Pictures from the Past---1996---Alan J

Paul Menzel, Senior Vice-President; Devon Vinsonhaler, Regional Marketing Representative; and Steve Reid, Assistant Vice-President, Santa Barbara Bank & Trust.

Classified—Jobs Wanted---Hopefully by Christmas

Controller: Seattle, WA

CPA w/ 15 years management exp. as CFO/ Controller/5 yrs w/ PriceWaterhouse Coopers. Extensive exp.providing accounting/ tax guidance for the equipment lease industry. Willing to relocate. Email:bltushin@hotmail.com

Credit: New York, NY.

V.P.Credit & Collections w/23 years exp.looking for a situation where I can utilize my varied & extensive knowledge of credit/ collections/risk-management & leasing. Email:rcouzzi@yahoo.com

Credit: Mill Valley, CA

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

Credit: Corona, CA.

VP credit Consumer Credit prime/sub prime Auto lending/leasing/mortgages. 20+yrs exp. If you are looking for someone to affect the bottom line I am that person. Will relocate. email:amosca2000@yahoo.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

Finance: Lyndhurst, NJ

CFO w/20+ years leasing/financing. Respected by lenders/rating agencies full & fair financial reporting. Outstanding record restructuring debt. Adept at investor relations and mentoring people. Email:joemcdev@aol.com

full list at:

http://65.209.205.32/LeasingNews/JobPostings.htm

_____________________________________________________________________

Please send to a friend. Also ask them to subscribe. We build our readership

through your referral.

_______________________________________________________________

Commercial Money Center Docket for case 02-09721

http://two.leasingnews.org/temporary/bankruptcy.htm

########################################################

Steelcase Reports Results $31M Loss for Third Quarter Fiscal 2003

“...Our corporate customers have significantly stalled their capital investments.”

GRAND RAPIDS, Mich--Steelcase Inc. (NYSE:SCS) reports revenue for its third quarter ended November 22, 2002 totaled $646.7 million, a decrease of 11.6 percent compared with $731.4 million in the same quarter last fiscal year, and a sequential quarter decrease of 1.9 percent. Acquisitions completed in the last 12 months contributed revenue of $36.3 million in the quarter. Revenue also included $18.5 million related to a dealer consolidation that occurred in the third quarter.

Steelcase reported a third quarter net loss of $(31.1) million, or $(0.21) per share, compared with net income of $4.9 million, or $0.03 per share, in the third quarter of fiscal 2002. Beginning in fiscal 2003, the company adopted SFAS 142 and third quarter reported net income benefited by approximately $2.2 million or, $0.01 per share as a result.

"Our corporate customers have significantly stalled their capital investments during this downturn," said James P. Hackett, president and CEO. "We look forward to our industry returning to positive growth after back to back years of unprecedented declines in demand. Our employees have successfully implemented significant operational, organizational and financial restructuring actions over the past two years."

Mr. Hackett continued, "We've resized and reshaped our organization to capitalize on our knowledge of work and commercialize our innovation successfully. We are in process of launching new furniture, architecture, and technology products we believe will help us win more business. This launch includes additions to our Pathways portfolio and enhancements to two of our fastest growing systems furniture lines."

"Through the actions taken, we've added to our portfolio of solutions while positioning our company to return to profitability," concluded Mr. Hackett.

Outlook

"The economy has still not seen any meaningful improvement in business capital spending, which is key to our industry's recovery," said James P. Keane, chief financial officer. "Within our industry, it is typical to see a seasonal reduction in fourth quarter shipments, although the amount varies from year to year. Our order and bid activity remains volatile, but appears to be confirming we will see a modest decrease in fourth quarter shipments versus the third quarter, even with an extra shipping week. We are taking steps across our businesses that will help us stimulate additional demand and compete aggressively to win new business."

Net loss excluding non-recurring charges was $(11.5) million, or

$(0.08) per share in the third quarter. This compares with net income of $7.2 million, or $0.05 per share excluding non-recurring charges in the third quarter last year. These results were consistent with the company's guidance of a net loss in the range of $(0.05) to $(0.10) per share, before non-recurring charges.

The company's results were adversely affected by unusually high after-tax charges associated with an increase in reserves for workers compensation costs, lease credit issues and dealer transition financing, which in total were approximately $10 million higher than expected. Better than expected operating performance offset some of these charges.

Non-recurring charges totaled $19.6 million after-tax in the third quarter and were substantially higher than the company's guidance of net non-recurring charges in the range of $4 to $7 million after-tax. Accelerated and additional restructuring activities were the primary drivers behind the higher net non-recurring charges. The company implemented in the third quarter, nearly all the North America salaried workforce reductions expected to occur in the third and fourth quarters of fiscal 2003. The company also incurred additional restructuring charges aimed at improving the competitiveness of its International segment.

"Our company completed previously announced cost reduction activities a quarter earlier than anticipated, resulting in a lower breakeven point today and improved economics for the business in the future," said James P. Keane, chief financial officer. "We generated strong cash flow and strengthened our balance sheet by reducing debt to its lowest level in more than three years."

The company has significantly reduced its breakeven point, however, given lower anticipated volume in the fourth quarter, the company expects a loss, before non-recurring charges, in the range of

$(0.05) to $(0.10) per share.

In the fourth quarter, the company estimates a net gain from non-recurring items in the range of $5 to $8 million after-tax. This includes a gain of approximately $13 million after-tax on the sale of real estate partially offset by restructuring and severance charges.

About Steelcase Inc.

Steelcase Inc., a Fortune 500 company, helps individuals and

organizations around the world to work more effectively by providing

knowledge, products and services that enable customers and their

consultants to create work environments that harmoniously integrate

architecture, furniture and technology. Founded in 1912 and

headquartered in Grand Rapids, Michigan, the company has led the

global office furniture industry in sales every year since 1974. Its

product portfolio includes interior architectural products, furniture

systems, technology products, seating, lighting, storage and related

products and services. Fiscal 2002 revenue was approximately $3.1

billion. Steelcase Inc. and its subsidiaries have dealers in more than

830 locations, manufacturing facilities in over 40 locations and

approximately 17,000 employees around the world. The company's Class A

Common Stock trades on the NYSE under the symbol SCS. For more

information, visit www.steelcase.com.

############# ##############################################

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

Funding Tree—Laughlin, Nevada Up-Date

“Are you saying that both Kendra Bernal and Peterik are in Nevada? You

state he was not moving there, but is there now, but Kendra is not ( she

was arrested and her attorney is reportedly now suing her for not paying his fees.)

May I quote you or is this name with held?”

Kit Menkin

“You may use the my name. Bruce comes over a number of times a month. All

deals are faxed to the CA office. met Kendra and her mother in the NV

office. She was looking to buy or lease a home here in Laughlin. That was 7

or 8 months ago.”

Name = David G. Brownlee, E.A.

Address = 3201 Partridge Run Street

City = Laughlin

State = NV

Zipcode = 89029

Phone = (702)298-2584

Fax = (702) 298-2584

Email = batarista@laughlin.net

Comments = I read with interest your various articles on The

Funding Tree, Inc. and its principal Kendra Bernal. Kendra Bernal and her

associate Bruce Peterik are alive and well in Laughlin, NV under the name

Legacy Leasing. Their offices are down the hill from my home, and from these

offices at 3650 South Pointe Circle, Suite 201F Laughlin, NV 89029 (702)

299-1234. It is strictly a boiler room with telemarketers who blow in and

out with great frequency.

I met with Ms. Bernal and her EVP Bruce Peterik early this year, when they

were recruiting for sales people. I introduced myself as a credit person who

would like to talk to them once they completely relocated to NV. Mr. Peterik

said that they were vacating CA because of its regulatory environment. Ms.

Bernal would stay in CA to run her other business, a judgment collection

service. Mr. Perterik would not be relocating to NV either, he had the job

of finding strategic funding partners.

I checked out Legacy's Clark county, NV business license on line and found

that the corporate name is The Funding Tree, Inc., the license date

10/15/02,the Category Description is "Equipment Rental", and "ownership

information is temporarily unavailable. Please call (702) 455-3573" I

called that number at Clark County, and was told by a Carol that

"Hopefully, by spring of next year, the information will be available".

“Keeping-in-Touch”

Note: There is a “classmate” e-mail making the rounds that has a “worm-virus” in

it. Do not open any e-mail from anyone, without verifying what is in it. If you

see a “v” in the attachment, run.

“If this message appears malformed, your email package may not allow you to view HTML messages. Eric Larson is trying to verify your contact information. You can view this information at:”

Don’t do it!!!!

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

NAELB 2003 Annual Conference March 20-23 Chicago, Illinois

Hyatt Regency Oakbrook

CLP Review—Thursday, March 20^th CLP Exam, March 23

Here is the brochure, plus application (Both are “long” downloads, so please have patience.)

http://www.leasingnews.org/PDFFiles/NAELB%20Annual%20Meeting%20Brochure.pdf

http://www.leasingnews.org/PDFFiles/NAELB%20Annual%20Meeting%20Reg%20Form1.pdf

=====================================================

########## #####################################

Parent of Highland Capital Corp. Declares 4th Q Dividend

TOTOWA, N.J.----The Board of Directors of Greater Community Bancorp (Nasdaq:GFLS) declare a fourth quarter cash dividend of $0.10 per share on its common stock, payable January 31, 2003, to shareholders of record as of January 15, 2003.

Greater Community Bancorp, with $719 million in assets at September 30, 2002, is a financial holding company headquartered in Totowa, New Jersey. The Company operates fifteen branches in the northern New Jersey counties of Bergen, Passaic and Morris. Its three state-chartered commercial banking subsidiaries are Greater Community Bank, Bergen Commercial Bank and Rock Community Bank that provide traditional commercial and retail banking services. The Company also owns two non-bank subsidiaries: Greater Community Financial, L.L.C., a full service investment brokerage firm, and Highland Capital Corp., an equipment leasing subsidiary.

CONTACT:

Greater Community Bancorp

George E. Irwin, 973/942-1111 x1018

geirwin@greatercommunity.com

############# #########################################

ILFC Issues Statement On UAL And Other U.S. Airline Exposure

CENTURY CITY, Calif--International Lease Finance Corporation (ILFC), a wholly-owned subsidiary of American International Group, Inc. (NYSE:AIG), has issued the following statement regarding its exposure to the U.S. airline industry:

ILFC confirms that it has no aircraft under lease to United Airlines or US Airways. ILFC owns a portfolio of approximately 600 jet aircraft, 85 percent of which are leased to airlines based outside the United States. In addition, ILFC does not provide leveraged leases to its clients.

ILFC is the international market leader in the leasing and remarketing of advanced technology commercial jet aircraft to airlines around the world.

AIG is the world's leading U.S.-based international insurance and financial services organization, the largest underwriter of commercial and industrial insurance in the United States, and among the top-ranked U.S. life insurers. Its member companies write a wide range of general insurance and life insurance products for commercial, institutional and individual customers through a variety of distribution channels in approximately 130 countries and jurisdictions throughout the world. AIG's global businesses also include financial services, retirement savings and asset management. AIG's financial services businesses include aircraft leasing, financial products, trading and market making, and consumer finance. AIG has one of the largest retirement savings businesses in the United States and is a leader in asset management for the individual and institutional markets, with specialized investment management capabilities in equities, fixed income, alternative investments and real estate. AIG's common stock is listed on the New York Stock Exchange, as well as the stock exchanges in London, Paris, Switzerland and Tokyo.

CONTACT:

International Lease Finance Corporation

John Plueger, 310/788-1999

SOURCE: International Lease Finance Corporation

############################ ##########################

1st Niagara Financial Group to Acquire Finger Lakes Bancorp

LOCKPORT, N.Y. -- First Niagara Financial Group, Inc. announced that it has received OTS approval for the acquisition of Finger Lakes Bancorp, Inc. and its wholly owned subsidiary, Savings Bank of the Finger Lakes. The merger remains subject to the approval of the shareholders of Finger Lakes Bancorp, which has a special meeting of shareholders scheduled for December 30, 2002. It is anticipated that the transaction will be consummated in January 2003.

First Niagara Financial Group, Inc. through its wholly owned subsidiary First Niagara Bank has assets of $2.9 billion and deposits of $2.1 billion. First Niagara Bank is a full-service, community-oriented bank that provides financial services to individuals, families and businesses through 38 banking centers, a loan production office, several financial services subsidiaries, and 75 ATMs throughout Western and Central New York. First Niagara's range of products includes personal and business checking, savings, business loan and mortgage products, cash management services, investment alternatives, lease financing and trust services. The Company offers an expanded product line, which includes commercial and personal insurance, third party employee benefits administration and investment advisory services.

############# ###################################

GATX Corporation Announces Intent to Sell GATX Ventures and Further Curtail New Investment In Specialty Finance Sector

GATX Corporation (NYSE: GMT) announced that it intends to sell GATX Ventures, its business unit that specializes in providing secured financing to early stage companies. In addition, GATX announced that it will further curtail new investment in its specialty finance unit.

Ronald H. Zech, president and CEO of GATX Corporation, stated, "GATX has recently been allocating most of its resources to the rail, air, and technology leasing businesses which constitute 85% of our total asset base. Today, we have taken further steps to concentrate more intently on the markets where we possess both strong market positions and asset expertise. Additionally, this will enable us to streamline our infrastructure and improve operating efficiency. Greater focus and improved efficiency will be important in the near term, as we now anticipate that difficult conditions in our markets will persist throughout 2003 and earnings in our core businesses will face continued negative pressure. Longer term, the steps announced today will better position GATX to improve its performance when conditions in the underlying markets strengthen."

GATX Ventures, with assets of approximately $280 million, or 4% of GATX's total asset base, has an extensive presence in the U.S. and business partners in Canada and Europe. Mr. Zech added, "GATX Ventures is led by an experienced management team, and the value of this franchise can be maximized by placing it with an owner who is focused on growing this business." Absent a sale, GATX will pursue other alternatives for exiting this business.

GATX has retained US Bancorp Piper Jaffray as an advisor in the sale process. Questions from interested parties regarding GATX Ventures should be directed to the US Bancorp Piper Jaffray representatives listed at the conclusion of this release.

GATX's specialty finance unit has approximately $800 million in assets (10% of GATX's total) spread across a portfolio of diversified assets. GATX's Corporate Finance group, in addition to managing third-party assets and pursuing portfolio acquisitions that enhance core operations, will assume responsibility for managing the remaining Specialty portfolio.

GATX expects that cash generated from the exit of its venture business and the return of capital from the specialty unit will further strengthen the company's liquidity position and will be used for reinvestment in its three core business and for general corporate purposes.

In conjunction with this announcement, GATX is implementing a new management reporting structure. Alan C. Coe, president of GATX Air, and Thomas K. McGreal, president of GATX Technology, will join David M. Edwards, president of GATX Rail, in reporting directly to Mr. Zech. Jesse V. Crews, previously the president of GATX Capital, will be leaving GATX but will retain an interim advisory role focused on strategic partner development.

GATX is also intensifying a review to optimize its cost structure while providing the appropriate infrastructure to manage the exit from the venture business, oversee the remaining specialty portfolio, and efficiently support activities in its core markets. GATX anticipates that charges specific to the steps announced today, such as those associated with staff reductions, will be taken in the 2002 fourth quarter.

* Asset values are as of September 30, 2002

COMPANY DESCRIPTION

GATX Corporation (NYSE: GMT) is a specialized finance and leasing company combining asset knowledge and services, structuring expertise, partnering and risk capital to serve customers and partners worldwide. GATX specializes in railcar and locomotive leasing, aircraft operating leasing, and information technology leasing.

############ #############################################

ADB Systems signs letter of intent with GE Commercial Equipment Financing

ADB Systems International (TSX: ADY; OTCBB: ADBY), a global provider of asset lifecycle management solutions, announced today that it has signed a letter of intent (LOI) with GE Commercial Equipment Financing of Danbury, Connecticut to launch a joint business venture. The companies plan to jointly develop and market new asset management technology solutions to customers in a broad range of industries across North America.

"Based on our track record of success working with GE Commercial Equipment Financing over the last three years, it is extremely gratifying that our relationship continues to broaden," said Jeff Lymburner, CEO of ADB Systems International Ltd. "We believe our joint-technology development and mutual business objectives provide a tremendous opportunity for ADB's long- term success."

In consideration for the joint venture, ADB will issue warrants entitling GE Commercial Equipment Financing the right to acquire 2,000,000 common shares in ADB Systems at an exercise price of $0.45 (CDN) under a two-year term from date of issuance. The vesting of warrants will be based on achieving a number of performance objectives. ADB's previous warrant arrangement with GE Commercial Equipment Financing will be terminated as a result of today's announcement. About GE Commercial Equipment Financing

GE Commercial Equipment Financing (CEF), a unit of GE, helps thousands of customers - from small businesses to Fortune 100 companies - finance the purchase of fixed assets. CEF's portfolio includes manufacturing equipment; facilities; construction and office equipment; corporate aircraft; franchises; trucks and trailers; and a wide variety of other equipment. CEF also provides tax-exempt financing for state and local governments, universities and hospitals, as well as SBA loans for small businesses. Financing transactions range from $50,000 to $50 million and involve a variety of lease and loan products tailored to a customer's specific needs. GE is a diversified services, technology and manufacturing company with operations worldwide.

About ADB Systems International Ltd.

ADB Systems International delivers asset lifecycle management solutions that help companies source, manage and sell assets for maximum value. ADB works with a growing number of customers and partners in a variety of sectors including oil and gas, government, chemicals, manufacturing and financial services. Current customers and partners include BP, GE Capital, Halliburton Energy Resources, HFK, permanent TSB, ShopNBC, Skerman Group, and Vesta Insurance.

ADB has offices in Toronto (Canada), Stavanger (Norway), Tampa (U.S.), Dublin (Ireland), and London (U.K.). The company's shares trade on both the Toronto Stock Exchange (TSX: ADY) and the OTC Bulletin Board (OTCBB: ADBY).

############################## #####################################

ADB Systems signs letter of intent with GE Commercial Equipment Financing

GreatAmerica Leasing Corporation and Vodavi Technology, Inc. Announce Agreement

Cedar Rapids, IA – GreatAmerica Leasing Corporation, one of the largest independent small-ticket leasing companies in the US, announced an agreement with Vodavi Communications, Inc.. to provide leasing solutions for their nationwide network of authorized infinite dealers.

"GreatAmerica has shown innovation and flexibility in providing leasing products for our digital telecommunications systems and computer telephony products," said Steve Francis, Vice President of Dealer Sales at Vodavi. "We are especially pleased with GreatAmerica’s bundled financing solutions that bring convenience to our dealer network and an easy way for our customers to acquire the technology and system dependability they need."

The cooperative agreement also provides the Vodavi dealer network with direct access to the GreatAmerica Dealer Zone, a comprehensive online leasing tool that builds proposals and tracks existing and potential business activity. "We are always looking for ways to provide industry-specific leasing solutions to our customers so they can grow their businesses and keep their customers," said Tony Golobic, Chairman and Chief Executive Officer of GreatAmerica. "Our agreement with Vodavi is rooted in our strong service model and experienced sales professionals who understand telecom leasing and work hard to deliver."

Vodavi Technology Inc. is headquartered in Phoenix, AZ. The company designs, develops, markets and supports a broad range of business telecommunications solutions. Vodavi products include digital telecommunications systems, computer telephony products, and voice-processing systems including voice mail, fax mail, and Internet messaging for a wide variety of commercial applications. For more information on Vodavi, visit www.vodavi.com.

GreatAmerica Leasing Corporation is a national lessor dedicated to helping manufacturers and their dealers sell more equipment and keep their customers. Headquartered in Cedar Rapids, Iowa, GreatAmerica is known for its culture of integrity and excellence. They have established several manufacturer relationships providing financing in all fifty states. Equipment resellers and manufacturers are able to access their proprietary information via GreatAmerica's web site at www.greatamerica.com.

Sites of Reference:

http://www.vodavi.com

http://www.greatamerica.com

CONTACT:

Chris Walker

Greatamerica Leasing Corp.

Phone Number: 319-261-4031

E-mail: cwalker@galc.com

################ ####################################################3

Sun Bancorp, Inc. Reaches Agreement to Acquire Bank Capital Services Corporation

Sun Bancorp, Inc. (Nasdaq: SUBI) announced that it has reached a definitive agreement to acquire Bank Capital Services Corporation, a leasing company headquartered in Wilkes-Barre, Pennsylvania.

Bank Capital is owned by Gary Cook, president, and Carol Phillips, chief financial officer, and provides outsourcing of major equipment and auto leasing for banks. Services provided by Bank Capital include data processing, administration, and marketing of leasing. Terms of the acquisition were not disclosed.

"More and more businesses are utilizing leasing each year because it is a cost-effective way to increase efficiency, production and profits. The addition of Bank Capital to the Sun organization will enable us to bring our leasing program in-house. It complements our customer relationship management strategy and fits with our focus on diversifying revenue sources," commented Robert J. McCormack, president and chief executive officer of Sun Bancorp, Inc.

"We've been partnering with Bank Capital for two years and know first hand their commitment to building client relationships, their top notch customer service and their expertise in the leasing business," Mr. McCormack continued. "Gary Cook and Carol Phillips will continue to lead Bank Capital, and we are thrilled that they are joining the Sun team."

Sun will retain all Bank Capital employees, and the company will remain in its current offices in Pittston.

Sun Bancorp, Inc., headquartered 50 miles north of Harrisburg in Selinsgrove, Pennsylvania, is a $949 million bank holding company. Sun operates 23 branches in Luzerne, Lycoming, Snyder, Union, Clinton and Northumberland counties. Sun serves the personal and commercial banking needs of residents and businesses throughout central and northeastern Pennsylvania. The company focuses on a relationship-based approach which is built around identifying and anticipating customer needs, and providing the financial expertise, advice, products and services to help clients reach their dreams and manage life's challenges. Sun also operates SunBank Wealth Management and Private Banking, Sun Investment Services, SunBank Dealer Center, and is 30% owner in Sun Abstract & Settlement Services, LLC.

############## ###########################################3

Oracle Sees End to 2-Year Sales Slump

By Michael Liedtke

AP Business Writer

SAN FRANCISCO –– Oracle Corp. may finally be reaching the end of a nearly two-year-long sales slide – a turning point that could herald a modest upturn for the high- tech industry next year.

Heartened by a slightly better performance than management expected in the company's latest quarter, Oracle believes its sales are poised to rise for the first time in nearly two years.

"It's fair to say we are more optimistic than we have been since this industry slump began two years ago," Jeff Henley, Oracle's chief financial officer, said in a conference call Wednesday.

Oracle's outlook mirrors the view of many other Silicon Valley executives who believe the high-tech sector is about to slowly climb out of the sales crater created by the dot-com implosion in 2000.

Henley delivered his upbeat remarks after the Redwood Shores-based company disclosed its results for the quarter ended Nov. 30.

Oracle earned $534.9 million, or 10 cents per share, for the period, a 3 percent decrease from the $549.5 million, or 10 cents per share, earned at the same time last year.

The results topped the consensus estimate of 8 cents per share among analysts polled by Thomson First Call.

Oracle's revenue in the quarter totaled $2.31 billion, a 3 percent decline from $2.38 billion in last year's comparable period. It marked the seventh consecutive quarter that Oracle's revenue had fallen off from the previous year.

That trend will end in the current quarter ending in February if Oracle's sales meet management's expectations.

Henley said Oracle's revenue in the current quarter could rise by as much as 4 percent from $2.23 billion in the comparable 2002 quarter. Oracle expects earnings for the quarter to be 9 cents or 10 cents per share.

Analysts' consensus estimate for the current quarter is 9 cents per share, according to First Call.

The prolonged slump has cut so deeply into the Oracle's sales that it's becoming easier to improve on the prior year's results.

The company made some strides in its latest quarter.

Although Oracle's overall sales of new software licenses fell by 7 percent to $764.9 million in the quarter, the performance in its main database business rose slightly. The company's revenue from new database licenses and updates totaled $1.15 billion, a 4 percent increase from $1.11 billion last year.

But Oracle's sales of software for running business applications continued to fall. Oracle registered application sales of $251.7 million, a 14 percent decrease from $291.2 million last year.

Oracle thinks it can spur more sales of its application software by shaking up its sales force and adding more representatives with greater knowledge about specific products.

The company's sales representatives previously have been responsible for peddling an increasingly diverse range of software.

"We think we have had structural problems with our selling organization," said Larry Ellison, Oracle's chief executive.

The reorganization could disrupt some sales in the current quarter, Ellison acknowledged.

With sales still weak, Oracle trimmed its work force to help boost its earnings in the past quarter. The company eliminated 851 jobs, or about 2 percent of its work force, between August and November to lower its payroll to 40,645 employees.

Most of the job cuts affected Oracle's consulting services, Henley said. Officials expect to eliminate at least 200 more jobs before March.

For the first half of its current fiscal year, Oracle earned $877.6 million, or 16 cents, per share on revenue of $4.3 billion. At the same point last year, Oracle had earned $1.06 billion, or 18 cents per share, on revenue of $4.6 billion.

–––

On the Net:

http://www.oracle.com

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

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

Port Lockouts Narrowed Trade Deficit in October

By THE ASSOCIATED PRESS

ASHINGTON, (AP) — The trade deficit narrowed to $35.1 billion in October, the Commerce Department reported today, though much of the gain was attributed to the effect of the West Coast labor dispute, which cut back imports.

The imbalance between what the United States sells abroad and what it imports decreased 5.5 percent from a deficit in September of $37.1 billion.

September's deficit and an August imbalance of $38.1 billion had been the

two highest monthly trade deficits on record as shippers rushed to get goods into the country ahead of the deadline for resolving the labor dispute with dockworkers.

Port operators locked out the workers, disrupting shipments in late September and early October before President Bush invoked federal law to reopen the ports. The stoppage cut into both imports and exports but was more disruptive on imports, particularly from China and Japan.

The October deficit was the smallest since March, when the deficit was $32.6 billion. Even with the narrowing, the deficit for the year is running at an annual pace of $420 billion, a record and 17 percent higher than last year's deficit of $358.3 billion.

For October, exports of goods and services fell 1 percent, to $82 billion, with the decline led by decreases in the shipments of computer chips and industrial machinery. Farm products fell 4 percent, to $3.86 billion, the lowest level since April 2000.

Imports of all goods and services fell 2.4 percent, to $117 billion. Shipments of foreign cars declined $906 million, to $16.8 billion. Household goods fell $398 million, and clothing imports were down $297 million.

Energy imports rose 13.5 percent in October, to $10.38 billion, the highest level since January 2001.

The United States recorded its largest deficit with China, $9.5 billion, though that was down 7.2 percent from September's level.

The deficit with Canada, the largest trading partner, declined 5.1 percent, to $4.3 billion. The imbalance with Mexico, the other partner in the North American Free Trade Agreement, rose 17 percent, to $3.5 billion, the second-highest level on record.

In trying to control the deficit, the Bush administration has taken the same stance as the Clinton administration, arguing that instead of raising barriers to imports, the United States will try to increase exports by seeking the removal of foreign trade barriers. Last week, the administration said it had concluded a free-trade agreement with Chile and last month officials said they had resolved almost all remaining issues for a deal with Singapore.

Critics contend that despite all the negotiations, American workers face unfair competition from low-wage countries where factories operate under lax labor and environmental regulations.

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

Founder of TV Network Becomes First Black Owner in Major Sports

By RICHARD SANDOMIR

he National Basketball Association yesterday awarded its next expansion franchise to Robert L. Johnson, the founder of Black Entertainment Television, making him the first African-American to become the principal owner of a major professional sports team.

Mr. Johnson will pay a $300 million expansion fee for the new franchise in Charlotte, N.C., which will begin play in the 2004-5 season. The price is more than double the $125 million in expansion fees paid by the Vancouver Grizzlies and the Toronto Raptors in 1994, but league officials were confident in the viability of Mr. Johnson's bid. In 2000, he received $1.5 billion in stock when Viacom acquired BET Holdings for $3 billion.

Mr. Johnson rounds out an N.B.A. timeline that started in 1950 when Earl Lloyd became the league's first black player, continued in 1966 when the Boston Celtics hired Bill Russell as the first black head coach (while still the starting center) and advanced in 1972 when the Milwaukee Bucks made Wayne Embry the first black general manager.

Although he acknowledged the significance of his selection, Mr. Johnson said it would be foolish to believe that his race was the primary reason he had been unanimously selected by the league's expansion committee over a group that included Larry Bird, the former Boston Celtic.

"As an African-American, I believe people should, first of all, be judged on the content of their character, as Dr. Martin Luther King said, not the color of their skin." Mr. Johnson, 56, said during a news conference at the NBA Store in Manhattan. "I feel what I brought to the table was my ability and my skill as an individual, my track record in business, my ability to identify talented people to help me build organizations like I've done with BET."

He added that "the issue of diversity was important but was in no way the determining factor in the selection of this candidate."

Jerry Colangelo, the owner of the Phoenix Suns and head of the expansion committee, said that despite the closeness of the bids by Mr. Johnson, and Steve Belkin, a Boston investor who provided the financing for Mr. Bird, Mr. Johnson showed the "passion and commitment" the league wanted.

"If you look at his background in terms of businesses he's in and has been in, it fits like a glove," Mr. Colangelo said. "The fact that he's an African-American was a plus. It was a byproduct. He was not awarded this franchise because of that."

Mr. Bird issued a statement saying that he was heartbroken at losing the Charlotte bid, and Mr. Belkin told Bloomberg News that he was "pretty confused" about the outcome. "It's a shock, really," Mr. Belkin was quoted as saying. "We had a better team. We were more committed. We had Larry Bird, who was committed to bringing a championship to Charlotte."

Though he lost out this time, Mr. Bird was given positive signals from Commissioner David Stern that he would someday join the league's ownership ranks. "The good news there is that I read this morning that Larry said it's his lifelong dream to get back into the N.B.A., and I would say to you that it's my continuing dream to make that lifelong dream come true," Mr. Stern said.

Mr. Johnson is also hoping to become the first black owner of a Major League Baseball team: he is one of three candidates seeking to bring a team to the Washington area. Since selling to Viacom, he has continued as chief executive of BET, and has become active in other businesses as well. He owns all or part of a real estate development company, an online lottery company in Latin American countries, restaurants, a nightclub on Disney's Pleasure Island in Orlando, a jazz recording company, and a magazine publishing company.

Mr. Johnson expects to sell 25 percent to 30 percent of the team to local investors, a person familiar with his plans said.

A few African-Americans own or have owned small stakes in N.B.A. teams. Magic Johnson owns 5 percent of the Los Angeles Lakers; Isiah Thomas owned 10 percent of the Toronto Raptors and Michael Jordan previously owned 8 percent of Lincoln Holdings, which owns the Washington Wizards, the Washington Capitals and the MCI Center. He relinquished that share when he left the Wizards' executive suite last season to play again.

Two other African-Americans, Peter Bynoe and Bertram Lee, owned about one-third of the Denver Nuggets and were the general partners.

Roughly 80 percent of the league's players are black or members of minority groups; 12 of the 29 coaches are African-American.

Mr. Johnson said he has a short list of executives he wants to interview about running the Charlotte team but does not intend to favor an African-American. One former Knicks executive, Ed Tapscott, who is black, is a friend of Mr. Johnson's.

"I'm going to select the best candidate for the job: red, yellow, black or white," Mr. Johnson said.

Mr. Johnson's purchase of the unnamed Charlotte team is pending the expected approval of the N.B.A.'s board of governors next month.

The team will replace the Hornets, who moved to New Orleans this season after several years of falling attendance at the Charlotte Coliseum and widespread fan discontent over George Shinn, one of the team's owners.

Mr. Johnson has been working for several years to get into the N.B.A., inquiring about buying several teams. "Believe me, owning an N.B.A. franchise is a dream," he said.

In approaching the purchase of the expansion team, Mr. Johnson said he did not mind his bid being compared with that of the Bird-Belkin group but did not want to be involved in a bidding war. Russ Granik, the N.B.A.'s deputy commissioner, said Mr. Johnson had told the league, "I don't mind being in a beauty contest, but I don't want to be in an auction."

Ultimately, Mr. Johnson said yesterday, "It's nice to know you're the prettier guy."

With the Hornets gone, the city of Charlotte is proceeding with plans to build a $250 million to $260 million downtown arena to be financed mainly through a hotel-motel tax, $25 million from Mr. Johnson and $75 million from corporate investment in naming rights and luxury suites. Mr. Johnson will also be responsible for any of the arena's operating losses after its planned opening in 2005.

Mr. Johnson was born in Hickory, Miss., the 9th of 10 children, and moved in the early 1950's to the river city of Freeport, Ill. Mr. Johnson's friend Preston Pearson, a former Pittsburgh Steeler and Dallas Cowboy, recalls a childhood spent playing baseball, basketball and football.

They played together at the East End Recreation Center, where, Mr. Pearson said, "basketball was Bob's best sport." Mr. Johnson was on his high school's track and basketball teams but, Mr. Pearson said, "he was more the academic type, more looking at things outside sports, while we were looking mainly at sports."

Mr. Johnson, a year younger than his friend, followed Mr. Pearson to the University of Illinois, where they were members of the same all-black fraternity. Mr. Johnson subsequently received a master's degree from the Woodrow Wilson School of Public and International Affairs at Princeton University.

Before creating BET in 1980, he worked at the Washington Urban League, at the National Cable Television Association and as the press secretary to Walter Fauntroy, the District of Columbia's delegate in Congress.

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

Plans for “Ground Zero” Are Revealed

Skyscrapers even taller than the 110-story World Trade Center towers are among the newest round of proposals for rebuilding ground zero.

http://www.signonsandiego.com/news/nation/terror/images/photogallery/newwtc/wtc1.html

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

Re-Thinking How to Reach Your Customers

FINANCIAL INSTITUTIONS CONSULTING

Substantial customer research exists concerning the importance of touching

your financial services customers. However, the meaning of "touch" continues

to change and those players that are both innovative and consistent will

have a clear edge in differentiating themselves from others.

When we asked a client recently what they meant when they used the phrase

"touch," he said, "Visits to the customer." While this will remain an

important part of connecting with high net worth individuals and mid to

large size corporations, economics forbid most larger banks from regular

"visits" with small businesses. This situation is even more apparent with

consumers; personal visits are not in the cards.

Financial services firms need to actively reexamine their definition of

"touch" to include many alternative approaches. Ultimately, database mining

and customer segmentation should result in different touches for different

types of customers.

ALL CUSTOMERS DESERVE TOUCH

Many believe that this is an era in which big banks have become impersonal

and an individual customer is lost among the thousands or millions of

others. That does not have to be the case:

- One mortgage company we know makes a point of putting its mortgage

officer's name and number on its monthly invoice. In addition, this company

sends out recipes on a monthly basis. When we heard this, we assumed that

recipes related to a menu of products that are available. In truth, this

client sends its customers simple recipes each month; when they do not the

customers sometimes call to ask why they had not received it. Unusual, yes,

but this is one element in the company capturing a higher than average

number of refinancings

- American Express has to touch its customers without the possibility of

using branches. Yet, in any given month the customer will receive phone

calls, e-mails, and direct mail pieces from the company, keeping the company

firmly in front of mind

- MasterCard has developed a monthly e-mail that goes out to its small

business customers

- Wells Fargo offers a monthly small business magazine

- One technology company is introducing pop-ups with product sales ideas

- Several banks have created telephone-based RMs who can touch hundreds of

accounts without leaving their office

- One client bank does provide some personal touch to smaller companies,

having established a branch-based calling program in which branch managers

make at least five calls a week, typically focused on microbusinesses

ALTERNATIVE CHANNELS CAN BE EXPLOITED FURTHER

We think that one alternative channel that has been underutilized is e-mail.

In our view, e-mail is the main "killer app" of the online revolution.

Unfortunately for banks, it is mainly being used for internal communication.

E-mail proliferation leads to too much time behind a terminal, reading

inconsequential e-mails or being pulled into internal and time-consuming

discussions. (In particular, reading memos on which you have been cc'd is a

time killer).

As an antidote to this, one client bank does not allow its branch managers

access to e-mail. While this solution may not be ideal, it is certainly an

understandable response and an effective tool to help branch mangers stay

focused on the customer.

E-mail remains a largely underused method to reach the 60-70% of retail and

small business customers who are mass market in nature. Relationship

Managers and Branch Managers can "touch" hundreds of customers that

otherwise cannot be reached. The concept of "mass customization" can be

applied so that the messages sent out are targeted, emphasizing relevant

product needs.

AGAIN, IT COMES DOWN TO SEGMENTING THE CUSTOMER

The type and quality of touch should differ significantly based upon the

current and expected economic performance of the customer.

Customers who are among the 20% that generate the majority of net income

deserve touches that might include e-mail, but center more on phone and

in-person contacts. Perhaps counter intuitively, the 10-20% of customers who

lose money for a line of business may also merit increased personal

attention (at least for a period of time) as part of a bank's initiative to

improve the economics of this group.

EVALUATING THE OPTIONS

Financial services players have multiple options for communicating with

customers and targets, including in-person visits, phone calls, direct mail,

e-mail, ATM screens, and text messaging. Management needs to conduct the

analysis required to match the right "touch channel" with the correct

customer group. For example, a technology savvy customer might be very

comfortable with e-mail or text messaging while others could be alienated by

this approach.

Marketers need to assess the flexibility and capabilities of each channel,

develop at least a rough segmentation of various customer requirements, and

then experiment testing various options until agreement on the right mix of

channels emerges.

======================================================

FIC NOW OFFERS A ONE-DAY SEMINAR/BRAINSTORMING SESSION ON STRATEGIES OF

BUSINESS BANKING. This workshop, specifically tailored to address your

bank's needs, focuses on the issues and topics of critical importance to

small business bankers, including: customer's needs and desires, customer

profitability and retention, segmentation, cross-sell, deposit gathering,

and priorities for success. For more information, click on the link below

or e-mail mharvey@ficinc.com

http://www.ficinc.com/Workshop/biz_banking_workshop.htm

=====================================================

NOW AVAILABLE FOR ONLY $500: 2001 SMALL BUSINESS STATE OF THE MARKET

REPORT - a comprehensive study of the small business market and its use of

financial services products and providers. By joining the perspective of

over 400 small business owners with FIC's extensive knowledge of the small

business market and financial services industry, the report looks at market

size, use of products, product providers, credit cards, credit, primary

providers, delivery channels, online banking, and segmentation. For more

information or to purchase, e-mail: mharvey@ficinc.com.

=====================================================

ABOUT FINANCIAL INSTITUTIONS CONSULTING

FIC is a strategy consulting firm addressing issues related to growth and

profitability for financial services clients. We emphasize practical,

bottom-line results based on quantitative and qualitative research and an

in-depth understanding of industry dynamics.

For more information about our consulting services or if you have questions

or comments, please e-mail info@ficinc.com.

FINANCIAL INSTITUTIONS CONSULTING, INC.

475 Fifth Avenue, 19th Floor

New York, NY 10017

212-252-6700

www.ficinc.com

[Back to Archives]

www.leasingnews.org
Leasing News, Inc. (Pending)
346 Mathew Street,
Santa Clara,
California 95050
E-Fax: (781)459-4789
kitmenkin@leasingnews.org
Policy Statement