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Show PAGE 4 2attBHeraH 01 WEDNESDAY, MARCH 12. 2008 BUSINESS EDITOR I Grace Leong 0 gleongheraldextra com 344-29- EXCHANGING Ix)cal Industry News & notes Dow Jones Nasdaq S&P500 final Final Final 2,255.76 86.42 1,320.65 47.28 12,156.81 416.66 ', Silver Gold Aer ounce $974.20 $4.30 Per ounce $19,676 -- $0,022 Yen Euro Pound Canadian dollar Mexican peso THE DOLLAR Tuesday Monday 104.17 $1.5319 $2.0029 1.0067 10.7875 102.04 $1.5352 $2.0101 1.0024 10.8578 Mining Utah trading 'experts' charged with fraud Federal mine inspectors wanted in Utah The U.S. Department of Labor's Mine Safety and Health Administration is seeking to hire new federal mine inspectors for positions in Salt Lake Gity and Helena, Mont. Employment screenings will be held March 15 and 16 at the Sheraton City Centre, 150 W. 500 South, in Salt Lake City. Registration will begin at 7 a.m. and testing will begin at 8 a.m. "MSHA is interested in hiring professionals who are willing to help our agency keep U.S. mines safe by preventing accidental injuries and fatalities," said Richard E. Stickler, acting assistant secretary of labor for mine safety and health. "MSHA needs motivated individuals eager to help us continue to protect our nation's miners." Selected candidates will participate in a formal two-yea- r training program. Candidates for the GS-- level should be able to perform arduous duties and can expect a starting anworknual salary of about $45,000. In addition to a week with generous annual, sick and holiday leave, selected candidates are offered health, life and long-tercare insurance; a stable retirement programincluding a savings plan; travel reimbursement; and flexible spending accounts for medical and dental expenses. SEC indicts two investing-worksho- promoters in THE ASSOCIATED PRESS Two ALEXANDRIA, Va. self proclaimed experts at trading stgteks who used rials ancTtiotel seminars to tout their abilities have been indicted on federal fraud charges. Linda Woolf, 48, of Sandy , ' Utah, and David Gengler, 34, of Draper, Utah, passed themselves off as successful inves- 40-ho- tors and persuaded consumers to pay anywhere from $3,000 to $40,000 to learn the "Teach Me to Trade" stock picking system, according to an indict- Award MBA students take first place in skiing and business ethics contest Six MBA students from Brigham Young University's Marriott School of Management took first place in University of Denver's 2008 Race and Case competition, a combined skiing and business ethics event. The winners include Dan Iverson and Kyle Poll of Layton; Juan Quilantan of Veracruz, Mexico; Michelle Quinn of New Canaan, Conn.; Heather Tucker of Clarkston, Wash.; and Cale Wester of Eagle, Idaho. The BYU students took d fourth place in the ski race, which counted for of the total score. The remaining points were awarded for the case portion of the contest, where the BYU team placed first, beating teams from the University of California at Berkeley and University of Notre Dame-- . ment in U.S. District Court in Alexandria. Prosecutors say Woolf and Gengler lied or omitted pertinent information about their profits in the stock market and their annual gains and losses during presentations given at hotel seminars across the country. One of Teach Me to one-thir- scheme ck Matthew Barakat 9 BYU get-rich-qui- p g Trade's supposed experts was actually recruited stock-tradin- by Woolf from a nail salon, according to the indictment. Woolf and Gengler also were featured in Teach Me to Trade infomercials. In one, Gengler explains how he doubled a $10,000 investment in one week as the studio audience oohs and aahs. "Luck has absolutely nothing to do with this," Gengler tells the audience. "This is simply a system. If you can follow the rules ... you can find your financial future." According to the Securities' and Exchange Commission, Woolf and Gengler are unsucWoolf never cessful traders declared a trading profit on her federal tax returns and Gengler typically declared losses or no profits. But Woolf pulled in $4 million in commissions for selling Teach Me to Trade products, while Gengler Whitney itself is not charged, though the indictment says Woolf and Gengler relied on the company's "fraudulent against the two. Woolf 's civil attorney, Mark marketing efforts" to entice Pugsley, said Woolf never rec- the public to their seminars. ommended specific stocks to The charges against Woolf students at her seminars, and and Gengler, which include that the information she prowire fraud and conspiracy to vided is unrelated to individual commit mail and wire fraud, investment choices and therecarry maximum penalties of 30 fore not a crime under federal years in prison. securities laws. A spokeswoman for Whitmade about $2.25 million, according to the SEC, which filed separate civil fraud charges "The SEC's complaint contains a novel theory of securities fraud, and we look forward to challenging it in the courts," Pugsley said. "Linda Woolf is an educator; she does not sell securities." Gengler's attorney did not : return a call seeking comment. Woolf and Gengler worked as independent contractors, according to the indictment, and received sales commissions of 10 percent to 15 percent from Teach Me to Trade, which is a part of the Whitney Information Network, a publicly traded company based in Cape Coral, Fla. ney declined comment. In its 2007 annual report, Whitney said it was notified in late 2006 of investigations by the SEC ' and federal prosecutors. At the seminars, Woolf and Gengler allegedly helped con- sumers talk their credit card companies into increasing their spending limits so they could purchase expensive Teach Me to Trade training materials. The seminars also employed "success coaches" who, would review an individual's financial portfolio to target wealthier individuals for more expensive sales, according to the indictment. National Briefing Dow jumps more than 400 points Wall Street finally found a reason for a NEW YORK huge rally Tuesday after the Federal Reserve said it plans to pump $200 billion into the financial markets to help ease the strain from the credit crisis. The Dow Jones industrial averpoint age shot up more than 416 points, its biggest one-dagain since July 2002. The Fed's program is part of a worldwide effort to help struggling banks and mortgage providers. The Fed acting in concert with the European Central Bank, the Bank of Canada and the Swiss National Bank agreed to loan investment banks money in exchange for debt, including securities. slumping mortgage-backey ELAINE d The Space Needle is Credit requirements changing daily John Wilen partly due to rising fuel costs. "I used to think three bucks a gallon was all I'd pay, but I keep filling up," said Joe The cost of NEW YORK filling up the family car climbed Go wans while gassing his Acu-r- a SUV in San Francisco one to a record high Tuesday, adding to the challenges consumers recent afternoon. "You have to use it." already face with falling home In Utah, the price of a gallon values and rising food prices. of regular unleaded gasoline Gas prices at the pump rose overnight to a record national shot up 14 cents to $3. 13 despite ample supplies, fueled largely average of $3.2272 a gallon, crude oil by record-settinaccording to AAA and the Oil Price Information Service. prices, according to a AAA Utah report released Tuesday. That's a tad higher than the previous record of $3.2265, set Statewide, gasoline prices tolast May. day are 80 cents higher than a Soaring gas prices worsen year ago. the financial plight of consumIn Provo, prices also gained ers already suffering through a 14 cents to $3.12 from a month downturn in the housing marago. Utah's highest recorded ket that has sharply reduced gasoline price is $3.28 per gallon on May 31, 2007. home prices in many markets and limited Americans' ability "With the downward trend in to tap home equity for spending. the economy and soft stock and Food prices are also on the rise, markets, investors THE acSAN FRANCISCO Google Inc.'s quisition of online ad service DoubleClick Inc. is expected to turn the Internet search leader into an even more powerful marketing vehicle that's fueled by better insights about consumers. The $3.1 billion deal, completed Tuesday after nearly a year of regulatory wrangling, also may intensify the pressure on Microsoft Corp. and Yahoo Inc. to resolve their stormy courtship so they don't risk further distractions while Google tries to sprint further ahead in the race for Internet advertising. Yesterday's performance of selected publicly traded companies AA ALCOA INC 37.76 ABSY ABSOLUTORY 0.04 ABX BARRICK GOLD CP AEP SVM COMPANY 2.12 MU MICRON 0.00 MYGN Myriad Genetics, 50.45 1.40 NATR NATURES AMER ELECTRIC POW 41.86 1.57 NETM NetManage, AIG AMER INTl GROUP 44.00 205 NOVL Novell, AMD AOV MICRO DEVICES 648 0.32 NUS NU SKIN ENT INC AMGN 44 62 0 06 NWN NORTHWEST 42.62 0.74 BAC Amgenlnc BK Of AMERICA 37.72 2.41 19.96 0.45 BRO0KFIELD 28 66 1.12 0MTR PCG ' Omniture. Inc BAM Bit BALL CP 44.33 1.78 Q QWEST CP BMY BRISTOL MYERS 21.73 0.00 0.0299 6i2 006 17.76 0.62 NAT CP 0.40 R2 RASER' 0.56 3.6899 he PG&E 0.45 8.36 SUNSHINE Inc. 6.86 35.34 38.47 1.06 4.97 0.03 8.65 0.40 C CITIGROUPINC 21.49 1.80 SCOXQ SCO GROUP 0.15 0.02 CMCSK Comcast 1922 0.11 SHLD Sears Holdings 93.30 2.30 COST Costco 62 62 2.37 Sll SMITH INTL INC 62.92 3 47 CVX CHEVRON 8816 3.43 SKYW SkyWesthc 22.40 1.01 CORP INC DAL DELTA AIR LINES 12.11 0.13 SNTO SENTOCORP 0.091 0.00 DIS WALT DISNEY 31.19 0.73 STR QUESTARCP 57.47 2.16 DNEX Dwiex 025 ERIC LM ETR ENTERGY Ericsson CP FC FRANKLIN COVEY CO GE GEN ELECTRIC CO HRB H HSIC Henry Schmvlnc IBM INTl BUS MACHS INK kite! Corporation JetBlue JBLU R 8L0CK INC JCP PENNEY J C CO JWN NORDSTROM IEE ENTERPRISES IUV SOUTHWEST Ma MCKESSON SY SYBASE INC 25.50 T AT&T INC. 36.09 144 10843 36S TGT TARGET CP 51.58 0.35 7.00 0.03 TRV THE TRAVELERS CO 48.53 227 .33 40 1784 5699 11649 1.70 UDR UDRINC. 23.77 1.52 0.31 UNH UNITEDHEALTH 3824 6.83 007 32.85 226 362 0.16 USB US BANCORP USEG U.S. 21.2001 1.0801 USNA USANA 5.00 029 UTMD Utah Med. Products 40.72 0.30 WB WACHOVIA 34 06 125 WEN WENDYS 997 0.18 WFC 40 0.33 WMT 55 30 0 42 WNI SCHIFF NUTRIT AIRLINES CORP 1.27 0.37 48 INC LEE .61 20.12 12 2 Energy Corp. 2728 0.16 30.103 0,103 CP 29.78 3.59 INTl INC 2420 066 WELLS FARGO 3082 2.93 WAIMART 5025 1.40 6.07 0 044 111.93 8.33 INTl MER MLCOCMNSTK 45.60 2.76 X UNITED STATES STE El MER J MERRILL LYNCH 17.45 0.30 XEL XCEl ENERGY INC 20.36 0.71 MMSI Merit MeoValSys, Ire 14 55 014 Microsoft Corporation 29281.2415 7JON Zkms Bancorporaton 49.65 462 MSFT t -. .1.1. ,.M ..I ..,,1 II. Ill .III .1 .1- - .L.I .. ... IH PRESS real-esta- LAST CHANGE Inc. ASSOCIATED g Stocks of local Interest LAST CHANGE a barrel for first time; Utah gas prices rise sharply Oil prices top $109 Google completes $3.1 billion takeover COMPANY Press Gas prices rocket to record highs The loan you qualify for on Monday NEW YORK might be out of reach on Tuesday. Bankers and lenders are rapidly changing their requirements as home sales and prices plummet and delinquencies and defaults rise. Problems in the mortgage market are spilling into other lending markets as customers struggle to keep up with payments on other loans, such as auto and credit card payments. To adjust their standards which many critics say grew too lax in the middle of the decade lenders now are raising minimum credit scores, offering smaller loans and requiring detailed proof of income and assets. SYM THOMPSONAssociated seen near a sign displaying gas prices at a ConocoPhillips gas station near downtown Seattle on Tuesday. are turning to commodities to shore up their investment packages," said Rolayne Fairclough, AAA Utah spokesperson. "These heavy investments push prices to extreme highs. For example, over 700 million barrels are traded each day, while only 15 million are actually used." "Refineries are in good re- pair, and two major refineries that did not produce last year are now on line. Supplies of both gasoline and ethanol are robust, so barring an unforeseen situation, prices should not be unduly impacted because of supply shortages this year," she said. "High gasoline prices have had a major impact on consumers, especially in this time of economic downturn," Fairclough said. "Family budgets have been hard-hi- t and people are cutting back on their driv- - ing and making serious decisions about vehicle choices and overall purchases." Nationwide, a year ago, rising demand and a string of refinery outages had raised concerns about supplies. Now, the record price of crude oil is the culprit, propelling gas higher although supplies are at highs. On Tuesday, light sweet crude for April delivery surged to a new trading record of $109.72 on the New York Mercantile Exchange before retreating after the Energy Department and International Energy Agency cut crude consumption forecasts for this year. Futures settled 85 cents higher at $ 108.75 a barrel, a new record. , Business Editor Grace Leong conributed to this report. Calif, builders slash prices to move mventoryj Peter outright price cuts in California so as not to undermine the value of their holdings. Instead, LOS ANGELES -- As the many offered incentives such televisions or inas housing slump worsened last fall, Don Dale struggled to find terior upgrades. But the incentives weren't buyers for the $900,000 houses he was selling for Shea Homes working, builders now conin the hills of Aliso Viejo. Then, cede, forcing them to carry the in January, Shea slashed prices debt on empty, unsold houses. to about $750,000. Dale sold "Builders don't have the nine in one day. luxury of waiting another year "If there is value, there are for the market to turn they need the cash flow now," said buyers," Dale said. Stuck with excess inventory, Patrick S. Duffy, principal of ' Y. Hong LOS ANGELES TIMES big-scre- ing. Carlos Vega, 40, spent an afternoon last week driving his BMW between sales offices for newly built subdivisions in the hills of Rancho Cucamonga, where five different builders have projects. Vega said he has made several offers, but hasn't yet committed to anything because the rival builders keep topping each other's deals. One builder, he said, offered to sell him a model home complete with landscaping builders throughout California and designer furnishings at Metrointelligence Real Estate are beginning to offer steep Advisors, a consultant to home a price Vega estimated was discounts on new homes, some- builders. about 20 percent below what times at a loss. Centex Corp. "It's better for them to take it would have fetched a few is touting the "greatest prices months ago. 90 cents on the dollar today in years" in its ads. In San than to risk no cash flow at all "They're throwing me offers Bernardino County, builder because they're not selling any left and right," said Vega, a Van Daele Homes is advertissalesman for a logistics comhouses," he added. The price cuts appear to be ing 35 percent discounts. Until pany. Home builders concede they recently, most builders resisted luring new buyers out of hid had little choice but to slash prices given the sharp down- turn in sales and the credit crunch, which has made it harder for many borrowers to get home loans. KB Homes of Los Angeles ' j posted a loss of $773 million ' in its most recent quarter, and its shares have plunged by 50 ' ! percent in the last year. Len- i nar Corp., the biggest home builder in California, reported I a $1.3 billion quarterly loss Jan: 24. Its stock price has fallen 63 percent from what it was a year ago. As home sales slowed last year, builders began offering incentives. The results were lackluster. Southern California builders sold 44,234 new homes; last year, down from 66,911 in s 2006, according to DataQuick Information Systems. , I - - |