Liesman To Santelli: "You Don't Understand How The Banking System Works!"

Awkward! (Rickles had said that it was no big deal if the banks don't lend to one another. Steve begged to differ.)

Source: Dealbreaker | 24 Apr 2009 | 1:40 pm

TARP fRAUD (small f)

You might have missed it, because really it amounts to a local news story. But the U.S. Attorney for the Middle District of Tennessee this week filed (according to the press release) the "first charges in connection with a SIGTARP investigation" against one Gordon B. Grigg who, it is alleged, embezzled more than $10,922,00.

Grigg wasn't actually stealing TARP money or this would have been big news. The bailout connection is that Grigg claimed he was investing people's money in "TARP guaranteed debt." As far as I know, no such thing exists.

Also, as the charging documents helpfully lay out

Defendant GRIGG and ProTrust (1) never met any of the qualifying criteria to receive TARP funds; (2) never applied for TARP funds; (3) never received approval from the Department of Treasury to receive TARP funds; and (4) never received TARP funds.

Ok, ok, we got it.

According to Grigg's bio, he started a restaurant at age 20 and things took off from there, eventually becoming a "life coach."

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Source: NPR Blogs: Planet Money | 24 Apr 2009 | 1:16 pm

Opening Bell: 04.24.09

Morgan Stanley Eyes Changing PDT Desk (WSJ)
They're examining rolling the desk out into a hedge fund or opening it to outside investors; though there's every possibility that they'll leave it alone. All that's known is "Discussions about restructuring the group have been under way for more than a year, but have accelerated during the past few months." At the heart of the issue are the H-1B rules implemented for those institutions holding TARP funds; under the new guidelines you have to prove you made every reasonable effort to hire an American before taking on someone requiring a Visa. The desk is largely quant, and the quants are largely foreign.

Investors Seek To Block Mortgage Securities Bill (FT)
"Bond investors are lobbying hard to change federal policies aimed at reducing foreclosures in the US, saying the measures discriminate against holders of top-rated securities backed by mortgages.

The investors are set to meet senators next week. The next step could be legal action against the US government if the law is passed, on the basis that it could violate the Fifth Amendment, which prohibits the taking of private property for public use without compensation."

US To Tell Banks How They Did, Scores Posted By Gym At Noon (NYT)
The Gov will be telling the banks what their results looked like at some point today, and this afternoon they should release the details of how the stress tests worked/what metrics were used; the public won't get a good look at "scores" until May 4th. In the week + weekend you have to wonder how many leaks there's going to be, and whether Code Pink can possibly survive the nine days of not knowing who they're going to annoy next.

Pandit Could Be Forced From Citi After Tests (Reuters)
Reuters puts forth a not-so-bad argument that when the tests for Citi come back, the US Gov may have very little (if any) choice but to replace him a-la GM. We have to be fair in socialism, you know.

M.B.A's Staying Put (WSJ)
It used to be, you could do pretty much whatever you wanted post college (numbers related), go get your MBA, and someone would pick you up. Not so much anymore, as recent MBA Grad's are finding out - dreams of going into IB are being squashed left and right. For instance, this guy:

"But as he prepares to graduate from the University of Notre Dame in Indiana next month, Mr. Fusco, 27 years old, hasn't had any luck landing a position in finance. The only solution he has is to go back to his accounting roots. "It's a tough pill to swallow, but I've come to the conclusion that I can't sit and wait and cross my fingers," he says.

Madoff Net Losers Safe From Clawback (WSJ)
"Investors with Bernard Madoff who had a net loss due to his fraud won't be asked to return funds they withdrew from his firm in recent years, said a lawyer who is charged with recovering the firm's assets."

Source: Dealbreaker | 24 Apr 2009 | 1:05 pm

Indications: U.S. stock futures lifted by Ford, Microsoft

U.S. stock futures gained on Friday, losing only a bit of steam after data showing the recession worsened in March, which somewhat dampened early enthusiasm over quarterly results at Microsoft Corp. and Ford Motor Co.

Source: MarketWatch.com - Top Stories | 24 Apr 2009 | 12:57 pm

Ford targets 2011 break even

Ford, the US carmaker, reported a first quarter loss of $1.4bn but ruled out the need for a government rescue and predicted it would break even in two years' time
Source: Financial Times - US homepage | 24 Apr 2009 | 12:56 pm

Earnings set to lift Wall St

Wall Street stocks were set for a higher start as several companies finished the busiest week yet of earnings season with better results than expected
Source: Financial Times - US homepage | 24 Apr 2009 | 12:53 pm

3M's first-quarter net off 48%; 2009 outlook cut

3M lowers its 2009 profit outlook as first-quarter profit falls 48%, a reflection of how the major industries that the blue-chip component supplies have been busy reducing their inventories in light of the global recession.

Source: MarketWatch.com - Top Stories | 24 Apr 2009 | 12:51 pm

Economic Report: Fiscal worries mount as U.K. recession deepens

Britain's first-quarter economy shrank at the fastest pace since 1979, adding to worries about a sharp increase in government debt. British government bonds, or gilts, have fallen sharply this week, pressured in part by worries that government debt could surge in coming years as a result of the downturn.

Source: MarketWatch.com - Top Stories | 24 Apr 2009 | 12:51 pm

Investors show relief at Microsoft's results

WASHINGTON (MarketWatch) -- Microsoft Corp. posted a sharp drop in fiscal-third-quarter profit Thursday, as sales of computers loaded with the company's software fell and as it absorbed charges related to layoffs and declining investments.

Source: MarketWatch.com - Top Stories | 24 Apr 2009 | 12:49 pm

Stocks point higher after durable goods report (AP)

AP - Stock futures are higher as orders for big-ticket manufactured items fall less than expected in March.
Source: Yahoo! News: Stock Markets News | 24 Apr 2009 | 12:47 pm

Schlumberger Sort of Beats Low Expectations (SLB, HAL, WFT)

The world’s largest oilfield services company, Schlumberger Ltd. (NYSE:SLB) reported earnings this morning. The resemblance to the earnings reports from Halliburton Company (NYSE:HAL) and Weatherford International Limited (NYSE: WFT) from earlier this week is almost spooky. Analysts had lowered estimates for both revenues and profits, and Schlumberger almost delivered. EPS for the first quarter came in [...]

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Source: 24/7 Wall Street | 24 Apr 2009 | 12:43 pm

U.S. durable goods orders fall 0.8 percent in March

WASHINGTON (Reuters) - New U.S. orders for durable goods slipped 0.8 percent in March, far less than Wall Street expected, Commerce Department data showed on Friday.
Source: Reuters: Business News | 24 Apr 2009 | 12:43 pm

U.S. durable goods orders fall 0.8 percent in March

WASHINGTON (Reuters) - New U.S. orders for durable goods slipped 0.8 percent in March, far less than Wall Street expected, Commerce Department data showed on Friday.
Source: RSS feed - channel BNewsBusiness | 24 Apr 2009 | 12:42 pm

Stocks set for higher open

U.S. stocks were poised for a slightly higher opening Friday, as investors cheered Ford's report but braced for more quarterly results and economic reports.
Source: Business and financial news - CNNMoney.com | 24 Apr 2009 | 12:42 pm

March Durables & Revisions Bad Enough To Influence GDP Expectations

We have just seen the highly volatile Durable Goods release this morning. The numbers from the Commerce Department came in at -0.8%.  This was a bit better than expectations as Bloomberg had expectations set at -1.8% and Dow Jones had estimates at -1.5%.  But the bad notion here is that we also saw a sharp [...]

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Source: 24/7 Wall Street | 24 Apr 2009 | 12:41 pm

Before the Bell: Ford, Toll Brothers, Credit Suisse in focus

A roundup of breaking business news Friday morning.

Source: MarketWatch.com - Top Stories | 24 Apr 2009 | 12:41 pm

U.S. durable goods orders fall 0.8 percent in March (Reuters)

Reuters - New U.S. orders for durable goods slipped 0.8 percent in March, far less than Wall Street expected, Commerce Department data showed on Friday.

Source: Yahoo! News: Business | 24 Apr 2009 | 12:36 pm

UK isn't behaving very tripleA

The UK just doesn't feel tripleA. The sovereign debt remains toprated and the major rating agencies aren't formally considering a downgrade. But the government is not behaving the way a toprated debtor should.
Source: Telegraph Finance | 24 Apr 2009 | 12:35 pm

UPDATE 1-Glaxo to start final-stage malaria vaccine trial

* Trial to enrol 16,000 children in seven African countries
Source: RSS feed - channel BNewsBusiness | 24 Apr 2009 | 12:35 pm

Ford shares rise on smaller-than-expected loss

DETROIT (Reuters) - Ford Motor Co posted a smaller-than-expected first-quarter loss and said it was on track to at least break even in 2011 and did not expect to seek U.S. government loans, sending its shares up more than 22 percent.
Source: Reuters: Business News | 24 Apr 2009 | 12:33 pm

Earnings Watch: Updates, advisories and surprises

A roundup of the latest corporate earnings reports and what companies are saying about future quarters.

Source: MarketWatch.com - Top Stories | 24 Apr 2009 | 12:31 pm

Economic Report: Orders for durable goods drop 0.8% in March

The deep recession in manufacturing worsens in March, as demand for U.S.-made durable goods falls 0.8%, the seventh decline in the past eight months, the Commerce Department says.

Source: MarketWatch.com - Top Stories | 24 Apr 2009 | 12:31 pm

Scotia Capital Named Best Investment Bank in Canada and Best Globally in Infrastructure

TORONTO, April 24 /PRNewswire-FirstCall/ - A prestigious financial services publication has named Scotia Capital the Best Investment Bank in Canada and the Best Investment Bank...
Source: RSS feed - channel BNewsBusiness | 24 Apr 2009 | 12:31 pm

Schlumberger 1st-quarter net off 28%

Schlumberger Ltd.’s earnings report marks the latest in a series of big profit drops by major energy-related companies as the slowing economy chopped its earnings 28%.

Source: MarketWatch.com - Top Stories | 24 Apr 2009 | 12:31 pm

Ford shares rise on smaller-than-expected loss (Reuters)

Reuters - Ford Motor Co posted a smaller-than-expected first-quarter loss and said it was on track to at least break even in 2011 and did not expect to seek U.S. government loans, sending its shares up more than 22 percent.

Source: Yahoo! News: Business | 24 Apr 2009 | 12:30 pm

Freddie Mac Monthly Volume Summary: March 2009

(unaudited & subject to change) (dollars in millions) MCLEAN, Va., April 24 /PRNewswire-FirstCall/ -- The following is being issued by Freddie Mac...
Source: RSS feed - channel BNewsBusiness | 24 Apr 2009 | 12:30 pm

Red Lion Hotels to Report First Quarter 2009 Results on Wednesday, May 6, 2009

SPOKANE, Wash., April 24 /PRNewswire-FirstCall/ -- Red Lion Hotels Corporation (NYSE: RLH) today announced that it will report first quarter 2009 results after the market closes...
Source: RSS feed - channel BNewsBusiness | 24 Apr 2009 | 12:30 pm

Compass Diversified Holdings to Release First Quarter Financial Results on May 8, 2009

Management to Hold Conference Call at 9:00 a.m. ET WESTPORT, Conn., April 24 /PRNewswire-FirstCall/ -- Compass Diversified Holdings (Nasdaq GS: CODI)...
Source: RSS feed - channel BNewsBusiness | 24 Apr 2009 | 12:30 pm

First Quarter 2009 Results and Dividend Declaration

NYSE- OPY TORONTO, April 24 /PRNewswire-FirstCall/ - Expressed in thousands of U.S. dollars, except share and per share amounts Presented...
Source: RSS feed - channel BNewsBusiness | 24 Apr 2009 | 12:30 pm

Xerox flips to quarterly profit, but cuts outlook

NEW YORK (Reuters) - Xerox Corp flipped to a profit in the first quarter, but the leading provider of digital printers and document management services forecast a second-quarter profit weaker than analysts' views and cut its full year earnings outlook nearly in half.
Source: Reuters: Business News | 24 Apr 2009 | 12:28 pm

R-I-M Loses Key Critic (RIMM)

Research in Motion Ltd. (NASDAQ: RIMM) is getting a boost this morning from an analyst upgrade.  The maker of the notorious Blackberry wais raised at Citigroup with a new “Buy” rating rather than the prior “Hold” rating and was even given one of the “Top Picks” status at the firm.  The old $65.00 target was [...]

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Source: 24/7 Wall Street | 24 Apr 2009 | 12:26 pm

Bay Trading collapse puts 1,000 jobs at risk

Bay Trading, the women’s fashion chain, collapsed into administration today after credit insurance at Alexon, the parent company, was withdrawn.
Source: Latest Business News from Times Online | 24 Apr 2009 | 12:26 pm

3M profit down, cuts 2009 forecast

BOSTON (Reuters) - Diversified U.S. manufacturer 3M Co reported a 48 percent drop in quarterly profit and cut its full-year earnings forecast, citing falling demand and its customers' efforts to cut inventory.
Source: Reuters: Business News | 24 Apr 2009 | 12:25 pm

London Markets: Metal producers climb in London on Cazenove note

London shares advanced on Friday morning, with miners performing well after broker Cazenove lifted its stance on the sector to overweight from neutral on expectations that commodity prices will recover.

Source: MarketWatch.com - Top Stories | 24 Apr 2009 | 12:22 pm

dot.life

The winners and losers in a tech recession
Source: BBC News | Business | World Edition | 24 Apr 2009 | 12:20 pm

Liberty sales rise 9pc driven by art fabrics

Liberty the department store owner and luxury goods brand reported a 9pc rise in sales driven by strong demand for its art fabrics.
Source: Telegraph Finance | 24 Apr 2009 | 12:20 pm

Ford shares rally on improvement in balance sheet

Ford posts a first-quarter loss of nearly $2 billion, but investors bid the automaker’s shares sharply higher ahead of the opening bell on enthusiasm over an improved balance sheet.

Source: MarketWatch.com - Top Stories | 24 Apr 2009 | 12:20 pm

Stock futures point up after Ford results (Reuters)

Reuters - Stock index futures pointed to a higher open on Friday after Ford Motor Co reported better-than-expected results as investors awaited data on manufacturing and housing.

Source: Yahoo! News: Stock Markets News | 24 Apr 2009 | 12:18 pm

Stock futures point up after Ford results

NEW YORK (Reuters) - Stock index futures pointed to a higher open on Friday after Ford Motor Co reported better-than-expected results as investors awaited data on manufacturing and housing.
Source: Reuters: Business News | 24 Apr 2009 | 12:18 pm

Stock futures point up after Ford results (Reuters)

Reuters - Stock index futures pointed to a higher open on Friday after Ford Motor Co reported better-than-expected results as investors awaited data on manufacturing and housing.

Source: Yahoo! News: Business | 24 Apr 2009 | 12:18 pm

UPDATE 1-Arch Coal's first-quarter profit down 62 pct

NEW YORK, April 24 (Reuters) - Arch Coal Inc said on Friday first-quarter profit fell more than 60 percent and because of weak coal demand from power companies it would cut production volumes and capital...
Source: RSS feed - channel BNewsBusiness | 24 Apr 2009 | 12:17 pm

John Lewis feels sales gloom as high street rises

John Lewis, the upmarket department store group, recorded an 11.6 per cent fall in sales last week.
Source: Latest Business News from Times Online | 24 Apr 2009 | 12:17 pm

Ineos sees slow improvement but market challenging

LONDON, April 24 (Reuters) - Privately-owned British chemical group Ineos Groups [INEOSP.UL] reported some signs of slow improvement in first-quarter trading, but said market conditions remain challenging...
Source: RSS feed - channel BNewsBusiness | 24 Apr 2009 | 12:17 pm

Ford reports loss as sales slide

Carmaker Ford announces a loss of $1.4bn for the first three months of this year as sales were hit hard during the recession.
Source: BBC News | Business | World Edition | 24 Apr 2009 | 12:17 pm

Horizon Lines Reports First-Quarter Financial Results

- Results Slightly Ahead of Internal Expectations - Achieved Adjusted EBITDA of $19.2 Million - Adjusted Free Cash Flow Consumption Below Year-Ago...
Source: RSS feed - channel BNewsBusiness | 24 Apr 2009 | 12:15 pm

Ford loses $1.4 billion

Ford Motor reported a lower than expected loss for the first quarter Friday, and the company said it remains on track to meet its internal financial targets despite the worst quarter for auto sales in 26 years.
Source: Business and financial news - CNNMoney.com | 24 Apr 2009 | 12:10 pm

Option ARM Loans Turn into Nightmares (BusinessWeek Online)

BusinessWeek Online - Entrepreneur Michael Bissell worries about losing his business, his house, or both. His 10-year-old Web design firm in Portland, Ore., is struggling as customers fall behind on their bills. To cover salary and other expenses, Bissell tapped into his home last year for extra cash, relying on his exotic mortgage, which gives him the option to pay less than the monthly interest and principal for a while. But that source of money is running dry: The payment on his home loan will soon jump significantly. "I have no padding," says Bissell.
Source: Yahoo! News: Business | 24 Apr 2009 | 12:08 pm

1979: the last time the British economy was was so bad

The last time Britain suffered such a sharp quartely decline in its economy was 1979.
Source: Telegraph Finance | 24 Apr 2009 | 12:05 pm

Bay Trading enters administration

Fashion chain Bay Trading is to go into administration, putting about 1,000 jobs in 268 branches at risk.
Source: BBC News | Business | World Edition | 24 Apr 2009 | 12:02 pm

Chrysler aims for Fiat but readies bankruptcy plan

WASHINGTON/NEW YORK (Reuters) - With a week remaining for Chrysler LLC to clinch a deal with Italy's Fiat, the U.S. automaker is readying a bankruptcy plan but still focused on reaching an alliance with the support of the Obama administration, people with knowledge of the discussions said on Thursday.
Source: Reuters: Business News | 24 Apr 2009 | 12:00 pm

He got a job - on the opposite coast

In the worst job market in 25 years, job seekers are doing whatever it takes to find work, even if that means moving across the country.
Source: Business and financial news - CNNMoney.com | 24 Apr 2009 | 11:52 am

Oil prices extend gains (AFP)

AFP - Oil prices extended gains on Friday, winning support from the flagging dollar and rising stock markets, despite concerns about weak demand arising from the global economic downturn, traders said.

Source: Yahoo! News: Stock Markets News | 24 Apr 2009 | 11:50 am

UK slowdown sharper than feared

The UK economy contracted by 1.9% in the first quarter, much more sharply than economists had expected, with output reduced in both services and manufacturing
Source: Financial Times - US homepage | 24 Apr 2009 | 11:48 am

3M profit down, cuts 2009 forecast (Reuters)

Reuters - Diversified U.S. manufacturer 3M Co reported a 48 percent drop in quarterly profit and cut its full-year earnings forecast, citing falling demand and its customers' efforts to cut inventory.
Source: Yahoo! News: Business | 24 Apr 2009 | 11:45 am

Honeywell cuts profit view, cites economic slump

BOSTON (Reuters) - Diversified U.S. manufacturer Honeywell International Inc reported a 38 percent drop in profit and cut its full-year earnings forecast to more closely match analysts' expectations, citing the weak economy.
Source: Reuters: Business News | 24 Apr 2009 | 11:39 am

Ford claims it will break even in two years

Ford declared again today that it would not need government aid and forecast that it would break even in two years.
Source: Latest Business News from Times Online | 24 Apr 2009 | 11:34 am

British economy: Sharpest decline since '79

Read full story for latest details.
Source: Business and financial news - CNNMoney.com | 24 Apr 2009 | 11:32 am

China reveals huge rise in gold reserves

China revealed that it had quietly raised its gold reserves by three-quarters since 2003, increasing its holdings to more than a 1,000 tonnes and confirming years of speculation it had been buying
Source: Financial Times - US homepage | 24 Apr 2009 | 11:32 am

Top Analyst Upgrades & Downgrades (AMGN, CS, BEAT, DV, MAR, MSFT, RIMM, SPWRA, TOL)

These are among the top research calls and analyst upgrades and downgrades we have seen early this Friday morning with over two hours until the open: Amgen (AMGN) Raised to Outperform at Baird. Credit Suisse (CS) Raised to Neutral at UBS. CardioNet (BEAT) Started as Underperform at Jefferies. Devry (DV) Cut to Neutral at Baird. Marriott (MAR) Cut to Market [...]

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Source: 24/7 Wall Street | 24 Apr 2009 | 11:30 am

Stephanomics

This week, our political landscape has opened up
Source: BBC News | Business | World Edition | 24 Apr 2009 | 11:30 am

European stocks rally, London up 1.56% (AFP)

AFP - European stock markets recovered strongly Friday as data showed business confidence rebounding from record lows in Germany, and investors shrugged off a sharp contraction in British growth.

Source: Yahoo! News: Stock Markets News | 24 Apr 2009 | 11:23 am

How Bernie did it - inside the swindle

The employees were transfixed. Standing on the mid-Manhattan trading floor of Bernard L. Madoff Investment Securities in late 2007, a half-dozen staffers stared up at the ceiling-mounted TV as CNBC aired a report on the mysterious Palm Beach death of a hedge fund manager who had been leading a double life. The police, it appeared, were even considering the possibility that he had been murdered. "Bernie," someone casually asked as Madoff happened to walk by, "have you heard of this guy?"
Source: Business and financial news - CNNMoney.com | 24 Apr 2009 | 11:19 am

Sometimes, firing yourself is the only way

If you're out of business and out of work, you may have to fight for the benefits you're due.
Source: Business and financial news - CNNMoney.com | 24 Apr 2009 | 11:18 am

Cheap indulgences: Hot towels, cold wine

No cash for a renovation? Five small ways to improve your home for under $500.
Source: Business and financial news - CNNMoney.com | 24 Apr 2009 | 11:17 am

Ford’s (F) Balance Sheet Play

Ford’s (F) announced earnings, but it did not pitch its P&L. The star of the announcement, at least in the company’s opinion, was its balance sheet. The No.2 US car company said that Ended first quarter with Automotive gross cash of $21.3 billion and reduced operating-related cash outflow compared with the third and fourth quarters of [...]

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Source: 24/7 Wall Street | 24 Apr 2009 | 11:17 am

U.S. first-quarter earnings exceed expectations (Reuters)

Reuters - U.S. corporate earnings are shaping up to be better than expected in the first quarter, compared with the previous quarter as bank results stabilize. But profitability remains well below pre-recession levels.
Source: Yahoo! News: Stock Markets News | 24 Apr 2009 | 11:16 am

U.S. first-quarter earnings exceed expectations

NEW YORK (Reuters) - U.S. corporate earnings are shaping up to be better than expected in the first quarter, compared with the previous quarter as bank results stabilize. But profitability remains well below pre-recession levels.
Source: Reuters: Business News | 24 Apr 2009 | 11:16 am

Decline of the UK economy worsens

The UK economy shrank by a worse-than-expected 1.9% in the first three months of 2009, official figures show.
Source: BBC News | Business | World Edition | 24 Apr 2009 | 11:06 am

Sticky legal issues as row flares over Kripsy Kreme recipe

An Australian cookie chain threatens legal action against US chain Krispy Kreme for stealing a biscuit name and recipe.
Source: BBC News | Business | World Edition | 24 Apr 2009 | 11:05 am

Schlumberger profit falls 28 percent, tops view

NEW YORK (Reuters) - Schlumberger , the world's largest oilfield services company, reported a 28 percent decline in first-quarter earnings on Friday as the global slump in energy demand forced its customers to reduce activity and seek price reductions.
Source: Reuters: Business News | 24 Apr 2009 | 10:54 am

Luxury car that doesn't scream 'I got a bonus'

Source: Business and financial news - CNNMoney.com | 24 Apr 2009 | 10:44 am

Spain's jobless rate soars to 17%

Two million people have lost their job in Spain in the past year taking the country's jobless total to more than four million.
Source: BBC News | Business | World Edition | 24 Apr 2009 | 10:41 am

Japanese yakuza gangsters hit by recession

Salarymen are not the only victims of the recession bringing Japan's economy to a standstill - the nation's famous yakuza gangsters are also in the firing line.
Source: Telegraph Finance | 24 Apr 2009 | 10:38 am

National Savings ? Investments back with guaranteed equity bond

While rates have fallen there are still competitive deals to be had.
Source: Telegraph Finance | 24 Apr 2009 | 10:33 am

A crash course in emerging technologies

A group of futurists in the heart of Silicon Valley is creating a new institution called Singularity University to legitimise their most extreme thinking and save the world
Source: Financial Times - US homepage | 24 Apr 2009 | 10:27 am

Apple (AAPL) iPhone/iPod Apps Hit One Billion Downloads, Most Of Them Useless

Downloads of Apple (AAPL) applications for iPhones and iTunes have reach one billion. It only took nine months. Most analysts view this as a strategic advantage over RIM’s (RIMM) Blackberry and Google’s (GOOG) Android downloads, but is it? Probably not. A number of the downloads are nearly useless  software created by developers who want the exposure of [...]

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Source: 24/7 Wall Street | 24 Apr 2009 | 10:19 am

G20 members 'blocking free trade'

The World Bank accuses the US and European Union of carrying out or planning protectionist measures.
Source: BBC News | Business | World Edition | 24 Apr 2009 | 10:09 am

Martin Lewis on how to reclaim bank charges

The recession may help customers to reclaim bank charges despite ongoing test case.
Source: Telegraph Finance | 24 Apr 2009 | 10:07 am

German business confidence rises

German business confidence has risen from its lowest level in more than 20 years, a keenly-watched survey indicates.
Source: BBC News | Business | World Edition | 24 Apr 2009 | 9:59 am

U.S. may remove Citi's Pandit: report

(Reuters) - U.S. regulators who are concluding "stress tests" on banks may remove Citigroup Inc chief executive Vikram Pandit, the New York Post reported, citing sources it did not identify further.
Source: Reuters: Business News | 24 Apr 2009 | 9:54 am

U.S. may remove Citi's Pandit: report (Reuters)

Reuters - U.S. regulators who are concluding "stress tests" on banks may remove Citigroup Inc chief executive Vikram Pandit, the New York Post reported, citing sources it did not identify further.

Source: Yahoo! News: Business | 24 Apr 2009 | 9:54 am

AAPL Post-Earnings Weekly Headline Roundup: April 24

From 24/7 Wall St. partner Apple Investor News: There were big concerns heading into AAPL’s Q2 earnings report. Despite its history of sandbagging guidance then surprising to the upside, some predicted this would be the quarter Apple’s dominance would stumble. Well, Apple’s stellar results surprised again, but I think this particular surprise is significant. This quarter’s results [...]

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Source: 24/7 Wall Street | 24 Apr 2009 | 9:48 am

Samsung: As Much As Proxy For Economy As GE (GE)

GE (GE) earnings are often viewed as a legitimate test of how the global economy is doing. It has tremendous international operations. It has large industrial, infrastructure, medical, financial, and media businesses. But, it is not in most senses a technology company. In the world of consumer electronics, Samsung may hold a place similar to GE’s. The [...]

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Source: 24/7 Wall Street | 24 Apr 2009 | 9:41 am

Nomura £5bn loss raises prospect of job cuts

Japan’s fiscal 2008 earnings season opened today with a 709.4 billion yen (£5 billion) annual net loss for Nomura, the brokerage house that absorbed the Asian and European operations of Lehman Brothers after the Wall Street bank collapsed.
Source: Latest Business News from Times Online | 24 Apr 2009 | 9:38 am

Microsoft (MSFT): In The Footsteps Of McDonald’s (MCD) And Wal-Mart (WMT)

Microsoft (MSFT) just released earnings that were mediocre but not any worse than was expected. It said that the balance of the calendar year would not be much better. In stating that, it is taking a position that has been common among most big companies releasing earnings. Write off 2009. Wait until next year. Revenue for [...]

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Source: 24/7 Wall Street | 24 Apr 2009 | 9:20 am

World stock markets mixed as US stress tests eyed (AP)

AP - Most Asian markets dropped Friday as investors braced for news about the "stress tests" on major U.S. banks, while weak company results undercut hopes for an economic recovery. European markets opened higher.

Source: Yahoo! News: Stock Markets News | 24 Apr 2009 | 9:10 am

It's still Ken Lewis's fault

Ken Lewis's testimony to New York Attorney General Andrew Cuomo doesn't get him off the hook for Bank of America's disastrous acquisition of Merrill Lynch.
Source: Telegraph Finance | 24 Apr 2009 | 9:05 am

UK car production falls by half

The number of new cars produced in the UK fell by more than a half in March from a year ago, industry figures show.
Source: BBC News | Business | World Edition | 24 Apr 2009 | 9:00 am

David Cameron calls for 'massive culture change' to tackle debt

A "massive culture change in Britain" would be ushered in by a Tory government in an attempt to save the country from bankruptcy David Cameron has said.
Source: Telegraph Finance | 24 Apr 2009 | 8:44 am

UK economy shrinks at fastest rate for 30 years

The economy contracted by 1.9 per cent in the first three months of the year, at the fastest rate since 1979, when Margaret Thatcher came to power, as the country sank further into recession, official figures showed this morning.
Source: Latest Business News from Times Online | 24 Apr 2009 | 8:39 am

UK economy slumped by 1.9pc in first three months of 2009 as recession deepens

The economy contracted by 1.9pc in the first three months of the year far more than economists expected as Britain braces itself for decades of austerity.
Source: Telegraph Finance | 24 Apr 2009 | 8:36 am

New car production skids 51pc in March

Production of new cars fell by 51pc in the UK last month as the industry reeled from tumbling sales and plant shutdowns.
Source: Telegraph Finance | 24 Apr 2009 | 8:35 am

Ifo lifts world stocks, euro; yen also firmer (Reuters)

Reuters - World stocks and the euro rose on Friday after a bigger-than-expected rise in Germany's key corporate sentiment survey, while better earnings from several regional U.S. banks also boosted investor morale.

Source: Yahoo! News: Stock Markets News | 24 Apr 2009 | 8:29 am

Ifo lifts world stocks, euro; yen also firmer (Reuters)

Reuters - World stocks and the euro rose on Friday after a bigger-than-expected rise in Germany's key corporate sentiment survey, while better earnings from several regional U.S. banks also boosted investor morale.

Source: Yahoo! News: Business | 24 Apr 2009 | 8:29 am

London stocks rebound in early trade (AFP)

AFP - The London stock market rebounded in opening trade on Friday ahead of the release of gloomy economic data and after closing down the day before.

Source: Yahoo! News: Stock Markets News | 24 Apr 2009 | 8:23 am

N Korea to put US journalists on trial

North Korea will put two US reporters on trial, further heightening tensions on the peninsula while Russia's foreign minister visited Seoul and nuclear-armed Pyongyang in an apparently unsuccessful attempt to forge a rapprochement
Source: Financial Times - US homepage | 24 Apr 2009 | 8:18 am

The Waterboarding Of Ken Lewis

Coercion and the use of force have been part of the American character since settlers started moving West at the end of the 18th Century.  Gentility is not usually an acceptable approach to settling differences in the United States. That may account for the large amount of violent crime here compared with other developed countries. [...]

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Source: 24/7 Wall Street | 24 Apr 2009 | 8:16 am

Australian stocks: Market closes slightly lower

MELBOURNE - The Australian share market closed lower on Friday as investors began to fret that the recent rally was fading. At the 1615 AEST close, the benchmark S&P/ASX200 index had fallen 30.7 points, or 0.82 per cent, to 3712.3,...
Source: New Zealand Herald - Business | 24 Apr 2009 | 7:15 am

Wetherly Capital Group tangled in probe of pension fund kickback scheme

The Los Angeles investment firm has come under scrutiny for a $313,750 payment it made to a firm run by a New York political advisor who was arrested last month. ...
Source: RSS feed - channel BNPaperBusiness | 24 Apr 2009 | 7:00 am

Amgen's drug sales drop 8.4%, hurting quarterly profit

Amgen's profit skids as sales fall

Source: L.A. Times - Business | 24 Apr 2009 | 7:00 am

Wells Fargo accused of securities fraud in state lawsuit

Atty. Gen. Jerry Brown says the banking giant's subsidiaries told buyers that $1.5 billion of risky auction-rate securities were safe. Wells says it tried to help customers when the market collapsed.

The state of California accused Wells Fargo & Co. of fraud Thursday for the company's role in an investment meltdown that has been compared to the Bernard Madoff scandal in magnitude.

Source: L.A. Times - Business | 24 Apr 2009 | 7:00 am

Amgen's drug sales drop 8.4%, hurting quarterly profit

Amgen's profit skids as sales fall
Source: RSS feed - channel BNPaperBusiness | 24 Apr 2009 | 7:00 am

Wetherly Capital Group tangled in probe of pension fund kickback scheme

The Los Angeles investment firm has come under scrutiny for a $313,750 payment it made to a firm run by a New York political advisor who was arrested last month.

A Los Angeles investment firm run by a well-known Southern California political operative has become ensnared in a widening probe into the fees paid to advisors who help place investments in public pension funds.

Source: L.A. Times - Business | 24 Apr 2009 | 7:00 am

Obama puts pressure on credit card issuers

The president calls top industry executives to the White House and demands they stop jacking up interest rates and adding unexpected fees to customer bills. The companies defend their actions. ...
Source: RSS feed - channel BNPaperBusiness | 24 Apr 2009 | 7:00 am

BofA chief reveals threats from feds on Merrill Lynch deal

Kenneth Lewis, the bank's chief executive, said Paulson and Bernanke vowed to oust him and the board if the purchase of Merrill was aborted.

Former Treasury Secretary Henry M. Paulson and Federal Reserve Chairman Ben S. Bernanke threatened to oust Bank of America Corp.'s board and its chief executive, Kenneth Lewis, if the bank called off its purchase of Merrill Lynch & Co., Lewis said in sworn testimony released Thursday.

Source: L.A. Times - Business | 24 Apr 2009 | 7:00 am

Bentley Continental GTC Speed: astonishing and surreal

There are so many reasons to write about this car -- good and bad.

As day follows dawn, I'll get e-mails this morning to this effect:

Source: L.A. Times - Business | 24 Apr 2009 | 7:00 am

Freddie Mac executive David Kellermann sought time off before apparent suicide

Kellermann, the acting CFO, reportedly told company officials the day before he was found dead that he was working long hours and feeling stressed and needed a break. ...
Source: RSS feed - channel BNPaperBusiness | 24 Apr 2009 | 7:00 am

Obama puts pressure on credit card issuers

The president calls top industry executives to the White House and demands they stop jacking up interest rates and adding unexpected fees to customer bills. The companies defend their actions.

The deep recession and the public's anger with banking institutions are giving the Obama administration and congressional Democrats potent weapons to push through credit card reforms that the consumer lending industry has held at bay for decades.

Source: L.A. Times - Business | 24 Apr 2009 | 7:00 am

BofA chief reveals threats from feds on Merrill Lynch deal

Kenneth Lewis, the bank's chief executive, said Paulson and Bernanke vowed to oust him and the board if the purchase of Merrill was aborted. ...
Source: RSS feed - channel BNPaperBusiness | 24 Apr 2009 | 7:00 am

Occidental Petroleum outlook upbeat despite earnings plunge

Shrinking demand and declining energy prices have put a damper on the oil industry's profit party, with Occidental Petroleum Corp. posting its steepest quarterly earnings decline in seven years and ConocoPhillips...
Source: RSS feed - channel BNPaperBusiness | 24 Apr 2009 | 7:00 am

Occidental Petroleum outlook upbeat despite earnings plunge

Shrinking demand and declining energy prices have put a damper on the oil industry's profit party, with Occidental Petroleum Corp. posting its steepest quarterly earnings decline in seven years and ConocoPhillips reporting an 80% plunge in income.

Source: L.A. Times - Business | 24 Apr 2009 | 7:00 am

Hollister, Calif., is at odds with Abercrombie over name

The agricultural town and the retail giant both lay claim to the label "Hollister."

In the lush farmlands east of Monterey Bay, the day opens with the sound of big-rig trucks hauling lettuce, apricots and other produce through this quiet agricultural town of about 36,000 people.

Source: L.A. Times - Business | 24 Apr 2009 | 7:00 am

Retired auto workers' benefits in peril

Pensions could be slashed if GM or Chrysler terminates its pension plan as part of bankruptcy. As the Obama administration...
Source: RSS feed - channel BNPaperBusiness | 24 Apr 2009 | 7:00 am

Retired auto workers' benefits in peril

Pensions could be slashed if GM or Chrysler terminates its pension plan as part of bankruptcy.

As the Obama administration prepares to send Chrysler into Bankruptcy Court, with General Motors possibly to follow, one of the biggest losers may be the automakers' current and future retirees, a group of nearly 1 million people whose pensions and healthcare funds could be slashed by tens of billions of dollars.

Source: L.A. Times - Business | 24 Apr 2009 | 7:00 am

Bentley Continental GTC Speed: astonishing and surreal

There are so many reasons to write about this car -- good and bad. As day follows dawn, I'll get e-mails this...
Source: RSS feed - channel BNPaperBusiness | 24 Apr 2009 | 7:00 am

Hollister, Calif., is at odds with Abercrombie over name

The agricultural town and the retail giant both lay claim to the label "Hollister." In the lush farmlands east...
Source: RSS feed - channel BNPaperBusiness | 24 Apr 2009 | 7:00 am

Stocks end higher after shaky day of trading

The Dow rises 70.49 points to 7,957.06, helped by first-quarter results from Apple, EBay, Raytheon and PNC Financial Services. Broader indexes also record gains. ...
Source: RSS feed - channel BNPaperBusiness | 24 Apr 2009 | 7:00 am

NZ stocks: Market creeps lower

The New Zealand share market crept lower today despite a rise in Wall Street. The benchmark NZSX-50 index closed down 2.464 points, or 0.093 per cent, at 2656.385. Turnover was worth $113.8 million. There were 32 rises and 39 falls...
Source: New Zealand Herald - Business | 24 Apr 2009 | 6:26 am

NZ stocks: Market creeps lower

The New Zealand share market crept lower today despite a rise in Wall Street. The benchmark NZSX-50 index closed down 2.464 points, or 0.093 per cent, at 2656.385. Turnover was worth $113.8 million. There were 32 rises and 39 falls...
Source: New Zealand Herald - Business | 24 Apr 2009 | 6:23 am

Currency: Dollar little changed

The New Zealand dollar was slightly firmer today as market attention turned to next week's interest rate decision by the Reserve Bank of New Zealand. Around 5pm the kiwi was buying US56.20c, little changed from US56.09c at the...
Source: New Zealand Herald - Business | 24 Apr 2009 | 5:31 am

Finance company covered by Govt guarantee defaults

Another finance company covered by the Government's retail deposit guarantee has defaulted. It is Strata Finance Ltd, which had just 21 customers and deposits of $448,000 as of April 20. All eligible depositors will get 100...
Source: New Zealand Herald - Business | 24 Apr 2009 | 5:23 am

In Defense of Your Own Plane

HAMMERED BY THE FINANCIAL CRISIS, SOME OF America's biggest companies are dumping their corporate jets. While the move can have the immediate effect of boosting the balance sheet and eliminating a symbol of corporate excess, it can also put a company at a practical disadvantage to its jet-setting competitors.

True, a business jet is one of the largest non-revenue-producing assets any company can own. Disposing of one in a crisis can make a lot of sense for some companies. Add to the equation the public flogging business aviation has endured -- especially those jet trips by Detroit's Big Three CEOs -- and it isn't hard to understand why the used-plane market suddenly has a glut of inventory.

But it pays to think twice before hanging a "for sale" sign on the company airplane.

"The fastest route out of economic difficulty is increased productivity," says Jack Olcott, president of General Aero Co., a Hackensack, N.J.-based business-aviation consulting firm. "A business aircraft enhances the productivity of a company's two most important assets: people and time. Companies need to recognize that an airplane is really nothing more than a tool for doing business, just as a computer is a business tool. Both are part of the infrastructure that improves productivity."

The big question: Is it really cost-effective to fly on business jets compared with taking the airlines? For many companies the surprising answer is yes. A year-long analysis of the travel schedules of chief executives of major corporations by the VanAllen Group, a McDonough, Ga.-based management-consulting firm, showed that the bosses lose three hours on average for each airline leg they fly, compared to the time it would take to complete the same trips using a business jet. If a company's CEO is paid $3 million a year and works about 2,000 hours a year, that amounts to $1,500 an hour. In other words, by putting the executive on a private plane, the company avoids wasting $4,500 in compensation. That is one part of the benefit.

But to really dig down into the cost-benefit analysis, you have to look at the cost per mile traveled, not just time in the air.

CONSIDER, FOR EXAMPLE, THE TOTAL cost to fly the CEO and two other senior executives on a 750-mile trip -- the distance from Chicago to New York -- on commercial flights. Based on current economy-class tickets for flights of that distance, the three tickets will total $1,125. Now we will add to this the time cost of these executives. Let's assume the $3-million-a-year CEO is flying with two senior vice presidents each earning $500,000 a year, for a total of $4 million in annual compensation. If we divide this sum by the 2,000 hours these executives will be paid for in a year, it works out to $2,000 an hour for their time collectively. Multiply that by the three hours per leg of extra time they will spend driving to the airport, waiting in check-in and security lines and collecting their bags and we arrive at $6,000.

Add the $6,000 time cost to the $1,125 ticket cost and the total cost for this trip is $7,125. Finally, divide this number by 750 miles, and we get a cost of $9.50 per mile to fly these three passengers on the airlines.

So, how does using a business jet for the same trip compare? According to Conklin & de Decker, a Massachusetts firm that evaluates and compares operating costs for a wide range of business jets, making this trip in a relatively small airplane like Cessna's eight-passenger Citation CJ3 will cover that same 750 miles for $6.16 per mile (including all fixed and variable costs and asset-market depreciation) -- clear savings over the commercial flight. This assumes the company owns the plane, and it factors in depreciation and fuel costs of about $4.49 per gallon. Using the same parameters, the full cost to fly this trip on a Hawker 900XP midsize jet is $9.40 per mile, somewhat less than commercial. Flying on a larger Bombardier Challenger 300 equates to $12.02 a mile, a 27% premium over commercial.

But even that bigger plane could be a bargain, because a company would gain the ability to bring aboard more people (the Challenger can seat up to nine), and they could choose to fly 3,600 miles if needed before stopping for fuel. Also consider that the CEO and other executives can talk openly about the latest deal on the business jet, while they might not even be seated together on an airline flight.

OBVIOUSLY, THE COST-BENEFIT evaluation will swing more in favor of business jets as the net compensation of the executives on board rises. Also, a company with $3 million a year in sales probably can afford to have its executives travel only on airlines, while a $30 million company might be able to spring for charter flights or fractional ownership. Owning a jet becomes much more compelling for companies with sales of $300 million and up, given the magnitude of the top executives' responsibilities.

Looking at the same 750-mile trip in the case of a company that chose to purchase a fractional share of a jet, Conklin & de Decker supplies per-mile costs (based on 100 occupied hours per year, equating to 46,000 miles of travel) of $11.39 for the CJ3, $11.79 for the Hawker 900 and $15.62 for the Challenger 300. In all cases, therefore, the airlines are less costly, but comfort and convenience go way up with the corporate jet.

To decide which form of private jet travel makes the most sense, a company needs to consider a host of variables, starting with the number of hours the senior executives intend to fly each year, the distances they want to be able to travel before stopping to refuel, and the number of people typically on board. The answers to these questions will give a good indication of whether a company should buy (or lease) an airplane, purchase a fractional share (typically available in increments from one-sixteenth of a share up to a half-share) or instead use air charter or jet cards.

If a company's senior executives need to fly for more than 250 hours per year combined, buying a business jet and operating it internally (or handing its care and feeding over to a management company) starts to make sense, because the direct operating costs will be spread over enough hours. You can also offset the cost of jet ownership by making your airplane available for charter through a management company.

Companies with lighter travel requirements can consider chartering a jet, purchasing a jet card or buying a fractional share. For companies or individuals needing to fly 25 hours a year or less, chartering a jet or buying a jet card are good options. With charter, there is no commitment beyond paying the hourly charter rate (and for extras such as catering and satellite-phone use), and all you have to do is pick up the phone or visit a Website that specializes in arranging charter flights. Jet cards, meanwhile, give users blocks of charter time, usually in 25-hour increments, and offer guaranteed availability on short notice.

Beyond 25 hours a year of travel, and especially at the 50-hour level and up to about 200 hours, fractional ownership starts to make sense. The concept was pioneered in the mid-1980s by Richard Santulli, a former Goldman Sachs executive who worked out the pricing models and formed NetJets. Today that company is the world's largest fractional-ownership provider, with more than 800 jets in its fleet. The idea was so successful it spawned several competitors, the largest being Bombardier's FlexJet, Cessna's CitationShares and Cleveland-based Flight Options.

For companies or individuals flying 25 to 200 hours a year, many business-aviation consultants recommend choosing a combination of fractional ownership and charter as a way of squeezing the most efficiency from each form of travel.

For example, a company might decide to rely on the fractional share for one-way trips and multicity hops, but reduce the number of fractional hours they need by using a charter provider for round-trips from the home city. Charter companies, however, charge for "dead-head" legs, or return flights when the airplane isn't carrying passengers.

"If you really work hard to balance it, you can save about 7% a year using a blend of fractionals and charter versus using strictly charter or a fractional share," says Pete Agur, president and founder of the VanAllen Group, which helps Fortune 500 companies and high-net-worth individuals assess their travel strategies.

In cases where owning a company jet doesn't fit a business' needs, Agur's firm might recommend clients buy a small fractional share -- say, a one-eighth share in a midsize Hawker jet -- and supplement it with traditional air charter. The savings are compelling and worth chasing down: If you were to spend $3,000 an hour on charter flights over 200 hours, for example, the bill would be $600,000. But using a combination of charter and fractional ownership could cut that bill by more than $40,000.

THERE ARE SEVERAL STRATEGIES to save money when owning a jet, too. One of the most surprising? Fly more.

Beyond 250 hours of dedicated use, the incremental cost of operating a business jet -- whether owned and managed by a third party or owned and managed internally -- rises less than during the first 250 hours. That is because accounting rules call for fixed costs -- things like pilot salaries, hangar rental and insurance -- to be amortized over that first 250 hours. According to the National Business Aviation Association, its members' airplanes fly an average of roughly 380 hours a year, a number well above the figure generally cited as a minimum for cost-effective operation.

Of course, a company can get carried away with the idea of running up the hours. "The real point is being able to get those top executives where they need to be," Agur says. "If you are trying to put more hours on the airplane and in doing so you make it unavailable to key people, you have unfortunately mortgaged the value of the impact of the airplane to try and create efficiencies."

The NBAA sells a computer program called Travel$ense that lets a company crunch the numbers to determine whether using the airlines or a business jet makes better sense. The value proposition swings heavily in business aviation's favor when companies need to travel to multiple cities in a single day, especially ones with little or no airline service.

"Business aviation and the airlines are complementary," says NBAA president Ed Bolen. "There may be times when one form makes sense over another. We have never said it is an either-or proposition. But what we do know is that for a huge number of missions, business aviation is by far the best alternative."

So don't mothball the company jet just yet. Despite all the rhetoric from Washington, reason can still prevail.

STEPHEN POPE is editor of Business Jet Traveler magazine.

SMARTMONEY ® Layout and look and feel of SmartMoney.com are trademarks of SmartMoney, a joint venture between Dow Jones & Company, Inc. and Hearst SM Partnership. © 1995 - 2009 SmartMoney. All Rights Reserved.

Source: SmartMoney.com | 24 Apr 2009 | 4:00 am

Ford's Surprise, Tech Earnings Lift Futures (Market Update)

News at a Glance

• Winning in Detroit: Ford delights with a $1.4 bln loss.
• Early Bump: Futures rise after earnings surprise.
• Software Slump: Microsoft posts first sales drop.
• Global Summit: Geithner to address banks at G-7 meeting.

The Lowdown

A suprising quarter from one of the nation's top automakers has Wall Street cheering.

Stocks headed toward a higher open Friday morning after Ford (F) said it lost substantially less than analysts had expected during the first quarter. Shortly before 7:45 a.m., Dow, Nasdaq and S&P 500 futures were trading above fair value.

Ford, the only major U.S. automaker to opt out of a federal bailout, lost $1.4 billion, or 60 cents a share, during the first three months of the year. Excluding one-time charges, the firm lost 75 cents a share -- still better than Street estimates of a loss of $1.23 a share.

The tech sector offered a mixed bag of earnings. Microsoft (MSFT) posted its first year-over-year sales drop in company history, though traders appeared to welcome the firm's cost-cutting plans and its ability to meet estimates. Amazon (AMZN) beat the Street as consumers flocked to the sit seeking value during the downturn. Netflix (NFLX) missed estimates, despite a surge in subscribers.

In Washington, the results of the Obama administration's "stress tests" on 19 of the nation's top financial institutions is scheduled to be released today. The tests were designed to reveal how the banks would perform under more dire financial and economic circumstances and to assess their capital needs.

Separately, Treasury Secretary Timothy Geithner prepared to address the Group of Seven nations this weekend to discuss the Obama administration's plan to right the global financial system. Geithner is expected to discuss ways to loosen the credit markets in order to get banks to start lending again.

In energy, crude leaned positive before the bell. Shortly after 7:30 a.m., oil traded up 66 cents at $50.28 a barrel.

World markets were mixed. In Asia, Japan's Nikkei fell 1.6%, while Hong Kong's Hang Seng picked up 0.3%. In Europe, the U.K.'s FTSE stood up 2.4% in afternoon trading after the British Office for National Statistics said the nation's economy shrank 1.9% during the first quarter, the largest quarterly decline since 1979.

Corporate News

• Ford (F) posted a first-quarter loss of $1.4 billion, or 60 cents a share, well above of analysts' estimates. "Despite the challenges, Ford made strong progress on our transformation plan by gaining share with strong new products, slowing operating-related cash outflows, reducing outstanding debt, lowering our structural costs and reaching new agreements with the UAW," Ford President and Chief Executive Alan Mulally said in a statement.
• Microsoft (MSFT) reported its first year-over-year quarterly revenue decline in company history and failed to provide near-term guidance, as a slowdown in the personal computer market weighed on the firm's ability to sell its operating system. Microsoft's revenue fell 6% to $13.6 billion. The firm earned 39 cents a share, which was good enough to meet estimates. Still, Microsoft said it would suspend pay raises in the next fiscal year.
• Amazon (AMZN) beat analysts' first-quarter profit and revenue estimates, as customers' new focus on value attracted them to the site. The firm, which also benefited from sales of its Kindle electronic book readers, earned $177 million, or 41 cents a share, up from $143 million, or 34 cents a share, in the year-ago period.
• Netflix (NFLX) added 920,000 subscribers to its video rental service last quarter, the most new customers out of any quarter in the company's history. However, the new users did not translate to the kind of results analysts had been expecting. The firm earned $22.4 million, or 37 cents a share, up 68% from the year-ago period, but shy of Wall Street's estimate of 41 cents a share.

The Economy

• The March report on durable goods orders, a measure of demand, is scheduled to be released at 8:30 a.m. by the Commerce Department. In February, orders rose 5.1%. Economists expect a March decline of 1.5%.
• The March reading of the annual rate of new home sales is scheduled to be released at 10 a.m. by the Commerce Department. In February, the annual rate stood at 337,000 sales. For March, economists expect no change.

SMARTMONEY ® Layout and look and feel of SmartMoney.com are trademarks of SmartMoney, a joint venture between Dow Jones & Company, Inc. and Hearst SM Partnership. © 1995 - 2009 SmartMoney. All Rights Reserved.

Source: SmartMoney.com | 24 Apr 2009 | 4:00 am

10 Things Your Farmer's Market Won't Tell You (10 Things)

1. “You may not shop here, but your tax dollars support our market.”

Farmer’s markets aren’t just quaint hallmarks of rural America; they’ve become de rigueur resources for many consumers of fresh produce. Over the past decade, the number of farmer’s markets in the U.S. has more than doubled, to 3,700, as consumer demand for local and seasonally fresh food—as well as the push for new outlets for struggling farmers—has stoked growth. So have your tax dollars.

Since the early 1990s, the Agricultural Marketing Services division of the USDA has been actively spawning new markets, providing feasibility studies, architectural designs, and marketing gewgaws such as farmer’s market coloring books. The support comes out of the government’s desire to assist smaller farms.

While it’s tough to pin down exactly how much tax revenue goes to farmer’s markets, many do receive some federal, state, or municipal support in the form of grants, subsidized administrators, or marketing, according to the USDA. One perk for consumers: As part of its promotion of farmer’s markets nationwide, the USDA keeps a detailed, state-by-state listing of them at www.ams .usda.gov/farmersmarkets/map.htm.

2. “Our produce is a mite pricey.”

Decades ago farmer’s markets sprouted up in cities to combat the suburban flight of grocery stores and to supply low-income residents with inexpensive, fresh produce. These days, though, many farmer’s markets cater to the urban elite. “The idea that you can get food cheaper at a farmer’s market is ancient history,” says Al Courchesne, owner of Frog Hollow Farms in Brentwood, Calif. Courchesne’s organic peaches fetch $3.90 a pound at markets in the Bay Area, over 30 percent more than conventional peaches cost at supermarkets on the West and East coasts.

Why the premium? Small farmer’s market growers often can’t compete with the prices of major grocery chains, which have become ever more cost-competitive in the age of Wal-Mart and other big consolidators. Farmers also say the price is more than compensated for by quality. Supermarkets choose fruit and vegetable varieties for their ability to survive thousands of miles of transportation. Supermarket fruit is also picked well before it’s ripe, Courchesne says, a process that allows it to last longer, but that has the side effect of lessening the sugar content that makes vine-ripened fruit sweeter.

3. “These ‘local’ tomatoes have more SkyMiles than Derek Jeter.”

A spokesperson for the Arizona Department of Agriculture says farmers eager to make a bigger profit have been known to buy produce wholesale, say it was from their land, and take the markup at market. And some farm stands have been known to bring in fruit and vegetables from other regions and sell it as “locally grown.”

While few farmer’s markets have the resources to police the pedigrees of peaches and plums, some states and larger markets employ tougher policies than others. Greenmarket, which operates farmer’s markets at 44 locations in New York City, requires vendors to grow produce within a 170-mile radius of the city and demands that farmers file detailed crop plans. If a farmer shows up with two trucks of corn from a single planned acre, inspectors know those ears aren’t homegrown.

To get the real deal, frequent markets that bill themselves as “producer only.” And get to know the farmers. Ellie Josephs, a die-hard market-goer in Venice, Calif., says she knew one vendor well enough to tell when he was pawning off second-rate fruit and saving his premium goods for another market.

4. “You don’t know from ripe fruit.”

Fire-engine-red apples and oranges round as softballs all stacked in pristine pyramids down at the local supermarket have trained consumers to expect perfect produce. But farm-fresh fruits and vegetables come in all colors, shapes, and sizes. “People aren’t used to vine-ripened produce,” says Randii MacNear, head of the California Federation of Certified Farmers’ Markets. Ultrafresh produce can be more perishable as well. It took Portland, Ore., resident Ev Hu several pints of moldy strawberries to realize she needed to eat her farmer’s market berries within a day.

Fortunately, there are some handy tips to guide you through the stands. No. 1: Look for fruit with broken skin from bird pecks. Vance Corum, a former farmer’s market consultant based in Vancouver, Wash., says birds know which fruit has the highest sugar content. Other gems: A fresh artichoke will squeak when you rub it with a finger; a green bean should stick to your clothes when it’s fresh.

Some markets are helping to educate city dwellers online—the West L.A. Farmer’s Market & Community Fair in Los Angeles posts fact sheets on its website, such as “Asian Vegetables 101.” And many fruits, vegetables, and herbs have national boards that host sites on how to pick and cook fresh produce.

5. “A little dirt on our carrots doesn’t mean they’re organic.”

Fresh doesn’t mean organic. Ever since the USDA implemented the National Organic Program over five years ago, farmers who claim they’re organic are required by law to meet uniform standards for growing produce without synthetic pesticides and fertilizers. But few farmers, even those at folksy farmer’s markets, are certified organic. “As a general rule, most produce at farmer’s markets is conventionally grown,” says Anthony Piccola, an organic tomato farmer near Austin, Tex.

Nationwide, only 9,000 farms out of 2 million have certification, according to the Organic Farming Research Foundation in Santa Cruz, Calif. But some farmers do claim they’re organic when they’re not, Piccola says. They might also use terms such as “natural” or “hormone-free” to imply organic status.

How does a shopper know whether a farmer is truly organic? You can start by asking. Chicago resident Barbara Aitcheson passed on apples at her local market after the vendor told her they were sprayed with pesticides. For a more objective source, go to www.localharvest .org to locate organic farms in your area as well as find information about the various kinds of organic status.

6. “Our crowds are worse than Monday morning rush hour.”

Open-air markets began as folksy alternatives to jam-packed supermarkets, a place where shoppers could stroll in the sunshine and leisurely chat with farmers. Many still are. But numerous others have become mosh pits for foodies, drawing crowds that rival those at rock concerts. During peak season on a Saturday, nearly 60,000 people shop at Greenmarket’s Union Square location in New York City. “You have to push people aside and squeeze under their legs to get to vendors. It’s stressful,” says shopper Necmiye Onder.

And the crowds aren’t just relegated to big cities. In Madison, Wis., the Dane County Farmer’s Market surrounding the state capitol building draws more than 20,000 people each week. Market manager Larry Johnson says the foot-traffic flow has had to adapt to the throngs. “People move in a counterclockwise direction around the capitol,” he says. “If you don’t, you get run over.”

So how do you beat the masses? Go early. Serious shoppers arrive at the Dane County market at 6 a.m. Or shop online. Many farms such as Frog Hollow in Brentwood, Calif., have websites (www.froghollow.com) and will ship fresh produce directly to the consumer.

7. “These days even supermarkets sell cactus leaves.”

Farmer’s markets pride themselves on offering unique products, but grocery stores have become far more specialized and competitive. The lollo rosso lettuce at your local farmer’s market can now be found in convenient salad bags at supermarket chains. Even Wegmans sells regional specialties such as cactus and jicama.

Traditional supermarkets are even borrowing farmer’s market techniques, slicing open apples for consumers to sample, stocking organic produce, and buying locally. Daytona Beach, Fla., resident Geraldine Schwartz, for example, buys local tomatoes at her Winn-Dixie supermarket. “People are demanding it,” she says.

However, you’ll still find more variety at most farmer’s markets. There are about 14 different types of meat, including emu and ostrich, offered at the Dane County market in Madison. If the produce at your local farmer’s market starts to look too familiar, get to know the vendors and let them know you’ll be first in line to buy their next batch of Suncrest peaches.

8. “Conversation? Don’t much care for it.”

Though talking with vendors about the ins and outs of the produce is part of the appeal of an outdoor market, on the whole, farmers aren’t generally a bunch of Chatty Kathys. For many, the only contact they have with groups of people is on market day—and most farmers like it that way. What’s more, all the work it takes to get to market would make anyone a tad grumpy. Life for the small farmer entails long hours of back-bending work; it’s not uncommon to rise at 2 a.m. and drive five hours to sell at urban markets. “I’m not about to entertain anyone,” says vendor Piccola.

Still, realizing that a smile goes a long way toward selling a zebra tomato, Piccola says he has become far more convivial and now tries to get to know his customers one-on-one. Other farmers are attending seminars to learn how to be more consumer-friendly. In Caruthersville, Mo., farmer John Hutchinson has counseled new vendors on the finer points of salesmanship. And consultant Vance Corum has traveled to Moscow, Idaho, to lecture farmers on market-day etiquette— advising them to wear a clean shirt, for example, and avoid loitering on the back of their pickup trucks.

9. “Our samples are about as sanitary as a bowl of bar nuts.”

Everything from apple slices and goat cheese to caramel corn gets doled out at farmer’s markets. But with so many shoppers fondling bowls of orange sections, these freebies can be a breeding ground for bacteria. “Who knows whose fingers have been in there?” says Ellie Josephs from Venice, Calif., noting that she steers clear of free samples.

To cut down on food-borne illnesses such as salmonella and E. coli, farmer’s markets have rules about dispensing samples. Some states regulate this area, too. California, for example, requires farmers to wash knives with bleach and set out toothpicks to pluck berries from trays. But it’s difficult for market managers to maintain these policies, says MacNear, of the California Federation of Certified Farmers’ Markets. For that reason, many markets are forgoing sample grazing altogether. If you’re queasy about a farmer’s freebie tray, ask the vendor for a whole piece of washed fruit to taste.

10. “Fresh? Absolutely. Clean? Not even close.”

Fruits and veggies at farmer’s markets are fresh. But that doesn’t mean they’re ready to eat. “The produce and fruit [at farmer’s markets] are not sold as ready-to-eat or cleaned beforehand,” MacNear says. While farmers who sell produce to supermarkets typically flush-wash it for at least 15 minutes, reducing the potential for crosscontamination with bacteria found in fertilizers and on farmers’ hands, vendors heading for open-air markets typically don’t hose down their wares.

Supermarkets also have other systems in place to protect produce. At chains such as Whole Foods, Wegmans, and Wal-Mart, “Third-party audits are done to ensure the supply chain is as safe as possible,” according to Meg Major, fresh food editor for Progressive Grocer, an industry publication. “This is a pretty common practice for retailers these days.” New York-based grocery chain Pathmark employs its own sanitarians, who routinely inspect its fruit and vegetables to guard against food-borne illnesses, says a company spokesperson.

Farmer’s market shoppers should never eat fruit or vegetables before washing them. Market-goers also should wash their hands after handling samples or attending other farmer’s market events. In August of 2002, 82 people got sick after visiting a sheep and goat exhibit at an Oregon County fair, where they came into contact with bacteria surrounding the animals. The incident resulted in the state’s largest E. coli outbreak.

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Source: SmartMoney.com | 24 Apr 2009 | 4:00 am

Hotel Deals Abound, but So Do Sneaky Fees (Deal of the Day)

Getting a fourth night free when you book a three-night stay at a hotel is a pretty sweet -- and nowadays, pretty common -- deal. In fact, hotels are also offering food credits, spa discounts, even gift certificates to Amazon.com (see some deals in the table below) all in the hopes of luring travelers to fill their empty rooms.

Yet the deals aren't so rewarding when it comes time to check out. Hotels tack on fees for everything from receiving a package to using the Internet -- all of which can really add up. Indeed, the industry collected $1.75 billion in fees and surcharges in 2008 and in 2007 -- the highest amount to date, according to Bjorn Hanson, professor at NYU’s Tisch Center for Hospitality, Tourism and Sports Management.

Hanson predicts that figure will decline in 2009, however, but mainly because of decreased occupancy. Those irksome charges aren’t going anywhere.

To avoid the shock of a $100 early departure fee or $14 charge for using the Internet, travelers need to do their research well before they reserve the room. Here’s what you need to know before booking your next trip.

Don't assume anything is free

That bottle of water and bag of chips next to the bed probably aren't gifts from the hotel manager. Before you take a sip, ask the front desk if there’s a charge. And while Wi-Fi access is an increasingly ubiquitous amenity at most hotels, there’s often a charge – ranging from $10 to $17 a day – to use it. If you know you’ll need to get online and don’t want to pay, look for free Wi-Fi hotspots in the area or seek out a hotel that offers it free.

A change of plans can cost you

Arriving a day late for check-in or deciding to return home early can result in significant charges. At the DoubleTree Club Hotel in Las Vegas, for instance, guests who leave prior to their reserved departure date get $100 tacked onto their bill or the equivalent of one night’s stay plus tax, whichever is less. The best way to avoid getting dinged: Notify the front desk as soon as you know your change of plans. To be on the safe side, ask the hotel before you arrive what their cancellation policy is.

Beware of the disclosure gaps

While taxes and resort fees are commonly listed when making a reservation, other charges based on guests’ transactions – like making phone calls and sending a fax – are not as evident. The big travel booking sites like Expedia (EXPE) and Orbitz (OWW) don’t include comprehensive lists of surcharges when you book a stay and hotels aren’t always so forthcoming about them on their own sites either.

When booking a reservation at the Westin San Francisco Market Street in May, for example, the site quoted a room rate of $148 a night, including taxes. What’s less obvious: The fact that checking email costs $14.95 a day and parking will set you back $48 a night. Leave a day early and you’ll get slapped with a $50 early departure fee. (If you prepaid for your entire reservation, of course, you get no refund.)

Lack of fee disclosure is so common that one hotel has turned it into a marketing gimmick. This week, the Sheraton Chicago announced a “No Hidden Fees” package valid through Sept. 7.

Be proactive and dispute charges

When making a reservation, either through the hotel’s reservation desk or a travel agent, ask if there are any automatic fees that could be charged in addition to the room and standard taxes. Feel free to grill the reservationist and ask for his or her name or identification number. That way, if you get hit with a fee you weren’t aware of, tell the front desk who you spoke with.

If you do get charged -- either for a service you didn't use or were told you wouldn't get charged for -- politely ask the front desk to remove the charges. You’ll have better success disputing a charge in person than over the phone later. Just don’t expect too much clemency from the staff. These types of fees are waived less frequently than they used to be, says Hanson.