| ALL BUSINESS: Banks face more woes from rising delinquencies on second ...
Contrarian investors who think now is the time to start buying beaten-down banking stocks could be in for a shock if they don't carefully review those companies' distressed home-equity loan portfolios. Massive losses tied to subprime-mortgage investments knocked down bank earnings over the last year, spurring investors to flee those stocks. But that could be only the start: Rising delinquencies in home-equity loans and other second mortgages could keep the banks' results from improving anytime soon. In recent days, executives at Citigroup Inc., JPMorgan Chase & Co. and Wells Fargo & Co. said missed loan payments were a factor in their quarterly earnings declines. Most said the problem would only get worse. Why? A so-far small, but growing, number of homeowners who used their homes like an ATM to fund their spending and investment bets are finding themselves in a financial pinch.
Laptop Prop
Now some Democrats are trying to offer a similar response to Rush Limbaugh, who used the phrase "phony soldiers" during a call-in conversation about American soldiers who oppose the war. Rep. Mark Udall authored legislation condemning the remarks, and Senate Majority Leader Harry Reid sent a letter to Limbaugh's boss asking him to disavow them. (He didn't.) Limbaugh, for his part, fought back on his radio show—insisting that Democrats were trying to "smear" him and purposely taking his comments out of context. How did the 2008 Democratic presidential candidates respond? Only John Edwards showed the intensity that GOP candidates did over the MoveOn controversy. Here's a breakdown of how upset everyone is: DEMOCRATS Hillary Clinton
MoveOn: "I don't condone attacks on any American who has served our country honorably and with dedication the way General Petraeus has."
Limbaugh: Did not comment, but signed Sen.
Skepticism of Faculty and Tenure
Neal, president of the American Council of Trustees and Alumni, said that the various polls being conducted by the AAUP, Zogby and others are actually consistent in finding skepticism among members of the public about higher education. She urged academe to view these polls as a "wake up call" to pay attention to critiques that her group and others have made. "Clearly, studies by ACTA and others — indicating declining academic quality and pervasive politics — have made their way into the public consciousness," Neal said. "Yet the higher ed establishment seems to think that if it invokes ‘Academic freedom! Give us your money and leave us alone,’ nothing will come of it." Colleges should respond by taking "immediate steps to be publicly accountable," said Neal.
Brooklyn neighborhoods top subprime foreclosures in nation
A Brooklyn community had the highest subprime foreclosure rate in the state in October, according to Federal Reserve Bank of New York data. One in four homeowners with subprime mortgages in the 11233 zip code, which spans Brooklyn's Bedford-Stuyvesant and Crown Heights neighborhoods, lost their homes, the Fed said. The community had a foreclosure rate of almost four times the national subprime figure of 6.89%, which was the highest since March 2003. Blacks and Latinos are 30% more likely to be charged a higher rate for a home loan than whites with similar credit histories, according to a 2006 study of 50,000 mortgages. Bedford-Stuyvesant and Crown Heights had 194 foreclosures out of 770 subprime borrowers, Fed data show. .
TOP 10 LOCAL BUSINESS STORIES: Look out below Housing bubble bursts ...
Thousands of jobs lost in the home-building and finance industries helped push local and state unemployment rates past the national average for the first time since 2002. Job creation also skidded, dropping several percentage points from 2006 levels. Those faltering indicators generated a $285 million revenue hole through November in the two-year state budget. While gaming executives pointed to the treasury shortfall as evidence of the need for a broad corporate-income or gross-receipts tax, special-interest groups targeted the resort sector for fresh funds. The Nevada State Education Association mounted a petition to raise teachers' salaries through a higher gaming tax, while local lawyer Kermitt Waters launched a drive to triple the levies against the industry. Gaming remains a popular bull's-eye for additional revenue because it is still the state's best-performing economic driver.
Pro-Life supporters gather for vigil
I was young and I was scared," she said. “And the abortion industry prays on the panic of young mothers." And according to those at the rally the abortion industry is very successful. Cliff Temple Baptist Church's Pastor Russell Wagoner told the audience that each day 4,000 unborn children are lost to abortion. By comparison Wagoner said on Sept. 11, 2001, approximately 3,500 people were killed, and the national outrage is not even close to equal. “I see no outcry, I see no weeping, no anger," he said. Wagoner also stressed that abortion is not a political issue. “This is a cry for help for the unborn," he said. Community Chapel Church of God's the Rev. Steve Pearson was also at Tuesday's vigil.
Americans’ debt woes expanding. Now it’s unpaid credit card bills ...
Americans' debt woes expanding. Now it's unpaid credit card bills that are rising By RACHEL KONRAD and BOB PORTERFIELD Associated Press SAN FRANCISCO — Americans are falling behind on their credit card payments at an alarming rate, sending delinquencies and defaults surging by double-digit percentages in the last year and prompting warnings of worse to come.An Associated Press analysis of financial data from the country's largest card issuers also found that the greatest rise was among accounts more than 90 days in arrears.Experts say these signs of the deterioration of finances of many households are partly a byproduct of the subprime mortgage crisis and could spell more trouble ahead for an already sputtering economy."Debt eventually leaks into other areas, whether it starts with the mortgage and goes to the credit card or vice versa," said Cliff Tan, a visiting scholar at Stanford University and an expert on credit risk.
Table Talk
Growing up Southern, it was my favorite birthday cake (though my mother often colored the cream cheese frosting purple, since that was my favorite color). I noticed my friends from Chicago, New York and New England had rarely ever heard of it, though. But about five to ten years ago, red velvet cake began to take hold all over the country. Jessica Simpson and Nick Lahey had one for their wedding cake (well, probably not such a good sign now that I think of it). And that's a red velvet cake shaped like an armadillo for a groom's cake in "Steel Magnolias." Suddenly, RVC was showing up everywhere — and it still is. My favorite in Atlanta? The simple version at Sweet Auburn Bread Company on Auburn Ave. or a slice from A Piece of Cake in Roswell or Buckhead. I'm working on an upcoming RVC piece for the AJC's food section and I want to know: Where do you think the best red velvet cake in Atlanta is? Permalink | Comments (17) | Post your comment | Categories: Dining Deconstructing Decanting By Meridith Ford | Friday, January 18, 2008, 01:01 PM The Atlanta Journal-Constitution At dinner the other night friends were talking about the latest "trend" they've seen at dinner parties — decanting wine.
Dura delays Chapter 11 exit
Dura delays Chapter 11 exit Rochester Hills firm asks court to postpone action while its financing strategy is reevaluated. Terry Kosdrosky and Peg Brickley / Dow Jones Newswires DETROIT -- Auto-parts supplier Dura Automotive Systems Inc. said Thursday it's postponing its Chapter 11 exit financing process in the latest example of the credit crunch hampering bankruptcy exits. Dura, a Rochester Hills-based designer and manufacturer of driver control systems and other products for the automotive industry, said it has asked the Bankruptcy Court in Wilmington, Del., to postpone its confirmation hearing to early next year, when the company will reevaluate its financing strategy. "The credit markets have continued to move against us these past few weeks and the financing terms available in this market are not acceptable to the company," Chairman and Chief Executive Larry Denton said in a statement.
Guardian text timeline
The Guardian is the first national newspaper to appoint a readers' editor, producer of the daily Corrections and Clarifications column. 1999 Guardian Unlimited network of websites is launched in January. By March 2001 GU has over 2.4 million unique users, making it the most popular UK newspaper website. 2001 The Guardian wins widespread acclaim for its coverage of the events of 11th September proclaimed "bold, simple and courageous" at the British Press Awards. 2002 The Newsroom, Guardian and Observer Archive and Visitor Centre, opens its doors. The centre preserves and promotes the histories and values of the newspapers through educational programmes, exhibitions and research. 2003 Life, a new Thursday science and technology supplement, launched. A daily Media Business page was introduced.
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