com

Menchie’s Frozen Yogurt
TOTAL U.S. UNIT COUNT: 229 (228 franchised)
FRANCHISE FEE: $25,000–$40,000
TOTAL START-UP COSTS: $300,000–$320,000
ROYALTY: 6% of net sales
RENEWAL FEE: $20,000
MARKETING FEE: 2% of net sales

Menchie’s mission statement sets a bold goal: to make every guest smile. With a $500,000 AUV, the Encino, California–based brand gives its franchisees reason to smile, as well.

Using Menchie’s proprietary frozen-yogurt product, guests create their own mix from more than 100 rotating flavors, including the likes of cake batter and pomegranate raspberry tart. There are also 70 rotating toppings, ranging from hot fudge to fresh fruit and granola. Menchie’s hits on health by offering nonfat, gluten-free, vegan, dairy-free, no-sugar-added, kosher, and low-carb options.

For franchisees, ROI comes courtesy of a highly scalable operation with recognizable branding, operational simplicity, national purchasing power, and no hidden charges or product markups.

As Menchie’s CEO Amit Kleinberger says, “Happy franchisees make happy guests."

AN OUTSIDE PERSPECTIVE: Simon says Menchie’s festive, group-drawing atmosphere creates higher ticket prices and increased referrals. But it’s the chain’s outstanding growth in a challenging economy that most impresses.

“Menchie’s has proven that a system focused on customers, product, and franchisees can dominate a highly competitive market by expanding from 38 units in 2010 to [229] today,” he says.

Barberitos
TOTAL U.S. UNIT COUNT: 29 (27 franchised)
FRANCHISE FEE: $20,000
TOTAL START-UP COSTS: $240,000–$400,000
ROYALTY: 5% of net sales
RENEWAL FEE: $2,000
MARKETING FEE: 2% of net sales
Barberitos is making a splash in the fast-growing Mexican segment. In 2012, same-store sales jumped more than 10 percent from 2011 and AUV hovered near $700,000.

“Each year, the company profit grows, proving that our customers are loyal and willing to pay for our product,” Barberitos founder and CEO Downing Barber says.

As a Barberitos franchisee himself, Barber is personally affected by every corporate decision, a reality that connects him with the operators’ plight and ensures that corporate decisions drive store-level success. Barber, in fact, calls Athens, Georgia–based Barberitos a “profit-focused” system. The corporate office lends counsel to site selection, design and construction, marketing, and business management, alongside franchise support every six to nine weeks.

“Many franchises do not even operate any of their own [stores], so they don’t fully understand what franchisees have to do deal with,” Barber says. “But there’s no ivory-tower thinking here.”

AN OUTSIDE PERSPECTIVE: If handled correctly, McKee says, Barber’s status as CEO and franchisee can be a big plus for the Barberitos system, as it allows corporate leadership to better understand the daily grind and the external factors operators encounter.

“The communication between the CEO and his franchisees also takes on a different tone because the profitability of the franchisees is a top focus,” says McKee, who applauds Barberitos’ efforts to clearly define its franchisee profile and performance.

 

Freddy’s Frozen Custard & Steakburgers
TOTAL U.S. UNIT COUNT: 83 (74 franchised)
FRANCHISE FEE: $25,000
TOTAL START-UP COSTS: $461,000–$899,000
ROYALTY: 4.5% of net sales
RENEWAL FEE: 1/3 of then-current franchise fee
MARKETING FEE: .25% of net sales
Kansas-based Freddy’s has earned growing national recognition—and a repeat appearance on this Best Franchise Deals list—for its premium steakburgers, fresh-made custard, and $1.4 million AUV.

Freddy’s COO Scott Redler says Freddy’s encourages innovation and entrepreneurial thinking among its franchisees, while also supplying the support that fosters expansion. A formal “Freducation” training program and ongoing franchisee coaching ensures consistency throughout the system. Freddy’s also prides itself on transparency with its franchise partners, handing its operators all product purchase incentives and rebates.

“We share the system’s purchasing power equitably and proportionately with the franchisees from day one,” Redler says.

Freddy’s, which today has outlets in 17 states, plans to add as many as 300 stores within the next five years.

AN OUTSIDE PERSPECTIVE: With the right systems and operations in place, including franchisee training and strong supplier relations, McKee says, Freddy’s could meet its ambitious growth goals.

“Freddy’s AUVs are strong and if the franchisee carefully monitors his or her costs of entry, this could be a repeat for QSR’s Best Franchise Deals again,” McKee says.

 

Penn Station East Coast Subs
TOTAL U.S. UNIT COUNT: 253 (252 franchised)
FRANCHISE FEE: $25,000
TOTAL START-UP COSTS: $320,798–$460,813
ROYALTY: 4–8% of net sales
RENEWAL FEE: $1,000
MARKETING FEE: 1% of net sales
It could be because of its conservative growth approach, or its intense focus on operational simplicity and a customer-pleasing experience. But Penn Station’s record speaks for itself: only two closures in its 28-year history.

The Cincinnati, Ohio–based company, where AUV topped $600,000 in 2012, provides its franchisees with monthly financial comparisons and average income statements that allow operators to benchmark their performance against others in the system.

“Penn Station is a great franchise deal not only because of our strong systems and unit economics, but also our approach to franchisee profitability,” says Penn Station director of sales Jad Buckman.

Today, Penn Station is in 13 states, having added Georgia and the District of Columbia to its roster this year. Plans are to open at least 30 new units by year’s end.

AN OUTSIDE PERSPECTIVE: Simon says it’s refreshing to see a brand with a low closure rate and believes the monthly system wide benchmarking allows operators to pinpoint areas in need of attention.

“Penn Station has taken a deep interest in its franchisees’ [profit and loss statements], leading to increased bottom lines and, in turn, lower closure rates,” Simon says.

 

Leasing News Advisor
Bruce Lurie

 

Bruce Lurie joined the Leasing News Advisory board September 12, 2007 and has been an active participant.

Bruce Lurie, President, Douglas-Guardian Services Corporation, Houston, Texas, an equipment inspection and collateral management firm established in 1932.

Douglas-Guardian Services Corporation
14800 St. Mary's Lane, Suite 200
Houston, Texas 77079
Telephone: 800-255-0552
Fax 800-529-7530
blurie@douglasguardian.com
www.douglasguardian.com

Since July 1995, Bruce Lurie has been president of Douglas-Guardian Services Corporation, the original equipment inspection and collateral management firm established in 1932.

When not chasing down collateral to inspect throughout the US or Canada, Bruce enjoys spending time with his wife Martha and learning new and exciting things from his 13 year old daughter Danielle. Bruce is an avid jogger and former triathlon fanatic.

Prior to Douglas Guardian, his experience includes fifteen years with Brown and Root, Inc., a multi-billion dollar engineering and construction company. Primary areas of responsibility have included project development, project finance, sales, marketing, strategic planning and executive management. Extensive training in quality deployment and team building techniques. BS, Civil Engineering, BS Engineering Management, and MBA from Tulane University, New Orleans, LA.

 

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Failed banks: Class of 2013
16 to date/51- 2012/157- 2010

Sevierville, Tenn.-based Mountain National Bank ($437.3 million)
North Las Vegas, Nev.-based 1st Commerce Bank ($20.2 million)
http://leasingnews.org/archives/Jun2013/6_11.htm#bank_beat

Kenosha, Wis.-based Bank of Wisconsin ($134.0 million)
http://leasingnews.org/archives/Jun2013/6_03.htm#bank_beat

Scottsdale, Ariz.-based Central Arizona Bank ($31.6 million)
http://leasingnews.org/archives/May2013/5_15.htm#wef

Valdosta, Ga.-based Sunrise Bank ($60.8 million)
Asheville, N.C.-based Pisgah Community Bank ($21.9 million)
http://leasingnews.org/archives/May2013/5_13.htm#bank_beat

Douglasville, Ga.-based Douglas County Bank ($317.3 million)
Lenoir, N.C.-based Parkway Bank ($109.6 million)
http://leasingnews.org/archives/Apr2013/4_29x.htm#bank_beat

Marianna, Fla.-based Chipola Community Bank ($37.5 million)
Orange Park, Fla.-based Heritage Bank of North Florida ($104.0 million)
Lexington, Ky.-based First Federal Bank ($93.0 million)
http://leasingnews.org/archives/Apr2013/4_23.htm#bank_beat

Gold Canyon, Ariz.-based Gold Canyon Bank ($42.1 million)
http://leasingnews.org/archives/Apr2013/4_08.htm#arizona

LaGrange, Ga.-based Frontier Bank ($258.8 million)
http://leasingnews.org/archives/Mar2013/3_11.htm#bank_beat

Chicago-based Covenant Bank ($58.4 million)
http://leasingnews.org/archives/Feb2013/2_19.htm#bank_beat

Andover, Minn.-based 1st Regents Bank ($49.6 million)
http://leasingnews.org/archives/Jan2013/1_22.htm#bank_beat

University Place, Wash.-based Westside Community Bank ($91.9 million)
http://leasingnews.org/archives/Jan2013/1_15.htm#beat

 

(Map and Graphic courtesy of SNL Financial)

Orange, California Commercial Credit Analyst 3-5 Year underwriting experience Underwrite 15 to 20 credit apps a day, $75,000 started credit limit, above $75,000 with committee. This is a key position, important for the growth of Quick Bridge Funding. For more description of duties and requirements, please click on position www.quickbridgefunding.com Quick Bridge Funding provides working capital loans to small and mid-sized companies throughout the United States. With an innovative program we provide capital to an to an under-served market.

 

### Press Release ############################

Fitch: Lessors Challenged by Proposed
Lease Accounting Changes

Fitch Ratings-Chicago- Proposed lease accounting changes outlined in the recent FASB/IFRS exposure draft will significantly alter financial reporting standards for both lessors and lessees. Fitch Ratings expects lessors to face significant challenges in applying the new rules, but the impact on economic fundamentals in the leasing industry will be limited.

Off-balance sheet treatment, which would end for most lessees under the terms of the exposure draft, is only one of many current incentives for leasing assets, as opposed to purchasing them outright. Other key benefits of leasing, such as reduced capital outlays, lower residual risk and portfolio management flexibility will remain in place.

Since economic effects on lessors will likely be small, no rating actions are anticipated. However, we will evaluate any changes in market dynamics that result from the new rules.

The new accounting rules would increase the level of management judgment used by lessors to determine lease asset and discount rates. Additional disclosure around the residual value and interest rates used in the calculations should enhance analytical comparison across issuers.

As we noted in a recent Fitch Wire comment ("Accounting Rules May Encourage Short-Term Leases" published May 21, 2013), the new accounting rules may encourage some lessees to shift to short-term leases (less than 12 months) or structure lease agreements as service contracts. We believe this outcome would be a modest negative for lessors, as short-term leases generally diminish the predictability of cash flows for a lessor and reduce flexibility in aligning the duration of funding.

In commercial fleet leasing, the biggest effects are likely to be seen on the lessee side. Lessees may be forced to make changes to their treatment of "right of use" payments on no property leases with terms of more than one year. Still, we do not expect the changes to fundamentally alter customer decisions on whether to lease assets.

The accounting changes may make it more difficult to compare lessors that have different business profiles or asset types. For example, a newer aircraft lessor with a younger fleet might look more profitable than a more established peer because more income from a lease will be front-loaded under the proposed receivable and residual approach. However, the underlying lease cash flows will not change. Fitch focuses increasingly on cash flow-based metrics in its analysis.

The new standard will generally make lessor accounting more complex. Both income statements and balance sheets will likely require numerous adjustments to analyze the true economics of the business.

Lessors will need to incur additional expenses to analyze, implement and maintain the new accounting standard. While Fitch expects these costs to be manageable, it may put smaller leasing companies at a disadvantage relative to competitors with greater scale and resources. Lessors have plenty of lead time, with the final rules not expected to become effective until 2017 at the earliest.

At a higher analytical level, we see the convergence of international and U.S. lease accounting standards as generally positive, as it will make cross-border peer comparisons much more consistent. We also expect that the changes will contribute to enhanced disclosure for lessors, ultimately supporting our ability to fine tune our analysis.

#### Press Release #############################

Leasing Coordinator West Los Angeles, California Grow with us: coordinate credit, documents, funding, and all processing--- helping small to medium size businesses survive as well as improve their profit. Dakota Financial is a small family style run company. Speak directly to the person in charge: Michael Green (310) 6969 3030 x 124 www.dakotafinancial.com We fund traditional leases as well as sale-leasebacks, private party sales, start-ups, and owner/operators from $10,000 up to $250,000.

 

 

[headlines]
--------------------------------------------------------------

Classified ads—Finance / Human Resources

Leasing Industry Outsourcing
(Providing Services and Products)

Finance: Chicago, IL Experienced in big ticket origination, syndication, valuation and workout. Twenty five years, MBA, CPA, JD, LLM (Tax), structuring specialist. Inbound and outbound transactions. Email:pal108381@comcast.net Transaction Summary | The Lechner Group  Website: www.tlgattorneycpa.com	Finance: Naperville, IL Your guide to the right questions and answers in finance. Expert in capital raising, GAAP, acquisitions, lease economics. CPA. MBA.  E-mail: m.willow@ameritech.net
Finance: Charlotte, NC 15 Years of Equipment Leasing Experience and Recruiting with Business Aviation niche. Visit us at www.turningpointgrp.com  E-mail: info@turningpointgrp.com	Human Resource Consultant: New York, NY Employee Relations, Recruiting, Benefits, employee customer surveys, plus payroll administration "ON-LINE" services-- AND IN PERSON at your location Please visit:www.adviceonhr.com
Information System: North Detroit, MI  INFOLEASE EXPERT - 18 years experience.  Since being downsized in 2002, working as a consultant for several leasing companies.  Seeking consulting projects nationwide.  email: darwint@prodigy.net	Finance: New York, NY “Think Outside the Bank”. Barrett Capital is a merchant banking and consulting firm, specializing in asset based financing: equipment, vehicles, receivables and real estate. Email: bkorn@barrettcapital.com Web: www.barrettcapital.com

All "Outsourcing" Classified ads (advertisers are both requested and responsible to keep their free ads up to date: http://www.leasingnews.org/Classified/Outsourcing/Outsourcing.htm

How to Post a free "Outsourcing" classified ad:
http://www.leasingnews.org/Classified/Outsourcing/Outsourcing-post.htm

(Leasing News provides this ad “gratis” as a means
to help support the growth of Lease Police)

Terrier Mix
Irvine, California Adopt-a-Dog

BREEANNA - ID#A086396

“I am a spayed female, black and white Terrier mix.

“The shelter thinks I am about 5 years old.

“I have been at the shelter since Jun 02, 2013

 

For more information about this animal, call:
Irvine Animal Care Center at (949) 724-7740
Ask for information about animal ID number A086396
Weekdays: noon-6 p.m.
Weekends: 10 a.m.-4 p.m.
Closed Tuesdays and Holidays
Adoption fee: $120
Animal Services Phone: 949-724-7092
Physical Address:
6443 Oak Canyon
Irvine, CA 92618

Adopt-a-Pet by Leasing Co. State/City
http://www.leasingnews.org/Conscious-Top%20Stories/Adopt_Pet.htm

Adopt a Pet
http://www.adoptapet.com/

 

News Briefs----

 

Detroit files for Chapter 9 bankruptcy amid staggering debts
http://www.freep.com/article/20130718/NEWS01/307180107/City-Detroit-has-filed-Chapter-9-bankruptcy

NY Times View:
nytimes.com/2013/07/19/us/detroit-files-for-bankruptcy.html?hp

 

Mortgages recoil as Fed chief urges calm
http://www.bankrate.com/finance/mortgages/mortgage-analysis.aspx?ic_id=Top_Financial%20News%20Center_link_1

Delta to hire 300 pilots
http://www.ajc.com/news/business/delta-to-hire-300-pilots/nYwDj/

Microsoft Finally Reveals That No One Wanted The Surface RT
http://techcrunch.com/2013/07/18/microsoft-finally-reveals-that-no-one-wants-the-surface-rt/

Dell’s deal dead:
Founder's $24.4B offer for PC maker to fail, sources say
http://www.nypost.com/p/news/business/dell_deal_dead

Exchange Bank profits grow again
http://www.pressdemocrat.com/article/20130717/BUSINESS/130719574

 

[headlines]
--------------------------------------------------------------

---You May Have Missed

Bigger is Better When it Comes to Banking--FDIC Data
http://commercialfinanceassociationblog.com/2013/07/16/bigger-is-better-when-it-comes-to-banking-according-to-fdic-data/

[headlines]
--------------------------------------------------------------

SparkPeople--Live Healthier and Longer

 

Short Quiz---Food Trivia
http://www.sparkpeople.com/resource/games_trivia.asp

[headlines]
--------------------------------------------------------------

Baseball Poem

My Last Hit

Late at night
I can still
see the ball

arcing

over the third
base bag, just
inside the line,

hugging

the grass. The
fielder frozen solid,
his mitt a

heavy

stone, resting on
his thick knee.
And that was

it.

Written by Ed Markowski
“Line Drives,” 100 Contemporary Baseball Poems
edited by Brooke Horvath and Tim Wiles
Published by Southern Illinois University Press

[headlines]
--------------------------------------------------------------

Sports Briefs----

49ers linebacker Brooks won't face assault charges
http://www.sfgate.com/sports/article/49ers-linebacker-Brooks-won-t-face-assault-charges-4673348.php

Kawakami: Oakland Raiders' GM Reggie McKenzie raising eyebrows
http://www.contracostatimes.com/tim-kawakami/ci_23687520/kawakami-oakland-raiders-gm-reggie-mckenzie-raising-eyebrows

 

[headlines]
--------------------------------------------------------------

California Nuts Briefs---

 

SF Bay Area adds 5,600 jobs in June, while state adds 30,200
http://www.mercurynews.com/business/ci_23688501/bay-area-adds-5-600-jobs-june-while

UC regents confirm Janet Napolitano as next president
http://blogs.sacbee.com/capitolalertlatest/2013/07/uc-regents-confirm-janet-napolitano-as-next-president.html

Soaring prices mark June SF Bay Area home sales
http://www.contracostatimes.com/business/ci_23686143/soaring-prices-mark-june-bay-area-home-sales

America's Cup 2013 Fizzling, San Francisco Residents Concerned
http://news.yahoo.com/americas-cup-2013-fizzling-san-francisco-residents-concerned-170600745.html

 

[headlines]
--------------------------------------------------------------

“Gimme that Wine”

http://www.youtube.com/watch?v=EJnQoi8DSE8

Rosé: In Demand, but Not Demanding
http://www.nytimes.com/2013/07/24/dining/reviews/rose-in-demand-but-not-demanding.html?ref=dining

Wineries look for ways to turn data into sales
http://www.pressdemocrat.com/article/20130716/BUSINESS/130719636

Direct sales of wine rose 10 percent last year
http://www.pressdemocrat.com/article/20130124/BUSINESS/130129723

Chris Howell & Cain Vineyards: Making Wines That Matter Part II
http://www.huffingtonpost.com/brad-haskel/chris-howell-cain-vineyar_1_b_3586852.html

Sonoma County: Harvest, then stomp grapes at California wine camp
http://www.latimes.com/travel/deals/la-trb-california-sonoma-grape-camp-20130715,0,4362167.story

 

Free Mobile Wine Program
http://leasingnews.org/archives/Feb2010/2_26.htm#mobile

Wine Prices by vintage
http://www.winezap.com
http://www.wine-searcher.com/

US/International Wine Events
http://www.localwineevents.com/

Winery Atlas
http://www.carterhouse.com/atlas/\

Leasing News Wine & Spirits Page
http://two.leasingnews.org/Recommendations/wnensprts.htm

      1692- Five Massachusetts women were hanged for witchcraft. Fifteen young girls in the Salem community charged as many as 150 citizens in the area with witchcraft during the greater part of this year. The Salem witch hunt was unleashed in March of the year when some children, called upon to explain their odd behavior, claimed that three old women had bewitched them. The women were tried, convicted, and condemned on the testimony of the children. Although Governor William Phis halt the trails in October, 1692, by January 1693 twenty persons condemned for witchcraft had been executed and two had died in prison. The first person executive for witchcraft in America was Margaret Jones of Charlestown, Mass. Gov. John Winthrop wrote “that she was found to have such a malignant touch, as many persons, (men, women and children), whom she stroked or touched with any affection or displeasure, etc., were taken with deafness...or other violent pains or sickness...Her behavior at the trial was very intemperate, lying notoriously, and railing upon the jury and witnesses, etc., and in the like distemper she died. “
    1817--Birthday of Mary Ann Ball Bickerdyke - known as Mother Bickerdyke for her nursing and sanitary commission work during the Civil War. She turned to the work after witnessing the appalling conditions that male nurses and doctors considered normal for hospitals. She would serve at the site of 19 battles. She petitioned in vain for pensions for veterans and nurses after the hostilities.
    1825- The American Unitarian Association was founded by members of the liberal wing of the Congregational churches in New England. 
http://www.americanunitarian.org/
    1848-A convention concerning the rights of women, called by Lucretia Mott and Elizabeth Cady Stanton, was held at Seneca Falls, NY. The issues discussed included voting, property rights and divorce. The convention drafted a “Declaration of Sentiments” that paraphrased the Declaration of Independence, addressing man instead of King George, and called for women's “immediate admission to all the rights and privileges which belong to them as citizens of the United States.” This convention was the beginning of an organized women's rights movement in the US. The most controversial issue was Stanton's demand for women's rights to vote.
( lower half of: http://memory.loc.gov/ammem/today/jul19.html )
    1902-birthday of clarinet player Buster Bailey, Memphis, TN
http://www.redhotjazz.com/BusterBailey.html 
http://www.amazon.com/exec/obidos/ASIN/B000000GCZ/greatdayinharlem/
102-8899986-2380120
    1860—Birthday of Lizzie Andrew Borden, suspected but acquitted of the double murders of her father and her step-mother. There was a great deal of circumstantial evidence, but lack of a murder weapon or blood on her clothes stymied prosecutors. The women of the city of Fall River, Massachusetts, supported her by crowding the courtroom - and then after the acquittal ostracized her. Their attitude plus other factors indicate that she was an abused child/woman. If she committed the murders, she had to have help from people outside the home to cover up the evidence. Contrary to some rumors, the murder hatchet was never found.
    1869—“My First Summer in the Sierra's” ---John Muir in Yosemite
http://memory.loc.gov/ammem/today/jul19.html
    1881 -- Surrender of Sitting Bull and 186 followers, crossing the Canadian border into US; Army breaks its amnesty promise and jails him at Fort Randall, Dakota Territory.
    1886 -Third hurricane in one month crosses Florida causing great damage from Cedar Keys to Jacksonville
    1905 – Birthday of journalist / author Edgar Snow lives, Kansas City, Missouri. Famous for reporting on the Communist movement before it achieved power in China.
    1909-- –Birthday of African-American author Chester Himes, born Jefferson City, Missouri. Nearly 50 (like Raymond Chandler) when he started to write detective novels. Studied at Ohio State University, before being chained upside down & having a confession beaten from him for an armed robbery. Got 25 years to life. Worked for the WPA Writing Project (1938-41). In 1945 his first novel “If He Hollers Let Him Go” was a story of racism in the defense industry. Moved to Paris in 1953 to escape the racism of America. He was invited in 1957 by Marcel Duhamel to write a detective novel for the French. They established his reputation as one of the most original talents of hard boiled detective fiction. Awarded 1958 Grand Prix de Littérature Policière & 1982 Columbus Foundation Award on November 12, 1984. His famous series characters, Harlem detectives Coffin Ed Johnson & Grave Digger Jones, are the basis for numerous films. My father was a big fan of Himes, created “Harlem Detective,” WOR-TV, New York City, early 1950's, staring a white and black detective working together. My father won many awards for the TV series (before network television ) 
http://www.math.buffalo.edu/~sww/HIMES/himes-chester_BIO.html 
http://www.math.buffalo.edu/~sww/HIMES/himes-chester_bks1.html 
http://andromeda.rutgers.edu/~hbf/himes.html
    1909 --With two men on base, Cleveland shortstop Neal Ball catches Ambrose McConnell's line drive, gets Heinie Wagner at second, and then tags Jake Stahl completing the first modern major league unassisted triple play in a 6-1 win over the Red Sox.
1911 Former circus acrobat Walter Carlisle completes an unassisted triple-play for Vernon (LA) of the Pacific Coast League when he catches a ball in shallow centerfield flips and touches second base and beats the runner back to first base.
    1913--trombonist Charlie Teagarden birthday
http://shopping.yahoo.com/shop?d=product&id=1927007162&clink=dmmu.artist&a=b
    1916-Birthday of Eve Merriam, a poet, playwright and author of more than 50 books for both adults and children. Merriam's works, which often focused on feminism, include “ It Doesn't Always Have to Rhyme,” “After Nora Slammed the Door,” “ The Women's Unfinished Revolution,” “ “Mommies at Work,” and a book of poems attacked by authorities as glamorizing crime, “ The Urban Mother Goose. “ Her play “ Out of Our Father's House,” portraying the lives of American women, was presented on public television, “ Great Performances” series. She also wrote the first documentary of women's rights for network TV, “We the Women,” Born at Philadelphia, PA, she died at New York, NY, 1992.
http://www.poets.org/poets/poets.cfm?prmID=160
    1921-Birthday of Medical physicist Rosalyn Yalow, born at New York City. Along with Andrew V. Schally and Roger Guillemin, in 1977 Yalow as awarded the Nobel Prize for Physiology or Medicine. through her research on medical applications of radioactive isotopes, Yalow developed RIA, a sensitive and simple technique used to measure minute concentrations of hormones and other substances in blood or other body fluids. First applied to the study of insulin concentration in the blood of diabetics, RIAA was soon used in hundreds of other applications.
http://spot.colorado.edu/~gamow/george/1987bio.html
    1922—Birthday of George McGovern --- Vietnam antiwar activist, Senator, presidential candidate in 1972.
    1925- Legendary Josephine Baker, entertainer and singer, makes her Paris debut, takes country by storm. 
http://women.eb.com/women/articles/Baker_Josephine.html
    1927- Ty Cobb hits his 4,000 ran, a double off the glove of outfielder Harry Heilman of the Detroit Tiger/s.
    1937-Country singer George Hamilton the Fourth was born in Winston-Salem, North Carolina. Hamilton became much more popular in Canada and Britain than in the U-S. In Canada, this popularity stemmed from his close association with the songs of Gordon Lightfoot. Hamilton became friendly with Lightfoot in 1965 and recorded such Lightfoot tunes as "Early Morning Rain" and "Canadian Railroad Trilogy." Hamilton began to work with other Canadian writers as well, and later signed with R-C-A's Canadian division. George Hamilton the Fourth also was the host of the Canadian T-V show "North Country" for five years. 
http://www.countrypolitan.com/bio-george-hamilton-iv.php
    1939 - Jack Teagarden and his orchestra recorded "Aunt Hagar's Blues" for Columbia Records. Teagarden provided the vocal on the session recorded in Chicago, IL.
http://www.redhotjazz.com/teao.html
    1939-Bud Freeman and his Summa Cum Laude Orchestra record “ The Eel.” 
http://www.redhotjazz.com/freeman.html 
http://centerstage.net/music/whoswho/BudFreeman.html 
http://www.venerablemusic.com/JazzA-MRecordPages/ASL_5280.htm 
http://www.interstatecd.com/bio/biopage.P+++++6528.html
    1940-Charlie Barnet Band records “Pompton Turnpike” ( Bluebird 10825)
http://www.parabrisas.com/d_barnetc_f.html 
http://music.barnesandnoble.com/search/product.asp?ean=743625524727 
http://www.jazz-angebote.de/9799897.htm
    1940 -- Pop music record charts for single songs were published by the music trade newspaper Billboard on this date. The first song to hit No. 1 in the pop charges was Tommy Dorsey's “ I'll Never Smile Again,” sung by Frank Sinatra
    1941-birthday of guitarist Phil Upchurch, Chicago, IL
    1941-Birthday of singer Vikki Carr ( Florencia Bisenta deCasilla),El Paso, Texas.
http://vikkicarr.net/
    1944---Top Hits
I'll Be Seeing You - Bing Crosby
Long Ago and Far Away - Helen Forrest & Dick Haymes
Amor - Bing Crosby
Straighten Up and Fly Right - King Cole Trio
1944 - Some 1,200 8th Air Force bombers bombed targets in SW Germany. Some 500 15th Air Force Liberators (Flying Fortresses) bombed the Munich vicinity.
     1944--CHRISTENSEN, DALE ELDON Medal of Honor
Rank and organization: Second Lieutenant, U.S. Army, Troop E, 112th Cavalry Regiment. Place and date: Driniumor River, New Guinea, 16-19 July 1944. Entered service at: Gray, lowa. Birth: Cameron Township, lowa. G.O. No.: 36, 10 May 1945. Citation: For conspicuous gallantry and intrepidity at the risk of his life above and beyond the call of duty along the Driniumor River, New Guinea, from 16-19 July 1944. 2d Lt. Christensen repeatedly distinguished himself by conspicuous gallantry above and beyond the call of duty in the continuous heavy fighting which occurred in this area from 16-19 July. On 16 July, his platoon engaged in a savage fire fight in which much damage was caused by 1 enemy machinegun effectively placed. 2d Lt. Christensen ordered his men to remain under cover, crept forward under fire, and at a range of 15 yards put the gun out of action with hand grenades. Again, on 19 July, while attacking an enemy position strong in mortars and machineguns, his platoon was pinned to the ground by intense fire. Ordering his men to remain under cover, he crept forward alone to locate definitely the enemy automatic weapons and the best direction from which to attack. Although his rifle was struck by enemy fire and knocked from his hands he continued his reconnaissance, located 5 enemy machineguns, destroyed 1 with hand grenades, and rejoined his platoon. He then led his men to the point selected for launching the attack and, calling encouragement, led the charge. This assault was successful and the enemy was driven from the positions with a loss of 4 mortars and 10 machineguns and leaving many dead on the field. On 4 August 1944, near Afua, Dutch New Guinea, 2d Lt. Christensen was killed in action about 2 yards from his objective while leading his platoon in an attack on an enemy machinegun position. 2d Lt. Christensen's leadership, intrepidity, and repeatedly demonstrated gallantry in action at the risk of his life, above and beyond the call of duty, exemplify the highest traditions of the U.S. Armed Forces.
    1945 - The USAAF struck the cities of Choshi, Hitachi, Fukui and Okazaki with 600 B-29 Superfortress bombers dropping some 4000 tons of bombs. It is largest employment of the bomber type yet.
    1946-Marilyn Monroe was given her first screen test at Twentieth Century-Fox Studios. Even with no sound, this test was all they needed to sign her first contract. Beginning with Scudda-Hoo! Scudda-Hay! in 1948 and ending with The Misfits in 1961, Monroe made a total of 29 films during her short career.
    1948 - "Our Miss Brooks", starring Eve Arden and Gale Gordon, debuted on CBS radio. Arden played the role of Connie Brooks. The program stayed on radio until 1957, running simultaneously on TV from 1952 to 1956. Miss Brooks taught English at Madison High School. Her pal, the bashful, biology teacher Philip Boynton, was played by Robert Rockwell. The crusty, blustery principal of Madison High, Osgood Conklin, was none other than Gale Gordon. Supporting Eve Arden was Jane Morgan as Miss Brooks' landlady, Mrs. Davis. The main problem child in the classroom, the somewhat dimwitted Walter Denton was Richard Crenna.
http://www.pe.net/~rnovak/omb.html
http://us.imdb.com/Details?0044287
    1949 - Singer Harry Belafonte began recording for Capitol Records on this day. The first sessions included "They Didn't Believe Me" and "Close Your Eyes". A short time later, Capitol said Belafonte wasn't “commercial enough,” so he signed with RCA Victor (for a very productive and commercial career).
    1952 -- Author Jayne Anne Phillips born West Virginia. “Black Tickets,”
“Fast Lanes,” “Shelter.”
http://www.jayneannephillips.com/
    1952---Top Hits
I'm Yours - Eddie Fisher
Kiss of Fire - Georgia Gibbs
Walkin' My Baby Back Home - Johnnie Ray
Are You Teasing Me - Carl Smith
    1954- Elvis Presley's first record, "That's All Right (Mama)" backed with "Blue Moon of Kentucky," was released on the Sun label. Elvis had recorded the tunes two weeks earlier with guitarist Scotty Moore and bassist Bill Black at the Sun studio in Memphis. When the record was first aired on a Memphis radio station, Elvis was reported to have hid in a movie theatre because he thought people would laugh at his effort. He needn't have worried . . . "That's All Right (Mama)" became a local hit. Sun is supposed to have pressed only about seven-thousand copies of the record, and one in mint condition today is worth at least 200-dollars U-S.
    1958- After a series of disputes over money (and a fistfight with the manager of Harlem's famous Apollo Theater), Drifters manager George Treadwell fires the entire group and installs the existing group the Five Crowns in their place, renaming them the Drifters. This lineup, featuring a lead tenor named Ben E. King, would prove to be the most popular critically and commercially, releasing hits like "There Goes My Baby," "This Magic Moment," and "Save the Last Dance for Me." 
    1960 - Juan Marichal of the San Francisco Giants became the first pitcher to get a one-hitter in his major-league debut. Marichal allowed just one hit (a double in the eighth inning) as the Giants beat the Philadelphia Phillies.
    1960---Top Hits
I'm Sorry - Brenda Lee
Only the Lonely - Roy Orbison
That's All You Gotta Do - Brenda Lee
Please Help Me, I'm Falling - Hank Locklin
    1960-Boise sets highest ever reading with a scorching 111
    1960-Cow Creek, CA in Death Valley starts with a morning low of 102 and rises to 126
    1966-- 50-year-old Frank Sinatra marries 20-year-old actress Mia Farrow in New York amid a sea of fourteen movie cameras and 37 regular cameras. The marriage, one of Hollywood's rockiest, will last only two years, with Sinatra issuing an ultimatum to Farrow as she is filming Roman Polanski's movie Rosemary's Baby -- one she will ignore, leading Sinatra to serve divorce papers to her on the set.
    1965- Shooting begins on Star Trek 2nd pilot "Where No Man Has Gone Before" This one makes it.
http://www.startrek.com/
    1968---Top Hits
This Guy's in Love with You - Herb Alpert
The Horse - Cliff Nobles & Co.
Jumpin' Jack Flash - The Rolling Stones
D-I-V-O-R-C-E - Tammy Wynette
    1969-The Who appeared at Fillmore West in San Francisco.
1969 - No. 1 Billboard Pop Hit: "Grazing in the Grass," Hugh Masekela, a version of the song by The Friends of Distinction reaches No. 3.
    1969--GERTSCH, JOHN G. Medal of Honor
Rank and organization: Staff Sergeant, U.S.. Army, Company E, 1st Battalion, 327th Infantry, 101st Airborne Division. Place and date: A Shau Valley, Republic of Vietnam, 15 to 19 July 1969. Entered service at: Buffalo, N.Y. Born: 29 September 1944, Jersey City, N.J.: Citation: S/Sgt. Gertsch distinguished himself while serving as a platoon sergeant and platoon leader during combat operations in the A Shau Valley. During the initial phase of an operation to seize a strongly defended enemy position, S/Sgt. Gertsch's platoon leader was seriously wounded and lay exposed to intense enemy fire. Forsaking his own safety, without hesitation S/Sgt. Gertsch rushed to aid his fallen leader and dragged him to a sheltered position. He then assumed command of the heavily engaged platoon and led his men in a fierce counterattack that forced the enemy to withdraw. Later, a small element of S/Sgt. Gertsch's unit was reconnoitering when attacked again by the enemy. S/Sgt. Gertsch moved forward to his besieged element and immediately charged, firing as he advanced. His determined assault forced the enemy troops to withdraw in confusion and made possible the recovery of 2 wounded men who had been exposed to heavy enemy fire. Sometime later his platoon came under attack by an enemy force employing automatic weapons, grenade, and rocket fire. S/Sgt. Gertsch was severely wounded during the onslaught but continued to command his platoon despite his painful wound. While moving under fire and encouraging his men he sighted an aid man treating a wounded officer from an adjacent unit. Realizing that both men were in imminent danger of being killed, he rushed forward and positioned himself between them and the enemy nearby. While the wounded officer was being moved to safety S/Sgt. Gertsch was mortally wounded by enemy fire. Without S/Sgt. Gertsch's courage, ability to inspire others, and profound concern for the welfare of his men, the loss of life among his fellow soldiers would have been significantly greater. His conspicuous gallantry, extraordinary heroism, and intrepidity at the cost of his life, above and beyond the call of duty, are in the highest traditions of the U.S. Army and reflect great credit on him and the Armed Forces of his country.
    1974 - The House Judiciary Committee recommended that President Richard Nixon should stand trial in the Senate for any of the five impeachment charges against him. 
    1975-"Listen To What The Man Said" by Wings hits #1 on the singles chart.
    1975-Orleans' "Dance With Me" is released.
    1976 - No. 1 Billboard Pop Hit: "Kiss and Say Goodbye," Manhattans.
    1976---Top Hits
Afternoon Delight - Starland Vocal Band
Kiss and Say Goodbye - Manhattans
I'll Be Good to You - The Brothers Johnson
Teddy Bear - Red Sovine
    1977-Slow moving thunderstorms drop 12 inches of rain in the Johnstown, PA area in only 7 hours. Severe flash flooding occurred with Johnstown under 10 feet of water. The death toll was 76 and total damage was $200 million.
    1980-Billy Joel's "It's Still Rock & Roll To Me" hits #1.
    1980-Elton John's "Little Jeannie" hits #3 on the singles chart.
    1980-The Grateful Dead's "Alabama Getaway" peaks at #68 on the singles chart.
    1981-"Roy Orbison Day" is celebrated in Odessa, Texas.
    1984-Congresswoman Geraldine Ferraro was nominated to run with candidate Walter Mondale on the Democratic ticket. They were defeated by the Republican ticket headed by Ronald Reagan.
    1984---Top Hits
When Doves Cry - Prince
Dancing in the Dark - Bruce Springsteen
Eyes Without a Face - Billy Idol
I Don't Want to Be a Memory – Exile
    1986 -All-time record heat in stubborn heat wave for Charleston, SC with 104, breaking record set earlier in month (9th) of 103.
    1986-Genesis' "Invisible Touch" hits #1 on the singles chart.
    1986-The "Ruthless People" soundtrack enters the album chart. It features the Billy Joel hit, "Modern Woman.
    1986 - No. 1 Billboard Pop Hit: "Invisible Touch," Genesis.
    1986- Caroline Kennedy weds Edwin A Schlossberg in Centerville, Mass.
    1989 - 181 out of 293 passengers and crew survived the crash of a United Airlines DC-10. The pilot of Flight 232, bound for Chicago, reported trouble to the Sioux City, Iowa airport half an hour before it slammed into the Sioux City runway. Prepared emergency personnel were credited with helping many to survive the fiery crash.
    1990- Singer Vicki Carr helps dedicate the Nixon Presidential Library, singing in front of all four living presidents (Nixon, Carter, Reagan, and George H.W. Bush), all of which she had performed for at the White House during their terms. 
    1990 - Baseball's all-time hits leader Pete Rose was sentenced in Cincinnati to five months in prison and fined $50,000 for filing false income tax returns. Rose, who spent 25 years in the majors with 4256 hits, 1314 RBIs and a lifetime average of .303, was released from prison Jan 7, 1991
    1994- the Rolling Stones played a surprise date at the R-P-M club in Toronto as a preview of their "Voodoo Lounge""tour. One-thousand people paid just five-dollars each to see the nearly hour-and-a-half-long show. The Stones had been in Toronto for weeks rehearsing at a private boy's.
    1995- Elvis Presley's former doctor lost his license when the state of Tennessee decided he over-prescribed addictive drugs to patients, including Jerry Lee Lewis. George Nichopoulos called the decision "idiotic." He suggested it stemmed from resentment over Presley's death in 1977. Nichopoulos was found not guilty in 1981 of charges he indiscriminately and negligently prescribed drugs to Presley.
http://www.clearhq.org/PaxtonSu98.html
    1995 -- Elvis Presley's former doctor Dr. George Nichopoulous, loses his medical license for being "too liberal" in prescribing addictive drugs.
    1996- Montreal singer Celine Dion performed at the opening ceremonies of the Atlanta Olympics. She sang "The Power of the Dream," written by David Foster, Kenneth (Babyface) Edmonds and Linda Thompson. The song was commissioned for the occasion. 
http://www.celineonline.com/
    1997 - Daniel Komen of Kenya broke the 8-minute barrier for the 2-mile run while setting a new world record of 7:58.61 at the Hechtel Night of Athletics in Hechtel, Belgium. Komen actually ran two sub-4-minute-miles in this race, running his first mile in 3:59.2, then turned in a second mile of 3:59.4.
http://faculty.rmwc.edu/tmichalik/8min.htm
    2004-- In Pacific Coast League action at Portland's PGE Park, Tagg Bozied hits a walk-off grand slam in the bottom of the ninth to beat the Tacoma Rainiers, 8-5. Upon his arrival at home plate, the Beavers' first baseman, jumping for joy, ruptures the patella tendon to his left knee and needs taken to Legacy Good Samaritan Hospital by ambulance.