Wednesday, June 30, 2010
John Ogden Passes away
John Ogden Passes away
“John Ogden a long time lease broker working out of his home in Rough and Ready, Northern California died on June 23, 2010. He has suffered for the last couple of years from Frontotemporal Dementia a brain disease. Bonnie, his wife, recently had to admit him to a hospital where he died. John was active in the leasing business for many years.
“He grew up in Bakersfield and was a star athlete in High School. Later he worked in the broadcasting industry and came to leasing late in his life. He had an announcer’s voice and delivery. He loved his family living in the mountains. He worked for many years with us and Bank of the West. To learn more contact Bonnie at 530-432-4743.”
John Ogden, Beloved husband, father, grandfather and great grandfather, John Ogden age 76, passed away peacefully June 23. Born in Bakersfield, he graduated from East Bakersfield High in 1951. John was an outstanding athlete in basketball and track and field. John excelled in the sales and management of the radio business. He was in the equipment leasing business. John is survived by his wife of 41 years, Bonnie; daughters, Gayle Turnage, Leah Adams-Ogden and Lynn Ogden Snyder; son, Daryl Ogden; brother, Jerry Ogden; sister, Judy Blanton; 12 grandchildren, 2 great grandchildren; and numerous nieces and nephews. A celebration of life will be held at a later date to be determined. Chapel of the Angels Mortuary & Crematory (530) 273-2446
For a full listing of all “job wanted” ads, please go to:
Other e-Mail Posting Sites:
GE Capital Celebrates Financial Bill Regulation
While the financial bill awaits the final votes, there is still compromises and changes being made, but it sure looks like a Happy Fourth of July. It appears the $7.14 million GE spent the first quarter lobbying in Washington, DC has paid off. For the record, they spent $6.8 million the fourth quarter of last year. Put this in perspective, GE spent $4.54 the first quarter of 2009.
Several of the large companies such as Caterpillar and GE have lobbied the financial bill and have been successful in an amendment that restricts the Federal Reserve oversight to companies "predominantly engaged" in financial services.
This means companies defined as having 85% of their annual revenue or consolidated assets coming from activities related to finance.
GE Capital skates under the guideline as only 83% of GE's consolidated assets at the end of the first quarter.
It should be noted that a large portion of the financing is for products that GE manufacturers or distribute, although the Monitor ranks GE Capital the largest leasing company in the world. It is also true that the GE financial unit has often accounted for half the company's profits.
In the last 18 months, GE has stated they are "shrinking" GE Capital. Executives have said that GE Capital cost the company its top-level triple-A credit rating and forced it to cut its dividend. The mortgage and real estate division was the first to experience the "shrinkage."
Leasing Industry Help Wanted
Please see our Job Wanted section for possible new employees.
Cloud Based Computing:
Cloud Based Computing, also known as software as a service, above property, or Web-based software, is the current craze; the number one trend at HITEC 2010 in Orlando according to one industry analyst. It is also become popular due to the low cost of storage where at one time Sun Microsystems did not have a main frame but computers connected to a main base, just as today Facebook, Google, MySpace, and Yahoo allow users for free to maintain email, web sites, and other material. There are also applications for wireless telephones to share music, photos, from your own private “cloud,” meaning off site storage. This also has other commercial applications for telephone systems as well as other communication for corporations, hotels, and industry, connection at very low costs from around the world via the World Wide Web.
Cloud based computing is here to stay and it’s imperative that the leasing industry adapts in order to participate in its growth. Lenders must view Cloud Based Computing as an opportunity.
A very good example comes from hoteliers to enter into ‘Managed Service Agreements’ for triple play services; voice, data and video. Hoteliers are demanding a "No Cap-Ex, Sign and Drive" product offering for up to 60 months. “Service providers around the globe see triple play services not merely as a means of increasing top-line revenue, but as a means of self-preservation”, says a new study by Infonetics Research. Network operators are redefining and realigning themselves to be the one-stop shop for all things digital for residential and commercial subscribers. Forty percent of capital expenditure budgets are going into triple play service infrastructure. They believe triple play services will give them the competitive edge they need to succeed. Cloud Based Computing is an integral part of this trend and further emphasizes the need for the equipment leasing industry to adapt to this evolving service model.
Let’s take a look at the new challenges offered by Cloud Based Leasing, using a phone system for a 100 room hotel as our example. The hotel has decided to purchase a Cloud Based System and will receive a monthly license fee covering the cost of the services they use. However, the telephone vendor wants to be paid for the equipment up front to avoid cash flow problems; vendors are not accustomed to financing the purchase of their system. They want to be paid up front by the hotel owner or by the equipment leasing company. This begs the following questions.
1. What can be leased? Traditionally, the hotel would lease hardware, software installation and training expense. Some leasing companies allow you to roll in the cost of the service contract. Now, it’s unclear as to what the hotel owns and what they can lease. Certainly they can lease the telephones, console and other on-site equipment, but what about the rest? On-site equipment might be only 30% of the total system. How will the hotel finance the remaining 70%?
2. Where’s the asset? Leasing documents normally specify a location for the equipment and require notification if the location changes. Where does the PBX reside? Lenders are leery about leasing equipment that is spread out among multiple locations, particularly in situations where the location of the PBX is fluid.
3. What can the lessor repossess if the lessee stops making lease payments? Traditionally, the lessor takes the entire PBX, including software, and can resell the software to a 3rd party. Will the license transfer? What if the 3rd party wants a traditional PBX?
4. Who will host the Cloud Based System? What are their qualifications? Today, lenders want to know about the vendor. How long have they been in the business? Will they be around to provide hardware and software support? Lenders will still want to look at the vendor, but now they might have an additional party involved, particularly for Hosted services. What are the qualifications of the company hosting the service? Have they done this before?
5. What if the central system crashes, for whatever reason? Equipment failure, software glitches, storms, virus, whatever; what if the system doesn’t work for an extended period of time (as defined by the lessee)? The lessee purchases a new system and stops making lease payments. This can happen today, but there are more culpable parties with a Cloud Based System. Either way, the lessor is left holding the bag. They can sue, but even if they win, they lose if they are forced to go to court. There is also a higher likelihood courts will side with the customer.
6. What happens when the lease expires? The client currently owns the entire system and is entitled to service and maintenance as long as he upgrades to current software levels. Is this true with Cloud Based System? What about the portion of the Service contract that covers trunk charges? Who pays for future software upgrades?
7. What type of lease is appropriate for Cloud Based Systems? Most leases today are Capital Lease; 36-60 month $1.00 or 10% buyout at lease expiration. This means that the asset appears on the balance sheet for tax purposes, the lease term is 75% of the equipment life and the lessee owns the equipment for tax purposes. Is this still true? If not, are Fair Market Leases more appropriate? If so, how does the lessor calculate residual value?
Conclusion: The purpose of this article is to identify some of the issues that must be addressed if equipment leasing is to successfully adapt to challenges and seize the opportunities created by Cloud Based Computing. Successfully meeting these challenges is important to both the leasing industry and growth of Cloud Based Computing. The author is currently working with major vendors to develop programs that address these issues as well as the functional issues of Cloud Based Computing. These issues are solvable, particularly if the vendor’s delivery model is initially established with these leasing issues in mind. There is nothing more beautiful than cirrus clouds forming a halo around the setting sun. It can be that way for the leasing industry.
Jim Plautz is president of Greenman Funding, involved in construction loans and permanent financing and Gemco Leasing since 1994, specializing in leasing telephone and computer systems to the Hospitality market. For twenty years he owned and managed large telephone systems. Prior he was was responsible for corporate computer and telephone systems for Blount. Jim has authored three fiction novels, each with three themes; suspense, business and sports (Golf, Tennis & Basketball).
As more cities, counties, and state government lay off employees the end of this month, Friday, unemployment figures will jump this summer. It is also not just political subdivisions, but schools as reported in News Briefs that 174 California school districts on the fiscally troubled list.
State schools chief Jack O'Connell said the number of California school districts on fiscal shaky ground has increased 38 percent since January.
"Schools today are facing a period of unprecedented fiscal crisis," he said.
O'Connell said that public education in California received $17 billion less in state funding than anticipated over the last two years. Other states are recording the same deficits.
UC Berkeley business school professor Laura Tyson, a top Democrat, economic official in the Clinton administration, and being considered for Obama's budget czar, according to insiders, said the current "jobs gap" between the number of jobs the economy is producing and full employment is about 11 million. Even if job growth surged to 350,000 a month, it would take four years to get the unemployment rate to where it was before the recession began in December 2007.
If job growth is at a more modest 200,000 a month, it would take 11 years.
Any prognostications also do not take the slowdown affecting Europe as well as Asia.
This affects all growth and without it, the financing industry is affect not only in stagnation from lack of expansion, but also in credit already extended to both consumers and business alike.
The 1940’s/50’s comedy team of Abbott and Costello is perhaps best know for “Who’s on First?” as well as the internet “Costello buys a computer,” a take-off on “Who’s on First?” My favorite is one I thought was ridiculous when I first heard it, as it really made me laugh, but it hits home today.
Abbott was trying to sell Costello a pair of shoelaces and he told him if he didn’t buy the pair of shoelaces, whether he needed them now or not (Costello said he didn’t need them), THAT Abbott WOULD not be able to have enough to pay the person who distributed the shoelaces, who sold it to him---and the guy then couldn’t afford to have lunch, so the waitress wouldn’t get her tip, the lunch business would be down at the dinner, and the Tuna boat Captain wouldn’t be able to buy his kids new shoes because he couldn’t sell the fish he caught for the tuna fish sandwich the waitress didn’t serve to the distributor Abbott couldn’t pay because Costello didn’t buy the last pair of shoe laces.
I realized the Abbott and Costello comedy routine made fun of the economic ripple effect. But with unemployment and lack of confidence continuing, the fall out of the construction industry, houses not selling, banks tightening credit, smaller banks going out of business, less tax money coming in and therefore city, county, and states were cutting back, letting employees go, less services, and all of a sudden the economy is down because Costello didn’t buy a pair of shoe laces.
Do something for the economy this July 4th. Not only enjoy it, but please spend some money!!!
Leasing Industry Outsourcing
(Providing Services and Products)
All "Outsourcing" Classified ads (advertisers are both requested and responsible to keep their free ads up to date:
How to Post a free "Outsourcing" classified ad:
#1 There are two tiers to the site, one is free, and the other is a subscription for "leads" or "sources". http://www.cfol.com/index.html?content=loginpage The success of Internet portals such as My Yahoo! have inspired companies to develop Enterprise Information Portals (EIPs) as a way to allow business users to access corporate information.
(This ad is a “trade” for the writing of this column. Opinions
The editor tries to place banner ads where they will be read by those the advertisers want to reach, rather than placed at random. News stories that will have an “ill” effect are avoided as best as possible. Often it is the position of the banner ad that attracts more response. This is at the sole discretion of the editor.
Banner ads may appear under the headlines at the choice of the editor, but are not guaranteed. An attempt is made to share them on a rotation basis with other banner advertisers.
Ad design: no charge.
Click to another page or web site: no charge.
(Cannot be a “help wanted” ad for employment, must advertise company, service or product)
Samples of sizes follows:
### Press Release ############################
Former President of xélan, Inc. Found Guilty of Tax Fraud
The United States Attorney’s Office announces that United States District Court Judge Jeffrey T. Miller found former xélan, Inc. president Lewis Donald Guess guilty on two felony counts of filing false income tax returns. According to court documents, Guess, a dentist, owned and controlled the Xelan Family of Companies, which specialized in financial planning and aggressive tax management for medical professionals. Guess also controlled the xélan Foundation, which purported to be a public charity.
After a week-long trial, Judge Miller found that Guess filed false and fraudulent U.S. Individual Income Tax Returns for the calendar years 2001 and 2002 by falsely claiming that he donated $800,000 worth of stock to the xélan Foundation, a charity that he controlled. According to the guilty verdicts, the transaction was “illusory” and Guess operated a “shell game” where he “reaped the profits.”
“On the honesty of individual tax payers the integrity of a voluntary tax system exclusively depends,” said Attorney for the United States Attorney Kevin J. Kelly.
“Dr. Guess, a medical professional who had full control of a non-profit charitable entity, undermined the integrity of our U.S. tax system by falsely claiming a $800,000 donation in stock to an entity that he also fully controlled,” said Leslie P. DeMarco, Special Agent in Charge for IRS-Criminal Investigation in the Los Angeles Field Office. “The guilty verdicts demonstrates to all honest taxpayers that they should not have to assume the burden for those individuals who intentionally file false tax returns and cheat the government.”
Judge Miller set a sentencing date for September 16, 2010 at 9:00 a.m.
#### Press Release #############################
((Please Click on Bulletin Board to learn more information))
“Bud is a 1 1/2-year-old Shar Pei mix who is friendly and loves going for walks. He's looking for a new home where his people will welcome him with open arms, take him on long walks, and play with him. Bud's adoption fee is $100.
“Bud is up-to-date with routine shots, house trained and spayed/neutered.”
* Progressive Animal Welfare Society
Adopt-a-Pet by Leasing Co. State/City
Adopt a Pet
Alex becomes a hurricane
Bank Fee Is Eliminated in Financial Bill
Huntington Bancshares Inc. Focus Stock Report
East Lansing Equipment Lessor/Atty. takes his life
U.S. banks' role in Mexican drug trade
Aaron's closing rent to own office furniture division
Solar Leasing Award to Lennar home builders
CNN's Larry King says he'll retire as talk-show host
BP oil spill brings big order to Seattle boat builder
‘Star Trek' franchise an homage to humanist philosophy
Drew Brees reveals Super Bowl-week tongue-lashing
Larsa Pippen and Scottie Pippen: Give the man his due
Record 174 California school districts on fiscally troubled list
Schwarzenegger calls for $11 billion water bond to be pulled from November ballot
Over half of AOC Bordeaux producers 'suffering serious financial difficulties'
Lake County Envisions Five New Wineries
Expensive Cabernets fail to impress
Wagner Vineyards founder Stanley Wagner dies at age 83
US/International Wine Events
Leasing News Wine & Spirits Page
Today in History
1978-Willie McCovey of the San Francisco Giants became the 12th player in major league history to hit 500 home runs. His milestone blast came off pitcher Jamie Easterly of the Atlanta Braves, but the Giants lost, 10-9
This Day in American History
1629-- The settlers of Salem, Mass. appointed Samuel Skelton as their pastor, by ballot. Their church covenant, afterward composed by Skelton, established Salem as the first non-separating congregational Puritan Church in New England. They had arrived on June 27 as the first settlers of Massachusetts Bay Colony, entering Salem Harbor. Led by John Winthrop, they were 900 strong, and arrived in five ships.
God Protects Fools with Curveballs
Going after her
Touching All Bases
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?
How to play:
Refresh for current date:
See USA map, click to specific area, no commercials
Real Time Traffic Information
You can save up to 20 different routes and check them out with one click,
Independent, unbiased and fair news about the Leasing Industry.