Friday, July 30, 2010

personal finance budgets


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&#39;Idol&#39; <b>News</b> - The Ellen DeGeneres Show

Ellen, I have to say I was surprised by this news, as I LOVED watching you with the kids on Idol. You will definitely be missed on the show. I respect your decision, however, and only want happiness for you. You have made me laugh, ...

Jennifer Lopez signs deal to become new &#39;American Idol&#39; judge <b>...</b>

Jennifer Lopez has inked a deal to join American Idol's judging panel for its upcoming 10th season, an industry source tells People. The news dropped j...

Northwest <b>News</b>: King County judge won&#39;t take 3rd baby away from <b>...</b>

Two cases, two sets of parents, two sets of charges.



Quizzle's Personal Budgeting Tool by QuizzleTown


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&#39;Idol&#39; <b>News</b> - The Ellen DeGeneres Show

Ellen, I have to say I was surprised by this news, as I LOVED watching you with the kids on Idol. You will definitely be missed on the show. I respect your decision, however, and only want happiness for you. You have made me laugh, ...

Jennifer Lopez signs deal to become new &#39;American Idol&#39; judge <b>...</b>

Jennifer Lopez has inked a deal to join American Idol's judging panel for its upcoming 10th season, an industry source tells People. The news dropped j...

Northwest <b>News</b>: King County judge won&#39;t take 3rd baby away from <b>...</b>

Two cases, two sets of parents, two sets of charges.


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Tuesday, July 27, 2010

foreclosure statistics


How HAMP Makes Elizabeth Warren The Only Choice For Consumer Protection



Thursday, 07/22/2010 - 5:19 pm by Mike Konczal | One Comment

No one else has been a stronger advocate for public disclosure.


There’s a debate going on about who should be nominated to run the Consumer Financial Protection Bureau at the Federal Reserve. One side says Elizabeth Warren, while another says someone from Treasury, likely Michael Barr.


At a quick glance you might not see a big difference. As Felix notes, Michael Barr is very strong on consumer finance.


But I think Warren would be a far superior choice. There are many reasons why, but I want to discuss a very specific one here that distinguishes her from anyone in Treasury. The biggest: she is a strong critic of HAMP, Treasury’s largest intervention into the massive foreclosure crisis hitting millions of regular Americans, and she demands accountability on behalf of the people.


HAMP As Failure


The Home Affordability Modification Program is widely considered to be a failure. Here is Shahien Nasiripour reporting on the latest numbers from June. They haven’t remotely hit the numbers they projected. Homeowners continue to suffer from a lack of modifications due to servicer problems and the overvaluation of their books. I wrote here about how the creator of the mortgage bond instrument in the early 1980s said in 2007 that a major market failure was coming. There was need for government action.


HAMP is such a failure that it is a bit of a game among the financial bloggers as to who has the best write-up of how bad it is each month and what the killer statistics are that prove it. I’m calling Stacy-Marie Ishmael over at FT Alphaville this month’s winner with BarCap vs HUD on HAMP.


Evidence shows that there are principal increases for 80% of the people who go through HAMP. That is the exact opposite of what you’d like to see! It lowers interest rates, but it also increases the length of the loan. And for those who don’t have principal reduction, there is a massively high redefault rate. People lose their homes anyway, even after jumping through cumbersome hoops.




Predatory lending is hard to define, but a product is predatory that sinks people deeper into debt without the expectation that they can pay it off. And that is exactly how HAMP functions. For millions of people HAMP is their main interaction with the government and embodies what the government is capable of, and this creates disillusionment and discredits the liberal state in a profound way.


And Warren Demands Accountability


The Congressional Oversight Panel, lead by Warren, has been in the lead at making information public and bringing the complaints of the people straight to those in power. (It falls under her jurisdiction because HAMP uses TARP money.) When you see the fights on youtube between Warren and Geithner, the biggest ones, the ones that make Geithner cringe the most, it is about how HAMP isn’t working. Click through on that link to watch a video that gets straight to this. She demands accountability from the government and from the banking sector on the single most important issues facing Americans right now.


This is important. There’s pressure to be quiet, to hope that a quick housing and economic recovery will just make this whole foreclosure crisis go away. But Warren has demanded answers. COP released a report in early 2009 about the problems with HAMP, data collection and foreclosure, a report that still stands up. She’s done that at every step of TARP, but it matters here specifically for consumer protection.


And this is exactly how the CFPA should work. They fight to get good information disclosed to the public about how the banks and the Treasury department are failing the American people, reporters and wonks explain the information to the public, Treasury is held accountable. Treasury is currently working overtime to make HAMP work better; every month they are putting pressure where they can to make it better. That’s how a healthy government is supposed to work, but it can only be done if the tone is set by an outsider. And Elizabeth Warren is the one qualified candidate with a proven track record of standing up to the banks and to the Treasury.


And as Steve Clemons wrote: “It’s about time that at minimum, the White House got a ‘team of rivals’ on economic policy rather than just a ‘Team of Rubins.’”


Mike Konczal is a Fellow at the Roosevelt Institute.








Join the Discussion


4 Comments









  • Note: the video is not showing on iPad.

    Any chance of an alternative format (I assume the one on the page is in Flash)?

    Thx.


    Posted by readerOfTeaLeaves | July 9th, 2010 at 11:03 pm











  • Parents, Education, & Symptoms


    Parents have got to get in the game, if they want to continue participating. The education system is an abject failure. It has to be replaced, and the tool is there to do it. Parents do not require permission from government or multinational corporations. Uncontrolled multinational growth is a function of community failure.


    Of course the multinationals want nations, states, communities and individuals competing against each other; their controlling interests naturally breed on control. Of course they pay the economists to argue that competition is the be all and end all. On the one hand parents are competing in a system designed to ensure they lose, and on the other they attempt to give their own children a comparative advantage over other kids, locking failure in for the community.


    The best thing parents can do is build strong, independent communities, so all kids can be successful. In net, parents are isolating their children into a competition with the multinationals, while their own governments are offering them a near-term profit to dissolve their families, paid for by the multinationals, which the governments are competing for, by giving them your money, your property, your taxes, and your ideas. And what makes it all work is parents competing to get in their cars and go shopping to feed the multinationals.


    Economies are self-correcting. Multinationals cannot change their behavior. They destroy their own food chain, new families, by economic design. The multinationals are writing the laws, to which parents are subjected, and to which the multinationals are exempted, in a political system paid for by the parents. If the community is simply an extension of the State, the system may only liquidate. A constitution is designed to protect the State from itself. Only a community can protect liberty, and liberty is the path to the future.


    Much of America is a victim of its own success. The multinationals have grown alongside strong communities. GDP measures consumption cost. It in no way measures investment or profit. The multinationals are simply a looking glass, and what parents see is what they want to see. Politicians tell parents whatever they want to hear, largely that the problem is government or corporate.


    Yes. The more you shop, the longer it will take for the machine to target you, but the machine has caught up to everyone now. An American flag does not make a multinational American. Because some communities choose to be fat, dumb, and lazy in no way limits other communities. Liberty is not subject to majority vote. If a majority jumps off a bridge, will you?


    Anything is fixable, if the right people are in charge. In this case, the parents have to take charge of the economy. There is always a reservoir of goodwill for children somewhere. When you have ruled everything else out, what remains, no matter how improbable, is the solution. Not so ironically, Barack Obama was a community organizer.


    So long as those cleats hold onto the bank, and you have a good strong rope of small businesses, we’ll pick that $500T load.


    Right now, your problem is RICO organization of multinationals through every level of government to preempt participation by small family businesses, to backfill the economy.


    Posted by kevinearick | July 10th, 2010 at 4:26 pm











  • @readerOfTeaLeaves Unfortunately the video we embedded is from GRIT’s site, and they put it up in flash, so there’s not much we can do. Sorry I can’t be of more help!


    Posted by Bryce | July 12th, 2010 at 10:57 am











  • Thanks Bryce. I came back and viewed it on a ‘not-an-iPad’, but appreciate your explanation.


    Posted by readerOfTeaLeaves | July 12th, 2010 at 5:41 pm












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iPhone 4 hitting 17 more countries on Friday | Apple - CNET <b>News</b>

The newest flavor of Apple's smartphone will arrive in additional markets July 30, including Canada, Denmark, Ireland, Italy, and Singapore--but not South Korea. Read this blog post by Lance Whitney on Apple.

Francine Hardaway: <b>News</b> Died This Week

But both the news and journalist Daniel Schorr died this week. Schorr died peacefully after a long and productive life. The news, however, was murdered. Unworthy commentators destroyed news.

Mimicking Apple an imperative for PC makers | Nanotech - The <b>...</b>

PC makers are imitating Apple as fast as they can--and for good reason. Read this blog post by Brooke Crothers on Nanotech - The Circuits Blog.



San Diego County Foreclosure Statistics by Shane Pliskin


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iPhone 4 hitting 17 more countries on Friday | Apple - CNET <b>News</b>

The newest flavor of Apple's smartphone will arrive in additional markets July 30, including Canada, Denmark, Ireland, Italy, and Singapore--but not South Korea. Read this blog post by Lance Whitney on Apple.

Francine Hardaway: <b>News</b> Died This Week

But both the news and journalist Daniel Schorr died this week. Schorr died peacefully after a long and productive life. The news, however, was murdered. Unworthy commentators destroyed news.

Mimicking Apple an imperative for PC makers | Nanotech - The <b>...</b>

PC makers are imitating Apple as fast as they can--and for good reason. Read this blog post by Brooke Crothers on Nanotech - The Circuits Blog.


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San Diego County Foreclosure Statistics by Shane Pliskin


Monday, July 26, 2010

about internet marketing

Susan Payton is the President of Egg Marketing & Public Relations, an Internet marketing firm. She blogs at The Marketing Eggspert Blog. Follow her on Twitter @eggmarketing. Download her newest e-book, “Content is Queen: How Article & Blog Writing Will Increase Your Sales.“

Companies love positive feedback. They share it on Twitterclass="blippr-nobr">Twitter, post it on their website and use it as marketing fodder. But what about when feedback is, well, less than pleasant? What can you do with a handful (or more) of irate customers? Do you ignore them? Bury them out back? Not in today’s social atmosphere.

Rather than try to sweep these unhappy customers under the rug, look at them as a challenge and an opportunity to improve your brand and leverage them for some publicity.

Why You Want Angry Customers

Well, maybe you don’t want angry customers, but let’s be honest — you’ll never have 100 percent customer satisfaction. No one does. So use those unhappy customers to better understand what you’re doing wrong, and learn from the experience. And while you’re at it, turn the angry customers into brand evangelists.

There are several ways to connect with unhappy customers in a meaningful way:

  • Hold a panel or forum in person; give them a tour of your facility and hold a venting session
  • Work virtually; host an online panel to get feedback from them
  • Work one-on-one to understand their concerns and address them individually

In-Person Events

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Dell recently held its first Customer Advisory Panel event at their headquarters in Round Rock, TX. They invited two groups of 15 bloggers and social media gurus. One group was full of people who had negative experiences with the company and who were vocal about their displeasure. The second group was made up of people that Dell considered brand evangelists; people who loved Dell and told others.

The attendees started the morning with their gripes; customer service issues came up again and again. The heads of customer service and marketing were present and actively engaged. As they listened, they took notes, then asked questions and they promised they would make changes.

That type of customer empowerment is important. Now, whether they’ll go through with the promised changes is another story, but it was clear that Dell understood it was time to start paying attention to the public’s perception of its brand, and make some changes to keep their customers.

Nestlé is another company that has been successful at holding an event to let people engage with its brand directly. After a resurgence in interest in the Nestle Boycott a few years ago, Nestlé decided to invite a group of bloggers to what it called its “Happy, Healthy Gathering” in 2009. Mommy bloggers, who’d been tweeting up a storm about the company’s stance on breastfeeding in third world countries, were invited to tour the facilities and give their input on the company.

Whether the event truly changed perceptions remains to be seen, but it did a great deal to show that Nestlé was putting in the effort to reach its audience.

Disclosure: I was one of the bloggers invited to participate Dell’s Customer Advisory Panel.

Virtual Panels

Virtual panels are decidedly less effective than in-person ones. But they can be good replacements for focus groups. Pssst is General Mills’ online testing ground for new products. The company sends participants coupons and free products to try, and in return they are asked to fill out surveys. The program is so successful that bloggers who write about saving money are gladly turning others onto joining Pssst.

Similarly, the Starbucks Passion Panel was designed to get customer feedback — for better or worse. The community of Starbucks drinkers gives their input via surveys and forums.

Passion Panel member Jennifer Boyd said, “Being on the Passion Panel means that I have access to direct input and discussion with other members. It enables me to give my opinion on Starbucks’ current and future products through surveys. The panel is a great way to engage with their loyal customers and solidifies a relationship with a consumer to a brand.”

Wal-Mart’s Elevenmoms platform is another example of how a mix of online community, shopper experience and in-person visits can work together to help the company gather new insights. John Andrews, former Senior Manager of Emerging Media for Wal-Mart and founder of the Elevenmoms, said the community succeeded in getting Wal-Mart’s attention in a few areas where it was lacking.

When the iPhone was launched in Wal-Mart stores, the Elevenmoms were invited to go through the purchase process. Some had no problems, but others did. It took one blogger two hours to buy a phone. Each blogger published her experience, and Wal-Mart took the feedback to its operations staff, who took notes and improved the purchase process.

“The Elevenmoms used direct social media interaction to improve the shopping process,” said Andrews.

Other feedback caused Wal-Mart to reconsider its layaway strategy. Having canceled the layaway plan due to costs, Wal-Mart got some flack from the Elevenmoms, who felt it made it easier to make big purchases. As a result, Wal-Mart developed its Site to Store platform, which provided the benefit of layaway online, so that local stores didn’t incur extra costs.

Disclosure: John Andrews now works with Collective Bias, a company with which I have collaborated on projects.

One-on-One

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Solving a customer’s problems and changing their perception individually is the least cost-effective method, but a little work goes a long way. And it starts with customer service personnel being properly trained to solve problems, and not to simply stick to “the script” at all costs. Look at Zappos or Disney for great examples of how service reps are empowered to solve problems.

Disney empowers each of its “cast members” (staff) to solve a guest’s problem. From the street sweeper to the reservation specialist, everyone has the ability to turn a negative situation into a good one. That might mean replacing a fallen ice cream cone, upgrading a guest’s hotel room, or simply answering politely the most commonly asked question on Disney property: what time is the three o’clock parade?

Disney is so good at customer service, they’ve opened the Disney Institute, a customer service training program helps other corporations use the same techniques that has made Disney such a success.

Likewise, Zappos is also famous for its customer service tactics. The reps don’t use scripts, and seem to genuinely care about solving problems. Many customers are pleasantly surprised when their shipping gets upgraded and they get their shoes even faster – at no additional charge.

By providing instant happiness to the customer, these brands can prevent a lot of the bad karma that comes down the road when an unhappy customer becomes an enraged customer who tells everyone he knows about how bad the company is (no one wants their own version of DellHell).

Conclusion

No matter how you interact with unhappy customers, the point is not to brush them off, and make sure you learn from it. Don’t just pretend to listen and then go on doing business as usual. Take the feedback as constructive criticism that can help you determine your company’s future. How you handle your failures could make you or break you.

More Business Resources from Mashable

- HOW TO: Evaluate Your Social Media Plan/> - Why Your Next Business Card May Be Virtual/> - HOW TO: Improve B2B Sales Productivity with Social Media/> - HOW TO: Use Social Media for Lead Generation/> - HOW TO: Use QR Codes for Small Business Marketing

Stock: Image courtesy of iStockphotoclass="blippr-nobr">iStockphoto, biffspandex

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Viacom v Internet: round one to Internet








Google's won the first round of the enormous lawsuit Viacom brought against it. Viacom is suing Google for $1 billion for not having copyright lawyers inspect all the videos that get uploaded to YouTube before they're made live (they're also asking that Google eliminate private videos because these movies -- often of personal moments in YouTubers' lives -- can't be inspected by Viacom's copyright enforcers).


The lawsuit has been a circus. Filings in the case reveal that Viacom paid dozens of marketing companies to clandestinely upload its videos to YouTube (sometimes "roughing them up" to make them look like pirate-chic leaks). Viacom uploaded so much of its content to YouTube that it actually lost track of which videos were "really" pirated, and which ones it had put there, and sent legal threats to Google over videos it had placed itself.


Other filings reveal profanity-laced email exchanges between different Viacom execs debating who will get to run YouTube when Viacom destroys it with lawsuits, and execs who express their desire to sue YouTube because they can't afford to buy the company and can't replicate its success on their own.


On Wednesday, U.S. District Judge Louis Stanton ruled that YouTube was protected from liability for copyright infringement by the 1998 Digital Millennium Copyright Act (DMCA). The DMCA has a "safe harbor" provision that exempts service providers from copyright liability if they expeditiously remove material on notice that it is infringing. Viacom's unique interpretation of this statute held that online service providers should review all material before it went live. If they're right, you can kiss every message-board, Twitter-feed, photo-hosting service, and blogging platform goodbye -- even if it was worth someone's time to pay a lawyer $500/hour to look at Twitter and approve tweets before they went live, there just aren't enough lawyers in the universe to scratch the surface of these surfaces. For example, YouTube alone gets over 29 hours' worth of video per minute.


Viacom has vowed to appeal.




In dismissing the lawsuit before a trial, Stanton noted that Viacom had spent several months accumulating about 100,000 videos violating its copyright and then sent a mass takedown notice on Feb. 2, 2007. By the next business day, Stanton said, YouTube had removed virtually all of them.


Stanton said there's no dispute that "when YouTube was given the (takedown) notices, it removed the material."


Calling Stanton's reasoning "fundamentally flawed," Viacom said it was looking forward to challenging the decision in appeals court.



Judge sides with Google in $1B Viacom lawsuit
(Thanks, Mike P!)


(Image: Viacom, a Creative Commons Attribution Non-Commercial Share-Alike (2.0) image from mag3737's photostream -- used with permission)

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The &#39;JournoList&#39; Controversy, Fox <b>News</b> and the &#39;Helen Thomas Seat&#39;

But it turns out that one of the journalists disparaging Fox News in e-mails was Michael Scherer of Time magazine. And unlike the other Fox critics on the JournoList, Scherer may actually be in a position to use his authority to hurt ...

This Week&#39;s Health Industry <b>News</b> - Prescriptions Blog - NYTimes.com

More earnings reports from health insurers and drug companies, as well as agency hearings on medical devices.

How Fox <b>News</b> Covered Shirley Sherrod Story | Fox <b>News</b> | Mediaite

Since we broke down how Fox News' coverage could not have possibly led to Shirley Sherrod's forced resignation, the story of FNC's coverage has remained a hot topic on cable news. Dan Abrams and Rick Sanchez debated it, Howard Dean and ...



Nick Whittingham - Metafocus Internet Marketing by metafocusuk


























Sunday, July 25, 2010

why internet marketing




And yet, The Hollywood Reporter finds the movie market gurus slightly embarrassed at what they call the “family stampede.” Family films have well outpaced pre-release projections repeatedly since May, and the studio bosses are puzzled over why these movies “outperform” their guesses. "The simplest answer is that the tracking doesn't include the young kids themselves," Disney distribution boss Chuck Viane said.


"It's just harder to get a handle on what kids are thinking," another brilliant marketer guessed. "Tracking surveys are based on what people express in phone and Internet surveys, and you're not going to find the young kids that way." Pre-release tracking surveys focus on parents. "The nag factor is what drives those kind of movies," a studio executive tartly declared. "The parents might be less inclined than the kids to see a picture, but then the kids pester the parents, and the rest is history."


So why don’t the studio bosses start factoring in the possibility of a “nag factor” from young children, wanting to go to the movies with parents who demand quality for their children, and make some movies accordingly? No million-dollar marketing exec has thought of that yet?


"There can be a disconnect in tracking sometimes about how far a picture will reach across all audiences," said Sony distribution president Rory Bruer, whose gone-to-China remake of "The Karate Kid" debuted last month with a much-better-than expected $55.7 million. "There's no doubt that word-of-mouth is important in that aspect." Maybe the studio underestimated the affinity of parents for the first version of the film, released back in 1984. It's well on its way to grossing $200 million.


Sometimes, pre-tracking surveys are wrong the other way, overestimating turnout. Last fall, pre-release surveys suggested the Michael Jackson tribute film “This Is It” could ring up “$40 million or more” on its first weekend. The actual figure was a lot less: $23 million.


“Despicable Me” is a great example of the “out-performed expectations” story line. The Universal cartoon with the inept bald-headed villain who learns to love and parent three young girls grossed $56.4 million in its opening weekend, although the “experts” expected a much lower $30 to $35 million weekend.


"People think it was a whole host of things contributing to the big opening," one executive told the Hollywood Reporter. "You had some fresh-looking characters, funny trailers and a huge boost from running those trailers with other hit family films over the past several weeks." Surveys had suggested “tepid” interest from consumers.


Anyone watching NBC or Universal's cable channels were subjected to repeated on-screen promos during their favorite shows. NBC also ran a 30-minute “behind the scenes” infomercial on the opening night of the film, since Friday night TV in the summertime isn't a hot spot for advertisers.


Only one R-rated movie has grossed over $100 million this year, the Leonardo di Caprio horror flick “Shutter Island.” It has just been squeezed out of the top ten by “Despicable Me.” Three movies have grossed over $300 million to top the 2010 list: “Toy Story 3” (a daring G), “Alice in Wonderland” (PG), and “Iron Man 2” (PG-13). Three more movies have grossed over $200 million: “Twilight: The Eclipse Saga” (PG-13) and the family cartoons “Shrek Forever After” (PG) and “How to Train Your Dragon” (PG).


Why can’t greedy Hollywood just look at the math and put their money where the American public’s eyes want to go?


Here’s what should follow: more respect from the movie awards shows for these animated films. “Toy Story 3" drew rave reviews across the board. The St. Petersburg Times said it “isn't merely the best movie of the summer -- even with summer just kicking in -- but an immediate candidate for best of the year.” Don’t bet the mortgage.


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Old Spice’s marketing gimmick—a macho guy played with a wink by Isaiah Mustafa—has reached a crescendo on TV and the Web. Tricia Romano on the evolution of black male sex symbols.


From the moment the Old Spice commercial featuring Isaiah Mustafa aired in February America swooned. Who, we wanted to know, was this dashing, tall, dark and handsome figure with impossible abs, a gleaming smile, and a twinkle in his eyes? (Oh, yes, and riding on a horse. One mustn't forget the horse).


Mustafa quickly became a household face—if not name—as the original commercial eventually racked up 13 million views on YouTube.


He's hot enough to make celebrity lesbian Ellen DeGeneres giggle like a school girl when he visited her set, causing her to beg him to recite his Old Spice lines.





Old Spice Guy Hangs Up His Towel


And this week, on the heels of its second installment in the series (featuring Mustafa swan diving into a jacuzzi and landing on a motorcycle), the company invited people to ask questions of "Old Spice Man" on Twitter which Mustafa answered in 30-second clips on YouTube. The result was an instant viral success—the Old Spice YouTube channel was ranked No. 1 on the website. (At least one person wasn’t impressed: Sockington the cat—who has resisted using his popularity for commercial purposes—threw up his paw: “HELLO @OLDSPICE much interest at your viral marketing campaign at sockington hq/litterbox I AM A CAT WITH 68 TIMES MORE FOLLOWERS discuss.”


Sockington’s dissent aside, the success of the Old Spice commercials hinges not only on the clever, almost absurdist imagery and writing, but on Mustafa and his inherent sex appeal.


The Root argued this week in an essay called, "Why The Old Spice Guy Is Good For Black America" that "the success of the Old Spice Guy ... might actually be a sign that being a black man in America is getting slightly easier." Cord Jefferson points out that not so long ago, the black man's role in advertising was as a scary figure to contrast against the white so-called gentlemen; or more recently, as a subservient figure.


I'll go one further than Jefferson: The Old Spice Guy isn't just good for Black America, Mustafa's place in the pop culture pantheon is good for all of America.


As Farai Chideya, former NPR journalist and host of forthcoming radio show, Pop and Politics Radio, explained to me, "You have certain black actors who could sell things, but they usually did them in these nonsexual ways, like Bill Cosby and Jello. Then you had people who were sexual like Billy Dee Williams, who pitched a brand for a black audience," she said. "This is something new where it's for a mainstream, general mixed-race audience."





Caption: Mustafa filmed video responses to some of his lucky Twitter followers, including actress Alyssa Milano.


The choice of a black man as the desired sex object for a national advertising spot aimed at mainstream America, which is to say white America, is particularly perfect right now. It's hard to say whether Mustafa and Old Spice would have paired up 10 or 20 years ago, unless he was a famous star athlete like O.J. Simpson. One could argue that having a handsome black president has softened a lot of people’s ideas of what’s attractive and sexy—Obama’s shaky polls notwithstanding.


Interestingly, Old Spice had another black spokesman before Mustafa: Terry Crews. The hyperactive ad series featured the ex-NFL linebacker topless and yelling in an intense (and funny) way. Chideya says of Crews: "He's not as handsome as Isaiah, but he's also really funny in a way that's more within the black vernacular." Of Mustafa, she says, "This guy is no doubt black, but he's someone who is the modern, urbane, living-in-a-post-racial-Fort Greene kind of a guy."


While Obama braves the fast-moving political tide (we love him, we are irritated and disappointed with him, we loathe him, we love him again), here is this other stunningly handsome, funny black man on our TV, transcending color lines, with—it should be noted—a Muslim name.









Hillary Rodham Clinton Says Despite Withdrawal Plans, US, World <b>...</b>

(July 20) -- US Secretary of State Hillary Rodham Clinton told an international conference in Kabul today that the United States and the world will stand with Afghanistan even after Washington begins withdrawing its troops next summer.

MCFC close to signing Serbian Aleksandar Kolarov from Lazio <b>...</b>

Roberto Mancini last night revealed that the Blues are '99% certain' to sign Aleksandar Kolarov from Lazio.

British <b>news</b> outlet apologizes for &#39;Grand Theft Auto: Rothbury <b>...</b>

Nearly all major news outlets are a joke in my opinion, U.S., British, or otherwise. They are too influenced by personal politics and religious views among other things. So even if unintended (which I too often give them the benefit of ...


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M. Gorky. by Matthew Marco

























Thursday, July 22, 2010

personal finance planning

Last August there was much criticism over the fact that President Obama agreed to give Brazilian Owned Oil Company Petrobras up to $10 Billion Dollars to look for Oil off the Brazil Coast.  At the time it was especially disturbing because the Administration objected to the US Drilling off its own coast, which would have worked toward keeping the price of oil low and help wean us off foreign oil.



Today it is even more disconcerting, Obama's drilling moratorium may have been blocked by a judge today, but Secretary of Interior Salazar intends to announce a new one tomorrow.   And the longer this "moratorium" lasts, the more likely we are to see the Oil Rigs in the gulf move down to Brazil where they are planning to drill for oil in seas twice as deep as the Deepwater Horizon site.



Why would the POTUS pay for a foreign country to drill for oil but object to his own country taking advantage of his own country's resources? And worse why would he fund the oil drilling of another country for it to "steal away" drilling resources from the Gulf sites? Payback.



Last August Ed Morrissey at Hot Air discovered that "coincidentally" just a few days before the announcement of the US Oil Exploration Aid, George Soros the presidential puppet-master, set himself up to make a lot more money from Brazilian Oil Exploration:

His New York-based hedge-fund firm, Soros Fund Management LLC, sold 22 million U.S.-listed common shares of Petrobras, as the Brazilian oil company is known, according to a filing today with the U.S. Securities and Exchange Commission. Soros bought 5.8 million of the company’s U.S.-traded preferred shares.



Soros is taking advantage of the spread between the two types of U.S.-listed Petrobras shares, said Luis Maizel, president of LM Capital Group LLC, which manages about $4 billion. The common shares were 21 percent more expensive than preferred today, according to data compiled by Bloomberg. …



Petrobras preferred shares have also a 10 percent additional dividend, said William Landers, a senior portfolio manager for Latin America at Blackrock Inc.



“Given that there will most likely never be a change in control in the company, I see no reason to pay a higher price for the common shares.” Brazil’s government controls Petrobras and has a majority stake of voting shares.
NICE!  Making money on the spread, and putting himself in a position to make more money from higher dividends just before all the big bucks "donation" from President Obama. Soros must be master of the deal or Obama is the master of the quid quo pro.



According to Front Page Magazine, this Petrobras deal was put in place by the President as a nice way to say thank you to Mr Soros.



Now it’s time for Soros to collect on his investment. The Wall Street Journal recently reported that the Obama administration has committed up to $10 billion to Brazil’s state-owned oil company Petrobras to finance oil exploration off of Brazil’s coast.



Yet Obama historically has opposed expanded oil drilling. This was not only a strategic decision, aimed at pleasing the environmental Left, but also a personal choice, since Obama sincerely believes that drilling is deeply destructive to the natural environment. Thus, as a Senator, Obama voted against permitting the U.S. to drill for oil and natural gas in the Arctic National Wildlife Refuge on the grounds that it would be a crime to despoil such “beautiful real estate.” Similarly, during last year’s presidential campaign, he warned of the “environmental consequences” of oil drilling, and insisted that “we cannot drill our way out of the problem.”



But apparently George Soros can. The president has elected to help another nation with the same type of drilling that he opposes so vehemently for this country, and the reason seems to be Soros’s $811-millon investment in Petrobras. The company just happens to be the largest holding in Soros’s investment fund. Soros’s connection to the company is no secret; he has been investing in Petrobras since 2007. A profitable venture, Petrobras has estimated recoverable reserves for the so-called Tupi oil field of between 5 and 8 billion barrels. With his billion-dollar loan, Obama has taken patronage politics to striking new level.
The Petrobras loan may be a windfall for Soros and Brazil, but it is a bad deal for the US. The administration is prepared to lend up to $10 billion to a foreign company to drill off its coast, when it could bring in $1.7 trillion in government revenue, as well as create thousands of new jobs, by allowing drilling off the coast of the United States.



....The oil deal stinks for other reasons, as well. For instance, there is the rank hypocrisy of Soros – an enthusiastic proponent of global warming theory and environmental liberalism – investing in the fossil fuels whose use he otherwise condemns – and doing so in part with the aid of taxpayer funds. For years, Soros has urged the adoption of a global carbon tax that would punish companies that contribute to global warming. But that didn’t prevent him from plowing money into Petrobras.



The cozy Soros-Obama alliance goes beyond favorable oil deals. It’s also playing a role in the health care debate. Huge demonstrations dedicated to enacting Obama’s universal health care are largely a Soros-financed operation. When tens of thousands of people rallied in the nation’s capital in support of Obama’s health care plan, the demonstrations were organized by Health Care for America Now! (HCAN), a new national grassroots movement of more than 1,000 organizations in 46 states encompassing 30 million people dedicated to winning health reform now.



The “grassroots” organization appears to be more like a gang of interconnected ultra-liberal pressure groups. Among the 21 members of its steering committee are such Soros-funded groups as ACORN, MoveOn.org, and the Center for American Progress (CAP), headed by Clinton former chief of staff John Podesta, who also has been a key adviser to Obama. Soros’s charity, the Open Society Institute, in 2007 gave CAP $1.75 million and approved added grants of $1.25 million.



Obama’s collusion with Soros and his agenda-driven squadrons is an unfortunate turn from an administration that entered office promising unprecedented transparency in the White House. Soros certainly did his share for Obama. Now, with his backing for a billion-dollar oil loan to a Brazilian company, the president has proven more generous to Soros than to the American voters who put him in office.
 There is that Old Saying, Payback's a bitch. Obama's ten billion dollar gift to Petrobras along with the drilling moratorium designed to give the Brazil-based company partially owned by his good friend George Soros, proves that sometimes payback is not a bitch, its a wallet fatten-er.


Kelley wrote recently with the sort of dilemma I get asked about all of the time: Is it better to invest or to prepay a mortgage? We’ve covered this topic in the distant past, but it’s time to review the debate for current readers. First, let’s look at Kelley’s e-mail:



My husband and I are on the right track. At age 25, our only debt lies in our home mortgage. We have the six-month emergency fund in place, I currently meet the 3% 401(k) match offered by my employer, and I started a Roth IRA for myself and my husband last year. I started each Roth IRA with $4,000.


My financial advisor recommended for us to max out each of our Roth IRAs each year. My husband disagrees. He thinks paying off the house is a bigger priority. Starting this year, we’ve made an extra payment on our house each month. If we continue doing this, we can have our house paid off in nine years rather than 30 years. However, we can’t do both.


Currently we’ve decided to throw $1,000 into each Roth each year until the house is paid off. Is this the wise decision? Or is it better to put more toward the Roth IRA and less toward the house?


I understand either option is good because I’m saving money. I’m just curious of which route would be wiser.


Kelley’s right: Both of these options are good. This is like choosing between an apple and an orange. Both taste good, and they’re good for you &madsh; but is one better for you in the long run?


What the experts say

Three years ago, when we last covered this topic (holy cats! — where has the time gone?), I collected the following roundup of advice from personal-finance books:



  • Ric Edleman (Ordinary People, Extraordinary Wealth): Never own your home outright. Instead, get a big 30-year mortgage and never pay it off — regardless of your age and income. “Every time you send an extra $100 to your mortgage company, you deny yourself the opportunity to invest that $100 somewhere else.”


  • Suze Orman (The Laws of Money): Invest in the known before the unknown. Paying off your mortgage offers a guaranteed return on investment. “You cannot live in a tax return. You cannot live in a stock certificate. You live in your home.”


  • Elizabeth Warren (All Your Worth): Save 20% of your income. Use 10% for retirement savings, 5% to accelerate your mortgage, and 5% to save for future dreams. “Paying off your home also does something many financial planners neglect to mention: It gives you freedom. Once that mortgage is gone, just imagine all the freedom in your wallet.”


  • Dave Ramsey (The Total Money Makeover): Prepay your mortgage if you can, but only after you’ve saved an emergency fund, and only if you’re putting at least 15% of your income toward retirement. Don’t use a program designed by a broker; use your own self-discipline.


  • Dominguez and Robin (Your Money or Your Life): “Pay off your mortgage as quickly as possible.” This book, too, was written when interest rates were higher. Also, the authors emphasize frugality over investing.


Financial authors don’t agree on this subject. Maybe the personal finance gurus writing for the web can clear things up?



  • Liz Pulliam Weston at MSN Money: Don’t rush to pay off the mortgage. “You’ve got better things to do with your money, like saving for retirement, building an emergency cushion or even living it up a little.”


  • Walter Updegrave at CNN Money: If you’ve funded your retirement, and if it will make you happy, then pay down the mortgage. Otherwise, it makes more sense to invest.


  • Laura Rowley at Yahoo! Finance: Using very conservative figures, investing instead of prepaying the mortgage yields an extra $400 per year. If you feel compelled to pay down your mortgage, do it. But realize you’re paying a price to do so. (She offers more details at her blog, as well as tips on how to estimate the investment return you need to earn to make it worthwhile.)


  • Bankrate: Pay down your mortgage if your investments would be conservative. Invest if you’re planning to do so for the long term.


  • USA Today: It depends on your income, your monthly expenses, your risk tolerance, and your desire to own your home free and clear.


  • Kiplinger’s: Invest unless you’re near retirement


  • The Dollar Stretcher: Mathematically, it makes more sense to invest, but it all depends on your risk tolerance.


  • My fellow pfbloggers at Bargaineering and Million Dollar Journey recommend that a person do a little of both: pay down the mortgage some and invest some. Free Money Finance says: “If you have the discipline to save/invest the money you would be using to pay off the mortgage, it’s likely that saving/investing is the better option. But if you’re more the “average” person out there managing your money, I still believe it’s a better option to pre-pay your mortgage.”


The Rowley article offers some interesting background to this debate:



Why do so many people choose to put extra money into a mortgage when other options would likely increase their wealth? “This is really remnant of Depression mentality that has persisted from generation to generation,” says [one expert]. At the time, most mortgages had one- to five-year terms, with a lump sum payment due at the end.


“Any shock to income meant you couldn’t afford your payment — mortgages were much more susceptible to economic uncertainty,” [the expert says], and roughly one-quarter of Americans were unemployed during the Great Depression. “It’s fine to pay down your mortgage if it gives you peace of mind, but you should recognize what that peace of mind costs.”


If you’re facing a similar decision, you may find this calculator useful: prepaying your mortgage vs. investing.


The bottom line

My conclusion in 2007 (and the one I still hold today) is that unless your mortgage rate is very high, it makes more sense mathematically to invest your money. But most gurus agree that psychologically, you should do what works for you. If paying off your mortgage would take a weight off your shoulders, then pay off your mortgage. Sure, you might be losing a bit in the long-term, but you’re still making a smart choice. As I said earlier, it’s like choosing between an apple and an orange. One may be better for you, but they’re both good.


Ultimately, I kind of like the choice that Kelley and her husband have made. They’re prepaying their mortgage and putting some toward retirement. But enough of what I think. Kelley really wants to know what you think.


Which option is better? Should she and her husband be pumping as much as possible into their Roth IRAs? Or should they be paying down their mortgage as quickly as they can? Have you been faced with a similar dilemma in the past? What did you choose to do? And would you make the same choice again?










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Cenk Uygur: Why Does Fox <b>News</b> Have More Power Than Any Progressive <b>...</b>

Is there anyone Obama won't fire or throw under the bus if Fox asks him to? What if they ask Obama to fire himself? Would he do it? Or would he just fire Biden and say he met them halfway?

Fox <b>News</b> - Shirley Sherrod | Coverage | Myth - Resigned | Mediaite

Many people from MSNBC's Keith Olbermann to Shirley Sherrod herself have implied Fox News was a driving force behind propping up Andrew Breitbart's out-of-context video that forced her to resign. A more correct assessment might be that ...

ASUS EP101TC Now Shipping with Android | Netbooknews - Netbooks <b>...</b>

Today the Netbook News team went down to the ASUS headquarters to hang out with the Eee Pad team, and we learned something that actually made us breath a sigh of relief. The EP101TC pad will dropping Windows CE and will be shipped with ...



Sponsor: Glifton Gunderson LLC by Julia Delligatti


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Cenk Uygur: Why Does Fox <b>News</b> Have More Power Than Any Progressive <b>...</b>

Is there anyone Obama won't fire or throw under the bus if Fox asks him to? What if they ask Obama to fire himself? Would he do it? Or would he just fire Biden and say he met them halfway?

Fox <b>News</b> - Shirley Sherrod | Coverage | Myth - Resigned | Mediaite

Many people from MSNBC's Keith Olbermann to Shirley Sherrod herself have implied Fox News was a driving force behind propping up Andrew Breitbart's out-of-context video that forced her to resign. A more correct assessment might be that ...

ASUS EP101TC Now Shipping with Android | Netbooknews - Netbooks <b>...</b>

Today the Netbook News team went down to the ASUS headquarters to hang out with the Eee Pad team, and we learned something that actually made us breath a sigh of relief. The EP101TC pad will dropping Windows CE and will be shipped with ...


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Sponsor: Glifton Gunderson LLC by Julia Delligatti































Wednesday, July 21, 2010

managing personal finances


Elon Musk, the CEO of electric-car startup Tesla Motors and rocket-launcher SpaceX, should be applauded for the mighty challenges he's taken on and the powers of persuasion he has deployed to build his companies. But along the way, he discovered that he could stretch the truth, casually and frequently, as a shortcut to getting things done.



Clad in a sheen of bubbly optimism, his mendacity nonetheless has consequences. Through Tesla's IPO, he has now taken hundreds of millions of dollars from taxpayers and public investors who expect not just a return but square dealing from the man who is managing their company for them.



So where has Musk spun the facts?



Critical reporting



Well, let's go with the most recent one: He's lied about me, and VentureBeat, apparently in retaliation for our aggressive and accurate reporting.



In an article published by the Huffington Post, he calls me "Silicon Valley's Jayson Blair." He accused me of making errors, but never once specified them. Here's the truth: I cited Musk's own words from court filings, which we had paid a freelance reporter to find and copy, legally, from a courthouse in Van Nuys, Calif. I also interviewed a host of other sources. I emailed Musk questions and called his lawyer repeatedly before publishing. We went to extra lengths to nail down the facts: Before publishing, VentureBeat editor-in-chief Matt Marshall called Musk and had interviews with at least three Tesla board members.



We make no apologies for seeking the truth about Tesla Motors and Elon Musk, a vital company and an iconic entrepreneur of Silicon Valley. Our reporting (here's one example of our series) helped investors get a more truthful picture of a company that was going public and the man behind it.



Musk also accused me of "collaborating" with the lawyer representing Justine Musk, his ex-wife, in their divorce case. Also false: I picked up the phone and called her lawyer, and he had the courtesy to answer my questions.



Now, we should all be used to Musk insulting journalists who don't report what they're told to. But calling someone a "Jayson Blair" is a troubling assertion to anyone who prefers his insults to have a factual basis.



When I ran fact-checking at Business 2.0 magazine, here's what I would have asked the writer to prove before I'd let him get away with that kind of factual assertion: So, you want to compare this Owen Thomas person to one of journalism's most infamous miscreants. Is Owen Thomas a drug addict? Is Owen Thomas mentally unstable? Has Owen Thomas plagiarized or invented facts? The answer to all of those, in case you were curious, is no.



And so out comes the chief of reporters' red pen.



The one specific claim Musk made about my reputation was that I had written that he was broke. Not true. If you review the story I reported on his personal finances and their impact on Tesla, you'll see I merely quoted Musk's own words from his divorce filing, in which he said that he "ran out of cash."



When VentureBeat first started raising questions about Musk's personal finances, his expensive divorce case, and the impact they might have on Tesla's IPO, a Tesla spokesman initially said that the company had no plans to update its IPO prospectus to reflect our reporting. However, in the end, Tesla updated its SEC filings to acknowledge substantially all of the concerns we raised as potential risk factors investors should consider.



That is the ultimate correction of the record, and it stands today.



Musk's personal spending



There are other whoppers in Musk's piece, such as the suggestion that of the $200,000 per month he's spending, a mere $30,000 a month is going to his own personal household expenses, with the rest going to legal fees in his divorce case. Actually, the figure he told a court is $98,023 a month, according to filings in that case, including $50,000 a month in rent.



The founding of Tesla Motors



An aside to Musk: Making false statements is something the law frowns on.



Oh, but wait, Musk should already know that. He and I met in San Francisco in 2008 for drinks, and over the course of the evening, he made several disparaging remarks about Tesla Motors cofounder Martin Eberhard's management of the company before Musk had ousted him as CEO -- specifically, Musk alleged, for misrepresenting the cost of making the Tesla Roadster. In 2009, Eberhard sued Musk for defamation, citing the comments Musk had made to me, among others. Musk filed a scathing response to the lawsuit, repeating many of his negative claims about Eberhard.



Then it headed to mediation, and the case was settled. Eberhard's lawyer declared himself "very pleased" with the result, and Tesla issued a press release in which Musk said that Eberhard had been "indispensable" to the company in its early days.



The safety of customers' deposits



When Tesla's finances were at their most perilous, in the winter of 2008 and spring of 2009, the company was dependent on advance reservation payments from customers for cash flow. The company's cash balance had run down to $9 million, and the company was struggling to raise $40 million in convertible debt. (He announced that that round had closed in November 2008, while in fact, according to Tesla's SEC filings, it did not close until March 2009.) To raise funds in the meantime, Tesla began taking deposits on the Model S sedan, even though that car was far from production, and continued taking deposits on Roadsters. Musk first told customers that he would personally guarantee the deposits they were placing, "even in the worst case of an Armageddon scenario." Then he said that their deposits were completely at risk and they could lose all their money. One of those statements had to be false.



Musk's history as an entrepreneur



In persuading other investors to back Tesla Motors, Musk has frequently traded on his past success as an entrepreneur at companies like Zip2 and PayPal. But Zip2 was so troubled that one of its venture capitalists, Derek Proudian, had to step in as acting CEO, a move rarely seen at venture-backed companies. And Musk was ousted as CEO of PayPal by his own management team. To this day, Musk tells a version of PayPal's history that few who were there at the time agree with.



Tesla's investors



Most dangerously, Musk has repeatedly made misrepresentations about Tesla's finances. In February 2009, he sent a letter to customers saying that Tesla would start getting funds from a Department of Energy loan in four to five months. In fact, it had not received the loan at that point and there was no certainty it would get it, a point a Tesla spokeswoman had to clarify. (Tricky, that, saying your CEO had misrepresented the facts without calling him a liar.)



He also said Tesla would turn profitable in 2009. Of course, it didn't, as the company's published financials later revealed. (Musk later claimed, using questionable accounting whose details have never been revealed, that the company had been profitable for one month of the year.)



In an interview for the May 2009 issue of Car and Driver, he told that magazine's readers that General Electric had become an investor. It hadn't, and it never did, according to Andy Katell, a GE spokesman who spoke with me at the time.



The Toyota deal



After unveiling an agreement to buy the NUMMI plant in Fremont, Calif., from the Toyota-backed joint venture which owned it, Musk claimed that Tesla and Toyota planned to jointly develop several models of cars and build them at NUMMI. It's true that he got Toyota CEO Akio Toyoda to stand next to him and make grand promises. But in fact, as the company later revealed in its SEC filings, Tesla and Toyota had no agreement to develop any cars, and there was no guarantee that they ever would.



The pity of it all is this: I don't believe Musk twists the truth out of malice. Rather, at this point, it may well be out of habit. He's so used to getting his way that future possibilities just seem like present realities to him. And pragmatically, it's worked. Whenever Tesla has been in a bind, Musk has spun his way out of trouble.



It's a character trait of which elements are found among many successful entrepreneurs: the compelling presentation of an alternate reality in the hopes that so many people will sign on to the vision that it comes true. Apple CEO Steve Jobs, for example, is so masterful at this that people speak of his reality distortion field. But Musk may have taken distortion to extremes.



The question now is whether Musk's past habits will serve him well as the CEO of a publicly traded company. Already, it seems the investors who have entrusted Musk with hundreds of millions of dollars are having doubts. With shares of Tesla having already fallen by nearly half since their post-IPO pop, perhaps Musk's bubble is finally deflating.



But those who are still sticking with the company should ask themselves this: Has Tesla adequately disclosed to investors the risk of its CEO's curious relationship with the truth?



Originally posted at VentureBeat.







Elon Musk, the CEO of electric-car startup Tesla Motors and rocket-launcher SpaceX, should be applauded for the mighty challenges he’s taken on and the powers of persuasion he has deployed to build his companies. But along the way, he discovered that he could stretch the truth, casually and frequently, as a shortcut to getting things done.


Clad in a sheen of bubbly optimism, his mendacity nonetheless has consequences. Through Tesla’s IPO, he has now taken hundreds of millions of dollars from taxpayers and public investors who expect not just a return but square dealing from the man who is managing their company for them.


So where has Musk spun the facts?


Critical reporting


Well, let’s go with the most recent one: He’s lied about me, and VentureBeat, apparently in retaliation for our aggressive and accurate reporting.


In an article published by the Huffington Post, he calls me “Silicon Valley’s Jayson Blair.” He accused me of making errors, but never once specified them. Here’s the truth: I cited Musk’s own words from court filings, which we had paid a freelance reporter to find and copy, legally, from a courthouse in Van Nuys, Calif. I also interviewed a host of other sources. I emailed Musk questions and called his lawyer repeatedly before publishing. We went to extra lengths to nail down the facts: Before publishing, VentureBeat editor-in-chief Matt Marshall called Musk and had interviews with at least three Tesla board members.


We make no apologies for seeking the truth about Tesla Motors and Elon Musk, a vital company and an iconic entrepreneur of Silicon Valley. Our reporting (here’s one example of our series) helped investors get a more truthful picture of a company that was going public and the man behind it.


Musk also accused me of “collaborating” with the lawyer representing Justine Musk, his ex-wife, in their divorce case. Also false: I picked up the phone and called her lawyer, and he had the courtesy to answer my questions.


Now, we should all be used to Musk insulting journalists who don’t report what they’re told to. But calling someone a “Jayson Blair” is a troubling assertion to anyone who prefers his insults to have a factual basis.


When I ran fact-checking at Business 2.0 magazine, here’s what I would have asked the writer to prove before I’d let him get away with that kind of factual assertion: So, you want to compare this Owen Thomas person to one of journalism’s most infamous miscreants. Is Owen Thomas a drug addict? Is Owen Thomas mentally unstable? Has Owen Thomas plagiarized or invented facts? The answer to all of those, in case you were curious, is no.


And so out comes the chief of reporters’ red pen.


The one specific claim Musk made about my reputation was that I had written that he was broke. Not true. If you review the story I reported on his personal finances and their impact on Tesla, you’ll see I merely quoted Musk’s own words from his divorce filing, in which he said that he “ran out of cash.”


When VentureBeat first started raising questions about Musk’s personal finances, his expensive divorce case, and the impact they might have on Tesla’s IPO, a Tesla spokesman initially said that the company had no plans to update its IPO prospectus to reflect our reporting. However, in the end, Tesla updated its SEC filings to acknowledge substantially all of the concerns we raised as potential risk factors investors should consider.


That is the ultimate correction of the record, and it stands today.


Musk’s personal spending


There are other whoppers in Musk’s piece, such as the suggestion that of the $200,000 per month he’s spending, a mere $30,000 a month is going to his own personal household expenses, with the rest going to legal fees in his divorce case. Actually, the figure he told a court is $98,023 a month, according to filings in that case, including $50,000 a month in rent.


The founding of Tesla Motors


An aside to Musk: Making false statements is something the law frowns on.


Oh, but wait, Musk should already know that. He and I met in San Francisco in 2008 for drinks, and over the course of the evening, he made several disparaging remarks about Tesla Motors cofounder Martin Eberhard’s management of the company before Musk had ousted him as CEO — specifically, Musk alleged, for misrepresenting the cost of making the Tesla Roadster. In 2009, Eberhard sued Musk for defamation, citing the comments Musk had made to me, among others. Musk filed a scathing response to the lawsuit, repeating many of his negative claims about Eberhard.


Then it headed to mediation, and the case was settled. Eberhard’s lawyer declared himself “very pleased” with the result, and Tesla issued a press release in which Musk said that Eberhard had been “indispensable” to the company in its early days.


The safety of customers’ deposits


When Tesla’s finances were at their most perilous, in the winter of 2008 and spring of 2009, the company was dependent on advance reservation payments from customers for cash flow. The company’s cash balance had run down to $9 million, and the company was struggling to raise $40 million in convertible debt. (He announced that that round had closed in November 2008, while in fact, according to Tesla’s SEC filings, it did not close until March 2009.) To raise funds in the meantime, Tesla began taking deposits on the Model S sedan, even though that car was far from production, and continued taking deposits on Roadsters. Musk first told customers that he would personally guarantee the deposits they were placing, “even in the worst case of an Armageddon scenario.” Then he said that their deposits were completely at risk and they could lose all their money. One of those statements had to be false.


Musk’s history as an entrepreneur


In persuading other investors to back Tesla Motors, Musk has frequently traded on his past success as an entrepreneur at companies like Zip2 and PayPal. But Zip2 was so troubled that one of its venture capitalists, Derek Proudian, had to step in as acting CEO, a move rarely seen at venture-backed companies. And Musk was ousted as CEO of PayPal by his own management team. To this day, Musk tells a version of PayPal’s history that few who were there at the time agree with.


Tesla’s investors


Most dangerously, Musk has repeatedly made misrepresentations about Tesla’s finances. In February 2009, he sent a letter to customers saying that Tesla would start getting funds from a Department of Energy loan in four to five months. In fact, it had not received the loan at that point and there was no certainty it would get it, a point a Tesla spokeswoman had to clarify. (Tricky, that, saying your CEO had misrepresented the facts without calling him a liar.)


He also said Tesla would turn profitable in 2009. Of course, it didn’t, as the company’s published financials later revealed. (Musk later claimed, using questionable accounting whose details have never been revealed, that the company had been profitable for one month of the year.)


In an interview for the May 2009 issue of Car and Driver, he told that magazine’s readers that General Electric had become an investor. It hadn’t, and it never did, according to Andy Katell, a GE spokesman who spoke with me at the time.


The Toyota deal


After unveiling an agreement to buy the NUMMI plant in Fremont, Calif., from the Toyota-backed joint venture which owned it, Musk claimed that Tesla and Toyota planned to jointly develop several models of cars and build them at NUMMI. It’s true that he got Toyota CEO Akio Toyoda to stand next to him and make grand promises. But in fact, as the company later revealed in its SEC filings, Tesla and Toyota had no agreement to develop any cars, and there was no guarantee that they ever would.


The pity of it all is this: I don’t believe Musk twists the truth out of malice. Rather, at this point, it may well be out of habit. He’s so used to getting his way that future possibilities just seem like present realities to him. And pragmatically, it’s worked. Whenever Tesla has been in a bind, Musk has spun his way out of trouble.


It’s a character trait of which elements are found among many successful entrepreneurs: the compelling presentation of an alternate reality in the hopes that so many people will sign on to the vision that it comes true. Apple CEO Steve Jobs, for example, is so masterful at this that people speak of his reality distortion field. But Musk may have taken distortion to extremes.


The question now is whether Musk’s past habits will serve him well as the CEO of a publicly traded company. Already, it seems the investors who have entrusted Musk with hundreds of millions of dollars are having doubts. With shares of Tesla having already fallen by nearly half since their post-IPO pop, perhaps Musk’s bubble is finally deflating.


But those who are still sticking with the company should ask themselves this: Has Tesla adequately disclosed to investors the risk of its CEO’s curious relationship with the truth?


Next Story: Blizzard Entertainment relents on the use of real names in comments for its game forums Previous Story: Toyota: We’re already building a car to test Tesla’s battery



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Midnight opening for StarCraft II PC <b>News</b> - Page 1 | Eurogamer.net

Read our PC news of Midnight opening for StarCraft II.

Recycled &#39;NCIS&#39; Story Linked To Entertainment <b>News</b> Outsourcing In <b>...</b>

CBS brass got an unpleasant surprise on Sunday when Google News led its entertainment section with a story titled Quartet of 'NCIS' Co-Stars In CBS Limbo. It was dated July 17, labeled exclusive and carried a byline, Elizar Caraelce. ...

Fujifilm unveils F300EXR compact superzoom with Hybrid autofocus <b>...</b>

Fujifilm unveils F300EXR compact superzoom with Hybrid autofocus system: Fujifilm has unveiled the FinePix F300EXR which debuts a new Hybrid autofocus system that the company claims is as fast as that on DSLRs.



MABUHAY ALLIANCE HOST THE 6TH ANNUAL ECONOMIC DEVELOPMENT CONFERENCE by mabuhayalliance






























Tuesday, July 20, 2010

how to budget personal finances



Here’s a timeline of this presentation:



  • The question

  • The expenses side: What would you cut first in order to survive?

  • The income side: How could you double your income next month?


In order to derive any benefit, you’ll need to really adopt the mindset implied in the question. Don’t focus on whether it’s possible, but instead on what would realistically be the first expenses to go and the first steps to replacing the income.


Once you’ve made a list for both sides of the question, you’ll want to review it for any areas that seem realistic, even at your current full income. For example, your first steps may include selling an extra car, canceling an expensive cable package, and slashing your grocery budget in half. In this situation, you’ve likely brainstormed areas of your budget where you aren’t spending as optimally as you may like. You may choose to go ahead and try some of those options out, or at least take steps to narrow the gap between your life at 100% income and your life at 50% income levels.


The same process is important when attempting to make the income back as quickly as possible. Realistic options could include enrolling in a course (applying for aid if needed), launching a side business, and/or picking up new clients or leads. Nearly every time I brainstorm options for doubling my business income, I unearth something I hadn’t thought of before. Acting on these new ideas has helped me tremendously in generating new income (even if it doesn’t immediately double it)!


The next time you’re feeling a bit complacent in your finances, try exploring this simple question. What would be the first expenses you’d cut in order to survive on only half your income? What would be the first steps you’d take if you had to earn it back? I think you’ll be pleasantly surprised by the results of this experiment!











Here’s a timeline of this presentation:



  • The question

  • The expenses side: What would you cut first in order to survive?

  • The income side: How could you double your income next month?


In order to derive any benefit, you’ll need to really adopt the mindset implied in the question. Don’t focus on whether it’s possible, but instead on what would realistically be the first expenses to go and the first steps to replacing the income.


Once you’ve made a list for both sides of the question, you’ll want to review it for any areas that seem realistic, even at your current full income. For example, your first steps may include selling an extra car, canceling an expensive cable package, and slashing your grocery budget in half. In this situation, you’ve likely brainstormed areas of your budget where you aren’t spending as optimally as you may like. You may choose to go ahead and try some of those options out, or at least take steps to narrow the gap between your life at 100% income and your life at 50% income levels.


The same process is important when attempting to make the income back as quickly as possible. Realistic options could include enrolling in a course (applying for aid if needed), launching a side business, and/or picking up new clients or leads. Nearly every time I brainstorm options for doubling my business income, I unearth something I hadn’t thought of before. Acting on these new ideas has helped me tremendously in generating new income (even if it doesn’t immediately double it)!


The next time you’re feeling a bit complacent in your finances, try exploring this simple question. What would be the first expenses you’d cut in order to survive on only half your income? What would be the first steps you’d take if you had to earn it back? I think you’ll be pleasantly surprised by the results of this experiment!










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Budget Guidelines

Most people agree that a major corporation needs an operating budget to be successful. Yet many of those same people may not realize that a personal financial budget is just as crucial at home. A personal budget is simply a plan. It allows you to decide if you can truly afford purchases and enables you to set aside money for savings and retirement. A budget can act as an early warning system—as you compare your actual spending to your budget you can see where you need to make adjustments before you get into serious financial trouble. Budgeting also relieves a lot of financial stress since it can assure you have money to cover everything for the month—assuming, of course, that you follow your budget.

A monthly budget is often the most useful. Use past figures of income and expenses to estimate your monthly budget for the coming year by reviewing your checkbook (or Quicken or Microsoft Money records) for the past twelve months. Some expenses and income items are seasonal or irregular like property taxes (see my article on lowering your property taxes) or dues. Allocate a monthly amount to set aside by dividing the annual amount by 12. What your are shooting for is an estimated picture of your future cash flow.

Listed below are average percentages per general expense category. They are meant as guidelines and suggested maximums.

Average Percentage of Gross Income

Housing + Utilities 25%-40%

Taxes (actual) 20%

Transportation + Upkeep 15%

Food 10%

Clothing 5%

Savings 10%+

Entertainment & Vacations 5%

Debt (credit cards, loans) 5%

Other expenses 5%+

Some expense (and income) items are not easy to figure; food expense is usually one of these. Put down your best estimate. You can always adjust it later. When you have all income and expense items listed, subtract expenses from income. You should have a positive amount remaining; this is your bottom line and cushion for unforeseen expenses. Your goal is to live below your means. A negative bottom line is a sign that you need to work at reducing your expenses or if possible increasing your income. It is often possible to reduce your living expenses without reducing your standard of living. Here are some things to consider:

    Eat out less. Eating at home is less expensive and healthier. That means take your lunch to work, too.

    Write letters or send e-mail instead of calling long distance. If you do call, make sure you call when rates are lowest.

    Bundle your insurance. Many insurance companies offer a multi-policy discount if you carry all of your policies with their company.

    Do you really need the cellular phone? If so, can you switch to a less expensive plan?

    Comparison-shop auto insurance to see if you can reduce your premiums.

    Clip grocery coupons and use them.

    Don't buy anything unless it is on sale.

    Go to the movies in the afternoon—matinee tickets are less expensive.

    Shop at resale shops for clothing.

    Do you really need all those movie channels you pay extra for?

    Don't go to the grocery store or the mall without a list of what you need. If an item isn't on the list, don't buy it.

    If you tend to buy on impulse, go home, wait three days, and the urge will likely pass.

    Keep your credit cards at home rather than in your wallet.

If you have mystery cash (don't know what you spent all that money on) try this: write down a description, the date, and the amount of every transaction for three months. After each transaction, indicate if you paid cash, wrote a check, or used a credit card. By recording when and what you bought and how you paid for it you'll find out how and where you spend money.

Once you've recorded three months spending history, compile the information into a cash flow statement. This will show you from where your money is coming from (cash inflow) and where it is going (cash outflow).

You Have a Budget, Now What?

Each month, compare your actual income and expenses to your budget. Write down the differences between your actual amounts and your budgeted amounts for each category. Monitor your actual versus budget each month to make sure you are sticking to the goals you outlined in your budget.

Create a reward system. Developing a budget and sticking to it does not have to be dull. For example, after you and your family have reached a goal, such as saving for a much needed new dishwasher, enjoy a night out on the town. This helps your budgeting process to be more rewarding.

Hint: If you are very disciplined and pay your credit cards off every month, consider paying some of your recurring bills by credit card. While conventional wisdom indicated that using credit cards to pay your utility bills is a warning sign, if you have a card that offers rewards and you can pay it off every month so you don't incur any interest expense you can make some money or earn rewards points for bills you pay every month anyway.

Read the next article in the series, How to Save Money and Understand Investment Options.

Source: http://www.stcsig.org/cic/OnlineBook/c17intro.htm


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Good <b>news</b> everyone | Firedoglake

30 Responses to “Good news everyone”. Teddy Partridge July 20th, 2010 at 2:08 am. 1. I am fascinated that American politics now revolves around the inclinations of a Cosmo centerfold who succeeded Edward Kennedy in the United States ...

Project Milo back on Xbox 360 <b>News</b> - Page 1 | Eurogamer.net

Read our Xbox 360 news of Project Milo back on. ... Latest Features. Milo & Kate Interview . Milo & Kate Hands On . Milo & Kate Interview . Latest Videos. E3: Project Natal - Milo demo 2 June, 2009. Latest News ...

Breaking <b>News</b>: Lindsey Graham Thinks You Are Stupid | RedState

Oh, and he's voting for Elena Kagan for Supreme Court (can you believe it? No way...) Apparently, in defending Graham's earth-shattering announcement that.


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Monday, July 19, 2010

managing your personal finance

As you’ll read tomorrow (or Monday), I’ve entered a new phase in my life. After years of hard work and long hours building this blog (time that I’ve enjoyed), I’ve been shifting things around so that I have more free time. As a result, I’m going to have more time to devote to creating quality blog posts, instead of rushing around at the last minute looking for something to write about.


Because of this, it’s time yet again to take requests. I do this about once a year, and it’s a great way to get a feel for what GRS readers are interested in. I’d be grateful if you’d take the time to leave a comment below with topic suggestions or article requests. It doesn’t matter if we’ve covered the subject in the past. If you’d like me (or one of the other GRS staff) to write about it, let me know.


Have there been too many articles about credit cards? Too few articles about credit cards? Would you like to know more about individual savings accounts? Do you like the articles about the psychology of spending? Would it be helpful to have somebody come in to explain insurance concepts in plain English? Should I try to persuade my wife to share more of her recipes now and then? Let me know what you’d like to read about!


While you’re all providing feedback about the site, here are a few recent articles of note:


Over at The Simple Dollar, Trent and his readers had a thoughtful discussion about the obligations of wealth. “I think there is some inherent distrust of the rich in the mainstream of American society,” Trent writes as he describes how a wealthy person can keep from alienating his friends. There’s so much to say about this topic; I’m tempted to write an entire article about it.


GRS reader Steven writes a blog called Hundred Goals, which is about achieving your goals while managing your finances. After Sierra’s post this morning about travel, he dropped me a line to let me know that he has a recent article about how to have a great vacation.


Speaking of vacation, my pal Jason over at No Credit Needed spent time compiling day-use fees and free days for state parks across the United States. Handy page to bookmark!


And here’s more travel! At The Art of Non-Conformity, my good friend Chris Guillebeau has posted a beginner’s guide to travel hacking. I’ve been asking him to share this info for a long time; now I’ve got to take responsibility to use the knowledge he’s shared.


Finally, I’ve been giving a lot of interviews lately. I’m much more comfortable with these than I used to be. (They used to scare me to death!) Some examples:



  • Colleen from The Frisky interviewed me about how to save money even when you’re living paycheck to paycheck. This is a tough quandary, something I’m asked about a lot.


  • In an interview with BeFrugal, I discuss frugality, happiness, and conscious spending. (Note: “the ballot” should be “the balance” — I must have mumbled.)


  • Jeff Rose at Good Financial Cents also interviewed me. This interview is very much about the process of writing a book, which may or may not interest you.


  • I also spoke with Beverly Harzog from Card Ratings. We chatted about credit cards, of course, but also about other aspects of personal finance.


  • Finally, USA Weekend has a short piece on how to give your 401(k) a midyear check, for which author Richard Eisenberg interviewed me back in May. This is a perfect example of how much work goes into even a small newspaper article. Eisenberg spent 20-30 minutes on the phone with me, and I’m sure he did the same with the other folks he quotes. Plus, I’ll bet he spent a lot of time writing. I wouldn’t be surprised if there were 4-6 hours in this small piece.


Okay, one last thing before I go. Tim pointed me to a two-year-old New York Times series about the debt trap, which includes an interactive infographic showing average household debt loads over the past century.


That’s enough links for today. Please do leave a comment with topic requests or other feedback. Meanwhile, it’s time for me to go do some yardwork…









As you’ll read tomorrow (or Monday), I’ve entered a new phase in my life. After years of hard work and long hours building this blog (time that I’ve enjoyed), I’ve been shifting things around so that I have more free time. As a result, I’m going to have more time to devote to creating quality blog posts, instead of rushing around at the last minute looking for something to write about.


Because of this, it’s time yet again to take requests. I do this about once a year, and it’s a great way to get a feel for what GRS readers are interested in. I’d be grateful if you’d take the time to leave a comment below with topic suggestions or article requests. It doesn’t matter if we’ve covered the subject in the past. If you’d like me (or one of the other GRS staff) to write about it, let me know.


Have there been too many articles about credit cards? Too few articles about credit cards? Would you like to know more about individual savings accounts? Do you like the articles about the psychology of spending? Would it be helpful to have somebody come in to explain insurance concepts in plain English? Should I try to persuade my wife to share more of her recipes now and then? Let me know what you’d like to read about!


While you’re all providing feedback about the site, here are a few recent articles of note:


Over at The Simple Dollar, Trent and his readers had a thoughtful discussion about the obligations of wealth. “I think there is some inherent distrust of the rich in the mainstream of American society,” Trent writes as he describes how a wealthy person can keep from alienating his friends. There’s so much to say about this topic; I’m tempted to write an entire article about it.


GRS reader Steven writes a blog called Hundred Goals, which is about achieving your goals while managing your finances. After Sierra’s post this morning about travel, he dropped me a line to let me know that he has a recent article about how to have a great vacation.


Speaking of vacation, my pal Jason over at No Credit Needed spent time compiling day-use fees and free days for state parks across the United States. Handy page to bookmark!


And here’s more travel! At The Art of Non-Conformity, my good friend Chris Guillebeau has posted a beginner’s guide to travel hacking. I’ve been asking him to share this info for a long time; now I’ve got to take responsibility to use the knowledge he’s shared.


Finally, I’ve been giving a lot of interviews lately. I’m much more comfortable with these than I used to be. (They used to scare me to death!) Some examples:



  • Colleen from The Frisky interviewed me about how to save money even when you’re living paycheck to paycheck. This is a tough quandary, something I’m asked about a lot.


  • In an interview with BeFrugal, I discuss frugality, happiness, and conscious spending. (Note: “the ballot” should be “the balance” — I must have mumbled.)


  • Jeff Rose at Good Financial Cents also interviewed me. This interview is very much about the process of writing a book, which may or may not interest you.


  • I also spoke with Beverly Harzog from Card Ratings. We chatted about credit cards, of course, but also about other aspects of personal finance.


  • Finally, USA Weekend has a short piece on how to give your 401(k) a midyear check, for which author Richard Eisenberg interviewed me back in May. This is a perfect example of how much work goes into even a small newspaper article. Eisenberg spent 20-30 minutes on the phone with me, and I’m sure he did the same with the other folks he quotes. Plus, I’ll bet he spent a lot of time writing. I wouldn’t be surprised if there were 4-6 hours in this small piece.


Okay, one last thing before I go. Tim pointed me to a two-year-old New York Times series about the debt trap, which includes an interactive infographic showing average household debt loads over the past century.


That’s enough links for today. Please do leave a comment with topic requests or other feedback. Meanwhile, it’s time for me to go do some yardwork…










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People attend school for 12 years and are never taught personal finance. By definition, personal finance addresses the ways in which individuals or families obtain, budget, save, and spend money. It includes obtaining and managing checking accounts, credit cards, loans, retirement plans, social security, insurance, income tax and 401k information.

Children learn key subjects such as math and reading, but they don't learn anything about personal finance. Learning about personal financial matters such as budgeting, emergency funds, and savings are a part of every household. Personal finance is all about your money management techniques. How much you have at the end of every check is dictated by your ability to manage money well. The schools don't teach it, churches don't preach it, and parents can't teach it.

Money management skills that encourage planning and saving have to be taught. These skills can't be assumed. Discipline isn't like hearing and seeing, people aren't born with the ability to be disciplined and save money. It takes training and practice to learn how to become disciplined and manage money well.

Schools haven't seen a need to prepare children for personal finance or money management. The education process assumes these skills are taught at home. But, where did the parents learn the skills from? There is a great chance that most parents don't know enough about personal finance to teach their children correctly. This creates a blind leading the blind scenario. Money management discussions are rarely if ever held in most homes. These discussions didn't occur in our house when I was growing up. Children ask questions about what Santa Claus is bringing for Christmas but they never ask why the lights are on or if the bills are paid.

The lack of proper personal finance training and poor money management skills causes havoc and chaos in people's lives. All too often people entertain discussions on being in debt. They tell you how they are making partial payments or late payments on their bills. People talk and complain all of the time about not having enough money to pay their bills or not having enough money left over after paying the bills.

Splurging is not a solution. Fulfilling instant gratifications and buying things because you see and want them doesn't show discipline. The home shopping networks know they have a market for you. When you see the item and it's displayed so beautifully, you tell yourself you just got to have it. There is a great chance that when the item is delivered you'll have forgotten you purchased it. Often, these articles are thrown in a drawer or put up for safe keeping and never used. Everyone remembers the special occasion that necessitated the perfect outfit ensemble. A must have outfit has caused many gas and electric bills to remain unpaid.

Personal finance and money management skills should be taught to everyone if the truth were told. Some people need the training worse than others. Everyone can benefit from learning about how to manage money better. Children need to be taught as early as possible and the schools should require it as part of their curriculum.

America saves less than 5 percent of their income because we haven't been taught how to save. Seeking the services of a financial advisor whose profession is to teach personal finance skills will help Americans save more. A financial advisor is different than a financial planner. Don't get the two different professions mixed up. A financial advisor also known as a financial coach will teach you how to change your attitude about money. Learning how to plan and budget sounds simple but these skills present a great challenge to the average person. Learning what an emergency fund is and how to save for it while incorporating your current and future goals take skill.

Learn how to plan a course for financial well being. You can stop living from paycheck to paycheck if you commit to learning about personal finance and improve your money management skills. Awaken the financial genius in you.


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CNBC and covering the Apple <b>news</b> conference « Talking Biz <b>News</b>

Hal Morris, writing on his Grumpy Editor blog, likes how business news network CNBC covered Friday's news conference by Apple about its iPhone antennas, where no live broadcasts were allowed. Morris writes, “And that was the situation ...

The Taiwanese <b>News</b> Animates the iPhone 4 Antenna Saga (With Very <b>...</b>

The same Taiwanese outlet that does those Sims-style animations to better illustrate the news has done it again for Steve Jobs and the iPhone 4 antenna saga. No spoilers, but there's a very special guest this time. [Thanks Michael!]

Think Newport <b>News</b> shipyard could close? Two reasons not to worry <b>...</b>

No matter who ends up owning Northrop Grumman Corp.'s Newport News shipyard, it's likely to have little impact on the nearly 20000 employees who build the nation's aircraft carriers and attack submarines there.


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