2003 January Issue

JANUARY 2003
Risk Management

FEATURES

The Appraiser's Goal: Providing Realistic Valuations, Finding the Best Approach
By D. Gregg Dight
The appraiser's goal when working with a leasing equipment manager is to provide the most appropriate, realistic valuation estimates using all data available for analysis, and understanding the leasing professional's specific needs and situation. When the three approaches to appraisal are utilized - Cost, Market & Income - the outcome is usually beneficial to the lessor. (Ref # EQM114)

Credit Decision Making Under Economic Uncertainty
By Charles R. Stevens
Given the significant impact that a weak economy has on leasing portfolios and the ability to under-write new business, it has become critical that top management be fully cognizant of the increase in risk and the resulting implications. This article explores steps that can be taken to help minimize the negative impact of a weak economy. (Ref # CRD045)

LEASE INSURANCE: A Solution to an Escalating Problem - Part II
By Steven Dinkelaker
In the last issue of the Monitor, Steve Dinkelaker of American Lease Insurance discussed the benefits that lessor-sponsored lease insurance programs can bring to equipment leasing companies and their small business customers. In Part II, Steve offers an in-depth look at the emergence of professionally directed lease insurance programs to manage insurance risks in the small-ticket leasing segment.
(Ref # INS016)

Credit Protection in Today's Precarious Economy
By Anthony L. Lamm, Esq.
When advising equipment lessors, legal professionals are frequently asked the question, "How can I do this deal, but tie it up so that the lessee has no way to get out of its obligation?" The answer to this question often lies in the terms and conditions of the lease documents, which require the lessee to provide industry specific information along with financial data. (Ref # CRD046)

Critical Elements of Equipment Portfolio Management
By Christopher J. Condon
The critical elements to managing a portfolio successfully are knowledge, data and understanding. Access to good reliable contract data from your information system is one crucial aspect. The other is external data from the industry and from field inspections.
(Ref # PMGMT003)

Managing Your Small Business Portfolio Strategically - Part II: Selecting the Right Tools for the Job
By Peg Maloney
Building upon the concepts discussed in Part I in last month's Monitor, the second part of this series provides specific insight and strategies to assist the leasing professional in understanding and leveraging the true value of portfolio management tools. (Ref # CRD047)

Crisis Management Experts: Maximizing Shareholder Value in Distressed Situations
By Susan Carol
Whether one calls them crisis managers, workout or turnaround professionals, such specialists are in demand by beleaguered equipment leasing companies helping them to maximize shareholder value and work out problem situations whenever possible. (Ref # TUR002)

Equipment Appraisals: Returning To The Basics
By Lauren Hill
Given the current economic uncertainty, the time has come for equipment managers and appraisers to return to the basics of the appraisal process. The basics are finding the right appraiser for the job by looking beyond qualifications. (Ref # EQM115)

DLL/Philips Joint Venture: Leveraging Talent, Knowledge & Skills
A new financing joint venture between De Lage Landen Financial and Royal Philips Electronics has provided both companies with an opportunity to combine and leverage their resources, talent and skills to compete more effectively in the marketplace. The Monitor interviewed the key players from both companies about the decision to form a joint venture and the inherent challenges and opportunities.
(Ref # VNT003)

2003 Middle-Market Outlook Bullish According to CFO Survey
By Myles Cohen
During the fourth quarter of 2002, Fleet Capital surveyed 673 CFOs of middle-market companies and asked them about their views of the economy, prospects for revenue growth, plans for M&A activity and the state of their internal operations. The survey respondents exuded a refreshing optimism for the year ahead. (Ref # MID005)

Closing More Business: Process Improvement & Systems Integration
By Mike Pennell
A recent industry survey conducted by CapitalStream and Northern Consulting indicates that equipment finance professionals agree on the importance of improved front-office processes and integrated IT systems to close more business. The solution is finding cost-effective technology to address these industry-wide needs. (Ref # TEC0122)

Chapter and Verse: Enforceability of Sunday Statute
By Lewis J. Cohn and Thomas A. Gray
The following article discusses the enforceability of the "Sunday" statute also known as the "Lord's day" statute argued in the matter of Colonial Pacific Leasing Corporation vs. In-Touch Global Telecommunications LLP, et al filed in the Massachusetts Superior Court.
(Ref # LGL092)

COLUMNS

CAREER MOVES
First Impressions
By Jim Pawlak
I had the opportunity to conduct some mock interviews with a number of job hunters recently. Here’s what I observed. First, one does make judgments based on first impressions. One guy slouched, hung his arm over the back of the chair and looked like he’d rather watch TV than polish his interviewing skills. He didn’t look prepared to make his one-on-one, personal sales presentation. Based on his answers, he wasn’t... (Ref # JBS067)

LEGAL WATCH
LEASE VS. SECURITY INTEREST: Courts Offer New Answers to an Old Question
By Lesley Anne Hawes
The following article discusses the importance of the preparation of notices of acceleration and demand letters under Revised Article 9 and an unusual application of the bankruptcy stay. (Ref # LGL094)

TOP GUN
For Closers Only
By Michael Granieri
A closing is any question you ask, the answer to which confirms that your prospect has agreed to buy. After you ask a closing question, SHUT UP! The first person to talk loses or buys. (Ref # SAL123)