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www.leasingnews.org Friday,
April 19 2002 Accurate,
fair and unbiased news for the equipment Leasing Industry
Headlines---- ELA
Capitol Hill Day 2002: A Great Day on the Hill
Republic Leasing of South Carolina Seeks National Marketing Manager
Niagra Takes Leasing Industry by Storm
CIT Tyco Revealed----
To Promote Cyber Security/ Commerce Department changes its name
Senate Committee approves large increased in federal funds for Amtrak
Google Still Number One---Teoma On the Rise—Copernic the Best
What we asked Google and competitors
ePlus To Showcase its Enterprise Cost Management Solution National
Cooperative Bank Announces New Alliance With CitiCapital/Leasing Bankruptcy
Court Extends Comdisco's Exclusivity Period to July 31,2002
Where to Find Knowledge on the Leasing Industry
New to Leasing News: Leasing Books and Where to Purchase
Leasing Recruiter’s Forum
Concerning BancPartners in Texas
Fleet says service is its new crusade
Pacific Bancorp Earnings Gateway
computer reports quarterly loss on 50% lower sales
UPS posts flat first-quarter earnings of $563 million #
Denotes Press release ____________________________________________________________________ Equipment
Leasing Association Capitol Hill Day 2002: A Great Day on the Hill ****************************** Sixty
Equipment Leasing Association members came to Washington, D.C. last
week to participate in representative
democracy! ELA's Capitol Hill Day kicked off Tuesday evening, April
9th, with an issues briefing, practice meetings and a reception featuring
a speech from Senator Bob Graham (D-FLA). A
Wednesday morning breakfast talk from Rep. Roy Blunt (R-MO) got attendees
ready for a day on The
Hill. The real work of Capital Hill Day came with the numerous meetings with
members of Congress or their staffs. Some
ELA members had as many as five meetings scheduled. In each, they
introduced the Representatives or Senators
to the importance of leasing on the national and local levels, and briefed
them on pending legislative issues important to their business. For
a full report on Capitol Hill Day, see the up-coming June/July Issue
of ELT. (
ELA magazine mailed to members and subscribers ) To
view photos from Capitol Hill Day, please visit http://www.elaonline.com/events/2002/capthillday/pictures/2002/index.cfm (
courtesy ELAonline.com) -------------------------------------------------------------------------------------------------- Republic
Leasing of South Carolina Seeks National Marketing Manager. Dwight
Galloway and Charles Randall confirm they are looking for a “national
marketing manager.” They
both state they have begun the process, and after interviewing, will
talk to
their parent as they consider this a very important position. “I
can tell you we are interviewing a female, a Native American, a Russian
Jew... and
we are not interviewing anyone from North Dakota, or the Queen mother,
may she
rest in peace, “ Galloway said, tongue in cheek.” I can
tell you we also will not
hire someone who has worked for us before.” Charles
Randall said they hoped to find the person “ by the new millennium.” Dwight
Galloway said he would seriously consider a “volunteer...someone
who looked
at us as a charitable organization, and would work for free. We sure
would like a volunteer,” he concluded. Charles Randall was heard
in the background,
laughing loudly. Dwight Galloway said he was serious.
“Charles and I would really like a volunteer to be our new marketing
manager.”
Contact Mr. Galloway at: dgalloway@rlclsg.com By
the way, here is one of the questions, Mr. Galloway and Mr. Randall
will ask
the prospective marking managers: You
are driving along on a wild stormy night. You pass by a bus stop
and you
see three people waiting for the bus: 1.
An old lady who looks as if she is about to die. 2.
An old friend who once saved your life. 3.
The perfect man(or)woman you have been dreaming about. Which
one would you choose, knowing that there could only be one passenger in
your car. Think before you continue reading. This is a moral/ethical dilemma
that was once actually used as part of a job application. You
could pick up the old lady, because she is going to die, and thus
you should
save her first; or you could take the old friend because he once saved
your life, and this would be the perfect chance to pay him back. However,
you may never be able to find your perfect dream lover again. This
questions was given to Dwight Galloway when he was first hired many
years ago, just out of school: He reportedly had no trouble coming
up with his answer. WHAT
DID YOUNG DWIGHT SAY? He
simply answered: "I would give the car keys to my old friend,
and let him take
the lady to the hospital. I would stay behind and wait for the bus with
the woman of my dreams." Sometimes,
we gain more if we are able to give up our stubborn thought limitations
(think "out of the box"). That’s the kind of person
Republic Leasing of
South Carolina is looking for. _______________________________________________________________________ Niagra
Takes Leasing Industry by Storm Julia
Roberts and Adam Sandler have recently been signed to do a
movie about Niagara that is tentatively scheduled for release in early
summer 2002. Where
can I buy some of this drink, Niagra or Nexcite. It may be just the thing
we need. Greg
Bennett Leasing
Services Network 708-687-6671 708-687-6673
Fax gbennett77@attbi.com http://www.niagarapa.com/
The name has been changed to nexcite here, and
a pdf. format drink recipe is available. You can order on line for
a two bottle sampler: $19.16 or get a “gift box:” or “gift
baskets.”:
six bottle: $27.54 12 bottles: $52.68 Case: $100.56 Testimonials,
too. (http://buyniagara.safeshopper.com/
$4.40 a bottle 5 cases $402 10 cases: $744 (http://www.viacreame.com/niagra.htm
six pack $27.95 plus shipping and handling http://www.herbsinstead.com/sof.html
six pack $33 plus shipping and handling --- Gosh
- I didn't see this in yesterday's Leasing News or I would have commented
sooner... I wonder if I would get any work done at the office if both
Dion and I were Niagra fans. (tee hee) . Have
a great Day... Bette
Kerhoulas, CLP Managing
Director 800-800-8081,
949-727-3711 Ext. 227, 949-727-3722 Fax bettek@pacifica-capital.com Please
visit our web site at www.pacifica-capital.com <http://www.pacifica-capital.com> ---
If
a leasing guy drinks this product, will it make him a stiff competitor?
Jim
Fleming nationalbusinesscredit@yahoo.com National
Business Credit ---- That
was a great piece you did on Niagra, the Swedish drink with the power
of love. I
just heard on CNN that some retirement homes are prescribing it as
a nighttime tonic for
their elderly male patients. Seems it keeps them from rolling out
of bed. Also,
I heard that if you take it to wash down your Rogaine you'll look
like Don King. Barry
Reitman ---
The
Niagra story was amusing. With the "leasing wallbanger",
sounds like a guy
could literally pour himself a stiff one. John
Kruse JFK@CapitalStream.com --- Kit,
you know I have been married for 42 years, long before Niagra. However,
I must admit it is great stuff. It did cause me one problem. I
had to remove the ceiling fan because I like to sleep on my back. Bob
Teichman, CLP Teichman
Financial Training 3030
Bridgeway, Suite 213 Sausalito,
CA 94965 Tel:
415-331-6445 Fax:
415-331-6451 e-mail:
BoTei@aol.com "Providing
education and training to the equipment leasing and financing industry." -------------------------------------------------------------------------------------------- CIT
Tyco Revealed---- CIT
Tyco staff has been doing great. They have a real corporate identity. To
further understand this, and what they have to work with, here is a
comment from a reader that puts this all into prospective: We
worked with CIT and their Atlanta office for 4 years before it closed
and had an excellent relationship. At that time the programs and rates
were effective. We are now working with CIT out of their Tempe location,
supposedly same programs and rates, however, the credit window is much
smaller - which is understandable considering the state of the industry,
however, the rates are impractical for the credit requirements, i.e.
$500,000 at a buy rate of 9.0%. The
information given to us, and also available in the news, is that CIT /Tyco
cannot obtain the long term funds it needs to compete at market rates, thus
they are offering a new product. This new product sounds intriguing but
is nothing more than a "Band-Aid on a bullet hole." The
product is a lease
which has a fixed payment for the term, offers a lower buy rate, say 8.0%
(still not great for a $500,000 lease), however, even though the payment
is fixed the rate floats for the entire term, based on short term T-Bills
and CIT will bill the Lessee at the end of the term for any increases
in the overall rate calculated from time of lease inception to end of
term. We still don't have a full understanding of this product, nor
have we
attempted to calculate what the potential "Balloon" payment
liability for the
lessee would be. Have you ever heard of a product like this? It
appears CIT is reacting as best they can to their lack of access to
long term
competitive funds, as well as trying to PUMP UP THE VOLUME immediately, with
short term money to try to make themselves more attractive to potential buyers. -dedicated
reader- To
Promote Cyber Security/ Commerce Department changes its name By
Associated Press, WASHINGTON
(AP) An agency within the Commerce Department has renamed itself to
draw attention to its efforts to protect national security and the
nation's most important computer networks. The
former Bureau of Export Administration, headed by Commerce Undersecretary
Kenneth I. Juster, will be known as the Bureau of Industry and Security,
although its responsibilities won't change. Commerce Secretary Don
Evans approved the new name. Juster
said the new name ''reflects the breadth of the bureau's activities
in the spheres of national, homeland, economic and cyber security.''
Along
with helping U.S. companies ensure they don't violate federal trade
laws, the bureau also runs the Critical Infrastructure Assurance Office,
which is responsible for shoring up protection of the country's most
important computer networks and other systems. Senate
Committee approves large increased in federal funds for Amtrak Protecting
Safety a Major Issue By
Laurence Arnold, Associated Press WASHINGTON
(AP) A Senate committee endorsed a big increase in federal funds for
passenger train service Thursday while also complaining about Amtrak,
a chronic money-loser for the government. The
Senate Commerce, Science and Transportation Committee voted 20-3 for
a bill that would keep Amtrak operating for five more years and spend
$4.6 billion a year on improving and expanding rail service. The
bill goes to the full Senate. Sen.
Ernest Hollings, the committee chairman and bill sponsor, said the
Sept. 11 attacks showed America needs alternatives to flying and driving.
Hollings, D-S.C., said Congress has treated Amtrak ''with benign neglect''
for three decades. With
Congress due to vote this year on the future of passenger rail, the
Hollings bill represents the most comprehensive and Amtrak-friendly
of several proposals. Thirty- two senators, mostly Democrats, have
signed on to the bill. Should
it pass the Democrat-controlled Senate, it has a tough road in the
Republican-controlled House. House
transportation leaders from both parties are working on a short-term
solution that would give Amtrak the $1.2 billion it says it needs
to keep all the trains running for another year. Some
lawmakers support a plan by the congressionally created Amtrak Reform
Council to break up Amtrak and franchise out its routes to introduce
competition. One
supporter of that plan is Sen. John McCain of Arizona, the ranking
Republican on the Commerce Committee. He pleaded with his colleagues
not to give Amtrak additional money without requiring major reforms.
''We
have a responsibility to fix a program that has consistently fallen
woefully short of the goals Congress has set for Amtrak, and that
Amtrak has set for itself,'' McCain said. McCain's
colleagues agreed in principle to his amendment requiring that any
new high-speed rail projects be open to competitive bidding a potential
challenge to Amtrak's monopoly on passenger service. The committee
asked its staff to study the legal implications of such an idea. McCain
saved some of his displeasure for the Bush administration, saying
it ''has failed, utterly, to say one word'' about Amtrak's future.
The
chairman of the House Transportation and Infrastructure subcommittee
on railroads, Rep. Jack Quinn, met Thursday with administration representatives.
Quinn, R-N.Y., said only that the White House ''has a solid grasp''
on the issues surrounding Amtrak's future. Under
the Hollings bill, $4.6 billion per year would be spent on Amtrak
operations, renovations to Amtrak-owned tracks in the Northeast and
development of new high- speed corridors. The
bill would add Los Angeles-Las Vegas as the 11th federally designated
high- speed corridor. The
bill would provide a one-time infusion of more than $1.4 billion for
safety and security improvements, including money for X-ray machines,
bomb-detecting dogs and a satellite-based system to shut down any
locomotive not under control of its crew. To
make the bill more palatable to some colleagues, Hollings revised
it to require Amtrak to submit a detailed five-year financial plan
along with its annual budget request to Congress. He also added money
for security upgrades outside the Northeast. Sen.
Ron Wyden, D-Ore., a critic of Amtrak since it canceled the Chicago-Portland-
Seattle ''Pioneer'' route in 1997, added an amendment to force Amtrak
to use objective criteria when making route and service decisions.
On
the Net: Senate
Commerce, Science and Transportation Committee: http:// commerce.senate.gov
Amtrak:
http://www.amtrak.com Google
Still Number One---Teoma On the Rise—Copernic the Best By
Michael Liedtke, Associated Press SAN
FRANCISCO (AP) In the rarefied world of online search, it looks like
Google remains the engine of choice. At
least that's what we found in an unscientific test that pit Google's
powers against the tools of Teoma, an industry upstart claiming that
it has developed a better way to explore unfamiliar turf on the Web.
The
duel consisted of seven widely divergent questions provided by Michael
Bass, the director of The Associated Press' News and Information Research
Center. The
questions have either recently come up in AP stories or in an investigative
reporting class that Bass teaches at New York University. I
posed them as well to two other highly touted search engines, alltheweb.com
and wisenut.com, as well as AltaVista, a pioneer that lost its way
a few years ago during the dot-com boom. In
all cases, I used the most elementary of search techniques, entering
the same keywords from each question into each engine. While
all the engines fared reasonably well on most questions, none approached
Google's processing speed or ability to provide relevant links to
the answers. What's more, Google was the only engine to guide us in
each case to the requested information on its first page of results.
These
two questions stymied all the other engines: ''What
Pulitzer Prizes did the New Orleans Times-Picayune win and in what
year?'' and ''What is the name of the song featured in the Mitsubishi
commercials with the lyrics, 'I wish that I knew what I know now,
when I was younger?' It
took just 0.24 seconds for Google to provide me with a link to a page
on the Times- Picayune's Web site, where I learned the New Orleans
papers had won two Pulitzers, both in 1997 one for public service
and another for editorial cartooning. Google
took even less time 0.19 seconds on Google's clock to answer the question
about the Mitsubishi song, even though I initially misspelled Mitsubishi
in the search term. In
a nice demonstration of Google's intuitive powers, the search engine
still figured out what I really meant and provided a link to an online
discussion board, where I learned that the Mitsubishi ad used a 1973
song called ''Ooh La La,'' written by Ron Wood and Ronnie Lane and
sung by Rod Stewart. On this question at least, more authoritative
Web sources seemed harder to come by. Google's
performance seemed even more impressive after seeing how the question
about the Times-Picayune fooled the other engines. Both
Teoma and AltaVista provided a high ranking to an MSN Money page that
informed me its managing editor used to work at the New Orleans paper
and several of its staffers had won Pulitzer Prizes during the 1980s
and 1990s. Alltheweb
pointed me to a Web page featuring a schedule for last month's Tennessee
Williams/New Orleans Library Festival. The page listed scheduled speeches
by two former Pulitzer Prize winners and a former Times-Picayune cartoonist.
Google's
database, the largest of those tested, appears to give it a major
advantage over its rivals. The Mountain View-based company says it
draws upon an index of 3 billion documents. Teoma's
owners, Ask Jeeves, insist Google's index is littered with junk links.
Teoma believes it does a better job of filtering useless links, one
of the reasons its index consists of just 200 million pages. Teoma
says it will be expanding its database. This
is not to suggest the other engines are clueless. They all provide
useful road maps for getting around online. Teoma
looks especially promising as it continues to develop a new format
it unveiled along with souped-up search tools this month. An easy-to-use
''refine'' button helps focus search requests, which helped with some
of our queries but not with others. The
refine tool appears especially useful if you are entering a broad
search term such as ''lincoln'' that could be interpreted in various
ways. Enter that word into Teoma's engine and the ''refine'' feature
will provide several subcategories, including Abraham Lincoln, Lincoln
Benefit Life and Lincoln, Neb. Teoma's
''resources'' category also is a handy way to find more experts on
topics. Despite the intrigue of Teoma's extra bells and whistles,
Google remains my first stop for online directions. On
The Net: http://www.google.com
http://www.teoma.com
http://www.alltheweb.com
http://www.wisenut.com
http://www.altavista.com (
www.copernic.com the best.
Editor ) -------------------------------------------------------------------------------------------------------
What
we asked Google and competitors By
Associated Press Just
how does online search engine Google stack up against its competitors?
The Associated Press asked Google and several other search engines
the following: THE
QUESTIONS: 1)
Canada has had only one female prime minister. Who is she? 2)
Which were the most frequently banned books of 2001? 3)
What is a ''roofie'' and why is it known as the ''date rape drug?''
4)
What was the name of the Danish guitarist killed in the Empire State
Building shooting in 1997 and what band did he play for? 5)
What is Hypospadias? 6)
Which Pulitzer Prizes did the New Orleans Times-Picayune win, and
in what year? 7)
What is the name of the song featured in the Mitsubishi commercials
with the lyrics, ''I wish I knew what I know now, when I was younger?''
THE
ANSWERS: 1)
Kim Campbell, sworn in as Canada's prime minister in June 1993. She
was out of office before the year was over. 2)
According to the American Library Association, the three most challenged
books of 2001 were: The ''Harry Potter'' series by J.K. Rowling; ''Of
Mice and Men'' by John Steinbeck; and ''The Chocolate War'' by Robert
Cormier. 3)
''Roofie'' stands for Rohypnol, a dime-sized pill that leaves people
open to suggestion and physically weak. It also causes memory loss.
These factors, and the pill lack of taste and odor, has led to some
men dropping it in the drinks of unwitting women, who later have reported
being raped. 4)
Christoffer Burmeister, a 27-year-old guitarist for a Danish band
called the Bush Pilots, was killed in a shooting that occurred at
the Empire State Building on Feb. 23, 1997. 5)
A condition where the opening of the penis isn't found in its normal
spot. The opening often is found on the back of the shaft. Somewhere
between one in every 300 to 350 men are afflicted with the condition.
6)
The New Orleans Times-Picayune won both of its Pulitzers in 1997.
The paper won the Public Service award for a series called ''Oceans
of Trouble'' and another for editorial cartooning. 7)
The Mitsubishi ad uses a 1973 song called ''Ooh La La.'' The song
was written by Ron Wood and Ronnie Lane and sung by Rod Stewart. -- #################
#################################### ########## ePlus
To Showcase its Enterprise Cost Management Solution at CA World; ePlus
Solution Captures and Sustains Cost Savings for Customers HERNDON,
Va--ePlus, Inc., (Nasdaq:PLUS), a leading provider of business solutions
and services, announced that it will be showcasing Enterprise Cost
Management (ECM), its leading business process solution, at the CA
World eCommerce conference. ePlus' ECM solution provides an innovative,
comprehensive methodology for reducing the costs of purchasing, asset
management, processing payables, settlement, catalog content management,
and financing throughout the entire enterprise. CA
World 2002 is Computer Associates' eighth annual eCommerce conference
and will be at the Orlando Convention Center in Orlando, FL from April
21-25. Attendance is expected to exceed 20,000 IT professionals. Interested
parties are encouraged to visit ePlus at Booth 211 to see continuous
live software demonstrations, including a preview of ePlus' integration
with CA's ServiceDesk, meet with ePlus product experts, and schedule
one-on-one meetings to discover how a disciplined ECM approach can
deliver real cost savings. Additional information is available at
www.eplus.com ePlus'
Enterprise Cost Management solution incorporates the following ePlus
solutions, which will be showcased at CA World: --
Procure+ - feature rich, web-based or licensed eProcurement software
which automates the entire purchasing process from the
first input of an order through settlement, via a secure and
paperless process. --
Manage+ - asset management software for asset tracking and reporting,
which integrates with Procure+ and ePlus financial services
for a robust ECM solution. --
Content+ - a comprehensive suite of software and outsourced services
for advanced electronic catalog content production and
management, incorporating a knowledge base of over 200,000 business
rules and 44,000 commodity and class codes. --
ePlus Financial Services - ePlus offers a range of flexible financing
options including leases, loans, and sale-leasebacks,
and transaction processing automation solutions
including electronic billing and presentment. With
over 10 years of experience and sustained profitability, ePlus offers
business process automation through the integration of products and
services. ePlus consistently helps clients achieve their goals by
leveraging a combination of collaborative disciplines such as business
and financial services, asset management, eProcurement, and IT Sales
and Services. About
ePlus inc. A
leading provider of Web-based e-procurement, asset management, financing,
leasing, sourcing, and eContent technology and services, ePlus delivers
comprehensive and high-value business solutions. The ePlusSuite of
products and services, including Procure+, Manage+, Content+, and
ePlusMarket, helps businesses dynamically streamline, improve and
gain management control of spending and fixed assets. ePlus solutions
integrate and automate each aspect of the supply chain process: from
requisition to approval, fulfillment, financing and asset management,
delivering the highest return on investment. ePlus(TM),
ePlusSuite(TM), Procure+(TM) , Manage+(TM) , Service+(TM), and MarketBuilder(TM)
are trademarks of ePlus inc. Finance+(SM) is a registered service
mark of ePlus inc. ePlus Content Framework(SM) is a service mark applied
for by ePlus. Founded
in 1990, the company is headquartered in Herndon, VA and has more
than 30 locations in the US. For more information, visit our website
at www.eplus.com, call 800-827-5711 or email info@eplus.com. CONTACT:
ePlus
inc., Herndon Lisa
Savino, 631/218-9510 lsavino@eplus.com
or
ePlus
inc. Kley
Parkhurst, 703/709-1924 ###
############################################## ##################### National
Cooperative Bank Announces New Alliance With CitiCapital; Partnership
to Offer Leasing Products to NCB Customers WASHINGTON--National
Cooperative Bank (NCB) announced a new partnership with CitiCapital
to provide leasing services to its small business customers. Leasing
allows businesses to conserve their cash by leasing the equipment
they need instead of purchasing it outright. The
needs may include machinery, computers, software, furniture, fixtures,
security systems, rental equipment and more. Leasing provides businesses
with a number of benefits: avoid large initial capital outlays, develop
a workable repayment schedule adjustable to seasonal needs, take advantage
of available tax benefits, and ensure equipment is state-of-the-art. NCB
works directly with purchasing cooperatives, retailer-owned wholesalers,
franchise systems, trade associations and credit unions to deliver
a broad variety of financial products to help grow their member retail
businesses. The new partnership with CitiCapital is part of NCB's
continuing commitment to leverage third party partnerships to offer
the best available services to its customers. NCB's
small business customers have already begun to take advantage of the
partnership--since late 2001, CitiCapital has committed approximately
$1,000,000 in leasing for 16 NCB customers. The average lease size
was $62,500. "We
are very pleased to partner with CitiCapital to continue to offer
our customers the products that they need to sustain and expand their
businesses," said Charles E. Snyder, president and CEO of NCB.
"We recognize that our role is more than just as a capital provider.
We are an innovative partner for our customers ensuring they have
access to high quality financial solutions." CitiCapital
provides leases ranging from $5,000 through $250,000. It specializes
in programmatic leasing for cooperative businesses and brand concepts,
providing competitive pricing and best-in-class service standards.
CitiCapital offers the full range of leasing products including Master
Leases, True Leases, and Tax Advantage Leases. Currently,
NCB has affinity programs with several leading cooperatives and member-driven
organizations including Ace Hardware, one of the largest retailer-owned
hardware cooperatives; Allied Domecq QSR, parent company to Togo's,
Dunkin' Donuts and Baskin-Robbins; Yorkshire Global Restaurants, parent
company for A&W and Long John Silver's; and, the National Grocers
Association, the trade association representing independent retail
grocers. National
Cooperative Bank provides financial services to the nation's cooperatives
and their members as well as other member-owned organizations and
nonprofit endeavors. Chartered by Congress in 1978, National Cooperative
Bank was privatized in 1981 as a cooperative financial services company
that is owned by more than 1,800 of its customers. Headquartered
in Washington, D.C., NCB has offices in Alaska, California, Connecticut,
Ohio and New York. To learn more about NCB, visit www.ncb.com. CitiCapital
is a wholly owned subsidiary of CitiGroup, formed when CitiGroup purchased
Associates First Capital in November 2000. CitiGroup is one of the
largest financial services companies in the world with affiliated
companies including CitiBank, Travelers Insurance, and Salomon, Smith
Barney. CONTACT:
National
Cooperative Bank, Washington Jason
Dring, 202/518-8047 ####
####################################### ########################################### Bankruptcy
Court Extends Comdisco's Exclusivity Period to File Plan of Reorganization
to July 31, 2002; Approves Asset Sales ROSEMONT,
Ill Extends
Deadline to Allow More Time to Reach Consensual Agreement on Plan;
Approves Sales of Heathcare and Australia/New Zealand IT Leasing Assets;
Company Still on Track to Emerge From Chapter 11 in Late Summer,
2002 Comdisco,
Inc., (OTC:CDSO), announced that today the U.S. Bankruptcy Court for
the Northern District of Illinois approved the company's request for
an extension of the exclusive periods during which only Comdisco may
file a plan of reorganization and solicit acceptances for that plan.
These periods, which had been scheduled to expire on April 18, 2002,
and June 15, 2002, have now both been extended to July 31, 2002. Comdisco
requested the extension to continue recent productive discussions
with its Creditors' and Equity Committees to reach a consensual agreement
on the proposed Plan of Reorganization. The company is still on target
to emerge from Chapter 11 in late summer of 2002, and stated in Court
that it intends to file its Plan of Reorganization no later than the
end of April. The company also said the extension does not change
previously scheduled hearings on its Disclosure Statement on May 31,
2002, and its Confirmation Hearing on July 30, 2002, but simply provides
more time for discussion among the debtors and its statutory committees. Comdisco
also announced that the Bankruptcy Court has approved the sale of
the company's healthcare leasing assets to GE Capital's Healthcare
Financial Services unit. As previously announced on April 4, 2002,
GE Capital's Healthcare Financial Services will pay Comdisco approximately
$165 million, including assumption of approximately $45 million in
related secured debt, for the majority of its healthcare portfolio.
The sale is expected to close by May 31, 2002. The
Court also approved the sale of Comdisco's information technology
(IT) leasing assets in Australia and New Zealand to Allco, an Australian
company specializing in equipment and infrastructure finance and leasing.
As previously announced on April 9, 2002, Allco will pay Comdisco
approximately $44 million for the assets. The sale is expected to
close by June 18, 2002. Comdisco,
Inc. and 50 domestic U.S. subsidiaries filed voluntary petitions for
relief under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy
Court for the Northern District of Illinois on July 16, 2001. The
filing allows the company to provide for an orderly sale of some of
its businesses, while resolving short-term liquidity issues and enabling
the company to reorganize on a sound financial basis to support its
continuing businesses. Comdisco's
operations located outside of the United States were not included
in the Chapter 11 reorganization cases. All of Comdisco's businesses,
including those that filed for Chapter 11, are conducting normal operations. About
Comdisco Comdisco
(www.comdisco.com) provides technology services worldwide to help
its customers maximize technology functionality and predictability,
while freeing them from the complexity of managing their technology.
The Rosemont (IL) company offers leasing to key vertical industries,
including semiconductor manufacturing and electronic assembly, healthcare,
telecommunications, pharmaceutical, and biotechnology. Through its
Ventures division, Comdisco provides equipment leasing and other financing
and services to venture capital backed companies. CONTACT:
Comdisco Mary
Moster, 847/518-5147 mcmoster@comdisco.com or Kekst
and Company Fred
Spar or Jeremy Fielding, 212/521-4800 |