Happy birthday, Abe!
In honor of Abraham Lincoln’s 200th birthday today and the 100th anniversary of his image gracing the front of the penny, the U.S. Mint has issued new designs for the back of that ubiquitous coin. The first of the four designs goes into circulation today and a new design will be issued about every three months.
The reverse designs featured on the series of circulating coins are emblematic of four periods, or themes, in the life of Abraham Lincoln: his birth and early childhood in Kentucky; his formative years in Indiana; his professional life in Illinois; and his presidency in Washington, D.C. The coins will be issued in approximately three-month intervals.
And it sounds like the Mint will be issuing a permanent new design for the penny at the end of this year.
At the conclusion of the 2009 Lincoln Bicentennial One-Cent Program, the 2010 (and beyond) one-cent coin will feature a reverse design that will be emblematic of President Lincoln’s preservation of the United States of America as a single and united country.
Don Mecoy
Business Writer
No interest rate buy-down this go-round
Could the federal government step in and somehow directly force mortgage interest rates lower? Not in this go-round of legislation, apparently.
Scott Senner, a mortgage consultant with First Commercial Bank in Edmond, with the votes on the Senate version of the stimulus package still echoing through the chamber, got my ear today and asked me to get the word out:
“Both future and current homeowners may be very disappointed to find out that the Senate’s version of the stimulus package does not contain any ‘interest rate buy-down’ provisions. For those people that had been waiting for the government to somehow step in and create lower interest rates for both purchases and refinances, it is game over. While there is still the outside possibility that the House and Senate may add something later, the incredible cost to achieve a rate buydown will probably prevent it.”
Well, with history being made every step of the way right now, I’m not so sure of that. There’s no telling what the House and Senate will do to this gargantuan piece of sausage in committee.
On the other hand, Scott handles mortgages, and I just write about them. Further, I think it’d be silly of anyone to base a decision on whether to buy a house, or refi, on something that’s so iffy.
Scott went on: “On a positive note, interest rates are still very attractive without any government intervention.”
And on that, we totally agree. If you need a house, and can buy a house, now is the time to buy one. If you can come out ahead by refinancing, go for it.
Richard Mize
Real Estate Editor
Pickens tip of the day
Widget link above taken from pickensplan.com
—
Since the day it was launched, the Pickens Plan Web site has done a good job of organizing and supporting backers of Boone Pickens’ initiative to boost wind power and natural gas energy. One of the regular features that I have found interesting is the “Fact of the Day.”
A few examples:
– 70% of the oil we import is used for transportation.
– In 1970, we imported 24% of our oil. Today it’s nearly 70% and growing.
– The top five states, in terms of wind power generating capacity, are Texas, Iowa, California, Minnesota and Washington.
– The new wind projects completed in 2008 account for about 42% of the entire new power-producing capacity added nationally last year and will avoid nearly 44 million tons of carbon emissions, the equivalent of taking over 7 million cars off the road.
Don Mecoy
Business Writer
Devon Energy: No layoffs ever
We recently ran a story about several Oklahoma businesses that made Fortune’s list of the “Best 100 Companies to Work For.” As part of Fortune.com’s online coverage, the writer takes note of several large companies that have managed in good times and bad to avoid ever laying off an employee.
Devon Energy, which placed 13th overall in the list of top 100 companies, was featured:
The company has been able to avoid layoffs by making sure it keeps costs low during economic downturns and booms alike. Before the current crisis, Devon chopped its operating budget to match its cash flow from oil and gas production.
Devon also takes a prudent approach to hiring, maintaining an efficient workforce of highly trained employees. Voluntary turnover is a steady 4% a year. And instead of the traditional annual salary review, the company’s compensation process is flexible: In slow years, employees sometimes forego raises, and in good times, they may be rewarded with midyear pay increases.
That has got to make Devon employees feel pretty good, particularly when the company’s earnings reports turn sour.
Don Mecoy
Business Writer
Unplugging the telephone
I got my new AT&T phone book this week, and for the first time in my life, I’m not in there. My family this year joined the growing number of Americans who have opted to forego a landline telephone. We’re now totally on cell phones.
In making the switch, we moved our former residential number over to one of our cell phones. That has helped with many of the calls we would otherwise have missed, but it has left us receiving the odd telemarketing call now and again. But overall the experiment has been a success.
But I do sort of miss seeing my name in the phone book.
Don Mecoy
Business Writer
Emerging cell phone issues
Consumer Action, a non-profit national consumer group, has highlighted five emerging cell phone issues likely to affect consumers this year.
1. Continued early termination fees, with only minor relief for some consumers.
2. Little change on overage fees of up to 45 cents a minute.
(You may be able to avoid this problem by using the free service “Over My Minutes” to get warnings when you are near your monthly ceiling on cell phone minutes.)
3. A jump in mandatory cell phone contract extensions as more young Americans use cell phones.
4. A backlash against out of control texting fees.
5. A shift away from scandal-plagued international calling cards for immigrants.
This list and a streaming audio recording related to it are available online.
Don Mecoy
Business News
Beautiful wind turbines
I seem to be in the minority when it comes to the physical appearance of wind turbines. When I drive west on Interstate 40, I’m captivated by the sight of scores of huge turbines spinning leisurely in the breeze in western Oklahoma. But many, particularly those who live near the things, find them to be an eyesore.
Here’s a Web site that has posted images of what are supposed to be more attractive designs. I like the one above, which is designed to be part of a pedestrian walkway. I think such a walkway is proposed as part of the new Crosstown Expressway. Why not use something like this to focus on our state’s strong energy sector and heritage?
Don Mecoy
Business Writer
Circuit City liquidation disappointing
I ventured out to a local Circuit City a few days ago to see if there were any bargains as liquidators sell off the company’s inventory. I didn’t find much. Most of the merchandise is reduced by 10 percent, but the mark-downs are based on full retail prices. Prior to its forced liquidation, Circuit City regularly offered good sale prices.
I bought a Panasonic HDTV at Circuit City in November for $799, which was such a good deal that the guy who checked me out called over a manager to double-check the price. On Saturday, it was marked at $1299. Even with the 10 percent discount, it was no bargain.
Our retail reporter, Jennifer Palmer, visited Circuit City last week and found shoppers unimpressed with the prices. Several news organizations have produced stories showing similar disappointment with the lack of deals.
CNN reports that liquidators, who buy out the company stock and then sell it off, don’t give the stuff away.
Because the liquidators don’t want to lose money, it’s not uncommon for clearance sales to begin at 10% to 30% off for the first few weeks, with deeper discounts staggered over the period closer to the end of the closeout sale.
However, (George) Whalin (president and CEO of Retail Management Consultants), said liquidators sometimes set those discounts based on manufacturers’ prices – which can be 10 percent to 15 percent higher – rather than the price at the store when it closed.
Consequently, he said, consumers could end up paying more than they would have just before the “out-of-business sales” signs went up.
The key for bargain hunters is exercising patience. Liquidators will offer deeper markdowns.
Don Mecoy
Business Writer
Ode to Steak ‘n Shake
I really like Steak ‘n Shake, which opened a store in Edmond just four years ago. The burgers are very good. The fries are excellent. The shakes are to die for. My kids clean their plates when we dine there.
But Roger Ebert (yes, that Roger Ebert) loves Steak ‘n Shake. No, he adores Steak ‘n Shake. He grew up eating at the company’s black-and-white shops. How much does he cherish the 75-year-old chain? Read on:
If I were on Death Row, my last meal would be from Steak ‘n Shake. If I were to take President Obama and his family to dinner and the choice were up to me, it would be Steak ‘n Shake–and they would be delighted. If the Pope were to ask where he could get a good plate of spaghetti in America, I would reply, “Your Holiness, have you tried the Chili Mac or the Chili 3-Ways?”
There’s a whole lot more at Ebert’s blog, which has become a regular staple of my Web surfing fare.
Don Mecoy
Business Writer
Ageless ads
Here’s a little slice of nostalgia from my childhood: a Post Grape Nuts commercial featuring Andy Griffith and Don Knotts. I love the fact that Barney puts one over on Andy.
And Jed and Jethro talk about, well, just watch what they talk about over a bowl of Kellogg’s Corn Flakes.
Several more bowls of cereal commercials here.
Don Mecoy
Business Writer
