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Show PAGE 6 WEDNESDAY. MAY 8. 2008 BUSINESS EDITOR Grace Leong V Local Industiy News & Notes 'V..V .., VV '. V V gleongheraldextra.com EXCHANGING Dow Jones Nasdaq S&P500 Gold Silver Final Final Final 12,814.35 -- 206.48 2.438,49 --44.82 1,392.57 --25.69 Per ounce $869.60 -- $6.40 Per ounce $16,617 -- $0,163 Yen Euro Pound Canadian dollar Mexican peso THE DOLLAR Wednesday Tuesday 105.26 $1.5401 $1.9531 1.0068 10.5708 104.71 $1.5533 $1.9730 1.0024 10.5042 Consumer Alert accused of making questionable student aid offers The Better Business Bureau in Utah issued a warning on Wednesday about Edifi College Financial Aid Services, an Alstudent financial aid consultant that's sub-'jebany, to more than 130 complaints nationwide over its alleged deceptive sales practices and dissatisfactory services. While the Better Business Bureau hasn't received any complaints in Utah to date, high school students and parents in the state have received invitations to Edifi's "free personal interview" on May 10 and 11 in Salt Lake City, said Jane Driggs, president and CEO of the Better Business Bureau in Utah. She said her stepson, who attends Mountain View High School in Orem, was among those solicited by Edifi. According to the complaints, the interview is a sales pitch for the company's services, which charges more than $900 for advice on tips on how to take SATS tests, fill out financial aid applications and how to get scholarships, grants and other financial assistance. "The Web site is supposed to provide good information about grants, but customers have to pay the $900 first before getting access into the Web site, and then they find the information given isn't any better than what they can get for free," Driggs said. "The sad thing is people who paid for the information really needed the grants." The Better Business Bureau issued an unsatisfactory report against Edifi after more than 55 complaints were filed in the past year, arid more than 130 were filed against the company in the past three years, Driggs said. Of those, more than 50 complaints remain unresolved because the company refused to refund the customers, she said. SAM ordered to pay $142,510 N.Y. firm N.Y.-base- d ct ASSOCIATED PRESS THE SALT LAKE CITY Vi- tamin maker USANA Health Sciences Inc. must pay a critic "of the multilevel marketing industry who was forced to defend himself against a company lawsuit. Federal Magistrate Samuel Alba decided Wednesday that USANA owes $142,510 in at torney fees to a San Diego investigator, Barry Minkow, and his Fraud Discovery Institute. Alba's order came after U.S. District JudgeTena Camp-- , bell ruled on March 3 that USANA violated California's (Strategic Lawsuit Against Public Participation) law for suing Minkow for fair for its network marketing on USANA's stock in a bet the price would fall. USANA sued him for defamation and stock manipulation, but dropped the defamation claim last summenlt still has one claim pending, for securities manipulatioa busi- g ness model, share price, and series of flaps involving the credentials of top executives and sales associates. Minkow served eight years in prison for stock fraud before starting the Fraud Discovery Institute. He came out with his first critical report criticism. on USANA in February 2007 Minkow has assailed USANA when he bought "put" options once-soarin- P USANA and its Chicago-base- d public relations firm did not immediately return calls for comment. is The Worst Really Over? Technology iMergent quarterly net profit hit by legal problems software provider, iMergent Inc., an Orem said its net profit was hurt by national and local government inquiries over its business practices, which reduced the number of workshops it could hold to sell its software for doing business online. The company's net profit dropped to $1.7 million, or 15 cents per share, for the third quarter ended March 31, from $4.7 million, or 36 cents per share from a year ago. Total revenue dipped to $27.6 million from $42.6 million a year ago, due largely to a drop in the number of workshops it held domestically and internationally. During the third quarter, the company held 204 workshops, including 10 internationally. That compares with 320 workshops, including 91 globally a year ago. iMergent, which ki recent months settled complaints with Louisiana over its business practices, is still barred from doing business in California and North Carolina. These two states, which account for about 15 percent of the company's total revenues, had issued injunctions for the company to file as a business opportunity seller. They allege the company is selling business opportunities and therefore, has to register with the state in order to conduct those sales. The company is still fighting the terms of the injunctions in court, saying it sells tools for businesses but not business opportunities. sales and its inability to do business in California and North Carolina resulted in h of iMergent's total work force being laid off in December. "We are adjusting our business model to expand our customer base," said Don Danks, chief executive officer of iMergent in a statement on Tuesday. "However, in light of the fact the economy has not improved, we are narrowing guidance for revenue and net dollar volume of contracts written from our April goal of $ 127 million to $ 140 million, to be in the range of $ 127 million to $ 132 million." third-quart- f I A V: VJ V 'V 'V I. one-fift- I J. SCOTT APPLEWHITE Associated Press Treasury Secretary Henry Paulson talks about efforts to heal the U.S. economy in an interview Paulson: Markets on the National Briefing mend after credit crunch to merge at the AP's Washington bureau. Buffett: Economic, credit woes linger Clearwire, Sprint Nextel KANSAS CITY, Mo. Clearwire and Sprint Nextel said Wednesday they will combine their wireless broadband units to create a $14.55 billion communications company. The new company, which will retain Clearwire's name, will continue developing a mobile network based on WiMax technology, which promises faster speeds than the latest cellular networks for movies, games and other data services. A group of outside investors, including Intel Corp., Google Inc., Comcast Corp., Time Warner Cable Inc. and Bright House Networks, will kick in $3.2 billion for the new company. Stocks of local Interest Yesterday's performance of selected publicly traded companies SYM COMPANY LAST CHANGE SYM COMPANY LAST CHANGE 38.09 0.09 MU Micron Technology 0.04 0.00 MYGN Myriad Genetics, 39.01 038 NATR NATURES AmetElec Power Co 4372 0.19 NETM American 45.08 332 NOVl NetManage, Now Inc. 6.91 Oil NUS NU Skin 42.20 0.80 Inc AA Alcoa, ABSY ABSOUTESKYINC ABX Barridc AEP AIG AMD M) AMGN Amgenhe 8AC Bank BAM BfOokfiekJ Gold Cap. hDGraip Micro Devices, of America he he Inc. SUNSHINE he 8.19 0.10 40.55 0.68 a 0.00 7.00 0.00 0.00 NWN Enterprises, he 17.15 Northwest Natural Gas 44.10 0.22 0.25 38.00 1.24 OMTR Omniture, Inc. 23.60 1.02 Asset Mgmt 34.15 5332 BaHCorp 0.08 PCG PG&E 4036 0.28 038 Q CwflCtmm Inline 4.86 0.10 Squibb 22.76 0.42 RZ RASER TECH INC 9.41 0.73 Gtigrouplnc Comcast Corporation 24,48 139 SC0XQ SCO GROUP 0.11 0.00 CMCSK 21.15 0.25 SHLD 94.94 0.43 COST Costco Wholesale 72.08 0.57 SH Sears Holdings Smith Intl, Inc 78.84 2.23 CVX Chevron Corporation 95 2S 1.59 SKYW SkyWestlnc 18.37 0.44 DAL Delta Air DS Disney DNEX ERIC ETR FC EntogyCorp. frankin Covey GE General HR8 Block (H & R), BLl BMY C s Corp. he Corp. e INC 7.67 OiO SNTO SENT0C0RP 0.045 0.00 (Walt) Co 34.70 0.97 STR QuestarCorp. 64.24 032 Dow Corporation Ericsson 71 .81 1.58 SY Sybase, LM 24.72 033 T AT&T 112.62 1.82 TGT lines, he 29.83 0.12 38.82 TargetCap 53.44 0.74 000 Travelers Companies UDRhc 50.51 0.91 he 7.45 0.00 TRV 3257 0.43 UDR 21.83 0.69 UNH UnitedHealth Group HSC Henry he he 5506 0.88 USB U.S. Bancorp IBM WTIBUSMACHS 124.14 182 USEG U.S. 23.17 Co. Co Electric Schem, 23.98 0.88 66 0.14 (DE) 33.70 0.65 Energy Corp. 2.42 0.04 he 32 WTC Intel 0.41 USNA USANA 20.12 0.10 J8LU 0.13 4.63 Aways 0.0984 Penney (J.Q Co. he 439964 0.58 3549 torAtromhc Lw Enterprises, he 757 0J6 SouthwntAirirnesCo 1299 038 UTMD Utah Medfcal Products 2815 0.10 V7 Vernon Comm 38 28 WB WachovuCorp WEN Wendy's 061 137 041 WFC W WMT Wal JCP AVN LEE LUV MCK MER MfRJ Corporation JetBlue M(KsonCorp MffTilynchlCohc MdiHtnchiCo T MMSI MVT MKmsoftCorporatjun 57.36 089 he 28.71 K he faroo s Co. Mi Stow, he 27.96 2990 1.06 56.83 48 48 2 WNI Schrfl 1702 0 13 X Und States 1443 006 KEl M Energy, he 21.23 048 012 394 010 2921 049 SON ions BancorporMun 47 50 1.39 87 ing "tough times" as people struggle with soaring gasoline prices, higher THE ASSOCIATED PRESS medical costs and a weak jobs market. Paulson said the steep slump in WASHINGTON The worst of the housing, which has depressed home nation's credit crisis may have passed, sales and prices, remained "the bigTreasury Secretary Henry Paulson gest risk to the economy." Although said Wednesday, though he acknowlhe said he didn't know when the worst of housing's problems will pass, he edged rising gas prices will blunt the effect of 130 million economic stimulus suggested there will still be strains in checks. the months ahead. He ruled out a second stimulus "Even the optimists here believe that package for now. you're going to continue to see in the In an interview with The Associated next several months" newspaper headlines that will say prices have declined Press, Paulson said the turmoil that has gripped Wall Street and that took even further and foreclosures have ina turn for the worse again in March creased, he said. "That's what happens has eased somewhat. "There's progduring a correction." ress," he said. "I think we're closer to However, Paulson said he believes the end of this" than to the beginning. the turmoil that began last August A prolonged housing slump, a severe in credit markets has calmed since credit crisis and soaring energy costs h when the crisis claimed its have pushed the economy to the edge largest victim with the forced sale of of a recession. To help cushion the Bear Stearns, the nation's fifth largest blow, the Bush administration and Con- investment firm, to JP Morgan Chase & Co. "Again, I think we're on the gress speedily enacted a $ 168 billion stimulus package of tax rebates for right path," he said. Even though the markets are "somepeople and tax breaks for businesses. With oil costs surging to record what calmer now," Paulson said large levels and gasoline prices hovering portions of the credit markets rangaround highs above $3.60 a ing from mortgages to student loans to loans that banks make to each other gallon, Paulson acknowledged that still are not functioning in a normal pain at the pump would diminish the impact of the stimulus payments that way. "I wouldn't be surprised at all to are designed to give the economy a see more bumps in the road," he said. jump-star- t. Paulson rejected for now the notion of a second stimulus bill, including "Obviously, the high price of gasoline is unwelcome and is a challenge such things as extending unemployand is a headwind," he said. ment benefits, an idea pushed by The first batch of rebate payments Democrats in Congress. He said it started hitting bank accounts last would be unprecedented to extend unweek through direct deposits. Paulson, employment benefits from the current Vice President Dick Cheney and other 26 weeks with unemployment at the Bush administration officials will head relatively low level of 5 percent. to government check printing centers He said the administration's focus at around the country on Thursday for the moment is on getting the current events highlighting the fact that mil130 million stimulus payments into the lions of rebate checks are in the mail. people's hands. The administration be"We will get some help from the lieves the rebates will energize overall stimulus," Paulson said in the ineconomic growth and will create an terview. "Litter this year. I expect additional 500,000 jobs later this year. growth will pick up." Still, he acSee PAULSON, C5 knowledged that the country was fac mid-Marc- 6.45 NuMrai hrj ht Sled 521 167 72 Rachel Beck Jeannine Aversa and Martin Crutsinger i THE ASSOCIATED PRESS NEW YORK Warren Buffett's comments on the investment outlook usually resonate, and those over the weekend were no exception: Panic in financial markets may be through, but that doesn't means it's the end of the economic and credit woes. Buffett's assessment is a much-neede- wake-u- p d call to investors who have been pushing stock prices higher and are warming up to owning risky Warren Buffett debt again, both big bets that the worst of the credit crisis is over and better times are ahead. Feeding that shift in sentiment has been economic and financial news, which at first glance does look good. It's when you dig a little deeper that it's more evident why it's not. Buffett spoke over the weekend during events surrounding the annual meeting in Omaha of his company, Berkshire Hathaway Inc. He said the Federal Reserve's bailout of Bear Stearns in h likely averted a broad financial crisis on Wall Street, which could have spurred a run on other investment banks and crippled the financial sysmid-Marc- tem. The "idea of financial panic" has largely been "fairly well taken care of," he said, but he predicted the pain is far from over for financial institutions. They've already taken more than $200 billion in on their mortgage-relate- d and other debt assets as their valuations have slumped, and he suggested more bad news could be coming. Buffett aLso said that the U.S. economy is in a recession by his definition when most people and businesses are not doing as well as they were three, six or nine months ago. The commonly used criteria for a recession is two quarters of negative growth. write-down- See s BUFFETT, C5 |