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Documentation /
Funding Manager
Austin, Texas

Great opportunity with well-respected company, working in the best part of the world. Click here for more information.

Affiliated Investment Group has 22 years experience serving the broker community.

Friday, January 25, 2008


UAEL Board of Directors' Placard
    Classified ads—Legal/Lawyers in Leasing
        LeasingLogic Winter Issue Exclusive
Menzel: ELFA Lobby efforts not controversial
    Classified ads---Help Wanted
    The Latest Nigerian Scam
Retained vs. Contingency Recruiters
---What are the pros and cons?
    Popular to sell its Consumer-Finance Operation
        Sincleair—Schaubeck join Pentech Financial
San Francisco Valley Leasing
by Christopher Menkin
    Will the good times last for airline leasing
        Tax benefits boost GATX profits
    Tight Credit Market Bites S&P
News Briefs---
    You May have Missed---
        Sports Briefs---
"Gimme that Wine"
    Calendar Events
        Snapple Real Facts
Today's Top Event in History
    This Day in American History
        Football Poem
    Daily Puzzle
News on Line---Internet Newspapers
Drudge Report

######## surrounding the article denotes it is a “press release”


United Association of Equipment Leasing Board of Directors

UAEL Board votes to “dis-invite” former FTC attorney Randy Brook from giving a work shop and receiving “Leasing News Person of the Year” at their Spring Conference. Story on Monday.
Kit Menkin, editor/publisher



Classified ads—Legal/Lawyers specializing in Leasing

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

Birmingham, Alabama
The lawyers of Marks & Weinberg, P.C. have over 30 years experience in dealing with virtually every type of equipment financing and are recognized throughout the industry for prompt, practical solutions and exemplary service. They offer cost-conscious, effective lease enforcement and good counsel.
California, National: city: Riverside
Ellen Stern - get results, reasonable pricing; numerous industry contacts, nearly 30 yrs SoCal, 20 yrs equip.: CFL license specialist, documentation, work-outs, litigated collections, recoveries; deal-maker.
Email: | UAEL
Connecticut, Southern New England: EVANS, FELDMAN & BOYER, LLC Collections, litigation, documentation, portfolio sales and financing, bankruptcy. We represent many of the national and local leasing companies doing business in this state. Past chairman EAEL legal committee. Competitive rates.
email:     EAEL
Law Firm - Service, Dallas, TX. ELA
Mayer regularly practices in leasing, secured financing, project development and finance and corporate finance.
  Los Angeles, Statewide: CA.     "ELA" Aggressive creditors rights law firm specializing in equipment leasing handling collection matters on a contingency, fixed fee or hourly basis. Los Angeles -statewide: CA      "ELA "
Practice limited to collections, bankruptcy and problem accounts resolution. Decades of experience. 10-lawyer firm dedicated to serving you. Call Ronald Cohn, Esq. (818)591-2121 or Email:   

Long Beach, CA
Wagner & Zielinski,  successfully representing lessees/ lessors.  Not a member of any leasing organization, therefore not beholden to special interests.  Richard Wagner
(562) 216-2952

Long Beach CA.
Paul Bent, helping settle deals that have gone bad. Attorney for 20+ years with GoodSmith & Co., now providing mediation and dispute resolution for lessees and lessors.

National: Coston & Rademacher: Business attorneys serving the lease-finance industry since 1980. Transactional, documentation, corporate/finance, workouts, litigation, bankruptcy, portfolio management. Chicago-based national practice. Jim Coston, CLP (Members: UAEL, ELA, MAEL).

St. Louis County, MO. - statewide:
Defend clients sued by Popular Leasing USA and other assignees of Norvergence rental agreements. Also register and collect foreign judgments. Ronald J. Eisenberg, Esq.
Schultz & Little L.L.P.
Westport, CT: We represent finance companies, banks, lessors, etc., in replevins/seizures, collections and bankruptcy matters in Connecticut and New York. Flat fee, contingency and hourly rates.

For a full listing of all “job wanted” ads, please go to:

To place a free “job wanted” ad here, please go to:



LeasingLogic Winter Issue Exclusive

Sonia v. M.Stoddard, National Association of Equipment Leasing spokesperson, along with Larry Greer, newsletter chairperson, have made available LeasingLogic Winter Issue for non-members for
a limited time.

The issue is 30 pages.

Only available to NAELB members, this is a Leasing News exclusive,
now available to non-members through January 29, 2008:

Offer has expired.



ELFA Lobby efforts not controversial

by Paul Menzel, CLP

(photo: LEAF Corporation)

Not sure if your article about lobbying efforts by ELFA is considered controversial by some in our industry. I have been involved with the Equipment Leasing and Finance Association (ELFA) for over 30 years and the United Association of Equipment Leasing (UAEL) for 20 years. One of the distinguishing factors between the two is that ELFA acts as our industry spokesperson in government relations. This is an extremely important function for any industry association, particularly one that is subject to regulation.

The United Association of Equipment Leasing, Eastern Association of Equipment Lessors and National Association of Equipment Leasing Brokers simply do not have the resources to take on that role for its members. However, their members derive the benefits of this activity by ELFA. It is critical to our businesses that State and Federal laws that may affect us are drafted fairly and accurately so as not to negatively impact access to capital by small business and maintaining social responsibility in lending activities.

Additionally, the globalization phenomenon affects accounting rules that impact all of us. ELFA is also taking the lead on international issues that require providing accurate information to decision making bodies considering legislation affecting us. Some call this “LOBBYING”. It is not a dirty word. It is, for better or worse, part of any political process (except in non democratic countries). ELFA is proactive in monitoring proposed government and regulatory actions at a State, Federal, and International level and we are all fortunate as a result … whether a member of not.

The ELFA Lease PAC serves as a vehicle for leasing industry professionals to contribute to lobbying efforts that benefit our industry and our customers. Even though I sometimes cringe at the political tactics used in this country’s political process, I personally support ELFA’s lobbying efforts that have benefited the companies and customers I have worked for and have maintained the integrity and success of the industry I have bet my career on. I have done this by contributing to the Lease PAC and donating my time to personally lobby regional and national legislators on issues that affect leasing and small businesses. I would hope all of us would take this responsibility seriously. What is good for our industry is probably good for our careers and I, therefore, appreciate ELFA for their efforts.

The Presidential nomination campaigns are bringing out some very distasteful arguments and accusations. It is hard not to get caught up in the media hype. Let’s stay above the fray as a united and distinguished industry.

Paul J. Menzel, CLP
LEAF Third Party Funding
341 Bollay Dr
PO Box 60607
Santa Barbara, CA 93160-0607
PH: (805) 722-1571
FX: (267) 675-5767

Lobbying story:



Leasing Industry Help Wanted

Documentation / Funding Manager

Documentation /
Funding Manager
Austin, Texas

Great opportunity with well-respected company, working in the best part of the world. Click here for more information.

Affiliated Investment Group has 22 years experience serving the broker community.

EFD Marketing Officer

EFD Marketing Officer
Walnut Creek, CA

You will identify, develop and maintain broker relationships. Requires a BA or equivalent &
5 years of experience in the equipment financing industry. CLICK HERE for a detailed description and resume submission info.

Visit, for more information. Bank of the West and its subsidiaries are equal opportunity/affirmative action employers.



(This was originally part of the “The Employment in the Leasing Industry,” and may have been missed by many readers, so this section is reprinted here. editor)

"We are growing and hiring as fast as we can find people," Robert Necessary, President of Solarcomcapital said.

“We are a wholly owned sub of Presidio, Inc. Our total organization had June 30, 2007 fiscal year revenues of about $800 mill. This fiscal year we are on track for $975 million. We act as the captive for our technology sales force and my reps originate business on their own. About 50% of our lease volume in generated by our technology reps bringing us in to lease their deals and the rest is my reps originating on their own. We will generate about $100 million in new originations this year.

“In 2006 we were a part of Solarcom, Inc and were acquired by Presidio, Inc in October of 2006. Our hiring was limited that year for a number of obvious reasons; building the P&L for the sale, uncertainty of what would happen after the sale.”

“In 2007 we hired 15 new leasing sales reps. Our goal for 2008 is to hire 20-25 reps. As we are not a general lessor but rather an IT operating lease lessor and it is hard for us to find qualified people. If I could find 50 I would hire them today. Most of the sales people in the industry are money over money, yield lessors or are managing vendor programs. We do operating leases (not all are fasb13 but are at least fmv). We are an aggressive residual investor and have the infrastructure to warehouse, refurbish and remarket the used IT equipment in over 70 countries. We have about 60 sales reps in our remarketing company, Atlantix Global Systems.”

“Employment in the Leasing Industry”



The Latest Nigerian Scam

(Fed Ex authorized to deliver $1.3 million to you)

Plot 8,Ahmed Way,
Victoria Island,lagos Nigeria.
Direct Tel: +234-55-38-17-03.
24th january, 2008.

Customers Service Hours--Monday To Saturday: Office Hours Monday To Saturday:

Attention, Attention,, Attention.

The FedEx courier Service Company are hereby passing an essential massage to all our valuable customers to be very careful while presenting their receivers residential address to avoid wrong delivery.

This is the FedEx courier service company mailing you as per your parcel that was brought to this company to be delivered to you by one Mrs.Mary Harry, along the delivery process there came a misunderstanding between you and the nicon insurance company inregard of their request as per their insurance certificate which happens to be course of your parcel pending for the past one year.

Meanwhile we are hereby happy to inform you that the FedEx Company has finalized everything with the nicon insurance company of Nigeria' as the company organization has also listed 24 valuable parcel's to be intact in their office after the released of the parcel's from the nicon insurance company.

We are happy to inform you once again that your parcel that contain the sum of $ 1.3 million dollars is among the 24 parcel's listed which is now in our office and also with your name as the receiver despise that we lost your private residential address's, which is an indication that you can now re-send your residential address to back to the FedEx company where your parcel can be delivered to you without hesitation with this e-mail ( ) Meanwhile remember that the sender of this parcel Mrs.Mary Harry still owes this company the sum of $ 70 before incident occurs, know you that this company has spend out of their incomes in the process by recovery back your parcel'so dear costurmer we once again appreciate your patronage in our favour.

Without hesitations you are to pay for just the balance left by your sender via western union so that your parcel can be delivered to your residential address before it accumulate a demurrage after one week only,as you know your parcel is not just an ordinary parcel but with a huge amount and I think you understand wath I mean by accumulating a demurrage? Which you will not allow to happen to your recovery parcel that almost gone if not for the love that the good god have for you by favoring you with his favour because it was god who did it not by your power but by the spirit say the lord.

We assure you that your parcel will arrive at your country in two days time and it will get to your door step the third OR fourth day as soon as this company receive the balance left by your sender'and the tracking number of your parcel will be sent to you via e-mail immediately so that you can track it yourself to see your parcel coming on the way and you will also know when it will arrive at your country because we operate in trust and loyalty in your favour.

And also the FedEx courier Service Company is hereby to inform all their customers by eradicating all their communication with the scam mails that are going all-over the world be careful with their e-mails so that your parcel will not be in danger with their evil planes.

FedEx provides access to a growing global marketplace through a network of supply chain, transportation, business and related information services.

TEXT ANSWER---------------.JESUS
AMOUNT TO BE PAID---------$ 70

FedEx is one of the world's great success stories, the start-up that revolutionized the delivery of packages and information. In the past 30 years, we've grown up and grown into a diverse family of companies -a FedEx that's bigger, stronger, better than ever.


Hayford Alile.

Reply to; []


Always in the top ten of scams:

Leasing News has written about these Nigerian scam for years, starting in 2000:



Retained vs. Contingency Recruiters --by Teri Gerson

---What are the pros and cons?

Competition for top tier talent is fierce, regardless of the economic conditions. When business is brisk, it is hard to attract successful people. Conversely, when faced with challenging economic times it is imperative to assess your team and replace underperformers with strong revenue producers. In order to accomplish this task, many companies decide to collaborate with an Executive Search firm. The tough decisions begin once you have determined that working with a search firm is the right choice.

Which firm will deliver the best results for your specific needs? Should you give them an exclusive? Would you be better off with a retained or contingent search, and is there really a difference? These questions are tough because few people are familiar with what the terms mean and what benefits are likely to be derived from different approaches. This article will attempt to clear up some of the confusion.

It is not always advisable to use the services of a search firm. For positions that are (relatively) lower in compensation and local in origin, such as receptionist, admin positions, etc. the Internet or local employment agencies will most likely deliver more value for your dollar.

Search firm fees are high relative to the positions mentioned and the recruiter's time is better invested in more sophisticated searches. On the other hand, if you need someone who can quickly, and with insight, tap into the appropriate talent pool for your needs and who will do the screening, qualifying, and interfacing, then a search firm is the most cost effective approach. It is a mistaken belief that using Internet resume sites and other similar venues will save money by avoiding fees. The time that management spends contacting, screening, arranging and re-arranging interviews, reference checking, and negotiating almost always costs more than the fee the Executive Search firm would charge. Additionally, while management is committing their time to these tasks, they are not able to perform their primary responsibilities as efficiently. We tend to move in circles of people we have worked for or with over the years. We all know some people, but rarely do we know most people in our industry unless it is our profession. Many times managers tasked with identifying talent are unable to identify people beyond their circle and do not have access to the "inside scoop" about the realities of candidates' careers.

Clients may assume that if one search firm will improve the hiring process then five will be five times better. How should you go about determining how many firms to work with and whether to enter into a retained or contingent agreement? Tough questions again, until you understand the pros and cons. It is never in a company's best interests to engage as many recruiters as are willing to work on an assignment. For one thing, the relationship between client and recruiter needs to be deep and meaningful. If developed correctly, the two should work as partners with a common goal. This can only occur when there is commitment, loyalty, and trust. If multiple recruiters are working on a specific search, they have no choice but to "beat the clock" and get resume submittals time stamped. This benefits no one, including the recruiter.

Successful identification of superior talent requires that a recruiter speak with many people without exposing them to risk. A review of resumes uncovers subjective and objective information and allows a skilled recruiter to determine what they do not say. Lengthy discussions are necessary in order to get the onion peeled down. This is time consuming. Less scrupulous recruiters do not go to these lengths to properly screen candidates.

As a result, the firms that do invest the time and effort are at a significant disadvantage because some firms shot gun resumes. The diligent recruiters know that by the time they finish, recruiters who may never even have talked with the candidate will already have submitted resumes from their files. Everyone loses. Disputes over who is "really" representing them can result in the rejection of qualified candidates.

Hiring managers may select second tier candidates because they received their resumes in short order. Companies sometimes receive resumes from candidates who were not aware that someone submitted their resumes until they are contacted for interviews. This “shot in the dark” approach to identifying and attracting talent sends a negative message. Receiving multiple calls about the same opportunity leads people to conclude that the company is desperate or disorganized, or that something is wrong with the position. It is like the game of "telephone" kids play. One person whispers into another's ear, and by the time it goes around the circle, the message is totally distorted. The same thing happens when too may people tell a story. Some exaggerate, some misunderstand, and others are boring. In the end, the impression is rarely good.

When reviewing potential firms, whomever you chose should be a specialist in your industry and be familiar with your market. Talk to them. Ask questions and see how they strategize in conjunction with you. Find out what you can expect from them and what they will expect from you. If it does not feel right, then it most likely is not. If possible, make a commitment to one firm. In the end, it is better to limit the length of the exclusive so you can dissolve the arrangement if they don't work out than it is to muddy the waters.

If you feel you must diversify, for example, to learn about various firms before making a long-term commitment, limit your engagement to two firms. Give different assignments to each for the first round so that you may compare. Once you have selected the firm who delivers the most in the way that is appropriate for you, use them exclusively from that point on. They will become more familiar with your managers and the corporate personality with each search so that the process continues to improve with every placement. Candidates will know to call them when they desire an introduction to your firm. It makes good business sense.

In order to tackle the question of contingency vs. retained, let us define the terms. Contingency searches pay a fee if the recruiter presents a person/s whom the company hires within 12 months of the date of introduction. It is that simple. They get paid when they deliver. Giving a firm an exclusive has nothing to do with whether or not the search is contingent or retained. The company retains the right to hire someone referred by a different source (other than a recruiter) such as an employee referral, or someone you used to work with, and not owe a fee.

Depending on the specifics of the assignment, both types of searches can be appropriate. In the strictest sense, retained searches require payment of a fee even if the search firm does not present a candidate that is hired. It also means you must pay them for someone who applies without any connection with the recruiter. However, there are many derivations and some allow for only partial payment if no one is hired or if the recruiter does not source them. Although different firms structure retained fee agreements differently, there is usually upfront good faith money. Up front money demonstrates that the company is serious about filling the position and it forces them to be consistent in what they are looking for. Search firms often find themselves conducting multiple searches for one fee because their client is unsure of what they want.

Some retained recruiters state that the retainer provides a dedicated recruiter focused on the client’s needs before everyone else's. It doesn't necessarily work out that way, however. For one thing, they often employ people they call "recruiters" who do the legwork. In other words, these staff “recruiters” contact, screen, and qualify a short list of candidates from a large pool. Therefore, if you retain a firm because you like the way you assume your contact will represent your firm, they will not be the ones who are, in fact, representing you. Their “recruiters" will be.

Retained recruiters may suggest that a contingency recruiter is not as motivated to successfully conclude the search without the guaranty of a fee. In truth, most are equally, if not more, motivated since they must deliver in order to receive payment. Retained firms indicate additional services, such as reference checking, justify the guaranty of a fee. In many cases, contingency firms provide the extras that retained searches offer at no charge.

Retained recruiters will conduct face-to-face interviews at the client’s request. While this eliminates the risk of a client interviewing a person who makes a bad impression, plane fare, hotel fees, and other expenses are billed in addition to the fee. This extra step in the process can be very costly and time consuming with minimal benefit. A professional recruiter knows how to look, see, and hear very well over the phone during several in depth telephone conversations. Short of knowing about physical appearances, they should be more than able to provide ample information.

Write-ups detailing extensive information about candidates’ experience, education, and earnings are included in retained fees. These presentations make a nice visual impression. The question is whether you prefer the recruiter spend their time talking to the industry on your behalf or writing formal reports. Depending on who will be reviewing these reports, email or verbal conversations provide the same information in a timelier manner and the information will be just as weighty. A properly formatted formal presentation is indicated, however, if a board is reviewing the material. Keep in mind, whichever type of search you select, specific services can and should be negotiated.

There are circumstances when it makes sense to use a retained search firm. When the position you are trying to fill is senior, someone who intimately knows your company's history, culture, challenges, assets, etc should always do these types of searches on an exclusive basis. They must be polished, well known, and respected. The approach is more formal, in depth, and sophisticated. Candidates qualified for senior opportunities expect the search to be retained, as it tends to lend credence to the process.

In the final analysis, the best possible approach to working with search firms is to find one that does it all. Sales, credit, asset management, (to name a few) positions can easily be completed on a contingency basis. Mid to senior level positions are better handled on a retained basis. Finding a search firm that does both means you won't have to start over when the level or number of searches you have changes. Sometimes they can work on your behalf for a contingency fee, and for the more sophisticated or extensive assignments (multiple positions simultaneously) a retainer affirms your commitment to both search firm and candidates.

Teri Gerson, President & CEO
Executive Solutions for Leasing & Finance, Inc.
1141 Minisink Way Westfield, NJ 07090-3726
908.654.1550 F 908.847.0377



Popular to sell its Consumer-Finance Operation

Popular, Inc, San Juan, Puerto Rico announced that it is not selling Popular Leasing, but only certain assets of Equity One, the U.S. mainland consumer finance operations of Popular Financial Holdings, to American General Finance, Inc., a member of American International Group.

The Agreement contemplates the sale of a significant portion of Equity One's mortgage loan and consumer loan portfolio for a purchase price of approximately $1.5 billion.

"We are doing the things we have to do in the U.S. mainland as we focus on our core banking franchise," said Richard L. Carrion, Chairman of the Board and Chief Executive Officer of Popular, Inc.

The Agreement also provides that American General Finance, Inc., will consider hiring an unspecified number of Equity One's consumer services employees and will consider retaining an unspecified number of branch locations. Equity One will close all remaining consumer branches. Workforce reductions at Equity One will result in the loss of employment for those employees at the consumer services branches not hired by American General Finance, Inc., as well as for other related support functions. The individuals whose jobs will be eliminated will receive from Equity One a transitional severance package, professional counseling, outplacement and support during this process.

The closing of the transaction is subject to the approval of state licensing agencies. It is anticipated that the transaction will be completed in the first quarter of 2008.

American International Group, Inc. (AIG), world leaders in insurance and financial services, is the leading international insurance organization with operations in more than 130 countries and jurisdictions.


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

Pentech Financial Adds Two Executives to Sales Team

CAMPBELL, Calif. - -- Pentech Financial Services, Inc., a leading funding source in small ticket and commercial lease financing for businesses nationwide, has announced two key personnel additions that will augment the 30-year old firm’s marketing capabilities.
Pentech has named Jason Sincleair its National Sales Manager and Michael Schaubeck its Regional Sales Manager, it was announced today. The appointments are effective immediately.

According to Brad Brisbin, Vice President, Sales and Marketing for Pentech, Mr. Sincleair and Mr. Schaubeck, both veterans of the leasing industry, will be responsible for developing and serving the company’s relationships with its extensive national network of brokers involved with Pentech’s Navigator lease funding program.

Mr. Sincleair will be based in Plano (Dallas), Texas while Mr. Schaubeck will report to him from New York. The corporate and administrative headquarters of Pentech Financial Services are in Campbell, Calif. The firm’s lease funding division is in San Diego.

Before this current promotion, Mr. Sincleair served Pentech as Regional Sales Manager for the company’ s Navigator Program. Previously, he was at Pioneer Capital/IFC where he served as a sales account executive.

Mr. Schaubeck comes to Pentech from Financial Pacific Leasing where he served as a regional Broker Relations Manager. Prior to that, he was Vice President in the Equipment Leasing Divisions of Lakeland Bank in New Jersey and of European American Bank in New York. He is a graduate of Hunter College in New York.

About Pentech Financial Services, Inc.

Headquartered in Campbell, Calif., with an office in San Diego, Pentech Financial Services is a leading provider of small ticket and commercial lease financing in the B-C credit market nationwide. Founded in 1978, Pentech has provided more than a billion dollars worth of commercial equipment lease financing to small and mid-sized companies across the country.
Pentech Financial Services, Inc.,
910 East Hamilton Ave., Suite 400,
Campbell, Calif. 95008.
Telephone 408-879-2200.
Email at


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

“Barry saves the day”

by Christopher Menkin

(This is fiction; all names, places, circumstances are fictional.)

“What have you gotten us into, Larry?”

Frank was furious and his short-quick temper was evident. His face was tense, and the normally well composed tall, handsome man, was bent over his desk, hands pressed onto the top as if now part of the desk that he could actually grasp it, pick it up to over his head and hurl it straight at his partner in San Francisco Valley Leasing. Larry was scared, wishing he could disappear into the dark blue-black leather chair in Frank’s office. He knew he had to talk fast. His partner was generally very friendly, talkative, but he got angry, watch out!

“This guy is one of my golfing buddies, “he explained.
“I have known him for years. We go out for beer afterwards.
I have been to dinner and lunch with him, for several years.
He also was a good vendor of ours.
We have done leases with his company since day one. I thought I knew him,
but ever since he expanded, went into bigger offices, brought in this fellow to replace him as president so he could grow the business, he started to change. I don’t know when. I didn’t see it coming. I trusted him. I really didn’t see it coming.”

“But how did it happen!” Frank yelled, with his hands no longer on the desk, but by his side, but still
standing up. He was an ex-marine, who ran every day, worked out at a gym, and you didn’t want to get his old Californian Spanish blood boiling.

“Just listen, “ Larry said, trying to cool him down. “ Let me tell you. We have four sets of attorneys and in the last deposition, all of them took their turn ripping into me. Barry didn’t seem happy afterwards, either.”

“You got Barry pissed off, too? “ Frank said. “Central Valley didn’t even invite me to Russ Richard’s retirement party. His new replacement told me not to come! What the hell did you do?”

“You know, Barry. He wasn’t angry, but then, he wasn’t happy either.
He told me to talk to you about it.”

“All I know is you told me the lessee went bankrupt and some of the equipment was missing.”

“Well, some of the equipment wasn’t there.”

“What do you mean? Some of the equipment wasn’t there!”

“It never existed.”

“What! I thought you inspected all the equipment yourself?”

“Well, I did, and I also thought I signed the lease, too.”

“I thought our policy was for either of us to witness the signature of all the leases?”

Larry stood up and faced Frank. They were both standing.
Larry moving his arms as he spoke. Frank looking like he was about to jump over the desk and take his partner physically apart.

“That’s one of the mistakes, I guess, “Larry said. “ Calm down,
and I’ll tell you what came out of today’s deposition. Just relax. I gave you the first two parts. This is the third one, and the real problem, Barry has not billed us for everything. I told him we didn’t have the cash flow for it right now. We are at $38,000 with his firm.”

“What?! How did this get out of hand?!”

“There have been several preliminary hearings, depositions take that Barry attended, driving time, waiting time, responses, a lot of things because there are four leasing companies involved, including our bank. This was the first deposition on me with four attorneys involved.
It wasn’t fun, let me tell you.”

Frank just stared at him. At least he didn’t look like he could have picked up the large wooden desk with a glass top and thrown it at him, Larry thought.

“First, I do witness all the least I thought I did. Reading the president’s deposition, I remember I actually didn’t see him sign it. He said I didn’t see him sign it, as he didn’t. Thinking about it, both Peter and I visited the office together. In fact, the similar thing happened about four times...

“Four times!!!”

“That is another part of the problem, as they think we split the lease four times, but we didn’t. There were four separate leases with four separate leasing companies over a six month period of time. Two of them were around $10,000, so I couldn’t take them to the bank. So I sent them other places...”

“Other places...”

“But in each of the write-ups, I mentioned the other leases.
And in the last two, used them as a reference...”

“A reference?”

“The problem is one of the leases turns out to be a sale/leaseback on existing equipment they had, and on one lease, the equipment didn’t exist---or doesn’t exist today. Plus the president said
he never signed one of the leases.”

“He signed three, but not one.”

“Yeah, and it is the Central Valley lease.”

“That’s why I am not invited to Russ Richard retirement party!”

“Yes, it was for $85,000...and it gets worse.”

“How can it get worse?”

“We typed the invoices for Peter, and Barry said we shouldn’t have done that.”

“I don’t understand.”

“Well, for a number of our vendors, to speed up the funding, we have their letterhead here. We can put the serial numbers on the invoice, make sure the ‘sold to’ is right, that no warranties
are in the invoice, and it helps speed up the processing. We have done this a long time for many of our repeat vendors.”

Frank sat down on his dark blue-black leather chair that matched the other chairs in his office. He waited what seemed to be for minutes, didn’t say anything, then leaned back as Larry
continued to speak.

“Look, we don’t change any of the prices or inflate it, “ Larry explained. “ We make sure the invoice is correct and it is on the vendor’s own invoice that we type. We are like the vendor’s agent.”

“So what did Barry tell you to do.”

“He said he advises us to quit that practice of typing vendor invoices.”

“I mean what did he tell us our chances were in this case.”

“ Barry said it was a ‘business decision’.”

“So you finally got around to telling me what happened.
I certainly had wished you told me this sooner.”

“Look, Frank. We are innocent. We are the victims here. We didn’t do anything wrong.”

“It seems typing the invoice is wrong.”

“We only did it for one of the invoices, not all three, as the
others had more equipment than just one machine...”

“What about the witnesses of the signature.”

“Peter and I went together. I inspected the machine, verified that it was there. It was supposed to be new, at least it looked new to me. Later we find out it wasn’t new, nor was it leased.
He actually sold it. He said in the deposition he had the right to sell it because he owned it and never signed the lease....I swear, Frank, it looked new to me...I went with Peter to sign all the leases, and in the last one, the president was in a meeting, so we waited, and Peter had to get going, so he said he would take the lease into the President at the meeting and get him to sign it. I mean, I thought it was okay because it was Peter, this was the fourth lease,
I had seen the equipment, so I saw nothing wrong with it.”

“Who was making the payments?”

“The company was. He told them that Peter had done a ‘sales/leaseback’ on new equipment and to make payments to Central Valley. Peter took a 20% commission and the company got the rest.
It seems it was the third time. One was a sale/leaseback on existing equipment. The first two were new equipment at double the price. The last one was for the new equipment, not the machine
on the lease. It was $85,000. He only made two or three payments to Central Valley Bank. ”

“So where do we stand?”

“Besides the ‘reps and warrants’ issues, we’re the only one with money, Frank. Peter filed bankruptcy. The company we did the leases for filed bankruptcy, as did the president, a personal bankruptcy, so
whether he signed the lease or not, doesn’t really matter. The bottom line is... it looks like we are the only ones left with deep pockets.”

“Deep pockets!!! We haven’t even paid Barry’s firm!”

“But we’re innocent. We’re a victim, too.”

“Give me a break! We’re screwed. Barry said it was a business decision because he doesn’t think it is worth the money to prove our innocence. If we want to do that, he’ll do it, and we have to pay his bill to do it, too. It also will affect our relationship with funding sources. That’s what he means
‘it is a business decision’!”

“So what do you want to do?”

“First, no more typing vendor invoices. Second, on all leases, get them notarized.”

“No one does...”

“We do in real estate, so from now on--- Notarize Them!”

“You’re a notary, so that is easy for you to say, “Larry said, also sitting down. “How about we get a copy of their driver’s license. I know it’s not like getting a notary, but you won’t be able to get a driver’s license unless the person signs.”

“I would rather have a notary, especially on larger leases, “
Frank responded. “But it does shows an effort on who signed the lease. Notary first, and if not, driver’s license. No exceptions. And I don’t care if no one else does it, we do it from now on. And if no lessee wants to do it, we won’t do the lease. It’s that simple.”

“What else.”

“I am going to talk to Central Valley and see if they will let us pay from the residuals they are holding on leases they funded for us. We’ll pay full boat, plus attorney fees. I think they will go for that...They have collateral. They know when they will get paid. So now see if the other two will settle...make them an offer. No games. 50% now or terms for the 100%. No attorney fees. If we are innocent, as you can convince them, maybe they will go for it.”

One funder settled for half over six months, one settled for 100% over 12 months, another wrote it off and said San Francisco Valley was also a victim, and Central Valley Bank accepted the residual plan along with paying all the attorney fees. Frank Sanchez was then invited to Russ Richard retirement party. He wasn’t happy with the situation, but was happy that Russ wanted him to come, particularly when he found out it was Russ’s replacement who thought it not appropriate that he attend. Frank knew things would never be the same with Central Valley without Russ. In fact, in less than ten years the bank was sold twice and the leasing entity became one of the largest in the United States under
the leadership of Russ’s replacement. But it was never the same to Frank.

Oh, yes, Larry became a Notary Public.


(This is the second of a series of short stories that will appear every other Friday in Leasing News.)

First story, introduction: “Russ Richards”



News Briefs----

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Tax benefits boost GATX profits

Tight Credit Market Bites S&P

Home Depot drops effort to buy industrial loan company

Bad Loans Help Push Sallie Mae to Loss

Existing home sales in 2007 dropped by most in 25 years

French bank blames $7.2B loss on rogue trader

Microsoft 2Q profit up 79 percent, helped by Windows sales



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Wine Prices by vintage
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The London International Vintners Exchange (Liv-ex) is an electronic exchange for fine wine.



Calendar Events This Day

Fun at Work Day
Inject some laughter into your workplace by planning a fun and relaxing activity. Do something to encourage enthusiasm and openness and to help build rapport and release tension. When we enjoy our work, we are more productive.

Room of One’s Own Day
For anyone who knows or longs for the sheer bliss and rightness of having a private place, no matter how humble to call one’s own.

Saint feast Days



People say 'Bless you' after you sneeze for one of two reasons. 1.) When your sneeze, your heart stops for about a second. 2.) Religion believes that when you sneeze, it's easier for demons to possess you.



Today's Top Event in History

1964 - The Beatles reached #1 on the music charts for the first time, with their single, "I Want to Hold Your Hand" which took the top position not only in "Cash Box" magazine, but also on the hit lists of radio stations. "Billboard" magazine listed the song at #1 on February 1. The group’s second #1 hit, "She Loves You" was released on Swan Records, and not Capitol. Other Beatles songs were released on Vee Jay ("Please, Please Me"), M-G-M ("My Bonnie" with Tony Sheridan), Tollie ("Twist and Shout"), Atco ("Ain’t She Sweet") and the group’s own label, Apple Records, as well as Capitol.


This Day in American History

    1775 - Americans dragged cannon up hill to fight the British at Gun Hill Road, Bronx. When the British navy landed on Staten Island in 1775, New York City Patriots feared an imminent invasion. They did not want the precious cannon at the Battery to fall into enemy hands. Thus, in December, 1775, they took the cannon to the mainland and scattered them roughly along present-day Gun Hill Road from today's Jerome Avenue across the Bronx River to modern White Plains Road.
    1787 - Small farmers in Springfield, Massachusetts led by Daniel Shays continued their revolt against tax laws. Federal troops broke up the protesters of what becomes known as Shay’s Rebellion. Shays' Rebellion suffered a setback when debt-ridden farmers led by Capt. Daniel Shays failed to capture an arsenal at Springfield, Mass. [see Aug 29, 1786]
    1806 – Secretary of State James Madison delivers a report to Congress on the continuung British interference with the commercial shipping of neutral nations, including the US, and on British policy of impressing US seamen, in the context of the Napoleonic Wars. Madison’s report will give rise to a new wave of anti-British feeling.
    1821 - The Hudson River was frozen solid during the midst of the coldest winter in forty-one years. Thousands of persons crossed the ice from New York City to New Jersey, and refreshment taverns were set up in the middle of the river to warm pedestrians.
    1831-Birthday of Jane Goodwin Austin, novelist, essayist, and short story writer. Most of her novels were authentically accurate depictions of the Pilgrims which she carefully researched.
    1837 - At 7 PM a display of the Northern Lights danced above Burlington, VT. Its light was equal to the full moon. Snow and other objects reflecting the light were deeply tinged with a blood red hue. Blue, yellow and white streamers were also noted.
    1856 - Marines and seamen from the U.S. sloop DECATUR went ashore at the village of Seattle, Washington, to protect settlers from Indian raids. The Indians launched a seven-hour attack but were driven off later that day after suffering severe losses. Incredibly, only two civilian volunteers were killed and no Marines or sailors were lost.
    1863 - After two months, General Ambrose Burnside is removed as commander of the Army of the Potomac. Burnside assumed command of the army after President Lincoln removed General George B. McClellan from command in November 1862. Burnside drafted a plan to move south towards Richmond. The plan was sound, but delays in its execution alerted Lee to the danger. Lee headed Burnside off at Fredericksburg, Virginia, on December 13. Burnside attacked repeatedly against entrenched Confederates along Marye's Heights above Fredericksburg with tragic results. More than 13,000 Yankees fell; Lee lost just 5,000. Northern morale sunk in the winter of 1862-1863. Lincoln allowed Burnside one more chance. In January, Burnside attempted another campaign against Lee. Four days of rain turned the Union offensive into the ignominious "Mud March," during which the Yankees floundered on mud roads while the Lee's men jeered at them from across the Rappahannock River. Lincoln had seen enough--General Joe Hooker took over command of the army.
    1871- Unveiled in the U.S. Capitol Rotunda, Vinnie Ream's statue of Abraham Lincoln that was authorized by Congress.
    1890- Nellie Bly circled the world in 72 days, stepping into history. Newspaper reported Nellie Bly ( pen name used by Elizabeth Cochrane Seaman) set off from Hoboken, JN., Nov. 14, 1889, to attempt to break Jules Verne’s imaginary hero Phileas Foggs record of voyaging around the world in 80 days. She did beat Fogg’s record, taking 72 days, 6 hours, 11 minutes and 14 seconds to make the trip, arriving back in New Jersey on January 25, 1980.
    1896-Birthday of the leading black American singer and dancer of the Jazz Age, and the Harlem Renaissance, Florence Winfree, born at Washington, DC. She appeared in Langston Hughes's Shuffle Along in 1921 and Plantation Review on Broadway in 1922, then at the London Pavilion in Dover Street to Dixie in 1923. Offered a spot in the Ziegfeld Follies, she turned it down and joined in creating a rival show with an all-black cast. Mills was the first black woman to appear as a headliner at the Palace Theatre. She was so revered for her efforts to create opportunities for black entertainers and to bring the unique culture of blacks to Broadway that more than 150,000 people filled the streets of Harlem to mourn her when she died at New York City, Nov 1, 1927, at age 31.
    1900—birthday of tensor sax player Captain John Handy, Pass Christian, MS.
    1903- (Sleepy) John Estes, an important early bluesman, was born in Ripley, Tennessee. He played on the streets of Memphis in the 1920's, supporting himself by working the night shift at a train yard. His tendency to doze off on the job earned him his nickname. He returned to Brownsville, Tennessee, in the 1940's, where he remained in obscurity for more than 15 years. Estes was rediscovered by a documentary filmmaker. He signed a recording contract and appeared at folk festivals in the U-S and Europe. One of Estes's L-P's included a guest spot by guitarist Mike Bloomfield, and Estes later appeared on an L-P by Ry Cooder. The rock group Joy of Cooking had a minor hit in 1971 with a song written by Estes, "Going to Brownsville." Sleepy John Estes died of a stroke in 1977, just as he was about to begin a tour of Europe.
    1919 - The League of Nations, forerunner of the United Nations, was founded.
    1924-The first Winter Olympic, opened in Chamonix, France, with athletes representing 16 nations. The ski jump, previously unknown, thrilled spectators The Olympics offered a boost to skiing, which would make enormous strides in the next decade.
    1937- Trumpeter Buck Clayton cuts his first record, accompanying Billie Holiday, on “Why Was I Born?”
    1938 - Etta James Birthday
    1940 - the biggest snowstorm on record for Richmond, Virginia came to an end. 21.6 inches of snow fell over a 3 day period.
    1940-- Mary Martin, "My Heart Belongs to Daddy"
    1944 - The character of Beulah, a black maid who was played by a white man, Marlin Hunt, first aired on radio's "Fibber McGee and Molly". In 1945, the spin-off, "Beulah", became a radio series.
    1945 - In New York, Richard Tucker debuted at the Metropolitan Opera House in "La Gioconda". As a note of trivia, I went to the summer camp with his son in New Hampshire, who we became fast friends during this time period.
    1945- the first water supply to be fluoridated in order to reduce tooth decay was the water system of Grand Rapids, MI. Fluoridation started with the addition of one part of fluoride ion to each million parts of water passing through the water treatment plant.
    1945---Top Hits
Don’t Fence Me In - Bing Crosby & The Andrews Sisters
There Goes that Song Again - Russ Morgan
I’m Making Believe - Ella Fitzgerald & The Ink Spots
I’m Wastin’ My Tears on You - Tex Ritter
    1950 -- 73ºF (23ºC) highest temperature ever recorded in Cleveland, Ohio in January.
    1951- Steve Roland “Pre” Prefontaine, long distance runner born at Coos Bay, OR. Prefontaine was an outstanding athlete who grit, determination, and activism personified Americans’ growing interest in physical fitness, jogging, and running. Although never an Olympic Champion or world record holder, he set 14 US records during his career cut short by a fatal automobile accident on a road where he often trained. Died at Eugene, OR May 30, 1975.
    1953---Top Hits
Why Don’t You Believe Me - Joni James
Don’t Let the Stars Get in Your Eyes - Perry Como
Keep It a Secret - Jo Stafford
I’ll Go On Alone - Marty Robbins
    1953- the Cincinnati Mohawks and the Troy(OH) Bruins played the only doubleheader in the history of the International Hockey League, with one game being played in each team’s home city. The Bruins won the first game in Troy, 3-0. The Mohawks won the nightcap in Cincinnati, 2-1.
    1958-Elvis Presley's "Jailhouse Rock" becomes the first single ever to enter the U.K. pop chart at Number One
    1959- American Airlines opened the jet age in the US with the first scheduled transcontinental flight on a Boeing 707 nonstop from California to New York.
    1960-- Sam Cooke, "Chain Gang"
    1961- Beginning a tradition that survives to this day, John F. Kennedy held the first televised presidential news conference five days after being inaugurated the 35th president.
    1961- President John F. Kennedy appointed the first presidential physician who was a woman, Dr. Janet Graeme Travell of New York City. Several president prior had received treatment from a female medical practitioner. the one of most note was Dr. Susan Ann Edison, who graduated from the Cleveland Homeopathic Medical College, who treated President James Garfield from July 2, 1881, the day he was shot by an assassin, to September 19, 1881, when he died.
    1961 - The Disney animated cartoon classic, One Hundred and One Dalmatians, was released to theaters. It took an animation staff of three hundred to complete the film in three years, at a cost of $4 million. It was a huge success at the box office.
    1961---Top Hits
Wonderland by Night - Bert Kaempfert
Exodus - Ferrante & Teicher
Calcutta - Lawrence Welk
North to Alaska - Johnny Horton
    1962-Sam Cooke's "Twistin' the Night Away," later done by Rod Stewart, is released on RCA Records. It will make it up to #9 on the pop chart.
    1964 - The Beatles reached #1 on the music charts for the first time, with their single, "I Want to Hold Your Hand" which took the top position not only in "Cash Box" magazine, but also on the hit lists of radio stations. "Billboard" magazine listed the song at #1 on February 1. The group’s second #1 hit, "She Loves You" was released on Swan Records, and not Capitol. Other Beatles songs were released on Vee Jay ("Please, Please Me"), M-G-M ("My Bonnie" with Tony Sheridan), Tollie ("Twist and Shout"), Atco ("Ain’t She Sweet") and the group’s own label, Apple Records, as well as Capitol.
    1965 - Alta, UT, was in the midst of a storm that left the town buried under 105 inches of snow establishing a record for the state.
    1969---Top Hits
I Heard It Through the Grapevine - Marvin Gaye
Crimson and Clover - Tommy James & The Shondells
Everyday People - Sly & The Family Stone
Daddy Sang Bass - Johnny Cash
    1969-- The Beatles release "Two Of Us," "For You Blue," "Let It Be"
    1969-- Creedence Clearwater Revival's "Proud Mary" enters the pop charts
    1971 - Charles Manson was found guilty of masterminding the killings of actress Sharon Tate and six others. He and three female members of his "family" were found guilty of one count of conspiracy to commit murder and seven counts of murder in the first degree and are sentenced to life imprisonment. During one of the most sensational trials in history, it was revealed that Manson regarded the Beatles as angels who communicated to him through their music. In particular, "Helter Skelter," "Piggies," "Revolution 9" and other songs on the "The White Album. He remains in jail today, although he asks for parole each year.
    1975-The Cars win the Rolling Stone magazine annual readers' poll as the best new band of the year.
    1975-- The Carpenters' "Please Mr. Postman" hits #1
    1977---Top Hits
I Wish - Stevie Wonder
Car Wash - Rose Royce
Dazz - Brick
I Can’t Believe She Give It All to Me - Conway Twitty
    1981-- Super Bowl XV Oakland Raiders beat Philadelphia Eagles, 27-10 in New Orleans; Super Bowl MVP Jim Plunkett, Oakland, Quarterback
    1984 --Apple's Macintosh computer went on sale this day for $2,495. It wasn't until mid-1985, however, that sales began to take off and this computer began to replace the Apple II model.
    1985---Top Hits
Like a Virgin - Madonna
All I Need - Jack Wagner
You’re the Inspiration - Chicago
How Blue - Reba McEntire
    1986- Dionne Warwick's single "That's What Friends Are For" topped the R-P-M magazine singles chart in Canada. Profits from the sale of the disc were donated to AIDS research.
    1986-Bruce Springsteen's "My Hometown" peaks at #6 on the chart.
    1987- the New York Giants defeated the Denver Bronco’s, 39-20, to win Super Bowl XXI. The victory gave New York its first NFL title in 30 years. Giants quarterback Phil Simms completed 22 of 25 passes for 268 yards and three touchdowns to win the game’s Most Valuable Player Award. Neil Diamond performs the US national anthem.
    1987 - The second major storm in three days hit the Eastern Seaboard producing up to 15 inches of snow in Virginia, Maryland and Delaware. Up to 30 inches of snow covered the ground in Virginia following the two storms
    1988- Guard Rickey Green of the Utah Jazz scored the 5,000,000 point in NBA history to a game against the Cleveland Cavaliers. Green made a three-point shot at the buzzer ending the third quarter. The Jazz won, 119-96.
    1990 - Low pressure developed explosively over east central Missouri and moved into Lower Michigan producing high winds and heavy snow across parts of Iowa, Illinois and Wisconsin. Wind gusts to 60 mph and up to a foot of snow created near blizzard conditions in southeastern Wisconsin and northern Illinois. Wind gusts in Indiana reached 76 mph at Wabash. Thunderstorms associated with the storm produced wind gusts to 54 mph at Fort Madison IA
    1995---Top Hits
On Bended Knee, Boyz II Men
Another Night- Real McCoy
Always- Bon Jovi
    1998 -- Denver beats Green Bay 31-24 in Super Bowl XXXII at San Diego behind Terrell Davis' 157 yards rushing and a Super Bowl-record three touchdowns. A record worldwide audience of 800 million in 147 countries, views the game on television.
    1999-The Rolling Stones open their No Security Tour in Oakland, CA. It is the band's first arena tour in more than two decades. Sue and I were there, four rows from the stage, center right, in the aisle as the usher could not find my site as notednon my ticket. The band was never better, full of energy, spirit, and showmanship. Afterwards, on BART going back to our car, I noted that the tickets I had shown to the usher to find our seats were from the Barry Manilow Show the previous week where we had up-front seats. They were the same color tickets and same style printing. In the dark, the usher using a small flashlight, neither I nor she usher had noticed they were not the Rolling Stone tickets ( that I had placed in my other pocket after the last ticket check and drawn the Manilow tickets out in error, basically only showing the seating numbers.)

Super Bowl Champions This Date

    1981 Oakland Raiders
    1987 New York giants
    1998 Denver Broncos

XXXII 1998
Qualcomm Stadium
San Diego, California
Attendance: 68,912
Green Bay
Denver RB
30 carries, 157 yards
3 TDs 2 catches, 8 yards




Football Poem


    by Louis Jenkins

I take the snap from the center, fake to the right, fade back...
I've got protection. I've got a receiver open downfield...
What the hell is this? This isn't a football, it's a shoe, a man's
brown leather oxford. A cousin to a football maybe, the same
skin, but not the same, a thing made for the earth, not the air.
I realize that this is a world where anything is possible and I
understand, also, that one often has to make do with what one
has. I have eaten pancakes, for instance, with that clear corn
syrup on them because there was no maple syrup and they
weren't very good. Well, anyway, this is different. (My man
downfield is waving his arms.) One has certain responsibilities,
one has to make choices. This isn't right and I'm not going
to throw it.




The object is to insert the numbers in the boxes to satisfy only one condition: each row, column and 3x3 box must contain the digits 1 through 9 exactly once. What could be simpler?



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