Friday, May 30, 2008
Headlines--- Founding Father NAELB to have Triple By-Pass ######## surrounding the article denotes it is a “press release”
------------------------------------------------------------------------------- Founding Father NAELB to have Triple By-Pass
Jim Borland, 67, President of U.S. Energy, Conyers, Georgia, will have a triple by-pass surgery at St. Joseph’s Hospital, Atlanta, Georgia, this Tuesday. Often called the “Founding Father” of the National Association of Equipment Leasing Brokers, he was their first president in 1992. He was one of the five top brokers for Leaf in 2007. He also was one of those companies acquired by First Sierra, but despite that, has gone on to be very successful. He presently lives on beautiful lake where he and his staff of Seven do their business. His web site (www.usenergycapital.com) states:
His company is also part of One World Leasing, a leasing co-op. In a telephone conversation, he told Leasing Newes that he is retiring, has four suitors of which he will make a decision next week on who to sell his company. While he is nervous, he said over 90% who have this operation remain in good health after five years, and there is a 95% success ratio in the operation, so he is optimistic. Saint Joseph's Hospital • 5665 Peachtree Dunwoody Road, N.E. • Atlanta, Georgia 30342 * 404-851-7001 “Saint Joseph's in the Top 100--- -------------------------------------------------------------- Classified Ads---Syndicator
For a full listing of all “job wanted” ads, please go to: Leasing Recruiters: To place a free “job wanted” ad here, please go to:
-------------------------------------------------------------- FDIC: Bank earnings drop 45 percent
Banks insured by the Federal Deposit Insurance Corporation (FDIC) "To sum up, while we may be past the worst of the turmoil in financial markets, we're still in the early stages of the traditional credit stress you typically see during an economic downturn," said FDIC Chairman Sheila C. Bair. This was the lowest quarterly profit since 1990. The FDIC also stated that they are finding noncurrent loans continuing to increase at a pace they did not expect with banks’ earnings being seriously Commercial banks and savings institutions insured by the FDIC set aside $37.1 billion in loan-loss provisions in the first quarter, more than four times the $9.2 billion set aside in the first quarter of 2007. Just over half of banks reported on-year declines in quarterly earnings, the report said. It was also noted that the larger banks too the biggest hit in the decline of earnings. Almost two out of three institutions with more than $10 billion in assets reported lower net income in the first quarter, the FDIC said. In other bad news, the FDIC also reported the number of banks on its "problem list" rose to 90 from 76. Last week, John C. Dugan, Comptroller of the Currency, said, ““…banks need to be more aggressive in reserving for potential losses. "I can't stress enough how crucial reserves will be in helping the industry manage its way through this situation," he added.
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-------------------------------------------------------------- Dwight Galloway out as head of LEAF Specialty Finance
According to several reliable sources, Dwight Galloway, CLP, co- founder of Republic Leasing which became NetBank Business Finance, along with co-founder Charles Randall, is out as head of this unit of Resource America’s LEAF Financial Corporation, who won the OTS bid last April. A formal announcement is to be made today on the management change. According to several reliable sources, Randall only comes in occasionally since LEAF purchased the company. LEAF Financial recently closed the Oregon based former Alco Leasing that it had purchased from its founder Jim Harris. May 9, 2008, Resource America announced, “On April 22, 2008, our subsidiary LEAF Financial Corporation ("LEAF") completed the transfer of a portfolio of leases and loans that were acquired in the NetBank acquisition by the sale to LEAF Equipment Leasing Income Fund III, L.P.,” Since purchasing the company, LEAF has moved more of the operations to its headquarters in New Jersey. Billing was sent to OSG Billing before the event. In addition, other administrative changes in funding operations have been made, including rates, with the latest a 75 basis point raise on Financial and Commercial rates Galloway most likely does not have a covenant not to compete with LEAF, although one may exist with NetBank and perhaps NetBank Business Finance. At 56, he is too young to retire. (When I called the ex-US Airborne paratrooper to confirm or deny what Leasing News was told, the message on his telephone said he was out of the office, but expected back on Friday. I left a voice message that he has a job at Leasing News if he wants one. He'd make an excellent columnist on many subjects. The pay isn't that great, but there is a lot of freedom to do whatever he wants to write about. editor) Kit Menkin, editor/publisher
-------------------------------------------------------------- Leasing Rates by Christopher Menkin
This is basically to set the record straight on rates, in noting the 75 basis point raise (bps) in financial and commercial rates by LEAF in the story above. A copy of the LEAF Specialty announcement is at the end of this article. With the news the Fed will not be lowering rates for quite some time due to inflation, and possible positive signs in the economy, interest rates to lessees and borrowers will not only remain the same, they are going up. Swap rates* have increased 75 bps in the last 60 days and are probably going to continue to go up. The whole financial services industry is widening spreads to cover increasing perceived risk due to the economy. From the head of OTS to others in government regulations, banks and other financial institutions are not only being warned, but told to increase their reserves. While the politicians talk about new programs for those having mortgage problems, the reality is the foreclosures continue to be high, and cost of living due to high oil prices and food demands While the prime rate has been dropping, finance and leasing rates have not. In fact, some have risen, such as LEAF. Several bank leasing companies have raised rates as well, specifically changing changed credit criteria of their viewpoint of what is an “A-B-C-D” applicant. In the micro ticket, under $20,000, rates vary from 9% to 10% for better credits, and remain at 18% for fair credits, to 28% to 32% for tougher credits. The average rate is around 12% to 14% There are many companies who keep in the 12% to 14% up to $100,000, while the average varies from 9% to 8.25%. This also means that many companies remain in the 8% “buy rate” Operating leases and other programs are affected by the residual, resulting in a lower monthly payment or “stream of payment” as it is often called. While most companies, salesmen, and brokers have each others rates, collected at leasing associations, from current customers, vendors, and each other, there is a great variety in the market place. They are all quite different, not only back to their “cost of funds,” but their viewpoint of A-B-C-D credits. Leasing News’s article on the subject has brought up a lot of controversy on the definitions. It is also difficult to pin point “buy rates” of funders of leases as often they are affected by volume (a higher volume gets lower rates), type of credit, type of equipment (used, higher risk-problems), and then, as mentioned, there is the different interpretation of A-B-C-D credits. When the fee or commission is added, it is called the “sell rate,” left up to the person making the sale. This adds another dimension to what is your rate? It seems the cost of money is being affected by not only the swap rate,* but higher loss reserves, expected increase in costs due to government regulations and requirements, as well as requirements by investors and other institutions. Dan Dyer, CEO of Marlin Business Services was criticized for his oft repeated comment in the telephone conference call regarding the company’s performance and their plans for the future. In retrospect, it may have been a prognostication for many banks, finance and leasing companies: "Better Quality, Higher Yield" LEAF Specialty Finance notice (note the cross sell of business loans): * Definition of Swap:
-------------------------------------------------------------- Tygris acquires USXL Express Leasing
With seemingly perfect timing to enter the marketplace with ample funds behind them, Tygris Commercial Finance Group yesterday completed the acquisition of US Express Leasing, Inc. (“USXL”), an equipment finance company headquartered in Parsippany, NJ, from DLJ Merchant Banking Partners in an all-stock transaction.
Tygris CEO “Rick Wolfert was excited James D. McGrane, Chief Executive Officer of USXL, joins Tygris’ management team as President of Small Ticket Leasing. They both go back to US Leasing days. Wolfert, who was instrumental in the start of Key Corp. small ticket, GE Heller, and vice-chairman of CIT commercial finance, says he was so impressed with the USXL platform, they took a “deep dive” and will back up this operation with ample low cost funds to make it more successful. He noted they were doing $400 million a year. He said they have a very impressive team and Tygris did their homework in acquiring this enterprise. “We welcome Jim McGrane and the entire USXL team to Tygri, “Wolfer said. “ USXL provides the foundation upon which Tygris will develop a leading franchise position in small ticket equipment finance and leasing,”
“We are thrilled to join Rick and his highly respected team as part of this well-positioned new company and its significant access to capital,” USLX CEO said. “Tygris’ ‘back to basics’ strategy of service and transparency is perfectly aligned with the way we do business. This is a very positive development for our customers and employees.” Wolfert says USXL brings to Tygris significant underwriting and originations expertise in five segments: Commercial & Industrial, Graphic Arts, Healthcare, Office Equipment, and Technology. Formed in 2004, the company ranks among the 100 largest equipment finance and leasing companies in the U.S. according to Monitor magazine, a leading industry publication with very high readership. USXL will play a key role in Tygris’ mandate of providing liquidity and growth capital to middle market companies throughout North America. USXL will continue to operate under its own name.
-------------------------------------------------------------- Leasing Industry Help Wanted Leasing Sales Representative
-------------------------------------------------------------- Dell—In the News!!!
Dell shares soared 10% in after-hours trading Thursday after the company reversed its recent slide with much better than expected quarterly results.
Sales rose 9% to $16.08 billion, $400 million better than analysts expected, and earnings per share of 38 cents were four cents ahead of estimates. Notebook sales jumped 43%, storage was up 15% following the acquisition of EqualLogic, and services revenues grew 13%. Emerging markets sales grew nearly 50%, even as America's commercial unit growth was up just 3%. The company said U.S. corporations continue to be cautious, but said the spending environment isn't getting worse. The company cut 3,700 jobs in the first quarter, for a 7,000 total headcount reduction in the last year.
Michael Dell 's pledge to trim $3 billion in labor and manufacturing costs may be winning back shareholders after his personal-computer company's stock posted its worst performance in seven years last quarter. Perhaps guiding the surge was the leak of a new low cost mini-lap top that Michael Dell was seen carrying, as well perception that New York Attorney General Andrew M. Cuomo appeared to be seeking publicity as the former NY Attorney General Eliot Spitzer often did. Maybe the young Cuomo has his eye on the governorship (Don’t go to the Mayflower Hotel in Washington!) “For too long at Dell the promise of customer service was a bait and switch that left thousands of people paying for essentially no service at all,” Mr. Cuomo said. He reported 700 complaints against Dell when the lawsuit was filed in May 2007 and has received more than 1,000 since, a spokesman, John T. Milgrim, told the news media. The number was never in the “thousands.” “We don’t agree with the decision and will be defending our position vigorously, “Jess Blackburn, Dell Corporate Affairs, told Leasing News.”. Our goal has been, and continues to be, to provide the best customer experience possible. We believe that our customer service levels are at or above industry standards. We're confident that when the proceedings are completed, the court will determine that only a relatively small number of customers have been affected.” Blackburn also told Leasing News there were no commercial accounts in the complaints, meaning no leases, although there may have been financing in the consumer account. He added that it was less than 1% of their business in New York. An estimate in the years covered, 2003 to 2006, Dell had over six million transactions in New York. Dell had instituted selective recording and auditing of sales representatives, and noted many technical support or on-site service needs further determination on parts needed for replacement. In the meantime, Customers can apply at a new Web site for restitution from Dell Inc. Whether Dell appears the decision by the court has not been made at this time, Blackburn added. Dell was once the leader in the PC market place, taking the title away from IBM. HP became the number one, which lead to a management shake-up and Michael Dell returning to lead the company he started. In the last quarter, Dell eliminated 2,200 workers, changed it's goal of opening stores as Apple has done, and has gone back to innovation to get its market share back. The new min-top laptop reportedly has:
(Leasing News editor uses a 17 inch Dell XPS M1730— a gift from the publisher)
-------------------------------------------------------------- Leasing companies named in New Destiny BK
The Memorandum Opinion on the Motion to Dismiss in the Southern District Court of Texas, Houston by US Bankruptcy Judge Marvin Isgur allowed the bankruptcy trustee to include leasing customers as a “contributor” to Destiny New Day, one of the several companies by Michael Day, Max O’Day, Chaz Robertson, Joshua Smith ,Jared Day where automated telephones “predictive dialing equipment” recognizing “live connections” were sold to doctors and dentists with a marketing plan and scripts to bring in new patients. Fraud was involved and 280 customers made complaints totally $11 million. allow customers to file a claim as “contributor” against the lenders. The term “lenders” refers to financial institutions, other lenders, and leasing companies. These companies instead of being “creditors,” are now claimed as “contributors” and responsible, should the trustee prevail, as part of the assets of the bankruptcy to be divided by those who have made claims in a specific program. If these companies had been signed up for Lease Police notification,
Objections to claims were filed before May 12, 2008, and here you have the amended complaint on May 26 with defendant responses to be made by June 2,2008. Leasing Companies named as “Lenders” Exhibit “A” Exhibit “B” Exhibit “C” Exhibit “D” Exhibit “E” ( 32 pages, 3.28mb download ) Exhibit “F” Exhibit “G” 43 Pages Memorandum: Names of creditors/debtors/customers * Dates set down by Judge Marvin Isgur Order denying motion to reconsider
-------------------------------------------------------------- Dash leaves for 4th tour in Middle-East
He prefers not printing anything else as if they are captured, the enemy has the ability to look up everything about him on the internet. He volunteered for this fourth tour is all I can report at this time. He is part of a Riverene unit, which also includes land duty. Kit Menkin
-------------------------------------------------------------- *** Announcement********************************** Luncheon to address how exports keep U.S. out of recession.
WHO: Emily DeRocco, President, The Manufacturing Institute and Senior Vice President, NAM Dave Huether, Chief Economist, NAM Mary Andringa, President and CEO, Vermeer Corporation (medium-sized manufacturing company in Pella, IA) The Honorable Kenneth E. Bentsen, Jr., President and CEO, Equipment Leasing and Finance Association James J. Ambrose, President, Equipment Finance, GE Healthcare Financial Services and ELFA Chairman-Elect WHEN: Monday, June 2, 2008 12:30 to 2:00 p.m. (Lunch will be served.) WHERE: NAM Headquarters 1331 Pennsylvania Avenue, NW - 6th Floor Washington, D.C. (Enter on F Street, N,W, between 13th and 14th Streets) RSVP: Bill Canis (202) 637-3109 or bcanis@nam.org The Equipment Leasing and Finance Association is the trade association that represents companies in the $600 billion equipment finance sector, which includes financial services companies and manufacturers engaged in financing the utilization and investment of and in capital goods. For more information, please visit www.elfaonline.org ELFA is also the premier source for statistics and analyses covering the equipment finance sector. To access ELFA's comprehensive industry information, The National Association of Manufacturers is the nation's largest industrial trade association, representing small and large manufacturers in every industrial sector and in all 50 states. Headquartered in Washington, D.C., the NAM has 11 additional offices across the country. Visit the NAM's award-winning web site at www.nam.org for more information about manufacturing and the economy. The Manufacturing Institute is the research, education and workforce arm of the NAM. ***Announcement**********************************
--------------------------------------------------------------- Textron Financial Names Shelley Wilson Senior Vice President of Marketing
Providence, RI Textron Financial Corporation, a Textron Inc. (NYSE: TXT) company, names Shelley Wilson to the position of senior vice president of marketing effective June 1, 2008. In this role, Wilson will plan and direct all aspects of the company’s marketing policies, objectives and initiatives, as well as oversee the management of positioning and promotional activities for the company’s products and services. She will also collaborate with divisional marketing and sales managers to develop and implement business plans and strategies. Wilson replaces Adele Suddes, who is joining Textron Inc. as executive director of customer leadership. Wilson will report to President and Chief Operating Officer Jay Carter and serve as a member of Textron Financial’s Executive Committee. “Shelley is an exceptional leader with broad marketing experience,” said Carter. “As a strong strategic counselor, she also has a keen focus on understanding and anticipating the needs of the customer. These skills are well-suited for continuing to develop the strength of the marketing function throughout Textron Financial and helping us to build upon our strong record of customer satisfaction and loyalty.” With more than 20 years of marketing experience, Wilson joined Textron Inc. in 2005 as director of customer leadership, where she assisted multiple Textron businesses in marketing strategy projects that included customer segmentation, positioning, and value pricing. Her efforts with Textron Financial specifically have led to a dramatic improvement in the strategic impact of the company’s annual marketing plans. Other projects have resulted in comprehensive competitive analysis tools and initiatives that increased service revenue and customer satisfaction. Wilson also has extensive experience in the technology industry. Prior to Textron, she held leadership roles with Check Point Software Technologies, Inc., Oblix, Inc., and Symantec Corporation. She is a graduate of the Stanford/AEA Institute for the Management of High Technology Companies. Wilson has a BA in Communication Studies with an emphasis on public relations and marketing from Virginia Polytechnic Institute and State University. She is a certified Textron Six Sigma Green Belt and has attended Textron’s Executive Leadership Program at the Thunderbird School of Global Management, as well as the company’s Growth Leadership Program at the Ohio State University Fisher College of Business. About Textron Financial Textron Financial is a diversified commercial finance company with more than $11 billion in managed receivables. It has core businesses in Aviation Finance, Asset-Based Lending, Distribution Finance, Golf Finance, Resort Finance, and Structured Capital. Textron Financial also provides financing programs for products manufactured by its parent company, Textron Inc. About Textron Textron Inc. is a $13.2 billion multi-industry company operating in 34 countries with approximately 44,000 employees. The company leverages its global network of aircraft, defense and intelligence, industrial and finance businesses to provide customers with innovative solutions and services. Textron is known around the world for its powerful brands such as Bell Helicopter, Cessna Aircraft Company, Jacobsen, Kautex, Lycoming, E-Z-GO, Greenlee, Fluid & Power, Textron Systems and Textron Financial Corporation. More information is available at www.textron.com ### Press Release ########################### Alter Moneta-Hires New Sales Professional: N. NJ/ Staten Island Buffalo, NY, --- The U.S. headquarters of Alter Moneta in Buffalo New York recently announced the newest addition to its sales team, Andrew Kocovic. Previously employed by several major financing companies including, GE Capital Corp and Associations Commercial Corp/Mitsubishi Motors Credit of America Kocovic joined Alter Moneta as a district sales manager. “This new opportunity represents an expanded offering to my clients in a competitive industry where decisions need to be made quickly, products and service needs to be exceptional, and pricing must be aggressive. Alter Moneta has a reputation for providing all this and more, which is why I am thrilled to be part of a company that is poised to assist in their customers shared goal of growth” said Kocovic. He will be located directly in greater New York and will focus solely on Northern New Jersey and Staten Island. He is charged with offering innovative financing solutions in a direct role to end-users in the construction, transportation, manufacturing, and waste sectors. His experience in the financing industry began over 20 years ago after completing his Bachelor’s of Business Administration at Lehman College, Bronx, NY. Kocovic’s experience lends itself directly to the wide variety of products offered by Alter Moneta including revolving lines of credit, equipment loans, consolidation and commercial leases for a variety of assets. He reports to Thomas (Tom) Greco, vice president of Eastern US Direct Sales. “Andrew,” commented Greco, “brings a successful sales history with him in our product areas and services and I am confident his contribution to both the customer base and to Alter Moneta will be immediate.” Kocovic’s appointment is a testament to the company’s vision of doubling their workforce by 2012. Over the past year Alter Moneta has grown exponentially in their work force to offer premiere financial services. Alter Moneta, established in 1998, is one of the fastest growing independent financial services firms in North America, with significant market presence in both Canada and the United States. The company provides funds to purchase or lease new and used revenue producing equipment for middle-market firms in trucking, warehousing, construction, passenger transport, manufacturing and waste management industries. Through its Vendor Finance group, Alter Moneta also provides financing programs for manufacturers and dealers. Its Lutex subsidiary in Quebec provides auto-leasing services. ### Press Release ###########################
News Briefs---- Potential for efficient employment of capital in European healthcare Investors Press Lenders on Bad Loans John Deere files $1.27 million suit over leasing World Bank approves $1.2 bln funding for food crisis Costco profit surges 32% in third quarter, tops forecasts (food way up) Rockwall rolls out red carpet for Jason Castro ----------------------------------------------------------------
You May have Missed--- 19,000 hourly workers leaving GM as automakers regroup http://www.usatoday.com/money/autos/2008-05-29-gm-honda-hyundai-regroup_N.htm ---------------------------------------------------------------
Sports Briefs---- Missed opportunity: Spurs blow lead, bow out to Lakers ----------------------------------------------------------------
California Nuts Briefs--- Report: SF Tourism Industry Thriving Visitors to S.F. in 2007 set record for spending ----------------------------------------------------------------
“Gimme that Wine” Homemade wine contests to be legalized The new cults: Upstart wineries shoot for Screaming Eagle status Americans drinking more domestic wine Summit fire over, wine festival on Louisiana vineyard struggles for recognition Wine Prices by vintage ----------------------------------------------------------------
Calendar Events This Day Hug Your Cat Day Loomis Day Memorial Day (Traditional) Saint Joan of Arc: Feast Day Trinidad: Indian Arrival Day Water a Flower Day Saint feast Days
http://www.catholic.org/saints/f_day/may.php ----------------------------------------------------------------
The average home size in the United States is now 2,200 square feet, up from 1,400 square feet in 1970, according to the National Association of Home Builders.
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Today's Top Event in History 1922- Lincoln Memorial Dedication. If you haven’t seen it in person, it is well worth the trip. The memorial is made of marble from Colorado and Tennessee and limestone from Indiana. It stands in West Potomac Park at Washington, DC. The outside columns are Doric, the inside, Ionic. The Memorial was designed by architect Henry Bacon and its cornerstone was laid in 1915. A skylight lets light into the interiors where the compelling statue “Seated Lincoln,” by sculptor Daniel Chester French, is situated [headlines]
This Day in American History 1498 - Christopher Columbus set sail with six ships from Sanlucar in Spain on his third voyage of exploration to the Americas. In reality, he never discovered the main land, only a group of islands in the Bahama’s that he thought were islands off of India, thus he named the natives he found on these islands: Indians. And why we call the native American Indians this name. The scuttlebutt of the time was that these natives were the lost tribe of the Hebrews (I am not making this up. Read your history.) -------------------------------------------------------------- Baseball Poem It Ain't Over .. . Baseball is something Fielders pluck comets But fielders also topple Yet they lean in—watch—wait. Written by Louise Grieco in “Line Drives” -------------------------------------------------------------- SuDoku 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? http://leasingnews.org/Soduku/soduko-main.htm -------------------------------------------------------------- Daily Puzzle How to play: Refresh for current date: --------------------------------------------------------------
http://www.gasbuddy.com/ -------------------------------------------------------------- Weather See USA map, click to specific area, no commercials -------------------------------------------------------------- News on Line---Internet Newspapers Green Bay, Wisconsin http://www.greenbaypressgazette.com/apps/pbcs.dll/frontpage -------------------------------- |
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