By:  Lynn Green

Yvette sent me a heart warming article. Check this out:

After selling a majority stake in Miami-based City National Bancshares last November, all he did was take $60 million of the proceeds — $60 million out of his own pocket — and hand it to his tellers, bookkeepers, clerks, everyone on the payroll. All 399 workers on the staff received bonuses, and he even tracked down 72 former employees so they could share in the windfall.

For longtime employees, the bonus — based on years of service — amounted to tens of thousands of dollars, and in some cases, more than $100,000.

At a time when financial titans are being paraded before Congress to explain how they blew billions on executives’ bonuses even as they received a taxpayer bailout, the big-hearted banker’s selfless deed stands out.

”I retired seven years ago, and all of a sudden I get this wonderful letter and phone call,” said Evelyn J. Budde, who spent 43 years at City National Bank of Florida, rising to vice president.

”I was shocked,” said William Perry. In 43 ½ the years at City National, he climbed from janitor to vice president. Like many longtime City National employees, he forged an unbreakable bond with the bank that continued into retirement. Perry returns regularly for the annual employees’ dinner.

Abess didn’t publicize what he had done. He didn’t even show up at the bank to bask in his employees’ gratitude on the day the bonus envelopes were distributed. He was inundated with letters soon afterward.

Asked later what motivated him, Abess said he had long dreamed of a way to reward employees. He had been thinking of creating an employee stock option plan before he decided to sell the bank.

”Those people who joined me and stayed with me at the bank with no promise of equity — I always thought some day I’m going to surprise them,” he said. “I sure as heck don’t need [the money].”

SOURCE

He is going to truly be blessed as a direct result of his giving. The bible says you reap what you sow and that it’s better to give than it is to receive. This man has truly blessed some people and since no one can beat God giving, he has some real blessings coming his way. And the best blessings come in forms other than money.

By:  Lynn Green

Barack has done what very few have dared do. He took on Wall Street. Thank God that this no-nonsense man is sitting in office confronting the money grabbing, money hungry scoundrels.

President Barack Obama issued a withering critique Thursday of Wall Street corporate behavior, calling it “the height of irresponsibility” for Wall Street employees to be paid more than $18 billion in bonuses last year while their financial sector was crumbling.

“It is shameful,” Obama said from the Oval Office. “And part of what we’re going to need is for the folks on Wall Street who are asking for help to show some restraint, and show some discipline, and show some sense of responsibility.”

The president’s comments, made with new Treasury Secretary Timothy Geithner at his side, came in swift response to a report that employees of the New York financial world garnered an estimated $18.4 billion in bonuses last year. The figure, from the New York state comptroller, drew prominent news coverage.

Thanks for taking a stand, President Obama!

SOURCE

By:  Lynn Green

America is in more trouble than I can remember us ever being in. We have a nut case out in California using this economic situation as an excuse to wipe out his entire family. We have people losing their homes. Folks are losing their jobs. Others losing their cars.

Keep in mind that when Clinton left office, the economy was healthy and sound. Bush got in there and ruined us via all those wars and other crazy spending.

Thank God for Obama. No, he is far from perfect. ALL of us are! But at least the man cares about the condition of this nation:

The House on Wednesday evening passed an $819 billion economic stimulus package Wednesday on a party-line vote, despite President Obama’s efforts to achieve bipartisan support for the bill.

The final vote was 244 to 188. No Republicans voted for the bill, while 11 Democrats voted against it.

The Senate is likely to take up the bill next week.

“I hope that we can continue to strengthen this plan before it gets to my desk,” Obama said in a statement after the vote. “We must move swiftly and boldly to put Americans back to work, and that is exactly what this plan begins to do.”

SOURCE

By:  Lynn Green

UPDATE:  I got a response back from Chicago base Ariel today (12/30/08). They are NOT the Ariel involved in the Madoff scandal. Apparently there are two Ariels out there.

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Unless you have been living on the moon, you all have heard of the scam involving Madoff.

During the course of the news reports, I kept thinking of one of the largest black owned investment firms out there — Ariel, founded by John W. Rogers  and whose president is Melody Hobson. Go HERE to hear her speak on NPR.

It is so refreshing to see black folks living large, educated and doing exceptionally well financially and otherwise.

I was disappointed today to read the news and see that Ariel has been named in a lawsuit involving the Madoff scandal:

Merkin, who is chairman of GMAC LLC, is named in the lawsuit brought by NYU, along with his Gabriel Capital LP fund and Ariel Fund Ltd. GMAC is the finance business owned by General Motors Corp and private equity firm Cerberus Capital Management LP.

“The Funds ‘feeding’ money to Madoff, including Ariel, made a conscious effort to conceal Madoff’s involvement from their own investors,” the NYU lawsuit said. “This concealment was a requirement dictated by Madoff, which was agreed to by Merkin and other ‘feeder’ funds.”

Folks, this looks veeeery serious and I truly hope against hope that maybe there is another Ariel out there and that the Chicago based Ariel is not the company involved in this.

In fact, if any Ariel staff are reading this, please feel free to email me a statement at hicktownpress@gmail.com if this is a misunderstanding. I HOPE it is!

The case is New York University v. Ariel Fund Ltd 08- 08603803 in New York State Supreme Court (Manhattan).

Source

By:  Lynn Green

Starbucks is in financial trouble and Circuit City has filed bankruptcy. Our nation is in trouble and thank GOD the Bush people are out and change is coming in!

Starbucks began shutting the U.S. and Australian stores this summer as part of its nearly yearlong campaign to reverse slowing sales and falling profits at the company. Besides closing the stores, Starbucks has cut more than 1,000 positions — many of which were unfilled — and introduced a slew of new products, including Vivanno smoothie drinks and breakfast pastries.

The company also replaced aging espresso makers, launched new single-cup Clover brewing machines in some markets, retrained baristas and began a loyalty card program to offer customers more value for their cup.

But all the changes did little to boost sales in the fourth quarter, particularly in the U.S, where the turmoil in the economy took a gulp out of consumer spending.

Revenue rose 3 percent to $2.52 billion from $2.44 billion. Analysts expected sales of $2.58 billion. Same-store sales, or sales at locations open at least a year, dropped 8 percent in the U.S. as fewer customers came into the stores. Those that did also spent less, the company said. Same-store sales were flat overseas. SOURCE

I also reported on Starbucks HERE

   In more sad financial news, Circuit City has filed for chapter 11 bankruptcy. The stores closing are listed HERE