Vol.1 Issue 38 September 15th. , 2003
Send comments and
suggestions. or get more information at
of the Week:
investors might seek out innovative companies that support their
values and principles [by] investing in companies in cutting-edge
industries, such as alternative energy or companies that market
organic foods, or in companies or agencies that demonstrate
a high level of commitment to the environment, workers rights
or minority communities."
Gregory Wendt, certified financial planner, firstname.lastname@example.org
but Blue Skies! Jet Blue and Southwest Airlines
are expanding into new markets and eating up market
share, while the major American carriers are drowning
in red ink. This week's Stock Report Card features:
Airlines. By iSophia founder & CEO, N.W. Pace.
Talks, But Is It Speaking the Language of Your Heart?
You Can "Do Good" AND Get Rich. Learn how Socially
and Environmentally Responsible Investing Can Help You
and the World by Gregory Wendt, CFP®
Secrets of CEOs: Want a Raise AND a new TITLE? Interested
in Climbing the Ladder of Success as Quickly as Possible?
iSophia interviews Executive Chef John Doherty of the
Waldorf=Astoria, who, at the age of 27, became the youngest
executive in the history of the century-old hotel. To
get to the executive suite, he not only had to speed
past the sous chefs who taught him all his tricks. He
also had to get them on his team. Learn the Mr. Doherty's
Recipe for Success, in this exclusive iSophia interview.
By N. W. Pace
10: CALIFORNIA RECALL. In their own words, the top
Candidates speak up about their concerns and how they'll
fix the $38 billion budget shortfall. Be sure to tune
in October 1, when iSophia features an exclusive interview
with Steve Forbes on how he'd fix California's Chao$.
About Diamonds: Exercise is a Girl's Best Friend.
Jewelry is only skin deep and money can't buy health,
but a healthy heart radiates from the inside out. For
lasting results (and head turns from the opposite sex),
try investing in your fitness. By Mark Eckhardt.
CALENDAR: Golf tournament to benefit terminally
ill children. Millionaire Training Camp. Wednesday morning
chat with iSophia founder, N.W. Pace. California's Governor
in the News… News highlights, as reported by the
most respected sources in the world. Alphabetized for
but Blue Skies!
and Southwest Airlines are expanding into new markets and eating
up market share, while the major American carriers are drowning
in red ink. This week's Stock Report Card features: Airlines.
By iSophia founder & CEO, N.W. Pace
emerged from bankruptcy, but is still losing money. United Airlines
is in bankruptcy, has postponed filing its reorganization plan
twice and is still losing money. American Airlines is desperately
trying to AVOID bankruptcy, and is still losing money. According
to a report released by the Bureau of Transportation Statistics
(BTS), all but five of the large, major and selected low-cost
U.S. passenger airlines' operating ratios were STILL below the
break-even point in the first quarter of 2003. (Go to www.dot.gov/affairs/bts1203.htm
to view the report directly). Which five are flying in blue skies,
above the breakeven radar? American Eagle, Air Tran, Southwest
and Spirit, led by the people's favorite—Jet Blue, which posted
$1.19 domestic operating revenue per available seat mile and $34.5
million profit, compared to United's $.77 domestic operating revenue
per available seat mile, and $-608.1 million loss. (CLICK
HERE to go directly to the Airlines Stock Report Card,
and view the numbers directly.)
Why are the
low-cost carriers gaining market share, while the giants of the
industry teeter on the edge of bankruptcy? Even before the tragic
events of September 11, 2001, the big carriers were in trouble,
as the economy weakened and business travelers (the former mainstay
of most of the big airlines) were squeezed out of those comfy
seats and gourmet meals into flying coach and eating peanuts (and
now blue chips). That's the past, but what's the future? As companies
increase their capital spending, will business travelers return
to their bigger seats in the blue skies? Eventually, yes, but
probably not immediately. Businesses are starting to see improved
earnings reports because they have trimmed back to the bone. Airlines
are starting to report more bookings in business travel, but it
is unlikely that boards will get spend-crazy, while the American
economy is still posting low single digits GDP growth. Peter Greenberg,
a respected travel contributor on CNBC, reports that business
travelers are acting like flea market buyers, and going online
for the cheapest fares. There may be suits in the business class
section of the plane, but they are paying coach fares, which doesn't
help the bottom line.
improved revenue and more business travel, the larger airlines
have cost burdens that continue to prevent profitability. The
annual earnings report that American Airlines filed with the SEC
on April 15, 2003 articulates the continuing problems facing the
large carriers. Most airlines were already losing millions each
month by the time 9.11.01 hit. The airlines woes began in 2001
when business travel slumped after the Internet bubble burst and
the stock markets went into freefall. A slump in demand prompted
price wars. In addition to the tragic emotional losses suffered
by Americans on 9.11.01, the airlines were forced to implement
more rigorous security procedures, an added cost to balance sheets
that were already filled to the brim with red ink. The situation
is only more dire today, despite efforts by the big carriers to
reduce their costs, with rising fuel costs, decreased insurance
coverage for terrorist attacks at significantly increased prices,
and significantly higher security costs. According to United Air
Lines, fuel is the 2nd largest cost behind labor, and
the biggest problem with rising fuel prices is that the cost cannot
be passed onto the consumer, while the markets remain so competitive.
Recent analyst upgrades for the airline industry have sparked
a rally in the sector, but investor beware: business travel will
have to exceed what it was in the boom days to offset the increased
costs that are associated with airline travel today (fuel, insurance
Airlines admits that despite their efforts to cut costs and become
competitive, "a large shortfall of approximately $2 billion
remains between identified annual cost reductions and needed cost
reductions." How is it that investors still hold almost
$2 billion in market capitalization in American Airlines, when
it is teetering on the brink of bankruptcy? Why has the share
price rallied over ten-fold since April? With 87.1% of the shares
being held by institutional investors, is this a case of unopened
mutual fund and 401k mail? (WAKE UP NOW while the shares are still
trading near their 52-week high!!) Is it a case of trading on
analyst recommendations without reading the fine print? Gary
Chase of Lehman Brothers upgraded American Airlines from "underweight"
to "equalweight," prompting a 6% increase in the share
price last week, but in the fine print, Mr. Chase went on to advise
investors to focus on the low-fare carriers, due to cheap business
travel, crushing debt loads and low-fare carrier growth. One
can only wonder how American Airlines, which admits that it is
dangerously close to bankruptcy, still losing money and in need
of eliminating $2 billion in costs immediately in order to stay
afloat can be considered an "equalweight," when there
are airlines, like Jet Blue and Southwest, which are posting profits
NOW and predicting 28% plus annual growth through 2008.
GIANTS ACT SMALL?
airlines are characterized by simple business models, great customer
service, easy-to-use frequent flyer plans, on-time performance
and low operational costs, while the big airlines have multiple
planes, multiple markets (including cargo) and work out of many
worldwide markets. "Starfish," United's attempt to compete
with Southwest and Jet Blue on their own low-cost turf, is expected
to launch early next year, but with "Song," Delta's
low-cost carrier, already in the race for the peanuts, and Jet
Blue and Southwest advancing on all available domestic territory,
will United's recovery plan be too little, too late? United is
dependent upon North America for 65.1% of revenues, so any sustainable
recovery will rest upon their ability to remain competitive in
the domestic markets, markets that the low-cost carriers have
dominated during the recession. United, Northwest, Delta and US
Airways have tried to help their bottom line by sharing codes,
frequent flyer plans and customers, none of which has translated,
so far, into profit. In fact, after almost a year of restructuring,
United's management admits that they still need to cut costs further,
resolve contributions to pension plans, finalize the new business
plan and secure exit financing. What does that mean for the investor?
major airlines flounder under multiple jets in their fleet, high
labor costs and reduced business travel, low-cost airlines are
gobbling up market share. Jet Blue and Southwest, to name two
of the five carriers that are operating with positive earnings,
are adding planes, expanding gates, filling their planes with
business travelers and predicting sustained growth through 2008.
Morgan Stanley has upgraded Southwest to Outperform, believing
that Southwest Airlines will have annual growth of 28% through
2008 because it is the fastest growing airline, its growth may
be understated, and that LUV continues to have the highest quality
name. Southwest is adding 76 jets in 2004-2005, more than the
rest of the industry combined. Meanwhile, Jet Blue continues to
rate high with customers who love the new planes, the free DirecTV
and the new food terminals that offer even sushi to take on the
plane. Both airlines have good reputations for on-time performance,
another consideration for even the most discriminating business
passenger. Finally, many Americans are beginning to PREFER the
out of the way terminals, where the security lines can be half
including me, are chomping at the bit for more legroom, but are
still forced to keep costs down. No one likes to see corporations,
like American and United Airlines, that employ so many people,
in hard times. Despite our desires, however, at least for now,
it's nothing but blue skies for the penny pinchers who are willing
to pack their own lunch. Those airlines that are laden with debt,
and floundering for business models that work, will continue to
experience major turbulence. Investors who get on board with the
big, unprofitable air lines are advised to buckle up and hang
on for a lengthy, wild ride.
N. Wynne Pace owns shares of Jet Blue.
Talks, But Is It Speaking the Language of Your Heart?
"Do Good" AND Get Rich. Learn how Socially and Environmentally
Responsible Investing Can Help You and the World by Gregory
an anti-tobacco educator for colleges across California, is devoted
to her job and has a talent for helping young people recognize
the perils of smoking. That's why she was appalled when she learned
that every one of her mutual funds held large investments in tobacco
stocks. For Terrie, the revelation that her investment portfolio
conflicted with her personal values is what sent her to my office
and marked the beginning of her interest and inquiry in socially
and environmentally responsible investing.
alone. The trend toward socially responsible investing (SRI) began
in the 1960s, as people began to shun companies like Dow Chemical
that profited from the manufacture of napalm for the Vietnam War.
The movement to sell off "sin stocks" gained momentum
in the 1980s. A growing number of investors found it unconscionable
to hold stocks in companies that did business in apartheid South
Africa. The end of apartheid inspired socially responsible investors
to turn their power and attention to other issues, such as protecting
the environment and promoting fair labor practices. One faith-based
institutional investor on the East coast, alone, leverages its
$90 billion in assets to make better corporate citizens out of
companies as large and powerful as Exxon Mobil, Ford and
General Electric. Today, one out of every eight dollars
under professional management in the U.S. is part of a values
based portfolio. In 2001, the Social Investment Forum reported
that socially responsible investments in the U.S. totaled more
than $2.3 trillion.
My Money "Have a Heart" AND Make a Competitive Return?
demonstrate that socially responsible investing does not mean
a loss on competitive returns. Several recent studies make it
clear that SRI funds do not underperform conventional mutual
funds. In short, investors have discovered that one can ‘do good
and do well' at the same time.
A recent Social
Investment Forum study found that 16 of 21 screened funds
with $100 million or more in assets achieved the highest rankings
for performance from Morningstar or Lipper for the
single and three-year periods ending June 30, 2003. The Domini
Social Equity Index also shows that what is good for the planet
can also be good for the pocketbook. The Domini Index outperformed
the S&P 500 in 2002 and for past 10 years on a total returns
2002, our country faced pending war, countless corporate scandals
and a slumping stock market. Nonetheless, leading tracking
agencies gave socially and environmentally responsible funds high
ratings. Investing in companies with good social and environmental
track records is not at odds with seeking solid financial performance.
Socially responsible funds are definitely competitive with the
broad universe of mutual funds and, in many instances, do better
than other types of funds.
I Become A Socially Responsible Investor?
minded investors align their portfolios with their values by selecting
or excluding companies based on their values. For my client Terrie,
her strong commitment to public health made her choice clear:
dump all of her tobacco holdings. This is known as screening.
consider a host of values when determining what companies to invest
in - and what companies to avoid. Avoidance Screening is
an option when a company or industry falls short of an investor's
values. Socially responsible investors consider a wide range of
factors. For example, many responsible investors shun companies
that manufacture or sell tobacco, alcohol, firearms, weapons or
energy from nuclear power plants. Responsible investors might
also exclude companies for any number of other reasons, such as
companies with poor records of diversity in the workplace, shoddy
environmental records or firms who do business with oppressive
regimes, such as Burma.
Screening is the opposite approach. Responsible investors
might seek out innovative companies that support their values
and principles. Sometimes this takes the form of investing in
companies in cutting-edge industries such as alternative energy
or companies that market organic foods. It might also take the
form of investing in companies or agencies that demonstrate a
high level of commitment to the environment, workers rights or
know it or not, your money is talking. The question is: Do you
agree with what it is saying? Through the proxy voting process,
the shares you own in a company, either directly or through a
mutual fund, have a say on a wide range of issues as to how a
company is managed.
A third, and
critical component of socially responsible investing, is shareholder
activism. This is very important because it has a direct impact
on how companies are managed. I always remind my clients that
this is where the "rubber meets the road." Shareholder
activism is promoting powerful changes in corporate America.
This is accomplished via proxy voting, shareholder resolutions
and dialogue with management. Every year there are hundreds of
shareholder resolutions on issues as diverse as: animal testing,
drilling in the arctic, non-discrimination policies, sweatshop
labor, genetic engineering and human rights.
varied approaches, values based investors are changing the way
many firms do business. This is promoting progressive changes
here in the U.S. and around the world. Success with one corporation
can often spur change across an entire industry. For instance,
in 1999 shareholder activists were a critical part in pressuring
Home Depot to stop purchasing wood harvested in endangered
old-growth forests. Just prior to the company's annual meeting
where this decision would be decided, 12 percent of Home Depot
shareholders stated loud and clear they wanted the selling of
such wood stopped. Not only did Home Depot amend its policies
to phase out the sale of such wood but within a year so did Menards,
Home Base, Wickes Lumber, Lowe's and Lanoga.
for the community
want the savings they hold outside the stock market to work for
their values as well. Community development investing is
when investors make loans to communities in need to help
create low-income housing, shelters for battered women, and childcare
centers. By opening a checking account at a community bank or
by investing in a mutual fund that places assets in hard-hit inner
city communities, your wealth can support the nearly $7.6 billion
of assets in the U.S. that are directly involved in community
money "talks" as loudly as she does
of mine, Mary, has found the whole process of SRI and shareholder
activism to be very attractive. She is a successful television
actress who is very active in supporting environmental groups
and progressive causes. For years her advisor was a family stockbroker
at a major brokerage firm. On a number of occasions, she raised
her concerns about companies in her portfolio that depleted natural
resources and befouled the earth.
her advisor to find investments and mutual funds that were socially
and environmentally responsible. Throughout the relationship,
the broker derided her concerns. He always dismissed such requests
and advised her that socially responsible investment strategies
were inferior. Eventually Mary was fed up and finally embarked
upon finding a new advisor. Mary came to me seeking someone who
would not only listen to her concerns, but who could also help
her to earn competitive returns on her portfolio. Now that her
money is ‘speaking as loudly' to promote her values as she is,
Mary is very happy with the changes that she has made.
she is pleased that her wealth is not only growing, but it is
also helping to fuel positive change in the in corporate America.
Her investments, she says, are now safeguarding her family's
welfare - and the planet's.
more about Greg and his services or for more information about
Socially Responsible Investing go to the website WWW.GREGWENDT.COM
Wendt is a Certified Financial Planner® who offers
comprehensive financial advice to individuals, families, privately
held corporations and non-profit organizations. People come to
him for a full range of financial services including comprehensive
financial planning, investment management, estate planning and
life insurance - as well as his expertise in socially and environmentally
over 12 years of experience in the financial services industry,
Greg has earned a reputation for listening to his client's needs
and providing them with customized solutions and unbiased advice.
reach Greg via email at email@example.com
or by phone at (310)227-8050 x122.
Secrets of CEOs:
Chef John Doherty of
the Waldorf=Astoria, NYC
Raise AND a new TITLE? Interested in Climbing the Ladder of Success
as Quickly as Possible? iSophia interviews Executive Chef John
Doherty of the Waldorf=Astoria, who, at the age of 27, became
the youngest executive in the history of the century-old hotel.
To get to the executive suite, he not only had to speed past the
sous chefs who taught him all his tricks. He also had to get them
on his team. Learn the master's tricks, in this exclusive iSophia
interview. By N. W. Pace
In the kitchen
of Executive Chef John Doherty of the Waldorf=Astoria in New York
City, there is a saying: "The difficult immediately. The
impossible a little longer." The Waldorf is known for pulling
off some of the most extraordinary last minute food feats of all
time and for preparing everything—soups and stocks to pastries
and desserts—from scratch. How does Mr. Doherty manage to please
royalty and presidents while handling a $9 million grocery bill
and 125 cooks? ! (And does your routine seem just a little easier
in comparison?) You'll be surprised to learn that the Waldorf
kitchen's motto applies very aptly to Mr. Doherty's own life.
He surmounted the impossible almost immediately—by becoming the
youngest executive chef ever employed at the Waldorf—at the age
you were the youngest executive chef in the history of the Waldorf=Astoria,
and probably one of the youngest in the world. How does a 27-year-old
sous chef convince one of the world's most established organizations
that he can manage 3,000 daily meals, 150 cooks and a budget of
nearly $15 million?
D.-- Today is your day! I'm giving the commencement speech
at the Culinary Institute of America. So, last night I had to
put all of my wisdom into notes. When I first got here there was
some, shall we say, bad behavior going on in the kitchen. There
was peer pressure to join in on the "fun," but I knew then not
to participate. I knew that someday I was going to be their boss,
and I never wanted them to say, "Who are you kidding?"
I knew that it is important to walk a straight line and not give
people a reason to cut you down. They're looking to cut you down.
your executive style changed much over the years, as you matured?
D.-- I put together something called "A Simple Recipe
for Success" when I was 27, and I have a booklet on quality
that I give all my new-hire employees. It covers everything from
safety, to cooking procedures, to philosophies on quality. All
this helps them get a sense of where I'm looking to go, so that
they get on board quickly. I haven't changed the Recipe for Success
since that time because it still works for me. [iSophia note:
See the end of the interview, for Mr. Doherty's recipe.] That's
the key about getting a large operation going--getting in touch
with the line level employee, the person who is actually getting
the job done. If you can't get them focused and motivated, you're
not going to get where you want to go.
did you come to understand that at the age of 27? Was it through
management training classes?
D.-- I started working very early, at the age of fifteen.
I was able to get along with people and make the bosses happy.
I learned that getting along with people was a better way of getting
things done than not getting along with them.
good guys do finish first! I'm assuming that most of your colleagues
were much older and more experienced than you, at the time that
you became their boss. Were they resentful? How did you negotiate
human nature in that difficult situation?
D.--When I became, at 25, a sous chef, all of the sudden
I was the supervisor for the old-timers, who'd taught me everything
I knew. It was, at times, a little uncomfortable. The best way
to deal with the tension was to treat them as my mentors, with
great respect. I'd say, "Here's the problem. What do you
think of this as a solution?" Typically, they'd respond,
"No, no, no." So, I'd say, "What if we tried it
this way?" Then, they'd get on board and say, "Well,
let's give it a shot." I made them part of the solution.
When it worked out better, everybody felt good about it. Years
later, I took management courses that laid all of this stuff out,
but a lot of what I learned was trial and error. Certainly there
were management courses that helped fine tune and refine me.
a great leader gets his team involved in the decision-making.
What other qualities helped you succeed in the position of executive
chef for one of the premier hotels in the world—the Waldorf=Astoria?
D.--There's one basic fact of life--change. The world
changes. The business changes. Our lives change. There are two
kinds of people. Those who keep up to fit into the future, and
those who create change to mold the future. We all have to decide
where we're comfortable being--where we want to be. Leaders all
have one common goal--they have a vision. Everybody should create
a vision for his/her future--a dream. Think about the most comfortable
and satisfied that you could possibly be in a certain job and
family situation. Envision your future to the point where you
can see it and you want it. I was able to do this very young,
and other young people can do it.
of us have big dreams, but how do you translate your hopes from
Fantasyland into real life?
D.--You then have to have a plan. You have to know the
necessary steps that you need to take to achieve your vision.
You have to think about education, the quality of education, the
duration of education, and the enrichment. You can go to the greatest
school in the world, but if you don't apply yourself and get something
out of it, it's just a diploma. With the job you choose, you need
to understand what the qualities of that job are, and the fulfillment
that you get from it.
when you recruit your employees and team members, are you looking
for good leaders or good followers?
D.--I ask people when I interview them, "In your
last job, what impact did you have on that business, that you
can say is yours." Many people can go with the flow. I want
people who make an impact. I think the most important step is
decision making. People have to understand the potential, the
risk and the consequences of every decision they make. The decision
you make can be as simple as how you walk , talk and interact
with people. You can be early or late to an appointment. It's
a decision to do it right or to let it slide, to do something
with pride, or hope that no one notices mediocrity, to take a
job, or enrich your life or choose to make more money. These are
the decisions that you make, that will clearly have an impact
on your ability to reach your vision. Your career is like a skyscraper.
The deeper and stronger your foundation, the higher you can build
it. There are no short cuts. There's no easy way.
people excel in school and still find themselves stuck in a mid-level
position. What's your advice for those people? There was obviously
something about you that clearly distinguished you from your colleagues,
and at a very young age.
D.--The last step or element to achieving your vision
is effort. Effort is what makes everything different. It shows
in everything you do. We are judged by the results of our efforts--grades,
raises, promotions and recognition. Work hard at everything you
do. Work harder than the next guy, harder on the next day, and
you will live to see your vision.
as Edison says, invention is 10% inspiration and 90% perspiration.
Who inspired you to succeed? I'm assuming that if, by age 27,
you were already executive chef at the Waldorf=Astoria, you must
have had started out on the right track…
D.--I always found that I was able to take something from
everyone. To this day, I respect my elders immensely for their
knowledge and experience. Where I can take a lifetime to learn,
with a simple question I can learn something. Everybody had a
different element that I loved and respected and made it part
of my personal repertoire. It's not about giving up yourself.
It's about making yourself better.
you one of those people who believes they learn from hardship,
from those who may have mistreated you?
D.--You can learn from people who make mistakes. I've
certainly been treated in ways that I know I never want to treat
seems so young to start working! Is that legal?
D.--It wasn't my first job! My son's 15. He has a part-time
job. I had a newspaper route. Caddy at the golf course. Pumping
gas. That was very cold in the winter. My friend got me a job
washing dishes, which was great because that was warm. My parents
provided food, clothes and shelter, but not extras, like concert
tickets and play money. Concert tickets were a big thing. My mother
said, "You want money, go get a job!" So I got on my
bike, and hit 15 gas stations. One of them took me. I missed the
concert, but I got my job.
have a friend, another very young executive, who used to dye his
hair grey for board meetings. Do you have any of those kinds of
tricks up your sleeve, advice to other young executives on how
to maneuver in an older, more experienced crowd?
D.--If you treat people with respect as ladies and gentlemen,
that's really the big key. Never offend anybody. Never give anybody
a chance to let his/her ego get in the way of making the right
decision for the business. The worst thing I can do is embarrass
let's verify the numbers. Is your budget truly $15 M budget, with
150 culinarians, seven chefs and two restaurants? How many hours
a week are you working?
D.—Our food budget is about $9 million, with an annual
payroll budget of about $15 million. We've got 125 cooks. I'm
putting in about … 60 hours per week.
Waldorf=Astoria is my favorite hotel in NYC, but it's famous for
hosting VERY high profile statesmen and women. What's the favorite
event you've ever hosted at Waldorf.
D.--Well. It's one of those two. (He points to two photos
on the wall.) I just took a bunch of other pictures of Presidents
off the wall for the Culinary Institute of America to display.
The one on the left is the 40th anniversary of the
UN. I'm shaking hands with Ronald Reagan. In the room behind him,
there were five heads of state. Reagan, Thatcher (UK) , Mulroney
(Canada), Nakasone (Japan), Kohl (Germany) and Italy (Berlusconi).
Those people were all at that dinner, and it hasn't happened since.
The presidential staff said, "Oftentimes the President likes
to thank the chef for such a great meal. This is a big night,
so we'll thank you for him." When I got down the hall with
the Secret Service, however, the elevator didn't go anywhere.
One guy turns to me and says, "The President would like to
see you." I was only executive chef for four months at that
time. I was just a kid. That was fabulous.
big deal for me was in 1988, when President Gorbachev was the
1st Russian leader to come to this country for I don't
know how long. The meal was on Governor's Island. The White House
asked if I would prepare the meal. So I did.
You were a part of that incredible moment, when the Cold War and
communism in the USSR ended?!!
D.--At that table, we've got Colin Powell, George Schultz,
Reagan, George Bush, and Gorbachev. Casper Weinberger. The Russian
entourage. There were twelve people, and I was clearly at the
center of the world at that moment, while history was changing.
That to me was amazing! We were the only people on this little
island, except for more Secret Service and KGB than anyone could
ever shake a stick at. The world was changing that day.
pretty hard to top that experience!! Do you have a favorite song,
quote or story? What inspires you?
D.--I am inspired by artists who reinvent themselves and
their art form-- guys like Sting. I listen to a lot of music.
I write my menus and my thoughts, while I listen to music, and
I get inspiration from music. Every time an artist comes up with
something new, that reminds me that, although everything around
me is so familiar, there is another way of doing it. When it comes
to food, what inspires me is when the chef does something that
I didn't think of. I say, "Damn, why didn't I think of that!"
that happened recently?
D.--I can usually pick out something from almost every
meal that I find to be creative.
as I've said in the past, the Bull and Bear restaurant is something
you've got to do if you're in New York City. Experience the best
of everything from Mr. Doherty's staff—delicious, freshly prepared
food served by experienced, attentive (but not giddy) wait staff.
Trust Ubie, the captain at the Bull and Bear, when he recommends
the cheesecake. It's to die for.
Simple Recipe for Success
hard by combining speed and accuracy.
others and they will help you.
about what you are doing:
you understand it?
there a better way?
yourself to do better.
time you do a routine item,
it faster, more accurately.
it taste better, look better.
to those around you.
and be compassionate to them as well.
pride in everything you do, and
quality of your work will be recognized.
your words and actions carefully,
you can never take them back.
ok to say, "I don't know, but let's find out."
advice of others who know
from the mistakes of others,
well as your own.
Chef John Doherty
10: CALIFORNIA RECALL.
own words, the top Candidates speak up about their concerns and
how they'll fix the $38 billion budget shortfall. Be sure to tune
in October 1, when iSophia features an exclusive interview with
Steve Forbes on how he'd fix California's Chao$.
CA Gubernatorial Debate of September 3, 2003, each of five candidates
was given two minutes on a soapbox, to preach their priorities.
ISophia has captured the candidates in their own words.
Davis: Gray Davis believes that the recall is a right-wing
effort to win a game (election) that they lost last year. "It's
like the Oakland Raiders saying to Tampa Bay, ‘We know you beat
us, but we want to play the Super Bowl again.'"
Schwarzenegger: "California spends $29 million more
each day than it takes in. We need to audit everything. Open
the books… Children come first. They always have, and always
Ueberroth. Though he's bowed out of the campaign, he is
waiting to endorse the candidate that best promotes his pro-business
agenda. "We need a big sign that says, "We welcome
employers here, then we can fund the arts and on down."
- CA Senator
Tom McClintock (Rep): "We need to roll back the taxes
that are destroying our economy. We've got to have a governor
who knows every inch of the state bureaucracy. The spending
lobby now controls our government."
Huffington: "I would balance the budget by making corporations
pay their fair share of taxes. The next American Revolution
is taking place right here and right now, and it's about freeing
ourselves from oppressive special interests."
Bustamante: "The oil companies are doing the exact
thing that the energy companies were doing. Six companies have
90% of the market share. The fact is that Californians are being
Flynt: "California is the most progressive state in
the union. I don't think anyone here will have a problem with
a smut peddler as governor."
"People think I look like Barbie."
Casey, Republican candidate for the 2004 U.S. state Senate:
"[Arnold] is supported by former Secretary of State
George Schultz, financial guru Warren Buffett, and former Governor
Pete Wilson (and the list will exponentially expand as the "Arnold
Train" continues to pick up speed and momentum), but equally
important, Schwarzenegger is creating a buzz, an excitement,
an electricity among the voters that has never been seen in
California. He is energizing voters that generally don't vote
and historically don't pay attention."
repeatedly at the Republican Party of Los Angeles County party
on 9.9.03: "If you don't vote for the Republican in
the lead, you're voting for Bustamante."
Camejo (Green Party): “Close the tax loopholes for corporations.
We are 36th in the nation in property taxes. We need to create
a balanced budget and a fair tax. I want to see California become
the world leader in renewable energy. That is the future.”
About Diamonds: Exercise is a Girl's Best Friend.
is only skin deep and money can't buy health, but a healthy heart
radiates from the inside out. For lasting results (and head turns
from the opposite sex), try investing in your fitness.
By Mark Eckhardt
Eckhardt has been an instructor in the fitness industry specializing
in group indoor cycling classes since 1995. He served as
the Director of the stationary cycling program at the renowned
Voight Fitness Studios, and continues to work as an international
out the announcement about my schedule change at Revolution (in
Santa Monica, California), I received many responses from our
group of riders. Among these were several descriptions of
people struggling to return to or maintain an ongoing commitment
to exercise in general. Since this is a big topic within the fitness
industry, I thought I'd share my perspective about why it is so
hard to keep a routine going.
After seven years of teaching I've noticed a trend amongst exercisers.
It seems that after a certain point a class, or a routine,
begins to lose its appeal and interest drops off drastically.
When this happens a person typically falls into one of four
1. Drop exercise entirely, or workout at intervals that do nothing
but reinforce that you're are not in the same kind of shape that
you used to be.
2. Run all over town seeking the latest craze in the industry
at great expense and cost to you.
3. Become a member of the living dead. In this category you attend
classes and hit the gym regularly, but don't really do anything
other than just get through it. Let's face it-- a monkey
could do the same. At this level, there is absolutely no
enthusiasm or aliveness present. You drag yourself into
the gym, and your fitness level goes nowhere; you're stuck.
4. Recreate yourself as an exerciser. These folks identify
an unexplored area within their regiment and explore it fully.
Perhaps it is purchasing a heart monitor, sampling various fitness
philosophies, or choosing to use their class as the training ground
for an outdoor activity that ultimately propels them on to the
Recreating yourself is the key to maintaining enthusiasm and interest
in your routine. It's not about working harder, finding
a new class or instructor. Recreating yourself is about
expanding yourself in a way that gives rise to a new level of
enthusiasm and joy. To do this you have to let go of your
attachment to the past and look into the future for inspiration.
By the way, a harder ass ain't enough to keep you in the
game in a healthy way. Two great examples of what I'm talking
about are Claudia Ribet & Vivian Wong.
Since attending my classes at Quest, Claudia has gone on
to train with Gary Kobak at Revolution. Not only is she
spinning like mad, but has recreated her "self" as a cyclist.
She's stronger than ever and is currently training for a
major outdoor cycling event in the near future.
Vivian Wong recently came to me and announced that she
wanted to improve her overall fitness level and body composition.
I encouraged her to purchase a heart monitor, which she
did, and the rest is history. After approximately one month
of training with a monitor Vivian has discovered strength and
spirit she never knew she had. She recently committed to
doing a 5k in 2004. It will be her first ever.
Claudia and Vivian are incredible examples of people who recreated
themselves. In other words, they created a new context,
or relationship, for exercise in their life. It's not only
about looking good. That's a route that leads to never ending
dissatisfaction. It's about creating something that allows
you to track your progress and to acknowledge the successes along
the way. From this place, even the failures show up as a
contribution to training. Each failure/breakdown is confirmation
that you are committed to something that is important to you,
and presents an opportunity to get back on track.
If you are lacking enthusiasm around exercise, you are most likely
referencing your memories of the past and projecting them onto
your current regiment or future exercising opportunities. To
conclude, life presents a constant supply of opportunities to
explore. Take a moment to find inspiration and use that to unleash
the human spirit within you!
I hope this helps. Take care & I'll see you around the bend.
to benefit terminally ill children. Last chance for Investor's
Boot Camp. Wednesday morning chat with iSophia founder, N.W. Pace.
California's Governor Recall Election.
RECAP: (See below for more details on each event.)
at 12:30 p.m. The Chase Foundation's 6th Annual Golf
Tournament, benefiting kids at the Children's Hospital in Los
Angeles, California. 818.845.5521. El Caballero Country Club,
Boot Camp with iSophia founder, N.Wynne Pace, on Thursday, September
18, 2003 in Los Angeles, California. Register at www.learningannex.com
or call 310.478.6677. Receive $5.00 off for registering online.
For more information on N.W. Pace, call 310.399.0497 or email
October 1, 2003 at 8:45 AM PT. Wednesday's Worldwide Online
Chat with iSophia founder, Natalie Pace, discussing investment
clubs, investment strategies and easy to follow recipes for
7th. California Gubernatorial Recall Election. VOTE!!
for details on how to participate in these exclusive iSophia events!
at 12:30 p.m. The Chase Foundation's 6th Annual Golf
Tournament, benefiting kids at the Children's Hospital in Los
Angeles, California. El Caballero Country Club, Tarzana, CA. Prizes,
dinner, Silent Auction, and the opportunity to win a 2-year lease
of a new 2004 BMW if you get a hole in one on hole #10. Call
818.845.5521 to sign up or give a tax-deductible donation.
Chance to Attend the Millionaire Training Camp with iSophia founder,
N.Wynne Pace on Thursday, September 18, 2003 from 6:45 - 9:30
p.m. PST in Hollywood, California.
and Warren Buffett. Yes, they have investing secrets. You should
know them. In two and a half intense, hands-on hours at Investors
Boot Camp, you will learn and practice:
- The wisdom
and success strategies of the most successful stock pickers
- Why Headlines
and Hot Tips suck
scam artists and salespersons.
- How to
Buy Low and Sell High.
Companies in a Report Card!
investment style and the Member Mosaic are exciting concepts that,
if used properly, help individual investors better discern the
health of large corporations." Gary Kennedy, entrepreneur,
former president of Oracle USA.
makes it hands-on and fun. This is totally do-able." Linda,
with money can actually be fun!" Kiki, seminar attendee
learned what information to look for when evaluating a stock,
and what not to listen to." Bobbi, seminar attendee
N. Wynne Pace
is a successful investor with a trademarked market philosophy.
She beat the market three years running, and has been interviewed
by Diane Sawyer on Good Morning America, in Time magazine,
More magazine and USA Today. To book N.W. Pace for
a speaking engagement or seminar, contact info@NataliePace.com
in the September 18th seminar NOW, call 310.478.6677 or register
online and receive $5.00 off. Click
here to register NOW or go to www.learningannex.com.
Click on Los Angeles. Scroll down to August 13th. Click on "Financial
Planning for Women," with N. Wynne Pace and register! (Men
are welcome, too!) If you have any problem registering, please
call 310.399.0497 or email info@NataliePace.com.
October 1, 2003 at 8:45 AM PT. Wednesday's Worldwide Online Chat
with iSophia founder, Natalie Pace, discussing investment clubs,
investment strategies and easy to follow recipes for investment
success. This chat is available exclusively to iSophia members.
(If you're not a member, click
here to sign up. At $4.50/month, financial freedom costs
less than lunch!!) You will need your password to enter the chat
room. Please test your passwords NOW to make sure that you can
get in and out of the chat room easily. Call us early, if you
have any questions on how to enter the chat!
- Go to:
on: Chat Room
on: Already a Member (if you're not already a member, it's
only $4.50 a month to join!! Click JOIN
NOW to become a member)
in your user name and password
in your nickname and press return
- If you
have a question, type it in and then press return
7th. California Gubernatorial Recall Election. MARK
YOUR CALENDARS. BE SURE TO VOTE!!
in the News…
as reported by the most respected sources in the world. Alphabetized
for easy reference.
Sector: The New York Times reported on 9.11.03 that, last
month, Northwest filled 82.6% of its seats. That's #2 for
the industry, behind leader, JET BLUE, which had 91.6%
of its seats filled for the month. Regular iSophia contributor,
Paul Woods, CEO of Odyssey Advisors, 310 568.4710, has
some comments and observations on the airline sector that are
worthy of your attention. See below!
don't short stocks, but if I did, I would start with American
Airlines. JetBlue is cleaning everyone's clock for a
couple of reasons....
turned the whole airplane into the equivalent of business class.
Comfy leather seats that are wider than most, plenty
of legroom, and everyone has their own DirecTV in front of them.
(2) Lower cost structure. They are non-union. What
kills the old airlines is not just higher union wages, but restrictive
work rules that amount to featherbedding. JBLU also has
the most fuel-efficient airplanes in the industry.
(3) Great service. Most older airlines go out of
their way to annoy the crap out of you. JBLU takes off on time,
arrives on time, and doesn't lose your bags. If they're
early or late, you get a courtesy coupon worth $25 off your next
flight. They fly out of terminals where security checkpoints
are less of a hassle.
(4) Ticketing. It's cheap and easy to buy (online
or by phone) and cheap and easy to change the departure or arrival
date. If you find that you can't use your ticket, it's fully
transferable and can even be sold on eBay.
(5) Cheapest ticket around. Enough said.
When you add all these together, even Southwest can't compete
with these guys. The biggest risk is if employees decide
to become unionized. I think most of them have stock, so
this probably isn't a great risk.
As far as the stock's concerned, it's on our list of egregious
sandbaggers. Estimates still look too low. [iSophia note:
That means that Jet Blue will likely outperform the earnings expectations
in the next quarter, something that usually prompts a rally in
the share price, as shareholders buy in on great news.] For more
translation on sandbagging, earnings and how you can profit by
identifying those companies that will turn in earnings statements
that are significantly higher than Wall Street expects, CLICK
HERE to go to Paul Wood's article in issue #37.
Full Disclosure: Paul Woods, N.W. Pace and Odyssey Advisors'
clients own shares in Jet Blue.
Mae and Freddie Mac: The Treasury Department will be creating
a new agency to supervise these two government-sponsored, leading
mortgage lending institutions. The New York Times is touting this
as the most significant regulatory overhaul since the Savings
and Loans crisis of a decade ago. If you haven't already checked
your mutual funds to dump the ones that include these companies,
now's a very good time to open those statements, look into what
companies are behind those generic fund names and consider making
a few changes! (9.10.03 NYT)
WOO-HOO!! Why is wireless the wave of the future and one of
the hottest tickets on Wall Street? Which companies should you
Africa and India are too expansive and do not have the resources
or money to lay telephone lines.
- The Chinese
may be riding bikes, but they have the first generation of Silicon
Valley's latest technology, ahead of American consumers!! Chinese
Gross Domestic Product growth leads the world, and is expected
to come in at 9% for the year.
and small businesses are upgrading to broadband in droves, and
adding wireless capacity for the convenience of hooking up anywhere
in the house, and almost anywhere on the road! Fortune 500 executives
won't be caught dead (and some will be buried with) without
(CELL) has moved from a 4:1 reverse split last year, to
a 3:2 split and +13X growth in share price. Pat O'Neil, president
of Loring Investments believes that CELL is now at risk of being
sold off, and perhaps a 10-20% drop in share price, because
of the rapid uptick, but likes the stock as a long-term investment.
(Look for any drop-off as a potential buying in opportunity!)
is cheap and easy to use! Word is spreading! Look at the spread
of Hot Spots into McDonalds and Starbucks!
has been ranked as an Inc. 500 Fastest Growing Private Company
in the United States for 5 consecutive years.
be doing a Wi-Fi report card in an upcoming e-zine. For now, here
are some publicly-traded wireless companies that Wall Street professionals
recommend checking out: NetGear (NTGR), Cisco (CSCO), Intel
(INTC), Digital River (DRIV), Trimble Navigation Limited (TRMB),
Brightpoint (CELL), American Tower Corp. (AMT), Nokia (NOK) and
QualComm Inc. (QCOM). Of these companies, the following are operating
in positive earnings: NTGR, CSCO, INTC, DRIV, TRMB, NOK &
QCOM. Sorry. LinkSys is privately held.
VISION: To build
a global community of investors through seminars, a world-wide
web-site and, ultimately, television.
GOAL: Working change: To promote successful investing and ethics
MISSION: To build a global investment community by providing easy
access to important financial news, by promoting a dialogue between
members and industry professionals and by promoting ethical business
practices, products and services.
PHILOSOPHY: The W.I.N. philosophy centers around five principles:
Ongoing Education, Monthly Commitment, Diversified Portfolio,
Ethical Business Practices, Pooled Resources.
For more information on W.I.N. contact us at info@NataliePace.com
The NataliePace.com is NOT a stock brokerage service,
and does not operate or act as one.