January 2, 2002

2001 in Review

        Quotes from Readers during the year
             Highlights from Leasing News the Last Twelve Months

http://www.leasingnews.org/list.htm _____________________________________________________________________

What started as a memo from Sierra Cities/First Sierra President Tom Depping to his salesmen the previous year has grown into something we could not imagine.

Nineteen Leasing companies had failed. Tom Depping sent out a personal memo to all sales personnel in April, 2000: Get to work, go after the lessees, the vendors…why was business down when there are so many companies no longer around? What was the matter with his sales staff? There were less companies around, meaning more business for his company. Why were sales not improving. He did not see his own demise.

It took him almost two years to sell his company, but he found a sucker: American Express ( "Don't leave home without it!")

This year we will publish a private memo from former board director Mark McQuitty, outlining his fears as to what was happening under Depping's direction. Readers will find it quite revealing. his is real "insider" information.

What Depping was telling his sales people about started to happen in the leasing industry, according to the Leasing News list around April 2000, but 2001 snowballed and even the Feds lowering the discount a record eleven times, could not change the tide.

77 major changes to theList, bringing it to127 at year end 2001. Here are some of the "highlights" for 2001: Advanta started the year off by officially ceasing leasing business, Affinity Leasing, the sister of Financial Pacific in Washington, closed down. Adrian Bulman dies young, Banc One closed five offices. Affiliated merges with First commerce Leasing, Colonial Pacific closes Tilden in New York and Anaheim, foreshadowing its own demise in Portland, Oregon to happen in December, El Camino Leasing, the largest independent sells to GATX, Comstock/Linc files bankruptcy, UPS Acquires First International Bancor, Dana reports huge losses, U.S. Mellon for sale, Bayview Capital closes down all leasing, long time Studebaker-Worthington is sold to State Bancorp, Manifest is sold to US Bancorp, Safeco Credit in trouble, Security Financial, San Jose, closes up, long time independent Flexleasing closes down, Orix consolidates seriously, Unicapital founder Robert New dies in plane crash, internet companies such as LeaseExchange, Totalfunding, eLease, Ampent, Equalfooting, leave aggregate price quoting on line comparisons, going to direct marketing or closing their doors, major plastic card company Preferred Capital assets are sold to CapitalWerks, Terminal Marketing closes, Bankcorp Financial closes, JDR Capital closes, T&W files bankruptcy, Heller closes as we knew it, 1Lease makes big splash and is now where? Steve Dallas closes United Capital, Old Kent gone, Comdisco files bankruptcy, Finova bleeds to bankruptcy, European American Bank closes-Fred Anderson, the Daniels scuttle SDI Capital, CIT sold to Tyco Financial, American Express buys Sierra Cities, Textron and Jim Merrilees parts ways, Powernet, Pinnlease $100 million fraud, Crocker Capital assets sold to Dimensional Funding, and perhaps to match the start of the year with the closing of Advanta, historic Colonial Pacific Leasing of Portland, Oregon last day is December 31 ( Collectors started calling as GE earlier, identifying themselves to lessees and discounters as General Electric---no more Colonial Pacific. ).

Adjectives to describe our industry in 2001 cannot be printed in Leasing News.

Here is what we can print about 2001

How did others see it?:

"…the fallout of a ruthless economy."

Jim Raeder


Russ Rickards, formerly Bank of the West Leasing/Cenval Leasing

Thanks for your interest. Aside from occasionally reading your newsletter, I have not kept up with the happenings of the Leasing industry

After 36 years in the "rat race", I was ready for a lifestyle change when I retired in ' 98. I'm not really surprised at your long list of leasing company failures or funding sources that have exited the business. As far as I'm concerned, many of them should not have been in the business to start with. And, as you know, we had similar shake outs in the decades of the 60's, 70's & 80's.

Yet as you say, I am a bit nostalgic about the past. I don't miss the day to day grind, but do miss a lot of the great people that I met during my long career. We sure had some great WAEL ( Western Association of Equipment Leasing, now the National Association of Equipment Leasing ) conferences back in the 70's. When I think about my old leasing group (Central Bank Leasing, now Bank Of The West) , still funding leases for brokers after almost 30 years, I feel like a proud old father, or maybe it should be grandfather.

What do I think about the economy? I don't think the current recession is anyway near as bad as the recession's of ' 74 & ' 81, where we had the double whammy of high interest rates & inflation. Of course, the Sept. 11 tragedy has probably not been fully played out yet.

Again, thanks for your interest and keep up the good work.

Your "old " friend
Russ Rickards


A word to those who are relatively new to our profession . Leasing tends to run in cycles. Credit is loose, then credit is tight. There a lot of funding sources, then there are few. Etc. Adapt to the changes as change is the only constant in our business.

Ted Parker
Past President, United Association of Equipment Leasing


Past President of Colonial Pacific Leasing, on hearing the closure news of CPL:

"The company served the broker community for years like no other company has. It was a good, long run for the brokers, lessors and employees."


( 2002 president of United Association of Equipment Leasing )

Many companies have come and gone in our industry, each with the prefect business model, only to fall prey to the changing environment, poor management or lack of capital to execute the plan. Some have disappeared due to unethical and dishonest practices.

More than ever before, we must support our Professional Associations, support their programs and support their standards. We must educate the next group of 20-year professionals in the industry and lead by example. The "older" leasing professionals must clearly take a stand and be sure to provide the guidance necessary for our younger leasing professionals to be successful. History has a way of teaching strong lessons; we just seem to ignore them later. We cannot let that happen in this down economy, we must secure the future for those that follow. We must remember that we are really a family and that we need to support, educate and lead our family to success.

Fisher-Anderson, L.C.
Bob Fisher, CLP


Lease Guru Bob Baker Says This Economy Has Great Opportunities!!!!

I have been overwhelmed with calls from small brokers who are in a panic.

They seem to be hearing that the industry is in for very tough times. The theme of the day is we are going into a recession and I can't compete against all of the "Big" leasing companies. To all of this I say " BULL" !!

I have been in this business of financing and leasing for over 30 years.

I can honestly say I have not seen business this good for over a decade. Over the last few years , especially the last couple , we have seen multiple mergers and acquisitions. Leasing companies today are either giants or ants.

In my humble opinion this has created tremendous opportunity for the small broker.

The big leasing companies could care less about the vendor that can only do two or three deals a month. In fact many small vendors are crying to do business with a leasing company that cares more about their vendors success than just an 800 # to send in a deal. Working with the small vendors keeps you under the "Radar" of the big boys.

Look at the math. A small $30,000 transaction with only 5 points yields a broker $1500.00 . 6 vendors doing only 3 deals a month is 18 deals a month at $1500.00 each generates 18 X $1500.00 = $27000 in monthly revenue or 324,000.00 Annually!!

The key today is working smart not hard. Focus on a small group of vendors and spend 100% of your efforts creating a CUSTOM FINANCE PROGRAM for your vendors.

Become value added to your vendors and you will have EARNED their respect , loyalty , and most importantly their leasing business.

One of my favorite quotes is the definition of an OBSTACLE " IT IS WHAT YOU SEE WHEN YOU TAKE YOUR EYE OFF THE GOAL" . forget the stories you hear of doom and gloom- opportunity abounds.

Great Selling!!
Bob Baker, CLP


"The Perfect" storm was a book made into a movie starring George Clooney where the skipper takes his fishing boat out into a storm that unprecedented. They go beyond the grasp of the boat, led by one person who is "determined,"

with a crew or board of directors who have little control nor knowledge and their catch ( credit ) begin to sour and basically they are caught in the "Perfect Storm" and perish.



US Bancopr/Manifest did a top sales person profile before September 11, and the compilation of 40 top producers nationwide was:

-College Education 89%
-prior sales experience 51%
-#years with company 3-4 average
-Monthly volume $320K
-Monthly Gross Profit $31K
-Salary & Bonus $121K annually

____ O

ther News Highlights:

Date: December 29, 2000
To: Members of UAEL

This announcement is made with great pleasure; Joan Dalton is appointed Managing Director of United Association of Equipment Leasing, effective January 1, 2001.

In assuming this new assignment, Joanie replaces Dr. Raymond Williams, Ph.D., CAE whose resignation was announced in October.


Adrian Bulman's Report on the year 2000 in Leasing ( still valid today ).

http://www.leasingnews.org/archives/December/12-27-00.htm )

Bravo..Adrian's article is the type of reporting that will give your news network credibility. It's the first time I actually made it past the headlines. FYI...SierraCities is fired up about the opportunities in 2001.

Happy Birthday and Happy New Year

Richard A. Baccaro
EVP Sales

( He is no longer the sales manager of American Express Business Finance. editor )


BSB Leasing is BACK!!!!!

Don Meyerson bought back the company and they are back in business at 303-329-09227. Official announcement to be made soon. They are notifying brokers to start sending them business again.
61 Leasing Companies Major Changes


We are/were a member of LeaseExchange. I do know that they have closed their Orange County sales office (11/2000) and laid off most of their staff. Our messages to the San Francisco office have gone unanswered of the past couple of weeks. The site is still active and fully functional.

name with held


One Deals Pays More than the Dues

Saw in your last communication where someone was complaining about the cost of UAEL membership going up again. Without reiterating the benefits of being a member, just the fact that they make available two conferences a year should be enough. If one thinks about the membership dues for the smallest firm, it is less than 1 point added to a $50K deal over the course of a year.
Steve Reid

Santa Barbara Bank & Trust


Preferred Capital Is Not "Sold", despite rumors to the contrary.

It is true that a handful of CapitalWerks employees were in our Tahoe City office last week. We are still talking with CapitalWerks regarding a possible deal, but no deal has been signed yet. I'll keep you posted.

Mark A. Seif
General Counsel, Preferred Capital Corp.

( He is no longer with the company. editor )


Dell Financial Services Tops $5 Billion in Lease Originations

ROUND ROCK, Texas--(BUSINESS WIRE)--Jan. 11, 2001--Dell Financial Services L.P. (DFS) announced today that it surpassed $5 billion in lease originations since the company's formation less than four years ago, and just five months after passing the $4 billion mark.

Born through a partnership between Dell Computer Corporation (Nasdaq:DELL) and The CIT Group ( later in the year the huge loses would be reported by them, Compaq, Dell, Gateway, Apple. editor )


Adrian Bulman Passes Away----

at the age of 53. He is survived by his wife Beth and sons Aaron (17) and Evan (14). Funeral services will be held at 3:00 PM on Tuesday (1/16) at Northside Chapel at Crabapple in Roswell, Ga.


Sierra Cities--comments "

I am an ex-employee and don't want to burn any bridges, but they have a lot of problems...they have a lot of good people there still, but at the San Antonio conference, about nine months ago, there were 220 salesman, and today there is 80.

I don't think they can get a lot more skinny than they are today... There a lot of good things going on, and I hope we can find a lot of good things going on there rather than this negativity."

name with held


Affiliated Corporate Services Merges With First Commerce Leasing

Affiliated Corporate Services, (ACSI) a Lewisville, Texas-based leasing company, has merged with First Commerce Leasing of Birmingham, Alabama, according to ACSI's Chairman, Richard A. Galtelli.

Both companies will continue to operate under their established names, but will be owned by a new entity, First Commerce Holdings.


Orix---Steve Geller Confirms the News with His Departure

Kit: Apparently you hit the name right on the head. Orix has closed down the Rediscount Division, which had been in operation successfully as a separate unit/branch since 1981 and is no longer accepting paper from third party lessors or brokers. Joan and P.K. remain at the company as credit managers in the direct operation. Charlie, Marlee and Lauri (all familiar names to the broker community) are involved in collections. I am considering starting a consulting business to help out any broker, lessor or funder who may need assistance in structuring deals, working out problem accounts or any other lease related matter. I can be reached at 845-354-1270 or by e-mail at



Another One Bites the Dust ! ! !

Colonial Pacific (2/2001) closed former Tilden operation in Hauppauge, NY and Anaheim, CA, at noon Eastern time today.



Perhaps using his picture from his driver's license, you can now see the famous lease attorney Joe Bonanno on line. He has a site designed for the leasing industry with issues from fraud issues, advance fees, broker-lessor, ethics, and a great page about Joe. But the picture has to go!!!!

Please visit the site, and let Joe know what you think of it---and his picture, too.



Old Kent just closed their doors. The employees were just let out of a meeting where they were given 60 days pay but laid off. All sales people are gone. They will accept deals that are approved for funding in the next 60 days but will not accept new apps.

Name With Held


Leasing Company Valentine Massacre???

The union of American Express and Sierra Cities will be a formidable force in the leasing industry. It will bring expertise, in-built operating system on both the world wide web and the established vendor-broker-salesperson land network, with a plentiful supply of cash and understanding of business credit. This is also happening in a tightening marketplace as warehouse lines and money becomes tougher to obtain, and credit criteria is higher than many have experienced in the last eight years. This is a major event. It may well be the Valentine Day Massacre for many leasing companies.


eLease Bits the Dust

eLease closes down. One of the first active aggregate funders told their funders they are "out of business." There are other eLease companies that are on "auto pilot"


JDR Capital U.S. Capital, Santa Barbara, California

I have heard numerous horror stories about JDR, the facts are simple enough to understand. JDR is and always has been a super broker, they were funding all their business through Copelco. In my eyes, Copelco was greedy, due to the 3% reserve they were collecting on a monthly basis from JDR. Eventually the reserve was not sufficient to cover the losses, which escalated to in excess of seven figures for one month alone.

Citicorp came in and put a stop to it all, no wonder Citicorp doesn't like to fund broker business. We can all thank JDR!!!!

Name Withheld


U.S. Capital

Leasing News is researching this. We are told the Santa Barbara ( actually Montecito, next to Santa Barbara. We are told it is only a mail drop and the company is not actually located at this address. We are attempting to get a hold of a Sheriff's report that might have more information.


Steve Geller---Joins Leasing News Advisory Board

Congratulations on landing Steve Geller, one of the most knowledgeable, decent, and straight-shooting guys in the industry, for your Advisory Board.

I remember attending my first EAEL annual conference many years ago. Steve was an established industry presence, and served on the welcoming committee for new members. This was during the stage of my leasing career when I was not yet confident that this was an industry in which I could succeed. Steve spoke to the group of incoming new members. I shall never forget his words:

"This is an interesting time for the business world. Those of you with the energy, work ethic, intelligence, skill, drive and desire, will go on to be part of one of the most exciting, dynamic, important, and respected industries in the business community. The rest of you will become small-ticket brokers." (Just kidding, Steve.)

In truth, Kit, Steve Geller is an enormous asset to the industry, and I am proud to call him a friend.

Barry Reitman


United Capital

I have several reports that the remainder of their portfolio was sold, and this company may be "disappearing." I have not been able to get confirmation ( or denial ) of this, but it will become public knowledge pretty soon. editor

We are receiving many more reports about deals not getting funded by U.S.Capital, Santa Barabra, California. We are told the address is a "mail drop." We are working on this story and hope to have additional information by tomorrow. editor


State Bancorp, Inc. Announces the Acquisition of Studebaker Worthington Leasing Corp.

NEW HYDE PARK, N.Y., Feb. 28 /PRNewswire/ -- The Board of Directors of State Bancorp, Inc. (Amex: STB), parent company of State Bank of Long Island, today announced the acquisition of Studebaker Worthington Leasing Corp. (Studebaker) in a cash for stock transaction. Studebaker has provided business equipment leasing nationwide for over thirty years, specializing in small ticket leases up to $100 thousand for computers and office equipment.


Flex-Leasing, Albuquerque, New Mexico

Rumors that Chuck Griffin has been selling his office furniture and equipment are true. He says he does not need his large office, as he is merging with another company. A formal announcement will be made soon.


U.S. Capital, Santa Barbara, California

More complaints from brokers all over the United States about Advance Rentals or deals not being funded. One today from New Jersey says it is over $25,000 and site inspections were completed, too. Everyone wants to know what is going on.


Terminal Marketing Company, New City, NY

More complaints about this company, and we are continuing to look into it. The only reason I bring this to readers attention is the number of complaints is close to a dozen or more, so this gives more credence to the complaints. If you have any information that we can verify, on this company, please let us know.


Sierra Cities-Amex Merger Gets Green Light

American Express Company announced that it received notification of the early termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 applicable to American Express Travel Related Services Company's $5.68 per share cash tender offer for all outstanding shares of common stock of SierraCities.com. The expiration or early termination of that waiting period was one of the conditions to completion of the tender offer. The tender offer commenced on February 27, 2001 and is scheduled to expire at 12:00 midnight, New York City time, on Monday, March 26, 2001, unless extended, and is subject to certain other conditions.


"Look forward to seeing you in New Orleans."



Tyco International Buying CIT

NEW YORK (AP) -- Tyco International Ltd. is buying commercial lender CIT Group Inc. for about $9.2 billion in cash and stock in a deal that would allow the manufacturer to finance purchases of its wide array of products.


'Flight to quality' helps ( headline of the story )
Tuesday, March 13, 2001

CapitalStream of Seattle has raised $20 million in venture capital to promote its online transaction and leasing platform for the financial services industry. Investors in the company include FTVentures, Banc of America, Polaris Venture Partners, Spectrum Equity Investors, Voyager Capital, Merrill Lynch Ventures and the Benaroya Co.

To date, the privately held company, formerly known as System One Software, has raised $47.5 million.

"The market climate has changed substantially over the last three quarters with the significant sell-off of not only tech stocks, but anything Internet- and dot-com-related," said Stephen Campbell, chief executive of CapitalStream. However, he said the 6-year-old company hit its financing goal and "benefited from a flight to quality" among venture investors who were looking for functional business models and strong management teams.


To set the record straight on the United/Spectrum/Countrywide speculation:

Jack Lieberman and I are partners in Countrywide Leasing, LLC a new company formed in December of 2000. I was formerly with MacArthur Business Credit (Now VenServ) in Irvine, CA as Credit Manager and moved here to start this entity with Jack. We have hired some of the former employees that got laid off from United including Melissa Allen and Dan Briones. We are an independent entity and we have NO access to United or Spectrum's information and have no desire to have any. We also agree that the situation United Capital has put their brokers in is unfortunate. But I want it made clear that while we are in the same office complex that Jack and another partner (not Steve Dallas) own, we are not in the same office space (there is 85,000 sq. ft in the plaza we are in), nor do we have any association with United or Spectrum in any way, shape or form.

John Sperling
Countrywide Leasing, LLC
1310 RR 620 South Ste. B-203
Austin, TX 78734
(866) 705-3273 x107
Email: john@countrywideleasing.com


Tyco International Buying CIT

NEW YORK (AP) -- Tyco International Ltd. is buying commercial lender CIT Group Inc. for about $9.2 billion in cash and stock in a deal that would allow the manufacturer to finance purchases of its wide array of products.


Spectrum Leasing "Exposed"

I visited United Capital in Austin Last July. Spectrum and United are the same company. Spectrum was their retail arm. Surprised to hear anyone would buy paper from them as it is exactly (or was) the same Steve Dallas. Has anyone heard from Jack Lieberman or is he long gone?



Miami Herald -Why Unicapital Failed

Frank Sinatra died, Gary Sheffield was traded for Mike Piazza, and a Miami company called UniCapital Corp. went on a $500 million spending spree.

It was May 15, 1998, and UniCapital was buying its way to greatness. The company raised $532 million in its initial stock offering that day, then paid out all but $15 million to the owners of 12 companies, to lenders and to the underwriters of its IPO.


Federal Reserve Cuts Interest Rates by 1/2 Point in Bid to Lift Economy

Tuesday, March 20, 2001

WASHINGTON -- The Federal Reserve cut short-term interest rates by half a percentage point

Tuesday, in an attempt to kick-start the sputtering economy. The central bank's move was widely expected, and some observers had hoped for a three-quarter point reduction. The central bank vowed to 'monitor developments closely,' leaving the door open


Look for PinnLease USA to go down with its parent PinnFund.


Supposedly there will be millions of dollars of unfunded deals. They list 44 offices through out the United States.



Security Financial to Close San Jose Office, Get out of Leasing Business

Security Financial---This company ended their application business in March, 1998. Ken Studer, veteran of Atlantic Financial, among many other companies, took early retirement, and is about to move to his ten acre ranch in Turlock. Len Sampaio, in the business 35 years, the last 27 with Security, is going to take early retirement and the San Jose office


UniCapital Co-Founder Dies in Plane CrashFederal Aviation Administration officials in Denver failed to notify Aspen's control tower that night instrument landings at this airport ringed by mountains were banned, investigators looking into a crash that killed 18 people

Aspen jet carried birthday celebrants

By Peggy Lowe, News Staff Writer
Mountain Rocky Newspaper

Limos, a gorgeous Aspen home, a catered dinner.

All were waiting for the birthday bash Robert New planned for his business partner Mario Aguilar and 13 others.

But the flamboyant weekend plans in the posh Rocky Mountain ski resort went down in flames Thursday night when the jet carrying the 15 celebrants and a three-person crew slammed into a hillside, killing all aboard.

The expensive and elaborate party plans were vintage Robert New, an "enormously generous" businessman, said his brother, Jonathan.

"He was renting a jet, renting a beautiful house. There was a catered dinner waiting," Jonathan New said. "That's who he is. There's nothing like it when he goes to town like that."

New, 36, a financier who lived the wild ups and downs of business, owned homes in Snowmass, Miami and Beverly Hills. His wife, Monica, and 8-year-old son, Matthew, lived full time in Snowmass neighboring a home owned by movie star Jack Nicholson.

The jet carried five members of Aguilar's family, including his mother, aunt and two brothers, Jonathan New said. Other people on the plane included Mir Tukhi, 26, and Marissa Witham, 22, both staffers at KTTV, the Fox News affiliate in Los Angeles.



Leasing News has received several reports in the last few months that LCA, Troy, Michigan has been laying off employees, having other difficulties, and may be in the process of more than just "downsizing"

We are also working on the JDR Capital story, a company greatly affected by the demise of some very large funders and superbrokers. Any information readers can send us about your experience we will share with readers.

I have attempted to contact the president of JDR,and will try again for an exclusive interview.


According to a highly reliable source, Tom Depping, president of Sierra Cities, has sent an e-mail to employees that he is resigning. We were able to obtain an internal memo to all employees about what may have preceded his resignation As most of you are aware, our shareholders have tendered over 90% of the outstanding shares to American Express.

American Express anticipates closing the acquisition by Friday. I would like to thank everyone for working hard to make SierraCities/First Sierra a great company. One that will live on as part of the American Express family…..

….I think it is time to seek new challenges. I am more like the gazelle than the lion. I need the thrill of the chase to get motivated every morning….

P.S. Make sure the lion does not go hungry!


The trend is "house accounts" and letting go salesmen with high commissions.

If I were working for a big funding source this year, I would not be counting on a huge Christmas bonus.

If I were a broker, I would go to all the association meetings I could to find out what was really going on and connect with some proven funding sources; then I know I would have a good Christmas.

Bob Rodi, CLP
LeaseNOW, Inc.
1-800-321-LEAS (5327) x101


Yes, There Are People in the Leasing Business Stupid Enough to Send Money to Nigeria


U.S. Capital, Santa Barbara, California "End of Story"

Santa Barbara Sheriff Detective Vic Alvarez said it was "end of story."

U.S.Capital principal Ken Nelson turned 40 on Sunday, and committed suicide on Monday, leaving a note that he could no longer handle the debts that his company and he incurred. He had been living in hotels, Detective Alvarez reported, driving a 1999 Corvette that was six month's behind in lease payments.


A.J. Batt: Richest Man in Leasing Retires

" Something happened to the ethics in leasing in the last six or eight months, " A.J.Batt said. "There was a change in the wind, in the direction, and it wasn't very good."


LeaseExchange--Tom Williams

Tom is a great guy, but LeaseExchange is definitely "out of business" and not a viable entity anymore. Aaron Ross, one of the founders, is training for the triathlon. Richard Donat, VP of biz dev, is at Equidity now. The IT team has all scattered. I think the LeaseExchange platform is running out of Tom's apartment. That said, it is a great platform and someone should contact Tom and offer him a couple hundred grand.


John Long

( End of Year Equidity files bankruptcy, Tom Williams company not only survives, but grows, hiring more operational staff. editor )


Mark Seif

"He has made the decision to open his own law practice and will continue to represent Preferred Lease, A CapitalWerks Company. As far as his winnings in Vegas, I'm glad someone can finally bring some of their good luck back to the California economy. Please leave my name out of this. Thanks"

Name With Held


JDR--confirmed Report ( full story on Tuesday )

It should not surprise anyone in the industry that JDR Capital announced they are no longer accepting broker business as of 5-4-01. JDR was a good company to deal with several years ago. The last 2 years have been hard on this company since they lost their Copelco lines. The last two years, they have lost good people and they were reduced to nothing more than brokers.


Mellon Comes Clean---Makes it "official"

Ending rumors and changes at Mellon that we have been reporting the last few months, it is now official.


Fleet is consolidating Sanwa and the Chicago operation. ILC (Cincinnati, sub of Provident Bank) may likely take over the Sanwa sales team. ILC acquired the Bank One vendor group, a Newcourt sales staff in Atlanta and is well on their way to the $2B asset mark. Fleet was never big on small ticket leasing. Their northeast small ticket leasing is provided via a private label program through De Lagen Launden. Fleet prefers SBA lending where most of their exposure can be back stopped by the US Gov't.



Bay View Capital Exits the Scene, Good People on the Street

It is true that Bay View Capital has decided to exit the commercial leasing business and other business lines due to the strategic change in the company's direction as determined by the new management team…

As an experienced group of leasing professionals, we will continue to pursue our endeavors, individually or collectively, in the leasing industry. Farewell for now.

Best regards,

Bay View Commercial Leasing

Jeff Allard CLP, COO and staff,

Paul Torres CLP, AVP & Credit Manager; Jan Eriksen AVP & Division Sales Manager; Amy Slavin, Division Sales Manager, Broker Desk; Jennifer Isip, Sr. Leasing Specialist; Antoinette Fresquez, Leasing Specialist

( This is an excellent operation who's main source of funds basically ran out of money. We hope all the excellent people from this company end up standing on their feet. editor )


Terminal Leasing Bites the Dust---Officially




Bancorp Financial Services, Sacramento, California--- Humboldt Bancorp says Goodbye to the Weakest Link

( Doug Rees, Vice-President, has not returned our calls as it appears the second quarter loss and investigation by the Security Exchange Commission, Sacramento, California, has put the company into an immediate "wind down" as they originally informed the Security Exchange Commission and issued a press release, that they later stated was "misinterpreted" and was only "for accounting purposes." They had asked Leasing News for a "correction," which we did. with the express purpose of hoping they would survive. editor


Leasing News welcomes Randy Anderson in the sales side of the leasing industry as he has integrity, cares about his customers, and being an ex-computer programmer and system analyst, he must have persistence---selling is 5% skill, 5% experience, 90% persistence ( okay, luck helps, and more knowledge gets more skill, presentation is important, dressing well, looking good, helping the customer, caring about people, but when you get down to what makes one salesman better than another---persistence. Welcome, aboard, Randy. editor.

( The latest we heard is Randy is not a lease broker, but working for Trinity Capital in San Francisco, commuting from Modesto to the city each day ( over two and a half hours? each way. Perhaps this has changed. editor )


SDI Capital Lets Go All Employees

First e-mail starting coming back from all at SDI. An ex-employee called me on the telephone and said he had been let go Wednesday, at the close of day, but was told that TotalFunding.com would be buying the assets and would be interviewing employees. He said no one had called him at this time.


Nigeria Scams Continue---Here are a few more.


European American Bank to Cease Broker Origination June 30, 2001

Leasing News reported yesterday late afternoon that Citicorp has ordered European American to cease third party origination by June 30. After buying Copelco, they also ended brokerage business here.


Steve Wheeler says, " Bye-Bye, Baby" to Equipment Leasing

Sean Wheeler Leaves the Leasing Business for "Wet Pets"

Dear Kit:

Steve Ballard who came to us in February of this year has taken over control of One Lease, and the Franchise Group. Steve spent his last 6 years in the Operations / Finance department with Michael's Floral the fastest growing retail store chain in the West. We feel he brings a solid financial background to the company which One Lease is in need of at this time.


CIT CEO Files to Sell Shares Worth $28 Million

By Laura Smitherman, Bloomberg

Albert Gamper, who got $16 million of restricted stock to stay at Tyco International after the company bought CIT Group, filed to sell about 518,000 shares in his new employer. That stock is worth $28 million at the current price.

Gamper was CIT Group's chief executive when Tyco acquired the commercial lender in an $8.7 billion transaction. The executive agreed to be CEO of the financing unit of Tyco.


Comdisco to file Bankruptcy It appears the suitors do not like the portfolio or direction of Comdisco. The many leases and loans with dot.com, even with a percentage of found stock, appears not to be enticing.


Federal Reserve Cuts Rates by Quarter Percentage Point, Sixth Cut This Year


EU Kills $41 Billion GE-Honeywell Merger



MOUNT LAUREL, NJ - Marlin Leasing Corp. proudly announces the completion of its third term securitization. Marlin recently sold $115.7 million in asset-backed securities that were rated by both Moody's and Fitch.


Textron Financial -Broker "Gone" Date

Leasing News reported them as going---going---and did not know the "gone" date.

As of now , Textron is accepting applications until August 1 and then funding all approved and back log transaction


Ray Williams Says "Hello" to All His Leasing Industry Friends


Glad you found me. *
You know, if I could go back 5-6 years, my choice would be for you to become President of UAEL ( United Association of Equipment Leasing). You have always had the highest integrity and God knows we can always use as much of that as possible.

May He bless you and yours.




T&W Mike Price charged with evading taxes on $3.2 million yacht


Textron Financial Makes It Official re: Small Ticket/Vendor Finance Operations

As Leasing News originally reported on July 2nd, Textron Financial, headquartered in Providence, RI, announced its plans to a select group of brokers about restructuring its business divisions supporting small ticket leasing and vendor finance programs.


European Bank American Makes it "Official"

Leasing News reported on June 7, 2001, when Citicorp ordered European American to cease third party origination by June 30. As they did with Copelco, Citicorp does not like brokerage business.

European American President Ira Romoff resigned. It was expected Fred Anderson will be on the streets shortly, along with Omar Diaz and Rich Illich ( I hope we have these names spelled correct as this was just telephoned in to us from the crab fest being held by the Eastern Association of Equipment Leasing in Hanover, Maryland.


Betty Ferrero's New E-Mail Address

I'm sorry to say I was one of three people let got last Tuesday from a sales staff of five. This decision was completely unexpected as I had been a consistent producer. I was told the decision was made in order to "improve the bottom line" which is a major concern these days. Very disconcerting to say the least as Fisher-Anderson is a fine company.

But, what's done is done and I'm now looking for a new position. Your newsletter will become even more important as I search this difficult job market.

Thank you for the notification I've been restored as a subscriber. Being without your newsletter for several days created a definite void.

Please let my friends and clients know I haven't disappeared. I can be reached at Baferrero@aol.com and would love to hear from them


Federal Reserve Chairman Alan Greenspan cautioned that the economy still hasn't emerged from its yearlong slump and could get worse.

"The period of sub-par economic performance ... is not yet over, and we are not free of the risk that economic weakness will be greater than currently anticipated and require further policy response," Greenspan told the House Financial Services Committee.


1Lease Exits Broker Application Business ( to focus on vendor and "buying" lease portfolio's )


Lessors.com Rejects Three Week Offer to Buy Company


CIT to Let 150 Go----Move to Tempe, Arizona or "Goodbye!"


1Lease "We'll be There."

( United Association of Equipment Leasing Conference-they were not there. editor )


Look Out for "Code Red" Next Week


GE Buys Heller for $5.3 Billion Cash


Finova Financial Results: Net Loss of $426.5 M for 2nd Quarter


Jeff Allard says, "Goodbye."

I wanted to give you my updated contact information:

email: jeff_allard @ yahoo.com

Today is my last day at Bay View Commercial Leasing. It is possible that I might work with them in the near future on a independent contractor basis - I'll know after returning from my trip to Oahu.

FYI, I will likely continue in the leasing business as a broker/consultant - I have a few offers and prospects. However, my primary focus will be in the movie business. My business partner (a Warner Bros. TV producer) and I have purchased the rights to remake the classic horror film - the Texas Chain Saw Massacre. This project will keep me quite busy for the next 6-8 months (we are planning for a Summer 2002 release).

I'll keep you apprised of my status. I hope all is well with you.


jeff_allard @ yahoo.com


Lindsey McLorg says, " Goodbye."

Dear Kit:

Today will be my last day at Mellon US Leasing. I would appreciate your redirecting your newsletter to my home e-address (as indicated in the cc above) until I surface elsewhere. The absorption of MUSL into GE Capital process is at the halfway mark, with today being 60 days post closing date of the sale by Mellon. The turn out the lights day for the San Francisco operations is October 5, 2001….

Lindsey McLorg


Capital Stream Announces Cuts in Staff

( CapitalStream.com provides Internet-ready applications to funding sources, brokers, vendors, manufacturers and B2B portals, enabling them to offer flexible financing programs, improve customer service, and increase their competitiveness. Rates, terms, and content can be dynamically managed by finance companies, allowing them to go online with personalized credit programs that respond to the wide range of relationships they have with customers. Using CapitalStream's "virtual private market" solution to the credit origination process within its Internet sites. )

I wanted to write and give you a heads-up regarding a staff reduction here at CapitalStream. News travels fast and I wanted to make sure you have accurate information.

Like many successful large and small companies, CapitalStream is taking precautionary measures because we don't see an immediate resolution to the economic downturn. We still remain financially healthy, and believe that reducing our capacity is a prudent business decision. Our sales pipeline continues to grow in spite of the economic uncertainty that virtually everyone is experiencing in today's market.

This reduction, in no way, will limit CapitalStream's ability to grow and provide exceptional service to its current and future customers. Our staff will continue to service our existing customers, build on our technology and secure new customers.


John Kruse VP of Account Development
e-mail - jfk@capitalstream.com
Direct - 206.548.1603
Fax - 206.545.1273

( Thank you. We need to all look at the news in a more positive manner. We need to see the leadership, the strong belief, and businesslike approach more often as demonstrated here. This is a solid company. Its investors believe in it, and they raised were successful recently in raising more capital. The company has re-defined their marketplace. We hear compliments, raves from your customers and former employees communicate with you still, as if you are a family. Thank you for the heads up. Also a belated birthday as I understand you turned 40 last Friday. editor )


Tyco cuts 6,400 jobs over 9 months/58 plants shut


Commercial Money Center Has Plenty of Money


After $17.1 billion buying spree, Tyco planning to cut 11,300 jobs ---

Poll: Lease Economy in Bad Shape


Bloomberg Predicts: The Fed to Cut Prime Rate for a Seventh Time


Duane Russell Drives a 1964 Mercedes Unimog 404.114


Ginny Young Drives Four Cars

I actually trade off driving 4 vehicles. I am basically an "old fashion" girl.

I prefer old houses to new houses and I prefer antiques to new furniture. Three of my 4 cars are old.

I drive a 67 Alpha Romeo Giulietta when I want to zip around town.

A 69 Firebird convertible when I want the freedom of wind blowing through my hair (Note to self: Don't wear lipstick when your driving or riding in a convertible).

A 61 Jaguar Mark II (oh, what a beauty) when I want to be stared at.

My newer car is a 97 BMW 750IL which is without a doubt the most comfortable car in the world. It is so big and roomy. It is also very practical, if the economy really takes a dive which causes the leasing business to halt and the stock market to crash, I can live in this car very comfortably.




More Nigerian Money


CIT's Bob Cragin Drives a Company Car


European American Bank/Equipment Lease Finance-Fred Anderson

I thought that I would give you and the industry an update as to what is happening with all of us that were part of the Equipment Lease Finance Division of European American Bank now that the acquisition of our bank by Citibank, NA has been completed…..

… At this time I and my staff would like to thank all of you who have called, sent e-mails etc. to wish us well. As big as this industry is, it is still a small family when you receive the telephone calls that we did from members of this industry expressing their concerns for us. We thank you all very much.

Fred Anderson


Where Was Jim Merrilees?---On the Golf Course, Of Course


Fisher-Anderson Ex-Employees Start Mark III Credit


Charlie Lester---So you want to be a "discounter?"


"Take the 'e" Train" by Alan Zeppenfeld


As most of you are probably aware, terrorist attacks on the US Pentagon, Camp David, and both Towers of the World Trade Center occurred this morning. This is a terrible tragedy, which we still do not understand the full impact.

…. Tom Brokaw said the plane that went down in Pittsburg,PA

---Two aircraft carriers have
been deployed.
It is a day to remember. 01-9-11
God Bless,
Say a prayer for America.
keeping in touch.

------ Phil is OK.

----Kit, I spoke to Marc Dushey, Phil's son this morning. Phil, Marc, and everyone in their office is OK

. Ø David Marks

----The internet message is to wear red, white, and blue on Friday. I am wearing that today, and will continue to have our flag outside our building at half-mast until Justice is done so we do not forget those that have died, and the brave people who are trying to save lives and protect us. We had over 100 American flags that we have given out, and encourage everyone to display our country's flag to show we are still standing.

----There will be no regular business news today. It will be deferred until Monday.

--- President Bush has called for a day of prayer and remembrance. Let us pray for the dead, missing, emergency workers and the victims losing their loved ones, especially the children and all the children in the United States. Their lives, as all of ours will change forever.

__ Eastern Association of Equipment Leasing Postpones Conference to Nov. 19


NAELB "Help Desk"


Paragon Leasing Finalizes Purchase e-lease.com/leasingexchange.com ( formerly known as equipmentleaisng.com )


Certified Leasing Professional Web Site up and running


American Express Business Finance Cuts Off All Brokers


Help Wanted is now on Line at Leasing News


Lowest Prime Rate in Forty Years-The Fed Cuts Another Half-Point


FNF Capital Closing Down


Joe Bonnano Now a CLP


GE Capital Records 19% Revenue Drop in QIII


Starting tomorrow, Leasing News is going to become an "early morning electronic newspaper," there when you open your computer first thing in the morning.


Maybe a Recession, and if So, Started Last Spring


Lessor.com Says, " Goodbye."


U.S. Bancorp 3rd quarter profit falls 95 percent


1084 Attendance for ELA 40th Annual Leasing Conference


American Express earnings fall 60% for Third Quarter


eLNA Expands Into International Equipment Leasing Market


Ampent and Equalfooting Gone? Lessors.com is Gone!


57 Banks Surveyed! SAY They Have Tightened Standards for Business Loans


Jefferey Joseph Wong---May He Rest in Peace


Joe Woodley New UAEL Chief Executive Officer


Crocker Capital Purchase by Dimension Funding


Republic Leasing of South Carolina Sold

Dwight Galloway's Early Christmas Present Congratulation


Colonial Pacific/General Electric---To Be "Unplugged" on December 14,2001


PinnFund Executive to turn over $47 Million


Fed to Cut Rate for 11th Time Today


Parker Leasing Still Advertising in USA Today


eLessors, new non-profit leasing organization, Continues to Grow!!!!

-- All of us at Republic are thrilled about the acquisition of our long time parent, Resource Bancshares Mortgage Group, Inc. by NetBank, Inc.!

Among the many benefits to us will be the continuity of management (RBMG's CEO Doug Freeman will become the CEO of NetBank), lower-cost funding for our leases and a corporate culture that stresses acquisition of high quality earning assets through wholesale channels.

Our strategy for Republic will be simple:

Apply the lower cost of funds to become the very best broker/lessor-funding source in the country. In addition to leveraging NetBank's technology to provide world-class service to our business sources, we intend to become very competitive in the app-only and lower middle market for better credits.

We are especially looking forward to establishing stronger relationships with our lessors that develop programs for their niche vendors.

Dwight Galloway

Here's to Dwight Galloway and all the other good guys!!!

Happy New Year

Kit Menkin,


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