Leasing News

“Now through October 31, 2002, HP Financial Services will give your lessees up to $1,000 cash back every time they lease their technology equipment with us.”

MOSE funded leases = More Commissions for you.

”This time-limited promotional offer applies to lease terms of 18,24, 36 or 48 months for lease technology equipment with a total transaction amount of $50k000 or less (please call BSB Leasing for the eligible equipment list).

This is just the promotion you need to entice your lessee’s to lease new technology equipment immediately without delay and boost your sales.

HURRY!!

This offer ends October 31, 2002, so contact Bruce Zwillinger with BSB Leasing, Inc. at 1-800-945-3372, ext. 306 now!

( Note: BSB Leasing flyer was utilized and quoted by Leasing News and is not

an endorsement, but used primarily for news purposes .)

----------------------------------------------------------------

Correction: Blaine Tanner Not in Business with Wayne Pirtle, former president

former president of now bankrupt Commercial Money Center ( see top stories:

http://www.leasingnews.org/Conscious-Top%20Stories/CMC_stories.htm )

Leasing News was also told he was a friend Blaine Tanner of

Guardian Capital. Tanner reportedly owns Guardian Capital, Guardian Shield, Guardian Holdings and the Guardian Group. Guardian Capital and allegedly did several big deals with CMC, as documented on Dun & Bradstreet. Leasing News was told Mr. Tanner is located in Cleveland, Ohio and Sedona, Arizona. He reportedly is married to one of the top trial lawyers in Ohio, Ellen Simon. We certainly tried to contact him.

Here is the correction:

“Someone called to our attention your July 19th story, apparently from "Inside Attorney". On behalf of Blaine Tanner, I can state they your statement that Wayne Pirtle is back in business "reportedly with Blaine Tanner", is false. I do not know where you get your information, but we expect you will publish a retraction. Your implication that Mr. Pirtle and Mr. Tanner are in business together is false, and I hope in the future you will contact individuals and check the accuracy of your stories before you publish them.

Tom Holmes.”

Name = Tom Holmes

Address = 1300 East Ninth St., Suit

City = Cleveland

State = Ohio

Zipcode = 44114

Phone = 216-928-6670

Fax = 216-928-6672

Email = tthshield@aol.com

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Equipment Leasing Job Market Up-Date

You want an opinion on the status of leasing employment? Let's start by

doing a search on monster for Equipment Leasing jobs.

Link is: http://jobsearch.monster.com/

Select all on location and job category

Put it "equipment leasing" just like that in keywords on the job

search board.

You can select date or relevance (I selected date)

Let's see, there are 124 leasing jobs in the last 30 days. Sorting

through the riff raff and there are still over 90 good leasing jobs.

The one observation I will make is that there are fewer postings here

from recruiters than there were last year. I surmise that there are not

as many recruiters in the Leasing Industry than there were last year.

Companies are filling many positions on their own.

Recruiters have moved into doing exclusive searches and networking,

staying away from the internet candidates these days.

The industry is hurting no doubt but there is still growth on a lot of

levels.

I've said it before but it is worth repeating. We are not in a recession

we are in a normal economy. There is a Bear market right now, but the

Bull isn't far off and it is waiting on consumer confidence. The

investor is waiting for the "real Bottom" which in itself facilitates an

extended Bear Market.

There is a lot of bad press right now but the result is a cleaning out

of an element that was always known about but never confronted. This

accountability creates a healthier economy.

For someone who lost their 401k or the job that they thought secure it

is difficult to believe that there is a positive side to our economic

landscape right now. It has been a difficult year for us all.

I must say that the Leasing industry is better off right now than many

other industries! It is time to work harder and smarter. It is a time to

build each other up. It is a time to be entrepreneurial. It is a time to

work together like never before. It is not a time to complain. It is not

a time to tear down. It is a time to network.

Want to know what I am doing? I just joined the eLNA and I plan on

rejoining United Association of Equipment Leasing, Equipment Leasing Association, and the National Association of Equipment Leasing Brokers at the end of the year.

Regards,

Fred St Laurent

Managing Director

Financial Services Division

Bradbury and Williamson Inc.

321-952-1422

fstlaurent@cfl.rr.com

www.fredstlaurent.com <http://www.fredstlaurent.com/>

www.bwresults.com

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Leasing News Classified Ads---Up-Date

39 Job Wanted Ads ( we had 41 but in the time posting, this two jobs were

found and it is down to 39 ).

Leasing Industry Job Wanted

Asset Management: Silicon Valley, CA

Experienced Asset Manager with SMT/PCB equipment focus. Managed/sold large ticket mid- term and EOL transactions with global contract manufacturer and OEM accounts. Email:boklund9@earthlink.net

Asset Management: Nashville, TN

Experienced Asset Manager with construction/ telecom focus. Managed portfolio of repo & EOL transactions for large leasing companies. 10 years experience including sales & credit/ collections focus. Email:jambam2000@comcast.net

Collector: Oceanside, CA

Collections supervisor, experienced with commercial leasing. motivated, good work ethic, enthusiastic. call (760)941-9209 Email:mantinarelli@yahoo.com

Contract Administrator: Los Angeles, CA

6 years small ticket leasing - Credit Analysis up to $75,000, Documentation & Funding. Highly organized team player trained sales/operations in credit, pricing, docs. Email:miri7ca@yahoo.com

Contract Administrator: Schaumburg, IL

10 yrs. small/mid-ticket leasing. Proficient in documentation, funding and legal. Worked with brokers, portfolio purchases, vendor programs, municipal transactions. prefer to stay in Suburban Illinois. Email:sophie1900@msn.com

Credit: Los Angeles, CA

Over 15 years experience in Credit/Operations with Small Ticket and transactions up to $500,000.00. CLP, with excellent relationships with most major lenders. Email:jonbh123@earthlink.net

Credit: Columbia, SC

Seasoned senior credit professional with 14 years experience in small ticket. Strong analytical skills, spreadsheet proficiency, all types financials, tax returns. Looking for new career in Southeast/Mid Atlantic Email:lrport2001@yahoo.com

Credit: Hayward, CA.

Versatile/ creative senior financial executive w/ extensive experience in varied areas of the commercial lending environment. Strong written/ oral skills with a results-oriented team-player attitude. Email: daveschultz9@aol.com

Credit: Vista, CA

+15 years experience structuring, underwriting, and collecting leases to privately and publicly held companies. Creative and results oriented. Proven ability to achieve bottom-line results. Email:dkalitow@pacbell.net

Credit: Mill Valley, CA

Senior corporate officer with financial services credit background. M and A, fund raising and workout expertise. Email:nywb@aol.com

Finance: Birmingham, AL

Admin./International: 10+years global ops mgmt. int. biz admin.w import/export/reg. compliance, global biz development, in, transaction P/L, global recruitment/training/staff mgmt. middle market to Fortune 20 account development. Email:ddpeterson1818@yahoo.com

Finance: Atlanta, GA

Twenty five plus years experience in middle market lease/ asset based/cash flow transactions. Heavy banking and credit background, with particular expertise in structure and negotiation. Email:brown235@bellsouth.net

Finance: Boston, MA

10+ years commercial technology lease management and financial analysis. Includes LRF negotiations, EOL buyout negotiations. Financial Spreadsheet programming analytics. Industry and research skills excellent. Email:dssr@attbi.com

Funding: Portland, OR

23 years experience in equipment leasing. Specialty is documentation. I have my CLP and have been active in all aspects of the leasing industry. Email:donreneejohnson@juno.com

Funding: Northern, NJ

Coordinate all aspects of financing for leased equipment, prepare necessary documentation for discounting with banks. Handle renewals of and amendments to lease schedules. Email:istaub@unicapitalcorp.com

Legal: Chatsworth, CA

Managing attorney for general corporate and financial services law including: leasing, acquisitions, service agreements, commercial loans, securitizations, workouts and litigation. Email:SandiDQ@msn.com

Operations: Phoenix, AZ

15 years of increasingly responsible positions as a financial-marketing manager in commercial leasing, credit, and collections. Extensive experience in leasing and accounts receivable portfolio management. Email:williamdoughty@hotmail.com

Operations: Experienced Credit, Collections, lease and Finance operations. Manager w/ expertise in improving bottom line performance, excellent trainer, manager, motivator. Get result/ keep the customer coming back. Email:rgmorrill@comcast.net

Sales: Boston, MA

Boston, MA (big Patriots' fan) Senior Sales person, 15 years experience, strong vendor program background, middle market concentration Email:smillard27@juno.com

Sales: Houston, TX

Experienced outside salesman, seeking Direct Leasing company position either on an independent or employee basis. Email:asauced@hotmail.com

Sales: Louisville, KY

I have been in leasing/financing of construction, machine tool, and mfg equipment for 20+ years. Traveled KY, IN, OH and TN.

Email:kyle90@msn.com

Sales: Chicago, IL

MBA w/ "C" level relationships. Extensive sales/ sales management exper. in new business development w/end-user, vendor and captive programs. Very adapt at complex credit/ economic lease structuring. Email:IrishReel@AOL.Com

Sales: Silicon Valley, CA

VP level Business Development and Sales Manager, well connected in Silicon Valley. Experienced in major vendor programs on a global basis.Email: Tadadzn@ix.netcom.com

Sales: Mission Viejo, CA

Account Sales Executive with 10 years of leasing experience looking for company to bring existing customer base.

Email:makelly21@hotmail.com

Sales: Dallas, TX

Director, Business Development for international financial institutions. Global vendor programs with minimum sustainable volume of $24M annually. CFO and Treasury contacts with major technology and energy corporations.Email:tkorpolinski@ev1.net

Sales: Phoenix, AZ

Leasing Professional for 9+ years, small/middle market arena with existing customer base. Proven sales person, Currently in IT leasing, open to relocation, not looking for a broker situation. Email:cycling4fun2002@yahoo.com

Sales: Detroit, MI

Experienced, hardworking, goal oriented sales professional with strong structuring/restructuring skills. Captive/vendor middle market IT concentration. Seeking position with leasing company in Michigan. Email:leaseman222@yahoo.com

Sales: San Diego, CA

Experienced, hardworking, driven, goal oriented sales professional seeks position with leasing company in California. Please reply to this posting/ I will forward my resume today. Email:jonathanwalmsley@yahoo.com

Sales: Portland, OR

Account Exec. position based from Portland, OR originating and business with "middle-market" companies. Fifteen+ years experience in the Pacific Northwest. Have worked for bank and non-bank leasing companies. Email:markstu@msn.com

Sales: Toronto, NY

$300,000,000 in deals while working for GE Capital, ABN AMRO Leasing, Bank of Montreal and De Lage Landen over the past 8 years. Top achiever. Email:gregkealey@idirect.com

Sales: Atlanta, GA

Prof. sales person with 12+ years of leasing, biz development, structuring, credit & closing. Profitable book of business/ contacts in the small-mid ticket arena. Email:flowageman@aol.com

Sales Manager: New York, NY

I have over 25 years owning an independent leasing company that specialized in truck leasing. Tow trucks, Limos, ambulances, tractors, etc.. Email:rfleisher@rsrcapital.com

Sales Manager: Atlanta, GA

Professional. finance mgr. w/formal credit ed./ reg. vp/ secured/unsecured commercial loans/ direct end user network/equip. leasing/structuring small,mid,big ticket transactions. 10+ years NE & SE. Have vendor servicing w/existing and active network of accounts will bring with me. Email:AlanAustin2000@msn.com

Sales Manager: Hartford, CT

Director of Equipment Lease Division with credit/collateral evaluation, marketing & operations experience. Simultaneously coordinated efforts to develop new vendor business. Email:pkumiega@peoplepc.com

Sales Manager: Rancho Santa Margarita, CA

Senior level sales mgr./ extensive underwriting skills seeking an opportunity. Have experience in large ticket deals, middle market and international. Willing to relocate. I can help you thrive! Email:cilfinco@aol.com

Sales Manager: Atlanta, GA

30 years in transportation Finance with strong management/ sales background. Represented company on national & region markets. Started two successful operations- produce profits and growth. Email:mike.leonard@mindspring.com

Senior Management: Hicksville, NY

Senior equipment leasing and banking executive with credit, collections, marketing and operations experience. Background includes development of new business, risk management and budgeting. Email:FrdA4@aol.com

Senior Management: Irvine, CA

Senior Manager at Enterprise Leasing Software Company. 10 yrs programming, 15 yrs system/ network, and 15 yrs management experience. Working Experience with 12 Leasing companies. Email:sw_leasing@hotmail.com

Syndicator: Wilmington, NC

Ten years experience/contacts placing debt & equity for middle market end-users for transactions $75K - $10MM. Can relocate or telecommute. Email:ccrllc@yahoo.com

52 Help Wanted Ads

( We too five off this week, one for American Leasing, who hired a salesman

who responded to their ad here. )

http://65.209.205.32/LeasingNews/JobPostingsWanted.htm

23 Outsourcing ads

http://65.209.205.32/LeasingNews/JobPostingsOutsourcing.htm

4 attorney ads

http://65.209.205.32/LeasingNews/JobPostingsAttorney.htm

8 Equipment Leasing Recruiter ads

http://65.209.205.32/LeasingNews/Recruiters.htm

Other internet postings, some free, some not

http://65.209.205.32/LeasingNews/Classified.htm

Help Wanted and Recruiter ads require a membership in a leasing association.

The other ads do not have this requirement. There is no fee or time limit.

------------------------------------------------------------------------------------------------------

Business Leasing News by David G. Mayer: August edition is located at:

http://www.pblaw.com/newsletters/bln/Release/bln_2002_09.htm

This edition covers several hot issues such as the new Sarbanes - Oxley Act

of 2002 (the corporate responsibility stuff) as well as a lighter item on

negotiating cheap leases on luxury cars. I am also delighted that Alexa.com

rated our web site so well, along with yours. It's very exciting to see the

progress of Business Leasing News.

All the best,

David

David G. Mayer

Patton Boggs LLP

2001 Ross Avenue

Suite 3000

Dallas, Texas 75201

Tel: (214) 758-1545

Fax: (214) 758-1550

Author of: Business Leasing For Dummies

Publisher of: Business Leasing News

-----------------------------------------------------------------------------------------------

Comdisco Expects QIII Loss Of At Least $68 Million

By Bob Braine, Dow Jones Newswires

Comdisco expects to report a narrowed loss of at least $68 million for its third quarter ended June 30, according to a filing released by the Securities and Exchange Commission.

For the same quarter in 2001, the technology services provider reported a $164 million loss.

Net revenue for the 2002 third quarter decreased $259 million, or by 44%, compared to net revenue posted during the same quarter last year.

As reported, Comdisco emerged from Chapter 11 bankruptcy with a new board of directors and a new audit committee. The company's Chapter 11 petition, filed July 16, 2001, listed assets of $7.5 billion and liabilities of $6.7 billion.

Because of this, the company said in the SEC filing that it needs an additional five days to let its new audit committee complete the due diligence necessary to finish its third-quarter report.

The notice also said that, as a result of its bankruptcy filing, Comdisco expects to record more than $57 million in reorganization costs directly related to the Chapter 11 proceedings.

Under its reorganization plan, which was confirmed by the U.S. Bankruptcy Court in Chicago on July 30, Comdisco will sell off its remaining assets over three years. The company said it expects about a 90% return to its creditors.

Comdisco officials said they expect to make initial distributions to stakeholders when the current fiscal year ends Sept. 30, followed by payments quarterly or more frequently.

The Rosemont, Ill., company leased computer, medical, telecommunications and other high-tech equipment and provided security for corporate computer systems. It also had a venture-capital branch.

----------------------------------------------------------------------------------------------

CIT Puts US Airways Exposure At $75 Million

By Dan Lowrey, Dow Jones Newswires

CIT Group put its exposure to US Airways Group, which filed for bankruptcy, at about $75 million, according to the company's 10- Q released by the Securities and Exchange Commission.

The company said its financing is secured primarily by five narrow-body 737 jets.

"Each financing is collateralized and, in the event of repossession, we believe that, based on current valuations, any collateral write down would be modest," CIT Group said in the 10-Q.

Continued deterioration in the commercial airline industry could affect such valuations, the filing said.

New York-based CIT Group is a financial-services company.

Reportedly orders for new Boeing Aircraft will be affected, and there is

a mass stock of “used jets” and “airplanes” in the desert for sale as supply

much out ways demand in North and South America, Europe and the far

east.

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Friday----Odds and Ends

Kit,

This may not be any of my business since I am now out of the business but,

it would seem to me that the three major organizations, ELA, UAEL and NAELB

should be the ones to aggressively fight the CA Franchise Tax Board on their

quest to generate new and unreasonable taxes. Isn't that what trade

associations are for?

Jerry Withrow

jerryw@viawest.net

---

Re-Sale

I have seven licenses, but more importantly, a re-sale permit, so when we buy automobiles or trucks to lease, or even equipment, we are responsible to

pay the tax. Whether we pay the dealer, or collect in month, or pay the

franchise tax board, we only pay it once---not twice.

I have been in business for fifty years and what’s right is right, and what’s

wrong is wrong. If you have a re-sale permit, you don’t need to pay the

sales tax twice.

Bob New

bob@gcs1.com

Bob New, INc.

---

Thanks Kit, by the way I really like your newsletter, informative and

provocative. I also like your historical tidbits, you must be nostalgia

buff.

Best regards,

Charles

Cilfinco@aol.com

I have been reading your letter for several months now, and I wanted to

tell you I think it's the best letter on our business I have seen. It is

like reading USA today.

Gives the highlights and information for me to go further if I so desire.

Sincerely,

Richard G. Morrill

rgmorrill@comcast.net

609-490-0724

Thanks for the on-line "hyperlinks" edition. A great feature!

bob@leaseexperts.com

---

I thought you might be interested in this article.

(San Francisco Bay Area Business Executives Confirm Downturn, Also see Regional Economy Improving Over Next Six Months. )

Bob Wilkins

Multi-Fund Business Credit, Inc.

707-538-1919 Voice

775-249-1763Fax

bobw@multifund.com

http://www.leasingnews.org/PDFFiles/PressRelease.pdf

---- -----------------------------------------------------------------------------------------------

Why those in leasing are not joining leasing associations.

http://www.leasingnews.org/archives/August2002/8-5-2002.htm

This email is not for publication with my name but is in response to your question

and about you being appalled by the limited enrollment in the secondary

leasing associations.

1. If you have experience with the Equipment Association of Equipment Lessors, you will be familiar with the clique that controlled it for many years. It was run for the benefit of a

few and had directors that were chosen to lead the organization who I

wouldn't want to even break bread with, let alone look to them for

moral/business leadership.

2. Most of these association "meetings" are just disguised "vacations"

focused around golf or beaches or dining. I prefer to arrange my own

vacations with my family.

3. The National Association of Equipment Leasing Brokers seemed like a nice organization where you attend the meetings and listen to members complaining that funding source "A" holds up funding's "just because the A/R check was from a different checking account then the one used for the approval". They find this shocking and too "picky" of the funding source. I didn't find participation beneficial.

4. The childish attitudes about the free Internet training program offered

by Pawnee (Who I haven't used in 5-6 years) that people wasted days

lamenting is reason enough not to waste time with some of these petty

people. "How unfair that they would ask for your email address prior to

allowing the downloading, for free, lease training I can share with my

employees and benefit my business whether I do business with Pawnee or not."

Are the people that were so distressed by this so stupid as to not realize

that by accessing Pawnee's site they can capture your email address anyway

without your knowledge? They were, IMO, being upfront and honest in asking

for it and should be commended for asking for it, not disparaged. Pawnee

does not "owe" anyone, anything for free and yet they offer it for free and

get diced for it.

The person who created it under contract, identified that he was a Officer

of an organization in it. If the organization doesn't have rules against

this, then they either should or it should be a non-issue until they do.

The response by the "other" trainer was childish or out of context. The

whole issue was just silly.

5. I have also been privy to association members talking about how to "get

around" funding source guidelines to get approvals at association meetings.

The lack of funding sources today reflects that attitude to a large degree.

Some people just don't want to be associated with people like these.

6. I have found the old Western Association of Equipment Leasing ( now UAEL) was mostly a good group of people but as I am on the East coast that Org wasn't feasible to continue with.

7. I find participating in President Circles, round tables etc... put on by

the funding sources enough contact with others in this trade with which to

share ideas. I also have others in the leasing industry I can contact

directly and discuss issues that would effect our businesses. Perhaps

others do as well.

8. I find the funding sources provide guidelines relating to their

interpretation of the laws and their chosen business model and you must

operate within those guidelines. That is the first level of education in

this industry. The key is to know the difference between the different

sources guidelines/business model and solicit business that "fits" these

specific guidelines. The management of the leasing concern should be the

leader this way.

9. Many of us have children that participate in theatre, sports,

educational, religious etc... organizations. Many of us have chosen to

coach, manage, fundraise etc... for these organizations and support the

needs of children and the community.

10. Some of us participate in town committees or business or non-profit

organizations within our local community, as you did with the Chamber.

I also read you are quite active with the Salvation Army, and have other

community groups you belong to, so I am sure you understand where I

am coming from, that we have other local priorities, community activities,

family commitments.

11. There is only so much time in the day. You commit a great deal of your

time to this newsletter, which is wonderful that you are able to do what you

get enjoyment from, but perhaps you don't volunteer at your local elementary

school teaching children how to read or use a computer or coaching a Little

League baseball team or as a Scout leader or school committee member etc...

as some others have chosen to do.

To find it "appalling" that some choose to spend their time in pursuit of

what they feel is beneficial to society or their family instead of what you

feel is important for them to do is short sighted, IMO. (An opinion you are

entitled to of course.)

I am responding to you, in depth, as you questioned whether people are lazy

or self-centered by not participating in leasing organizations or perhaps in

not responding to your comments. Please realize that some people, myself

included, would not want to potentially offend you by voicing a different

opinion then yours on a subject you seem to have a strong opinion on.

I would also not want to demean, in anyway, your efforts in the publication

of your newsletter which I appreciate receiving.

My experience with leasing associations has been less then satisfactory.

This is why I do not participate in them any longer. It is not that I am

lazy or self-centered, nor I expect, are the many others who choose to avoid

them for their own reasons.

I hope this private communication provides some insight to a different

opinion and helps you understand a different position.

( name with held )

___________

Kozlowski lawyer outlines defense strategy in tax case

By Jeffrey Krasner, Boston Globe Staff, 8/15/2002

Dennis Kozlowski, the former Tyco International chairman and chief executive who left the firm in June just prior to being indicted for alleged sales tax evasion, will fight the charges by claiming he is the first buyer ever singled out for such prosecution, his lawyer said yesterday.

Also yesterday, a former Tyco executive sued the firm, saying he is owed $9.3 million under an employment agreement that he negotiated with Kozlowski. The suit by former chief financial officer Richard D. Power, who says he was fired by Tyco in June, raises the possibility that Kozlowski negotiated with executives other sweetheart deals, which the company may not plan to honor.

Kozlowski's lawyer, Stephen Kaufman, said he will ask State Supreme Court Justice Michael Obus to dismiss the tax-evasion case against the 55-year-old former executive. Manhattan District Attorney Robert Morgenthau charged Kozlowski with failing to pay sales taxes of more than $1 million on museum- quality paintings he paid more than $13 million for. According to the indictment, Kozlowski had paintings shipped to a Tyco facility in New Hampshire to make it appear that New York art dealers were selling to an out-of-state buyer. But the art wound up in Kozlowski's 13-room apartment on Fifth Avenue in New York, prosecutors alleged.

Empty boxes were also shipped to New Hampshire locations, Morgenthau charged.

Kaufman said Kozlowski is the first buyer ever charged with sales-tax evasion in New York. Typically, vendors are prosecuted for failing to pay sales taxes.

''It's unusual,'' said Kaufman. ''It's unique.''

Papers seeking dismissal of the case are expected to be filed by Aug. 21, with a complete filing due a week later. A hearing, which Kozlowski is required to attend, is set for Sept. 25.

Some criminal attorneys were less than impressed with Kaufman's strategy.

''It's a nondefense,'' said A. John Pappalardo, an attorney with Greenberg Traurig LLP and a former US attorney for the district of Massachusetts. If the transactions took place, he said, ''both sides to the transaction are guilty. It's the exercise of prosecutorial discretion to pursue it from the standpoint of the buyer. That, in and of itself, is not likely to carry a lot of weight. It's not a cause for dismissal.''

Power joined Tyco in 1979 and served as chief financial officer from 1983 and 1992. He left Tyco, but rejoined in 1995 and held a variety of positions, including executive vice president for Tyco's security division and its health-care division.

In his complaint, Power said he ''was an integral figure in developing and implementing strategies in connection with Tyco's acquisitions of CIT Group,'' the financing company it purchased for more than $9 billion and sold a year later for about half that price.

Power left Tyco again in January 1999, and worked for Latona Associates, a private equity firm with ties to Thomas H. Lee Partners, the Boston-based buyout firm, according to the lawsuit. But in May 1999, Kozlowski sought to lure Power back to Tyco a second time.

The suit claims that Power negotiated a contract with Kozlowski during a phone call on June 13, 1999. The terms included a minimum salary of $400,000; annual cash bonus at least as high as that of Mark Swartz, Tyco's chief financial officer; 200,000 stock options and complete vesting of previously issued options; forgiveness of a company loan and taxes due on the loan; and a donation on behalf of Power to Wednesday's Child, a charity that promotes the adoption of children in foster homes.

Tyco would also be responsible for a severance payment of the greater of either $1.5 million or twice his salary and bonus in the year prior to his termination, according to the suit. The agreement did not have a specific time period.

Power claims in the suit he was fired on June 26. He said he was paid salary of $456,250 and a bonus of $4.2 million last year, qualifying him for a severance payment of more than $9 million.

The lawsuit doesn't say whether Tyco's board approved the employment agreement with Power. In June, Tyco sued a former director, Frank E. Walsh, and its top lawyer, Mark Belnick. The company claimed that Walsh improperly received $20 million - half of it as a donation to a charity he controlled - for helping arrange the CIT acquisition. Tyco said Belnick arranged a secret employment agreement with Kozlowski that was never approved by the board.

Jeffrey Krasner can be reached at krasner@globe.com. Material from Bloomberg News was used in this report.

---------------------------------------------------------------------------------

South Carolina's largest utility bans Confederate flag

By Associated Press

COLUMBIA, S.C. (AP) South Carolina's largest utility has ordered 5,500 workers not to display the Confederate flag on company property and to keep company vehicles away from barbecue restaurants owned by an outspoken flag supporter.