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November 27, 2002 The Salvation Army Launches Cutting Edge Toy
Donation Web Site SAN
FRANCISCO---In the winter of 1891, Salvation
Army Captain Joe McFee put a crab pot on the
San Francisco docks and asked citizens to "keep
the pot boiling" by making donations so
he could feed the needy at Christmastime. These
days, we all know this "crab pot"
to be The Salvation Army Christmas Kettle. Once
again, The Salvation Army is on the cutting
edge of creating effective methods to reach
society's under served with the launch of its
very first online toy donation web site, www.givingtree.org. Givingtree.org
will be the online version of The Army's successful
Angel Giving Tree Program that features trees
in malls and workplaces, bringing in thousands
of presents for needy children. Instead of going
to a mall, shoppers will be able to pick from
a variety of toys for all ages at givingtree.org.
The gifts will be shipped to the designated
Salvation Army distribution location, where
they will be given to local children and families.
The web site was developed by San Francisco-based
Donor Digital and Duniya Technologies of Atlanta
using Yahoo Stores technology. "This
new online program will greatly enhance The
Salvation Army's Web presence and as a result
increase online giving and build stronger relationships
with those who use the Internet as their primary
communication and commerce tool," said
Nicci Noble, Internet Development Director for
The Salvation Army's Golden State Division. "I
am very excited about our new project and see
it as another example of how we are constantly
striving to serve our community through diverse
and effective methods," added Lt. Col.
Bettie Love, San Francisco City Administrator
for The Salvation Army's Golden State Division. Since
1883, The Salvation Army has been serving the
San Francisco Bay Area community, offering practical
support, spiritual comfort and a critical safety
net to people in crisis without discrimination.
The Army has 72 centers throughout Northern California and
provides a myriad of services, including child
day care and drug and alcohol rehabilitation
centers, transitional housing, and nutritional
and housing support for seniors. Those wishing
to make donations can call their local Salvation
Army, or log onto www.tsagoldenstate.org. --------------------------------------------------------------------------------------------------- Headlines--- Pictures from the Past---1987----Parker,
Woodley Prosecutors:
Ohio banker took $8 million more than first
thought Officers
of failed bank face fines ELA
Industry Q Report 7.8 Percent Growth Since 3Q
2001 CIT
to Present at Lehman Brothers Financial Services
Conference ELA
Amy Miller Holmes Reports from the Field (What
Lessors Are Saying About. . .Growth & more) CapitalSource
Forms New Finance Division; Jeffrey Kilrea To
Lead Growth
Hit 4% Rate in 3rd Quarter /Other
Economic Reports Paint a Mixed Picture Consumer confidence rose in November Housing Reports: Shades of Roseanne
Roseannadanna West Coast
vs. East Coast-Median Price for Houses Up Compromise clinched longshore
union deal---wrap-up IDS Hubert to Take Leave of
Absence to find money Is American Express Business
Financial for Sale? GE Capital Selling Colonial
Pacific Portfolio?
Fifth Third Stock Takes
Hit Following Accounting Probe TBF Financial Purchases Charges Offs---- Wines of the Week for Thanksgiving The
Moon is Open for Business--GE Capital Lease (“We bring good things to life”) ###
Denotes Press Release --------------------------------------------------------------------------------------------------- Pictures from the Past---1987----Parker, Woodley
1986 Western Association of Equipment Lessors
President Ted Parker, Charter Equipment Leasing
(left) admonishes 1987 President-elect Joe Woodley,
Westover Financial, IN. to “ talk softly and
carry a big stick” as he passes the gavel. ------------------------------------------------------------------------------------------ Prosecutors: Ohio banker took $8 million more
than first thought By Associated Press TOLEDO, Ohio (AP) Federal prosecutors on Tuesday
said a small-town bank executive embezzled more
money than they originally thought. Prosecutors changed the indictment against Mark
Miller, accusing him of embezzling $48 million
from Oakwood Deposit Bank Co. since 1993. Miller initially was charged with taking at
least $40 million since 1999 and diverting more
than $15 million to investments in leasing gambling
boats operating in South Carolina and Florida.
Miller, former chief executive officer of Oakwood
Deposit Bank Co., is accused of providing false
documentation indicating that the money was
federally secured when it was not. He entered another innocent plea on Tuesday
to charges of money laundering and embezzlement.
If convicted, he could face up to 50 years in
prison and fines totaling $1.5 million. The Federal Deposit Insurance Corp. seized and
closed the bank's two branches in Oakwood and
nearby Grover Hill in February. The bank has
reopened under the management of The State Bank
and Trust Co., a northwest Ohio bank. ------------------------------------------------------------------------------------------------- Officers of failed bank face fines By Associated Press HARTFORD, Conn. (AP) Eight officers and directors
of the failed Connecticut Bank of Commerce are
facing state fines of $2.3 million. State Banking Commission Johner P. Burke said
Tuesday that he intends to impose the penalties
against the eight for their roles in contributing
to the bank's severe undercapitalization which
led to its takeover in June. The Connecticut Department of Banking shut down
and seized the troubled Stamford-based bank
on June 26, the first bank failure in the state
since 1996. At the time, Burke declared the financial condition
of the Stamford-based bank as ''unsafe and unsound.''
The Stamford-based institution, with branches
in Branford, Woodbridge and New York City, had
suffered a series of losses and was operating
under a cease-and- desist order from the Federal
Deposit Insurance Corp. to reduce its level
of nonperforming loans, equipment leases, and
to maintain adequate capital. Burke said Randolph W. Lenz, the bank's majority
shareholder and chairman of the board, will
face $555,000 in fines. Seven other executives face fines of between
$30,000 and $390,000. Burke said the FDIC has also issued civil penalties
against the eight. Attempts to reach Lenz Tuesday were not successful.
There was no telephone listing for that name
in Connecticut. ---------------------------------------------------------------------------------------------------- Equipment Leasing Industry Quarterly Report
Reveals 7.8 Percent Growth Since 3Q 2001 Every quarter the Equipment Leasing Association
(ELA) completes a performance indicators report (PIR) measuring
volume growth, portfolio size, labor trends, delinquency trends and credit
approval ratings within the equipment leasing industry. Highlighted
below are the findings of the 3Q 2002 PIR. Receivables More Than 90 days Doubles to 1.9
Percent in 3Q 20 Of special interest is the increase in receivables
more than 90 days, which doubled to 1.9 percent, which coincides
with the Fitch/ABS report issued yesterday: http://www.leasingnews.org/#fitch Charts, Web Format:: http://www.leasingnews.org/articles.doc/Charts_3rdQPIR_november%202002.htm Charts, Excel Format: http://www.leasingnews.org/articles.doc/Charts_3rdQPIR_november%202002.xls ############## ############### Arlington , Virginia . The Equipment Leasing
Associations (ELA) 3Q 2002 Performance Indicators
Report (PIR) reveals new business volume growth was about 7.8 percent
since 3Q 2001, and total net portfolio continues
to grow with a 3.1 percent increase whencompared
to the 3Q 2001. The
PIR study is conducted quarterly by ELA, which
provides a variety of data, including customized
market analyses, to ELA members and organizations.
The survey is conducted with approximately 20
major leasing companies on a quarterly basis,
affording trend analysis across all major performance
areas. Other 3Q PIR findings include: * The total number of employees remains stable
at 0.84 percent. * Credit approval ratios have increased 2.2 percent
compared the 3Q 2001. * Average losses remained stable when compared
to the previous year. * Receivables more than 90 days doubled from
1.1 percent in 3Q 2001 to 1.9 percent in 3Q 2002. These receivables findings could have serious
implications for the leasing industry as credit quality shows continued
deterioration, said Ralph Petta, ELAs vice president of industry
services. The rise in year-over-year new business volume growth, however,
is probably more attributable to acquisitions than to organic
growth. In addition, the increase in growth from 3Q 2001 to 3Q 2002 can
be attributed to one responding company. ELAs quarterly PIR tracks the performance of
the 20 prominent leasing organizations in six key areas: total net portfolio,
total new business volume, average losses, credit approval ratio,
total number of employees and delinquencies. The data issued reflects
the same 20 companies in each report. . To access this and other industry information,
visit the ELA website at www.elaonline.com or
call ELA at (703) 516-8380. Financial decision makers needing more information
on leasing should visit www.LeaseAssistant.org, which provides
information on how to choose a leasing company, the top 10 questions
to ask before signing a lease, a glossary of terms, and more. Organized in 1961, the Equipment Leasing Association
(ELA) is a non-profit association representing companies
involved in the dynamic equipment leasing and finance industry. ELA's
mission is to promote the leasing industry as a major source of funds
for capital investment in the United States and abroad. Headquartered
in Arlington , Va. , ELA has more than 800 member companies and a staff of
27 professionals. Equipment leasing is estimated to be a $204
billion industry in 2002. Visit ELA online at http://www.elaonline.com.
------- Third Quarter 2002 Performance Indicator Report
Participants ADP Credit Corporation Amsouth Leasing Corporation Caterpillar Financial Services Corporation Computer Sales International, Inc. Dana Credit Corporation De Lage Landen Financial Services GreatAmerica Leasing Farm Credit Leasing Services Corporation Fleet Capital Leasing John Deere Credit Corporation Hitachi Credit America Corporation Key Equipment Finance LaSalle National Leasing Corporation U.S. Bancorp Leasing & Financial Verizon Credit, Inc. Wells Fargo Equipment Finance Chart: Web: http://www.leasingnews.org/articles.doc/Charts_3rdQPIR_november%202002.htm Excel: http://www.leasingnews.org/articles.doc/Charts_3rdQPIR_november%202002.xls --------------------------------------------------------------------------------------------- CIT to Present at Lehman Brothers Financial
Services Conference LIVINGSTON,
N.J., --
CIT Group Inc. (NYSE: CIT) today announced that Joseph M. Leone,
Executive Vice President and Chief Financial Officer, will present at the
Lehman Brothers Financial Services Conference in New York City on Monday,
December 2, 2002.
The presentation will include an overview of CIT's
current businesses and a discussion of the Company's strategy and operational
goals. CIT's
presentation is scheduled to begin at 4:25 p.m.
Eastern Time. To listen to a live web cast of the presentation,
log on to CIT's investor relations web site at http://ir.cit.com approximately
fifteen minutes prior to register, download and install any necessary
audio software.
A replay of the presentation will be archived on the site for
a period of ten days. About
CIT CIT
Group Inc. (NYSE: CIT), a leading commercial
and consumer finance company, provides clients with financing and
leasing products and advisory services. Founded
in 1908, CIT has nearly $50 billion in assets
under management and possesses the financial resources,
industry expertise and product knowledge to serve the needs of clients
across 30 industries.
CIT holds leading positions in vendor financing,
U.S. factoring, equipment and transportation financing, Small Business Administration
loans, and asset-based and credit-secured lending. CIT, with its principal offices in New York
City and Livingston, New Jersey has approximately
6,000 employees in locations throughout North America, Europe, Latin and
South America, and the Pacific Rim. For
more information, visit http://www.cit.com. --------------------------------------------------------------------------------------------------- ELA
Amy Miller Holmes Reports from the Field: What Lessors Are Saying About. . .Growth Growth — often considered necessary for having
a successful venture — is no longer the holy
grail, according to several ELA members and
recent ELA convention presentations. “Growing
is the easiest thing to do in our business,
but doing it profitably is something else,”
said Paul Menzel, Santa Barbara Bank & Trust,
Goleta, California, during a convention session
on growth. “You don’t want to set goals that
stray you from your disciplines.” The
kind of growth to choose also requires discipline
— origination or acquisition? “Organic
growth is much more difficult.” said John Deane,
The Alta Group, Glenbrook, Nevada. “While future
growth percentages are obviously dependent on
a starting point (small companies can grow faster
than GE, for example), the equipment and industry
segments in which the lessor is, are the major
drivers. Lessors of general office equipment
will have more growth challenges than, say,
Dell Financial Services.” Opportunities
to acquire portfolios always exist, say leaders,
“but, it just depends on the lessor’s spread
requirements and risk appetite,” said Deane.
“The current economic difficulties shouldn’t
cause lessors to stop buying portfolios, they
should cause lessors to be sure they are achieving
adequate spreads, that they have thoroughly
underwritten the acquired portfolio and that
they have the operating capacity to smoothly
handle the additional business.” Internal
expense management will be a key component through
2003 say most industry leaders, but will it
replace growth as a strategy for 2003 profitability?
“I am not sure that expense management will
replace growth as a strategy, but it should
certainly get at least equal billing,” says
Deane If
growth is a top priority, however, “reach for
growth in areas where you are comfortable,”
says Menzel. “Be realistic and be prepared.”
As
Menzel noted,” If you don’t know what you are
really getting into, then stay away. Discipline
is the most important part of the leasing business.” Added
Deane, “Control should be emphasized before
growth. You can have too many strategies and
do too many things. This will lead to failure.
The challenge in the leasing industry is not
to find opportunities, but which ones to choose.”
§ The
Organization for Economic Cooperation and Development
(OECD) reported in its November Economic Outlook
that the U.S. economy will not pick up until
2004. The OECD is predicting a 2.6 percent GDP
growth next year (up slightly from 2.3 percent
in 2002), with a 3.6 percent gain in 2004. § According
to the December 2002 Entrepreneur magazine,
50 percent of business decision-makers say the
Web has influenced them to make a purchase or
obtain a service. § Small
business owners can enjoy a significant tax
advantage by leasing rather than buying company
vehicles, according to Entrepreneur (Leasing
101, December 2002, page 43). As reported in CFO.com, an American Express
survey of 485 middle market CFOs, an economic
recovery isn’t expected until 2004. In the meantime,
finance chiefs say they'll keep on cutting.
More than two-thirds of middle market chief
financial officers believe that in 2003, the
economy either will stay flat, act erratically
or decline further according to the AmEx survey.
The report goes on to say further that the finance
executives see managing indirect costs as one
of the biggest challenges to improving their
companies' overall financial health in the coming
year. Good news for lessors? In the late 1990s
more companies placed behemoth growth and increased
revenues over cost containment. Today, expense
management is the name of the game. Sites of Reference: http://www.cfo.com/Article?article=8253 CONTACT: Amy Miller Holmes Equipment Leasing Association Phone Number: 703-527-8655 E-mail: aholmes@elamail.com (courtesy ELAonline.com) note these are excerpts-ELA members get two
full reports twice a week; worth the dues just for these reports, not counting
all the exclusive news ands special project reports, plus advocacy for the industry. Worth repeating: As Menzel noted,” If you don’t know what you
are really getting into, then stay away. Discipline
is the most important part of the leasing business.” Added
Deane, “Control should be emphasized before
growth. You can have too many strategies and
do too many things. This will lead to failure.
The challenge in the leasing industry is not
to find opportunities, but which ones to choose.”
--------------------------------------------------------------------------------- #### ############################################### CapitalSource Forms Media/Communications Finance
Division; Jeffrey Kilrea To Lead New Division
in Corporate Finance Group CHEVY
CHASE, Md.----CapitalSource, a leading commercial
finance firm headquartered in Chevy Chase, Md.,
announced today the formation of a new division
focusing on media and communications finance. The
Media and Communications Finance Division, based
in Chicago, will operate within the company's
Corporate Finance group, which focuses on providing
senior or mezzanine financing to companies that
have private equity sponsorship. Heading
the new division will be Jeffrey Kilrea, who
joins CapitalSource from GE Capital Commercial
Finance and its predecessor company Heller Financial.
At GE Capital he led the company's lending efforts
on behalf of clients in the media and communications
industries. In
his new position as director of media and communications
finance, Kilrea will focus on financing opportunities
within the media and communications industries,
including business development and day-to-day
lending activities for the new division. He
will also serve as a resource in the development
and implementation of marketing strategies for
the business unit. Prior
to GE Capital, Kilrea served as senior vice
president and head of the Communications Finance
Group at FINOVA Capital Corporation where he
assisted with the start-up of the group and
was responsible for managing a portfolio of
approximately $800 million in funded volume. Kilrea
holds a bachelor of science degree in finance
from Northern Illinois University. "We
believe that middle market media and communications
firms represent an under-served market with
a proven history of creditworthiness and a durable
value," said Joseph A. Kenary Jr., managing
director of CapitalSource's Corporate Finance
group. "As traditional lending sources
have stopped financing many of these small to
mid-sized media companies, CapitalSource hopes
to become the recognized leader to finance these
businesses. "With
his years of experience and deep understanding
of the market, Jeff should enable us to have
an immediate impact in this lending environment,"
Kenary said. CapitalSource's
Corporate Finance group works closely with private
equity sponsors, strategic investors and financial
intermediaries to deliver creative and sophisticated
financing solutions to middle market companies.
The group provides debt capital to facilitate
strategies such as leveraged buyouts, leveraged
build-ups, consolidations, growth financings
and recapitalizations. About
CapitalSource CapitalSource
is a one of the leading commercial finance companies
in the United States. The company offers senior
and mezzanine financing ranging from $2 million
to $50 million to small and mid-sized borrowers
through three focused lending units: Corporate
Finance, Healthcare Finance, and Structured
Finance. CapitalSource
has $511 million of committed equity capital
and over $2.5 billion in funding capabilities. Headquartered
in Chevy Chase, Md., CapitalSource has a full-service
office in San Francisco and satellite offices
in Boston, Chicago, Dallas, Los Angeles, New
York and Philadelphia. The company has 147 employees.
For more information visit www.capitalsource.com
or call toll free 866-876-8723. --30--CF/ph* CONTACT:
CapitalSource, Chevy Chase
by
Crosby Marketing
Jeffrey A. Davis, 410/626-0805 ################ ################################################# Growth Hit 4% Rate in 3rd Quarter Other
Economic Reports Paint a Mixed Picture By John M. Berry Washington Post Staff Writer The U.S. economy grew at a 4 percent annual
rate in the third quarter, nearly a full percentage
point faster than originally estimated, the
Commerce Department reported yesterday. But
many forecasters expect growth to drop back
to a 1.5 percent rate or less in the final three
months of the year, continuing the seesaw pattern
since last year's economic slump ended. Yesterday, for example, the National Association
for Business Economics said that over the past
two months its panel of 33 forecasters has become
less optimistic about the economic outlook,
trimming its prediction for the fourth quarter
to only a 1.4 percent annual rate. The forecasters'
expectation for growth in the first three months
of next year is a better, but still subdued,
2.5 percent rate. "Unresolved economic problems, specifically
a hangover from the late 1990s [business] investment
bubble plus the need for families to rebuild
their savings, are likely to keep U.S. growth
below a 3 percent rate through the first quarter
of 2003," said NABE President Tim O'Neill,
chief economist for BMO Financial Group. Even if growth strengthens later next year,
as the panel expects, the acceleration will
not be great enough to lower the nation's current
5.8 percent unemployment rate, the NABE said. Commerce said the major reasons for the upward
revision in growth was newly available data
showing increased business inventories and a
declining U.S. trade deficit with other countries. Yesterday's report also noted that after- tax
corporate profits rose at a 2.1 percent annual
rate for the third quarter but were still 1
percent lower than they were in the same quarter
a year ago. Meanwhile, the consistently brightest spot in
the economy, housing, continued to shine last
month. Commerce said that sales of new homes
slipped 4.5 percent last month, to an annual
rate of 1.007 million. But that also meant that
sales, which before August had never topped
a 1 million annual rate, now have done so for
three months in a row. The average price for new homes rose last month
to $225,100, up 8.7 percent since October of
2001. At the same time, the median price of
new homes -- that is, the price at which half
the homes cost more and half cost less -- reached
$176,700, up only 3.2 percent in the past 12
months. That means a growing share of new homes
are carrying higher price tags. In a third report, the Conference Board, a New
York-based business research group, said its
monthly survey of consumer confidence rebounded
to 84.1 this month from last month's 79.6 reading
-- the lowest in nine years. Most of the improvement
came in consumers' expectations for the economy
rather than in their assessment of current conditions.
Some analysts believe consumer expectations
are heavily influenced by the course of the
stock market, which has improved significantly
in recent weeks. "The rebound in expectations suggests consumers
do not expect economic conditions to become
worse," said Lynn Franco, director of the
Conference Board's Consumer Research Center.
"This comeback, combined with . . . upbeat
forecasts for Christmas spending, signals a
brighter holiday spending season than was anticipated
only a month ago." The board said consumers regarded the employment
outlook more favorably this month than in September.
The share of respondents expecting fewer jobs
to be available over the next six months declined
to 18.9 percent, from 22.1 percent, while those
expecting more jobs to be available held steady
at 15.3 percent. In addition, 19 percent of
the respondents said they expect a rise in their
incomes; 17.9 percent thought so last month. Yet another report contained less good news.
The Labor Department said 1,497 companies reported
laying off at least 50 employees in October,
up from 1,062 companies in September. Last month's
figure was the highest since June. The data
are not adjusted for seasonal variations, however,
so month-to-month comparisons may not be evidence
of a trend. Indeed, tracking instances of such significant
layoffs over 12-month periods shows that the
number appears to be trending downward, analysts
said. ---------------------------------------------------------------------------------------------------- Consumer confidence rose in November By Brad Foss, Associated Press NEW YORK (AP) Consumer confidence rose in November,
reversing a five-month- long trend, thanks to
improved expectations about employment and income,
a private research group reported Tuesday. The New York-based Conference Board said its
Consumer Confidence Index rose to 84.1 from
a revised 79.6 in October a nine-year low. Analysts
had been expecting a reading of 85.0. The industry group's index, based on a monthly
survey of some 5,000 U.S. households, is closely
watched because consumer confidence drives consumer
spending, which accounts for about two-thirds
of the nation's economic activity. The index compares results to its base year,
1985, when it stood at 100. ''The rebound in expectations suggests consumers
do not expect economic conditions to become
worse,'' said Lynn Franco, director of the Conference
Board's consumer research center. Alexander Paris, an economist at Barrington
Research in Chicago, said consumers' positive
outlook is not surprising given that wages continue
to grow, the employment picture is improving
and low interest rates make it easy to borrow
money. ''All the signs are that the economy is picking
up again,'' said Paris, who cautioned that the
manufacturing sector remains weak. Investors did not react enthusiastically to
Tuesday's economic data. The Dow Jones industrials
declined 148 points to 8,701 in midmorning trading,
while the Nasdaq composite index was down 21
points at 1,460. The Conference Board report showed a minor improvement
in consumers' confidence about current economic
conditions. The number of consumers rating current conditions
as ''good'' rose to 16.0 percent, up from 15.6
percent in October, while the number sizing
up the conditions as ''bad'' declined to 26.0
percent, compared with 27.7 percent in October,
the Conference Board said. Consumers had more optimistic expectations for
the next six months, the board said. The number
expecting an improvement in business conditions
in coming months grew to 19.9 percent from 19.3
percent a month earlier. Respondents who held
the opposite view declined to 11.4 percent,
down from 14.3 percent in October. The outlook for jobs improved, with 18.9 percent
of consumers saying they expect fewer jobs to
open up in the next six months, down from 22.1
percent in October. Those expecting more jobs
remained flat at 15.3 percent. Income expectations were slightly higher, with
19.0 percent of consumers anticipating a rise
in their incomes, up from 17.9 percent a month
ago. On the Net: http://www.conferenceboard.org Housing
Reports: Shades of Roseanne Roseannadanna on 11/25/02: Existing home sales jump 6.1 percent UPI Spotlights! --The National Association of
Realtors on Monday reported that sales of existing single-family homes climbed
in October as buyers responded to lower mortgage interest rates.
The group said sales of existing single-family homes jumped 6.1 percent during
the month to a seasonally adjusted annual rate of 5.77 million units. and on 11/26/02: Home Sales Down 4.5 Percent in October United Press International--The Commerce Department
said Tuesday that sales of new single-family homes in October fell 4.5
percent to a seasonally adjusted annual pace of 1.007 million annual
units, led by a sharp decline in the Northeast, from a record 1.054 mil! lion
units in September. Most econ omists on Wall Street expected a decline
of 3 percent. Nonetheless, analysts said that with new home sales setting
new record highs in recent months, the pullback only means a bit of a pause
rather than a capitulation for the housing market. or ##########
########## New-Home Sales Hit Million-Plus Rate for Third P.R.Newswire, 11/26/2002 14:50 Consecutive Month in October WASHINGTON, Nov. 26 /PRNewswire/ -- Supported
by historically low mortgage rates that continue
to drive buyers to the housing market, sales
of new single-family homes reached a seasonally
adjusted annual rate of 1.01 million units in
October, down 4.5 percent from an upwardly revised,
all-time high rate of 1.05 million units in
September, the Commerce Department reported
today. This was the third consecutive month
in which new-home sales have broken the million-unit
pace. "Taken all together, August, September
and October were the three best months for new
home sales ever," said Gary Garczynski,
president of the National Association of Home
Builders (NAHB) and a builder/developer from
Woodbridge, Va. "Many buyers are seeing
the best home financing deals of their lifetimes,
and that is proving too good an incentive to
pass up. While we can expect some moderation
in this exceptional sales pace in months ahead,
there is no question that the housing market
is showing remarkable strength as the economy
slowly recovers." Regionally in October, new-home sales were up
1.2 percent in the South and 4.3 percent in
the West, while the Midwest posted a 17 percent
decline and the Northeast saw a 32 percent drop
that only partially offset a huge gain in the
previous month. The nationwide inventory of
new homes for sale rose modestly, from a 3.8
months' supply in September to a still-healthy
4.1 months' supply in October. Garczynski said that 2002 will almost certainly
be the best year in history for new- home sales
and that, even with some anticipated slowing
of activity in months ahead, 2003 and 2004 are
likely to be the second- and third-best years
on record, respectively. NAHB is currently projecting
that new-home sales for all of 2002 will reach
nearly 960,000, up substantially from the current
record of 908,000 units set in 2001. ################ #### (As Roseanne Roseannadanna
would say, “ It just goes to show you....never mind!” Editor
) ------------------------------------------------------------------------------------------------------------ West Coast vs. East Coast—Median Price for Houses
Up Median price of Bay Area homes up more than
14% from a year ago San Francisco Chronicle Staff The price of an existing home in the Bay Area
in October jumped more than 14 percent compared
with the same month last year, a real estate
trade group said Monday. The number of homes sold jumped 28.2 percent
in the same period. The median price of a single-family,
detached home in the region was $521,230, according
to the California Association of Realtors. The
group said Burlingame and Orinda, at $760,000
and $750,000, respectively, were among the 10
cities with the highest median prices in California. Statewide, the median -- the price at which
half of sales are above and half are below --
surged nearly 23 percent in October, to $322,730. Some other property owners haven't enjoyed the
immunity from the slump that has protected homeowners
here. Average monthly rents for apartments have
fallen throughout the Bay Area: to $1,600 from
a peak of $2,169 in San Francisco, to $1,232
from $1,388 in the East Bay, and to $1,348 from
$1,935 in Silicon Valley. Vacancy rates in each
of those areas have now reached or exceeded
6 percent. Owners of some commercial real estate properties
have also felt the sting of the slowdown. San
Francisco office buildings have seen "a
huge rise in vacancy rates," from 1 percent
to nearly 20 percent, Kenneth Rosen, chairman
of the Fisher Center for Real Estate and Urban
Economics at UC Berkeley, said. Office rents
have also fallen sharply, so that space is now
priced at just more than $30 per square foot,
down from more than $80 in 2000, he said. ----------------------------------- Massachusetts. home sales jump in October Trend defies sluggish economy; low mortgage
rates seen as key factor By Thomas Grillo,Boston Globe Correspondent Single-family home sales in Massachusetts increased
by 3.3 percent last month, compared to October
of last year, according to data released yesterday
by the Massachusetts Association of Realtors.
The latest figures continue to astound economists
and defy the performance of a slumping economy. ''We're on a record pace, and this could be
the third best year for real estate sales in
Massachusetts' history,'' said Peter Casey,
MAR's president-elect. ''The fundamentals remain
strong: Inventories are up, and mortgage interest
rates are down.'' The number of detached single-family home sales
increased to 3,989 units in October, up from
3,861 one year ago. Some realtors were not surprised
at the October sales levels noting that following
the terrorist attacks of Sept. 11 last year,
home sales fell as many Americans took their
homes off the market and others put off buying. With many potential buyers priced out of the
single-family market in Greater Boston, condominiums
continued to make the biggest gains. October
condo sales rose to 1,197, up 13.5 percent from
last October's pace of 1,055 units sold. The rise in sales comes as mortgage interest
rates fell to 40-year lows in October. The average
rate for a 30-year, fixed rate loan last month
was 6.11 percent, according to Freddie Mac's
Primary Mortgage Market Survey. Harold Petersen, an economics professor at Boston
College, said he continues to be perplexed by
unstoppable home sales amid a sluggish economy. ''Perhaps the only explanation is that the Massachusetts
unemployment rate, while up slightly since the
first of the year, is still lower than the national
average,'' Petersen said. ''People obviously
have confidence in their pocketbook.'' Potential buyers looking for cracks in the foundation
of the state's housing boom may be encouraged
by evidence of falling prices. While the average
price for a single-family home climbed to $339,751
last month - a 9.3 percent increase over one
year ago, October's price represents a 7.6 percent
drop from the summer average of $367,814. In the condo market, the summer average price
of $254,468 fell to $236,436 last month, a 7
percent drop. Rosalind Levine, a MAR regional vice president,
said the October numbers reflect home sale transactions
during the summer months. Since then, she said,
sales have slipped, as have prices. ''Starting in August, we saw a dramatic decline
in sales and those numbers won't be out until
January,'' Levine said. ''But there's no question
that homes are staying on the market longer
and prices are coming down as sellers finally
get a dose of reality. Today's buyers are very
savvy. They can check comparable home sales
themselves online, and they will not buy overpriced
homes anymore.'' Casey was bullish. He predicted that last year's
sales numbers might be surpassed. At the close
of 2001, sales of single-family homes and condominiums
reached 57,665 units, the fourth largest volume
in the state's history. From January through
October of 2002, single-family home and condo
sales reached 52,981. ''We have nowhere to go but up,'' said Casey.
''We have a fair amount of inventory and when
there's that much inventory prices fall because
there are more choices for buyers and more pressure
for sellers to drop their prices.'' Nationally, existing-home sales rose 6.1 percent
in October to a seasonally adjusted annual rate
of 5.77 million units, 9.5 percent above the
5.27 million unit pace in October 2001, according
to the National Association of Realtors. The national median existing-home price was
$159,600 in October, up 9.8 percent from October
2001 when the median price was $145,400. _____________________________________________________________________ Compromise clinched longshore union deal---wrap-up George Raine, San Francisco Chronicle Staff
Writer Contract negotiators for West Coast longshore
workers linked one of their priorities, generous
pension increases for the rank and file, with
their employers' desire to bring new technologies
to the docks to handle cargo more efficiently. Under the tentative agreement, a 35-year member
of the International Longshore and Warehouse
Union will retire with a pension of $63,000,
compared with $39,900 under the terms of the
contract that expired in June. A 30-year member
will have a pension of $54,000, compared with
$34,200 under terms of the old contract. These figures came from sources familiar with
the long and barbed negotiations between the
ILWU and the Pacific Maritime Association, which
represents shipping lines and terminal operators.
Both sides don't want to discuss figures until
the workers see them for themselves. "That kind of a pension benefit puts the
ILWU right up at the very top of the workers
in this country," said Chuck Mack, western
regional vice president of the Brotherhood of
Teamsters, in Oakland, "Most workers will
aspire to that. They'll ask their representatives to do as well
or as close to those levels as possible in their
future contract negotiations," he said. The Pacific Maritime Association has said the
pension is valued at $1 billion, with much of
it covered by what the employers group hopes
will be return on investments in the market. The two parties, which began contract talks
in May, reached a tentative agreement Saturday
night in San Francisco, with the assistance
of Peter Hurtgen, the head of the Federal Mediation
and Conciliation Service. It now goes to a ILWU
caucus which is expected to approve it and forward
it to the 10, 500 members for their vote, perhaps
in early January. In the end the union is likely to receive increases
in three areas it identified as priorities as
early as last January: health care, pension
and jurisdiction over certain positions the
employers would like to have kept free of the
union. On the other hand, the ILWU is losing 400 or
more positions, as technologies make their tasks
unnecessary. Those workers will be given other
work to do on the waterfront, however. The proposed wage gain is modest: It's $3 an
hour over the 6-year life of the contract, sources
said. But then, wages were not a priority for
a group in which the average annual full-time
salary has been $80,000 to $100,000. The two sides on Sept. 4 reached tentative agreement
on a health benefits package, a 100 percent
employer-paid benefit over six years that will
cost employers some $500 million. On Monday, a chorus of retail trade associations
and other port users issued sighs of relief,
knowing ports may no longer be threatened by
labor unrest. "This ensures that shoppers
will enjoy the full range of products they are
looking for this holiday season," said
Robert J. Verdisco, president of the International
Mass Retail Association. In Sherman Oaks (Los Angeles County), Sunkist
Growers, which recently began exporting a harvest
of naval oranges, oroblanco grapefruit and winter
lemons, were grateful for the apparent peace
on the docks. "We are delighted it looks
like an agreement is in the works," said
spokeswoman Claire Smith. "We'll be ecstatic
when things are back to normal at the ports." Firms, consumers tally losses now that West
Coast ports see peace By Justin Pritchard ASSOCIATED PRESS SAN FRANCISCO – Businesses are still tallying
the billions they lost during and after the
now-resolved West Coast port labor dispute,
but damages may not be as high as some initial
estimates. Holiday shoppers, meanwhile, won't
likely feel too pinched. "People will be able to get things under
the Christmas tree," said Joseph Miniace,
president of the Pacific Maritime Association,
which represents about 70 shipping companies.
"Things may have gotten there a little
bit late, but they will get there." The association and the International Longshore
and Warehouse Union ostensibly ended their dispute,
which led to a 10-day lockout this fall at 29
major Pacific ports, with a tentative six-year
contract signed late Saturday. While union leaders lobby the 10,500 dockworkers
who still must approve the pact, businesses
with any stake in Pacific Rim trade are exhaling
after what for them was a nerve-racking showdown.
The exact economic toll may not be known for
months. But, eventually, analysts will likely agree
the U.S. economy lost billions, according to
economist John Martin, whose Pennsylvania firm
estimated port shutdown costs for the maritime
association. His widely quoted projections were that a 10-day
shutdown would drag the economy down about $19
billion. That's probably about right, he said.
But some analysts have said they believe Martin's
estimates are too high, and the economic impact
will be far less than his projections. "It's better in some ways and worse in
others, and we're trying to sort through that,"
Martin said Tuesday. For starters, shipping lines and port terminal
operators from the maritime association lost
about $400 million, industry officials said.
Union members likely lost tens of millions in
wages during the lockout. Other trade-dependent industries may have been
hit ever harder by a Catch 22 – if they didn't
stockpile goods ahead of expected problems on
the waterfront, they risked losing sales; if
they did, they had to pay storage costs that
add up quickly. Martin suggested businesses lost billions in
opportunity costs alone because goods were delayed
in the ports for weeks after the gates reopened
Oct. 9. During that period, impacts were legion. Auto plants shut down. Grain shipments were
backed up into the Midwest. Truckers fumed as
they idled in long lines as the ports creaked
back to activity. Del Monte was forced to unload
tons of bananas at West Coast food pantries.
Major League Baseball didn't receive promotional
giveaway cameras in time for Game 4 of the World
Series. Losses probably ran into the millions for New
United Motor Manufacturing Inc., a General Motors
and Toyota assembly plant near San Jose that
closed for two days before it began chartering
planes to fly in car parts from Asia. The truck
line remained idle for five days. If those shipment expenses weren't bad enough,
labor costs swelled as well – the plant kept
paying its 5,000 workers even when production
stopped, and then paid overtime to recoup the
3,000 trucks and 1,500 cars it didn't produce.
"Regrettably, those are costs that we need
to absorb, we can't pass those on to customers,"
said plant spokesman Michael Damer. A spokesman for American Trucking Associations,
one of the industries that felt the pain immediately,
guessed firms and self- employed drivers lost
hundreds of millions of dollars. Now, with docks back to a near-normal flow,
truckers are hauling goods and stores aren't
bracing for a supply chain disruption. Miniace of the maritime association offered
an example of the change. A month ago his wife, Giana, was browsing half-empty
shelves at a favorite French antiques shop –
the goods were stuck offshore aboard one of
the about 200 vessels queued up outside West
Coast ports. "'Oh, my gosh,'" Miniace said the
store owner exclaimed, "'did you hear about
the dockworkers?'" Now, with the dispute resolved, the store shelves
are stocked again. ------------------------------------------------------------------------------------------------- IDS Hubert to Take Leave of Absence to find
money ### ###################################### The Board of IDS (the 'Board') announces that
with immediate effect John Hubert has been granted a temporary leave of absence
from his position as Chairman of IDS in order to enter into discussions with
a third party regarding his participation in a possible offer for the issued
share capital of the Company. During John Hubert's leave of absence, Tom Glucklich
(Senior Non Executive Director) will become acting Chairman of the
Board. The Board has also granted Jim Meinen, Chief
Executive Officer, temporary leave of absence with immediate effect to pursue discussions
with finance providers with regard to making a possible MBO offer for
the issued share capital of the Company. During Jim Meinen's leave of absence the Board
has appointed Ron Sleiter, as Interim Chief Executive Officer. Ron Sleiter has over 30 years experience in the computer software industry, most latterly
as Senior Vice President of Sales at Compuware Corporation, a $1.7 billion turnover
company. In light of these changes to the operation of
the Board, an independent board committee (the 'Independent Committee') has
been established to appraise any offers received for the Company. The Independent Committee comprises Tom Glucklich as Chairman, Michael Roller (Finance
Director), Harry Tee (Non Executive Director) and Jim Granger (Non Executive
Director). The Independent Committee wishes to inform shareholders
that in addition to discussions taking place with Jim Meinen and
the position outlined above in respect of John Hubert, a number of exploratory
discussions with third parties who may or may not be interested in making an
offer for all or part of IDS are being undertaken. It is important to stress that no formal offers
have been received for the Company and that there can be no guarantee that
an offer for the Company will be forthcoming from any of the preliminary discussions
currently taking place. Further announcements will be made as appropriate. For further information, please contact: IDS Group Plc Tom Glucklich +44 (0) 1962 703 448 Michael Roller Robert W. Baird Limited (Financial advisers
to IDS Group Plc) Nick Sealy +44 (0) 20 7488 1212 Matt Davis The Directors of IDS Group Plc accept responsibility
for the information contained in this announcement and, to the best
of their knowledge and belief (having taken all reasonable care to ensure
that such is the case), the information contained in this announcement is
in accordance with the facts and does not omit anything likely to affect the
import of such information. Robert W Baird Limited ('Baird'), which is regulated
in the UK by the Financial Services Authority, is acting exclusively for
IDS Group plc ('IDS') and no-one else in relation to a possible offer and will
not be responsible to anyone other than IDS for providing the protections afforded
to customers of Baird or for giving advice on this proposal. This information is provided by RNS
The company news service from the London
Stock Exchange ############# ####################################### -------------------------------------------------------------------------------- Is American Express Business Financial for Sale? 36% approval ratios, high rates, poor service....and
lot's of attitude. What's happening at American Express Business
Finance? It
takes weeks to get a small vendor who might
do $100K in leasing/year approved.....if they don't lose
the vendor at this point, they usually do once they see the
rates or submit a deal or two....it's a decline-'o-rama....large
programs are being brought forth by the sales force....only
to be turned down. By
example, one is doing significant volume per
month in good, solid small ticket business. When given a chance at the business....AMEX approved 36% of the transactions
and required PG's on 100% of the ones approved....the
existing lessor in the program is running in the 75%
range for approvals and rarely required PG's(one deal
in 10)....all at lower rates.
Upon being kicked out of the program...managements
response was "They just don't understand our Value
Proposition."
Actually, it appears they understand it quite
well. It's
like they expect the customer to sit there and take it.....as
though they don't have a choice. Another
large opportunity had been with GE Capital for
a few years. Upon
coming to AMEX they found their $30 million/year
in leasing go to $300K per month....what's more....that $300K
is being syndicated out to other lessors for a fee.....effectively making
AMEX a broker.
Cool, eh? Probably another program they won't have next
year. Many
other programs and vendors doing significant volume with competitors
are turned away because they "don't fit"....whether
it's because of asset type, structure, etc. I'm
curious why they fit so well with the competition. These are marquee programs with big names that lessors
would kill to have.......Also, the vendor/program requirement is tight and
getting tighter....they only want to deal with the biggest of the biggest.....with
this offering? They have already been given a shot with many large
opportunities, only to lose it on performance. The "Brand" is being held out as a
replacement for the basics that have to be done in the business.....good customer service,
competitive rates, reasonable credit approval ratios, reasonable
lessee/documentation requirements, etc. Apparently The Brand is supposed to make vendors fall over with excitement at getting the opportunity
to do business with American Express. It seems to be happening less and less. Name With Held Responding to your rumor that American Express
wants to get out of the leasing business, let me let you know
our online product is really good....created by and supported by good people....however, when it
was once the
premier/best in class product is now
similar to what everyone
else has.
The problem is....you can have the best
system and
electronic capability in the world....but
if you don't really want to do any deals...what good is it? There are many other similar stories....the
worst part is
there are some really good people still
here (some good ones have departed as well). The frustration levels are high here....I see leadership floundering, power
struggles are plenty.....everything is very
inwardly focused. It's almost like we are being told to clean
house and get it ready for sale as there doesn't
seem to be any forward thinking going on. Current
“Management” Employee (Leasing News placed several telephone calls
to Richard Anderson at American Express Business Finance. On the last call, we connected, and when told who was calling, he said, “ I can’t talk to you.” We asked if there was someone he could refer
us to, and Anderson responded, “ I can’t talk to
you.” After
explaining we were trying to obtain confirmation or denial or any comment,
he said again, “ I can’t talk to you.” After the third time, we took the hint and thanked
him for his time: Richard Anderson can’t talk
to us. Editor ) GE Capital Selling Colonial Pacific Portfolio? I'm not sure, but I probably missed it in one
of your newsletters but I read in the Saturday business section, daily
briefings, in the Atlanta Journal-Constitution that GE Capital was selling
one of its small business leasing divisions. The article mentioned that it was part of the Heller transaction, so I assume it may also
involve the old Colonial Pacific portfolio
as well, don't know just assuming. Again, you may already know this and I missed
this or this may be new news for you to follow up on. Good luck and thanks for the info. Name With Held Yahoo chat line had a rumor that they were selling
their factoring business. You probably saw the article at Monitor.com which provided little help as to what is being sold.
The Colonial Pacific people says it is now their unit that is for sale. Highly Reliable Insider Source GE Cap. is constantly selling small ticket portfolios
to manage their short term income needs against long term revenue
goals. When GE exits a business segment they sell it
lock, stock, and barrel.
Once they purchase a business unit, assimilation
immediately occurs along with downsizing.
I don't see them selling a past acquisition
after they have cleaned up the mess unless they are in complete
divest mode.
This is not their strategy on leasing, Big or small ticket. Just my opinion. “Industry Leader Who Does Business with GE Capital” --------------------------------------------------------------------------------- Peter Nevitt---
Remembered “Peter contributed a tremendous amount to the
equipment leasing industry. His creativity,
generosity and dedication to leasing and the
people who practice it will be missed.” Michael Fleming,CAE President, Equipment Leasing Association -- It is with great sadness that I learned of the
death of Peter Nevitt. I started the leasing operation at Chase Manhattan
bank in 1965 and for a while there were only three banks in the business. Peter and I, in 1972, when he was at First National
Bank of Chicago, bid on the first electric power plant lease ever done
in the world.(along with Citi and Manny Hanny). I won the bid, but Peter purchased
35% of the deal from me. I retained 40% and after Citi and Manny
Hanny refused a share, sold the other 25% to Chemical. At $186,000,000 I think
it was the largest lease at the time. It took over 5 years to build and
cost well in excess of $300,000,000 by the time it was done. It was
probably the longest a lease had been done for at that time (30 years). I
booked a zero residual value and got the ITC too. It think that the lease probably expired this
year or certainly will by 2007. I would have to guess that the plant and
transmission towers are probably now worth $600 Million to $1 Billion,
making it probably the most profitable lease ever done. I will miss Peter: he was one of our founding
fathers of the leasing industry. He was a class act and will be very hard to
follow. C. ROGERS CHILDS, JR. DIRECTOR, WHOLESALE ORIGINATIONS LEAF FINANCIAL CORPORATION 1845 WALNUT STREET 10TH FLOOR PHILADELPHIA, PA 19103-4709 PHONE: 215-717-3393 FAX:
215-569-0675 EMAIL: rchilds@leaf-financial.com WEB PAGE: http://www.leaf-financial.com See our history and profile on: http://www.elaonline.com ------- San Francisco Chronicle Reporter Chaing and
ELA have it wrong. Peter Nevitt was a towering figure for years
and years in the equipment leasing industry but he was not the inventor
of the leveraged lease. That honor belongs to Donovan Thayer and Desa Wakeman.
Both were with U.S. Leasing at the time (1968/69) and the concept
was Don Thayer's while the math was devised by Desa using an old Frieden
electro/mechanical calculator together with the old "blue book" of financial present value tables.
We called the Frieden her "chunkada, chunkada"
machine and it took about six hours and heaven knows how many iterations to
do the math on a leveraged lease that today would be structured in about
45 seconds on a PC with SuperTRUMP. Mr. Nevitt was a grand attorney and equipment
lessor, but he didn’t do the first leveraged lease. I believe he was
at Greyhound at that time. Name withheld by request. --
Bank of America was the first to lease
personal property: July 22, 1963, under the
direction of Rpbert D’Oyly Syser.
Joseph Saxon, comptroller of the currency,
advised national banks on March 18,1963,that
they were permitted to lease personal property,
buying equipment and leasing it directly to
customers. “Famous First Facts” by Joseph Nathan Kane gives the first bank transaction
to Bank of America. ------------------------------------------------------------------------------------------------- Fifth Third Stock Takes Hit Following Accounting
Probe; Analysts Say Long-Term Damage Will Be
Minimal U.S.Banker Weekly Magazine Fifth Third Bancorp's George Schaefer, Jr. seems
to be wearing his $3.4 billion market-cap shiner
well enough, as his bank's stock settles around
the $57.75 mark a week after being belted by
shareholders over a federal bond accounting
probe. The inquiry prompted a delay in Fifth
Third's much-lauded deal to buy Tennessee-based
Franklin Financial. The hit leaves the bank
with a still-respectable market cap of $33 billion. Analysts say long-term damage resulting from
the accounting probe is unlikely, as Schaefer's
team has a rock-solid reputation. Putnam Lovell
analyst Jennifer Thompson says there has been
no grumbling from the Franklin side about the
delay, which is on hold until a federal supervisory
letter flagging the probe is withdrawn. The
deal's supposed to close on March 31. As long
as the letter's off the table by then, it should
go smoothly. Fifth Third expects to wrap it
up by mid December. If the probe's still in
play after January, nerves are going to start
fraying, Thompson says. ------------------------------------------------------------------------------------
TBF Financial Purchases Charges Offs---- I have read with interest the comments by Russ
Wilder ("How Bad Is It?) and
others about this year's being absolutely dead
in terms of business originations. Tough times
are causing lessors to become more creative
and work
smarter. We purchase
lease charge offs, and our business has become
very active. We are
getting many phone calls from the small lessors
to the largest lessors inquiring about selling their charge offs. I have asked them why the
interest now, and they told me that they are
looking for every way to increase their bottom line. Since
the front end is so quiet, they are now focusing on the back end. We
are hearing especially from lessors who are on a
calendar fiscal year who want to get the proceeds
from selling their charge offs into this year's profits. Robert Boehm, Principal TBF Financial, LLC 120
S. LaSalle Street Chicago, IL 60603 (ph)
312-338-1906 (fax)
312-338-1910 rboehm@tbffinancial.com Please send to a friend as we are trying to
build our readership ------------------------------------------------------- Wines of the Week for Thanksgiving NEW YORK TIMES CELLAR PICKS By LESLIE SBROCCO No Thanksgiving table would be complete without
wine — even the original Thanksgiving Day revelers
washed down their roast goose and duck with
wine made from wild grapes. But the question
is: How do you find wines that can stand up
to light or dark turkey meat, candied yams and
cranberry sauce? Some tips: Stay away from whites with too much
oak and reds with overwhelming tannins, which
compete with the cacophony of flavors on the
table. Instead, look for elegance and a juicy
fruit quality. Beaujolais, riesling and gewürztraminer
are often top picks, but I also recommend sampling
viognier, merlot and pinot noir this Thanksgiving. VIOGNIER Viognier (pronounced vee-oh- nyay), a grape
variety responsible for producing the white
Rhone wines of France's Condrieu region, has
become popular in a few spots in the United
States, including California, Washington State
and Virginia. An ideal choice for the turkey
table because it of its naturally aromatic,
fruity qualities and fuller body, viognier is
usually is made in a dry style with touches
of oak. (Santa Barbara, California---Many wineries here
produce an outstanding, fruity flavor at very low prices---better than reasonsonable.
This wine goes great with game bird---it is not a “cocktail” like Chardonnay
as we view it, but more a food wine. Menkin) 2000 Pepperwood Grove, Viognier California $7 -- What a bargain. Similar to chardonnay
in its full-bodied texture, but with juicy tropical
and peachy fruit aromas and flavors, this wine
is full of viognier character. Pepperwood Grove
is a California-based negociant business that
buys grapes and blends their own wine. The focus
is on producing high quality wines for affordable
prices (don't miss their syrah bottling, either). 2001 Echelon, Viognier, "Esperanza Vineyard" Clarksburg, California $12 -- More restrained in its aromas and fruit
flavors, but sporting a zingy core of acidity
that pairs well with food or can be served simply
as a cocktail. (Make sure to watch for more
wines carrying the Clarksburg appellation, which
is located near the cool Sacramento River delta
in California and is producing grapes with flavor
and finesse.) 2001 Clay Station, Viognier Lodi, California $15 -- Viognier can often be very expensive,
but this deliciously dry and full- bodied wine
captures the heady, perfumed quality of viognier
at an affordable price. Orange blossoms and
ripe peaches greet you on first sniff and follows
through with flavors of tropical fruit, honey
and spice. ( I also think the New Zealand Sauvignon Blanc
with Semillion go well with Tex-Mex, SouthWest, Asian, and game with heavy
sauce.Menkin) MERLOT Due to the rise of syrah, merlot has lost some
of its former popularity. It can, however, can
be another good selection for the turkey meal
as long as it isn't made like cabernet sauvignon
(meaning big and tannic). Merlot should have
a velvety texture with smooth tannins and bright
fruit. has it in spades, making it easy to tackle turkey
and all the fixings. 2000 Clos LaChance, Merlot Central Coast, California $18 -- A beautifully textured wine that showcases
the suppleness of top- notch merlot at a price
that makes it even more appealing. Plum and
spiced aromas and flavors are supported by an
ultra-smooth, velvety texture. (They recently moved from Saratoga to Morgan
Hill with a new winery. You can find the prices lower in California. All their varietals
are very good for the price. 2000 Clos du Bois, Merlot Sonoma County, California $18 -- Captures the roundness and soft tannins
of merlot with a stylish streak of acidity.
Black cherry and plum fruitiness finishes with
spicy, black pepper note. A real crowd-pleaser. ( I have bought from $9.99 to $11.99 at Beverages
& More, Cost Plus, and other locations.
This is our “house” merlot.
Doesn’t age very long, meaning I would
not keep more than three years, as it is made to
drink “now.” PINOT NOIR Pinot Noir is a classic choice for Thanksgiving
because of its fruitiness, elegance and soft
tannins. If you're not cooking at home, many
restaurants offer a quality selection of pinot
noir and red Burgundy (which is made from the
pinot noir grape). 2000 Adelsheim Vineyard, Pinot Noir Oregon $25 -- Adelsheim is one of Oregon's most consistent
producers of elegant pinot noir. This wine opens
with delicate floral and ripe berry aromas,
then delivers a mouthful of black cherry fruit.
The tannins are soft and integrated and the
wine deliciously balanced. 2000 Handley Cellars, Pinot Noir Anderson Valley, California $25 -- What a pinot noir. It manages to successfully
marry depth of flavor with brightness of fruit.
Touches of cedar spice augment sweet cherry
aromas, then it's back to fruit, fruit, fruit
when you sip the wine. Ideal with Thanksgiving
or any meal, for that matter. 1999 Charles Krug, Pinot Noir Carneros, Napa Valley, California $18 -- It's tough to find good pinot noir under
$20, but this is one to seek out. More Burgundian
than Californian in style (read medium body,
tangy red fruit and earthy notes), the wine's
finesse makes it a comfortable dinner companion. ( I would recommend any Carneros made Pinot
Noir, but usually over $20.00 ZD in Napa makes a great one, second to David
Bruce of Los Gatos ( I like his Russian River best, but his Santa Cruz estate
is number one.
I think he is the best Pinot Noir wine maker perhaps in the
United States.
The Mondavi reserve would be my third choice for California
Pinot Noir.
This grape is neglected here, as it is a gain a “food wine,”
meant to go with food, rather than sip as a “cocktail.” Menkin) Leslie Sbrocco, a wine writer and educator,
is the author of this bi- weekly, Web-only feature.
She is currently working on a wine book for
women, to be published by HarperCollins in 2003. Kit Menkin has been making wine since he was
15 years old, and produced wine in the1970’s
and 1980’s under the Monte Sereno Winery label,
1200 cases a year, primarily Merlot blend. He retired when this turned into a business
and not fun any more. Heis past president of
the Professional Wine Society of Santa Clara
Valley, member Ordre Mondial, and Charge de
Presse Santa Clara Valley Chaine des Rotisseur
Chapter (also Pacific North Webmaster). He still collects wine, writes occasional wine
reviews for several newspapers and magazines, and enjoys
the best 40 year old Cognac especially. ========================================================== "The Moon is Open for Business" California company signs deal to fly world's
first commercial mission to Moon (Leased by GE Capital) By Vladimir Isachenkov, Associated Press MOSCOW (AP) The Moon is open for business. A
California company plans to fly the world's
first private mission to the moon next year,
delivering messages, business cards and cremated
remains for a fee. TransOrbital Inc. of La Jolla, Calif. signed
a $20 million contract on Tuesday with Moscow's
international space company Kosmotras, which
was authorized by the Russian government to
use decommissioned Soviet-built ballistic missiles
for commercial space launches. Kosmotras, a joint venture between Russia and
Ukraine, plans to test launch a replica of TransOrbital's
space vehicle into an orbit around the Earth
next month, and then send the real spacecraft
on a trip to the moon next October, TransOrbital's
president Dennis Laurie said at a news conference.
The unmanned space vehicle, called the TrailBlazer,
would orbit the moon for about three months,
taking high-resolution pictures of its surface
before crashing onto its surface. Private messages,
cremated remains and other commercial cargo
will be carried in a capsule designed to survive
the crash, Laurie said. The company charges $2,500 for a business card.
Messages start at $16.95. Inert materials are
$2,500 per gram, according to its Web site.
TransOrbital said the company hopes to fly regular
missions to the moon. ''We are very excited about ... going to the
moon on a regular basis,'' Laurie said. The
company has ''thousands'' of orders to deliver
jewelry, business cards and remains to the moon's
surface. ''Most of them who want us to take the cremated
remains like the idea of seeing their relatives
on a nightly basis,'' Laurie said. One customer
asked the company to deliver a throne-like chair
to the moon, but TransOrbital rejected it as
too bulky. He hailed Kosmotras' expertise, and especially
the fact that it employs former employees of
the Soviet moon program which sent numerous
unmanned probes and landing vehicles to the
moon's surface. The Soviet Union scuttled a
manned mission to the moon after suffering a
catastrophic explosion of its moon rocket. Kosmotras has the only government license for
converting the decommissioned RS- 20 missiles
into the Dnepr booster rockets. The missile
the most powerful in the Russian inventory is
known as the SS-18 Satan in the west and capable
of carrying 10 nuclear warheads. Kosmotras head Vladimir Andreyev said the company
currently has five Dnepr rockets, but may eventually
convert up to 150 such boosters if the market
is ready to absorb that many. ''Instead of being simply scrapped, these missiles
can be used for commercial launches,'' Andreyev
said. ''It's very advantageous for Russia.''
All Dnepr launches will be conducted from the
Baikonur cosmodrome in the former Soviet republic
of Kazakhstan. Kosmotras has already carried
out two commercial launches of Dnepr. A Fairfax, Va.-based company, LunaCorp, has
also considered placing a satellite in lunar
orbit to send back live images of its surface.
The European Space Agency and Japan also have
plans to send spacecraft to the moon. On the Net: Transorbital: http://www.transorbital.net -------------------------------------------------------------------------------------------------------- Happy Thanksgiving No Leasing News on Thursday and Friday. See you Monday, December 3
Kit Menkin and family
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