9/20/09 Sunday BofA May Face Criminal Probe

Post #116 The following is brought to you by Intellivest Securities Research, Inc. The following is not intended as advertising by a broker-dealer and is not a research report. Towards the end of this Blog is an update of the Dow 30's most recent SEC filings as of 9/18/09, a list of the Dow 30 CEO's and a ranking of the Dow 30 by market capitalization.

A read of Sunday's 9/20/09 print editions of: New York Times & Atl Journal Const, the 9/21 issue of Investors Business Daily & the 9/28 Barron's and other print magazines yielded the following stories about Dow Jones Industrial Average 30 component companies and the Dow with stories about the Dow aggregated first and then items about Dow Jones Industrial Average 30 companies presented alphabetically, followed by symbol and Friday's closing price and related data:

Dow: BRN's "pM3 "the Trader - Are Bulls, Eyeing 10,000 on Borrowed Time?" by Kopin Tan says the questions is what is the life expectancy of the post recession rally as the Dow Jones Industrial Average barrels toward 19,999.

IBD pA1 "Dow Leads Main Indexes As Expirations Lift Volume" by Paul Whitfield says stocks tacked on moderate gains as volume ballooned Friday on options and futures expirations.

BRN's p18 says in a week peppered by Fed Chair Ben Bernanke's declarations that the recession is probably over, the market reached fresh highs within sight of the 10,000 mark.

BRNs pM14 "Market Watch edited by Anita Peltonen quotes Berton Brown of 21st Century Research Institute who said, "The market appears to be in a topping process. The Dow recently broke to new higts, but each higher high has been met with lighter volume."

AT&T T $27.05 +0.68 2.58% 47,142,677 NYSE: BRN's p33 "Wireless Wars Will Get Bloodier" by Eric J. Savitz says Sprint Nextel in an SEC filing lat month disclosed changes in the formula for payouts under its short term incentive plan for officers and cut the percentage of the plan tied to adjusted Oibda which is operating income before depreciation and amortization and raised the weighng of post paid net subscriber additions. He says Sprint is reaching for market share at the expense of profitability. There are simply too many players in wireless industry: in the US there are AT&T, Sprint Nextel, Verizon, Vodafone, and T-Mobile as well as regional players with a focus on the prepaid market including MetroPCS, Leap Wireless and Tracfone. He says the crowd needs thinning and a rumor is MetroPCS will hook up with Leap.

American AXP $34.77 -0.23 0.66% 16,900,648 NYSE: No mentions found.

AA $14.06 +0.01 0.07% 33,495,302 NYSE: No mentions found.

Bank of America BAC $17.63 +0.02 0.11% 152,325,080 NYSE: IBD pA2 "BofA may face criminal probe" says the SEC and the attorneys general of NY and NC are probing whether BofA properly disclosed Merrill Lynch's oeprating losses and bonus payments to shareholders before buying the failing financial giant in Jan.

NYT pBus1 "The Search For a Hero On Wall Street" by Harry Hurt III reviews thee book, "Last Man Standing" takes a mostly positive view of JPM's CEO Jamie Dimon. The book describes the events of the financial meltdown and includes a discussion of the takeover of Merrill Lynch by BofAm.

BRN's p 18 says BofA will go to trial Feb. 1 after a fed judge scuttled the SEC proposedd $33 mil settlement.

BA $53.02 +0.14 0.26% 6,037,424 NYSE: No mentions found.

Caterpillar CAT $53.42 -0.47 0.87% 11,454,404 NYSE: BRN's p15: Big Stocks May Be Ready for Their Close Up" by Michael Santoli says that tape watchers have begun to note better action in the shares of such rookie broker standbys as IBM, Cat and FedEx.

CVX $72.64 +0.67 0.93% 15,248,625 NYSE: No mentions found.

Cisco CSCO $23.4 +0.006 0.03% 51,277,485 NASDAQ-GS: BRNs pM3 says Cisco's stock lagged when it beta fell.

K0.34 0.64% 47,179,687 NYSE: No mentions found.

DIS $28.44 -0.02 0.07% 13,358,264 NYSE: No mentions found.

DD $33.74 +0.05 0.15% 6,790,066 NYSE: No mentions found.

XOM $69.99 +0.15 0.21% 36,805,977 NYSE: No mentions found.

GE $16.5 -0.16 0.96% 119,956,873 NYS: BRN's p37 "A Bullish Sign for GE" says for the first time in years, GE is attracting massively bullish attention in the options market. This is a major shift for a widely held stock that mainly inspired widespread bearish options trading in the past year and has generally been disappointing since the days of legendary CEO Jack Welch. The shift toward positive sentiment was particularly evident Tues when almost 600,000 GE calls traded that day as hordes of investors big and small plunged in.

HPQ $46.15 +0.44 0.96% 18,001,006 NYSE: No mentions found.

HD $28.23 +0.31 1.11% 15,231,992 NYSE: No mentions found.

INTC $19.56 +0.15 0.77% 51,539,724 NASDAQ-GS: No mentions found.

IBM $122.11 +0.23 0.19% 8,782,894 NYSE: BRN's p15 "Big Stocks May Be Ready for Their Close Up" by Michael Santoli says that tape watchers have begun to note better action in the shares of such rookie broker standbys as IBM, Cat and FedEx.

JPMorgan JPM $44.95 -0.01 0.02% 35,742,744 NYSE: NYT pBus1 "The Search For a Hero On Wall Street" by Harry Hurt III reviews the book, "Last Man Standing" that takes a mostly positve view of JPM's CEO Jamie Dimon. The book describes the events leading up to the financial meltdown and includes a discussion of the takeover of Merrill Lynch by BofAm.

BRN's pM3 "The Trader" say JPMorgan pronounced the worst over for the housing market and upgraded some homebuilders.

BRN's p27 "Caution Rules" by Leslie P. Norton says investors have now changed and are more cautious and says JPM is a good play.

JNJ $60.78 +0.01 0.02% 13,283,447 NYSE: No mentions found.

KRAFT KFT $26.73 +0.21 0.79% 12,407,443 NYSE: BRN's p22 "Follow-Up Kraft/Cadbury Deal Doesn't Look Sweet" says Kraft's pursuit of Cadbury could be perilous for shareholders of both companies and investors should steer clear of both shares until the outcome is more apparent and says Kellogg, Heinz, and General Mills all of which trade, like Kraft, for about 14 times '09 estimated earnings are better picks.

BRN's pM8 "Outlook Finally Brightens for M&A" by Jonathan Buck cites the Kraft bid for Cadbury in support for the headlined concept.

MCD $57 +0.54 0.96% 13,132,048 NYSE: No mentions found.

MRK $31.88 -0.13 0.41% 18,236,878 NYSE: No mentions found.

Microsoft MSFT $25.26 -0.04 0.16% 61,185,540 NASDAQ-GS: BRN's p30 "Turning Into a Monster of a Competitor" by Robin Goldwyn Blumental discusses online recruiters and mentions CareerBilder, a private company owned by a consortium of Gannett and MSFT.

PFE $16.51 +0.19 1.16% 62,452,759 NYSE: No mentions found.

Procter & Gamble PG $57.32 +1.79 3.22% 24,703,078 NYSE: As previously reported here, P&G's shares rose 3% after Citi upgraded it to buy citing a price cutting plan.

MMM $74.62 -0.27 0.36% 4,154,226 NYSE: No mentions found.

TRV $47.37 -0.33 0.69% 8,609,675 NYSE: No mentions found.

UTX $62.82 +0.30 0.48% 6,394,618 NYSE: No mentions found.

Verizon VZ $29.59 +0.08 0.27% 43,366,381 NYSE: BRN's p33 "Wireless Wars Will Get Bloodier" by Eric J. Savitz says Sprint Nextel in an SEC filing last month disclosed changes in the formula for payouts under its short term incentive plan for officers and cut the percentage of the plan tied to adjusted Oibda which is operating income before depreciation and amortization and raised the weighting of post paid net subscriber additions. He says Sprint is reaching for market share at the expense of profitability. There are simply too many players in wireless industry: in the US there are AT&T, Sprint Nextel, Verizon, Vodafone, and T-Mobile as well as regional players with a focus on the prepaid market including MetroPCS, Leap Wireless and Tracfone. He says the crowd needs thinning and a rumor is MetroPCS will hook up with Leap.

Walmart WMT $50.11 +0.15 0.3% 29,759,000 NYSE: BRN's p41 "Home on the Range" by Larence C. Strauss interviews Vitally N. Katsenelson, Dir. of Research Portfolio Manger, Investment Management Associates who says WMT is cheap at a P/E of 14 because it used to trade at 45. In 2000 it was trading at 45 times earnings and earned $1.25 a share. Today its earnings have tripled and grew about 12% a year since 2000.

NYT pBus1 "Can Amazon Be Wal-Mart of the Web?" by Brad Stone says there are now more items other than books sold on Amazon and it has become the nation's general store.

BRN's p21 "Follow-Up - A Return Visit to Earlier Stories" says that BRN's June 1 Cover Story said 10 retail stocks would go up and said that although WMT wasn't picked to go up it is listed as a benchmark and says it went up 0.4%.


Here are the latest SEC filings as of 9/17/09 other than ownership filings and, except for certain cases, I do not include third party shareholder proposals:

Symbol & Co. Name/Date of Filing/Form Filed/ Comments

T AT&T: 8/28/09 two 8K's, one: announcing it had reached agreement with the Communications Workers of America (on a new, three-year contract covering approximately 7,000 wireline employees (located across the U.S.) under the CWA Communications and Technologies contract, subject to approval by these employees. The second 8K said two subsidiaries of T provided redeemed certain long-term debt issues as of September 28, 2009.

Alcoa AA: 8/29/09 8K announcing that Alain J. P. Belda, executive Chairman of the Board of Directors of AA retired as an executive officer but is staying on as a director until April 23, 2010.

American Express AXP: 9/15/09 8K annoucing delinquency and write-off statistics for the lending portfolio of its U.S. Card Services operating segment for the months ended June 30, July 31 and August 31, 2009.

9/2/09 10Q;

Bank of Am BAC: 9/16/09 a free writing prospectus regarding issuance of $54 million in debt securities.

Boeing BA: 9/16/09 announcing that pursuant to a 1978 SEC settlement, BA informed the SEC of a change in its policy re the appointment of foreign consultants and to whom they report.

8/31/09 8K announcing the retirement of Scott E. Carson, Executive Vice President, President and Chief Executive Officer, Boeing Commercial Airplanes, effective January 1, 2010. Effective September 1, 2009, Mr. Carson will leave his current position and assume the role of Executive Vice President. Carson will be replaced by James F. Albaugh.

8/27/09 8K announcing a revised schedule for the 787 Dreamliner and a charge to third quarter earnings related to flight test aircraft.

Caterpiller CAT: 9/1509 8K announcing CAT and Navistar International Corporation (NYSE: NAV)formed a joint venture transaction resulting in a new company, NC2 Global LLC, to serve the global commercial truck market to be based in Chicago.

8/20/09 8K CAT filed Reg FD information concerning deliveries to users for its Machinery and Engines lines of business.

Chevron CVX: 8/6/09 10Q

Cisco CSCO: 9/11/09 10K

9/9/09 8K Cisco appointed Arun Sarin, former CEO of Vodafone Group Plc, to its Board of Directors. He will a $75,000 annual retainer, $2,000 per committee meeting attended, and 16,666 shares.

9/4/09 8K annoucing bonus payments for '09 fiscal year to: John T. Chambers, Chairman and Chief Executive Officer, $2,031,000; Frank A. Calderoni, Executive Vice President, Chief Financial Officer, $900,000; Wim Elfrink, Executive Vice President, Cisco Services and Chief Globalization Officer, $1,000,000; Randy Pond, Executive Vice President, Operations, Processes and Systems, $900,000; and Richard J. Justice, former Executive Vice President, Worldwide Operations and Business Development and current Executive Vice President – Executive Advisor, $750,000.

Coke KO: 7/30/09 10Q

Disney DIS: 9/16 Prospectus related to the takeover of Marvel.

8/31/09 8K announcing a merger between its subsidiary, Maverick Acquisition Sub, Inc., and its subsidiary, Maverick Merger Sub, LLC, a single member Delaware limited liability company and Marvel Entertainment, Inc.. As a result of the Merger, Marvel will become a wholly owned subsidiary of Disney. Each share of Marvel common stock will be converted into $30 in cash and 0.7452 shares of Disney common stock.

DuPont DD: 8/13/09 8K announcing Nicholas C. Fanandakis, age 53, Senior Vice President & Chief Financial Officer & Chief Executive effective September 1, 2009 with an increase in annual salary from $387,708 to $500,000 and target short-term incentive award for 2009 will increase from $328,500 to $464,100. Mr. Fanandakis was named to his current position, Group Vice President- Applied BioSciences, in January 2008. Prior to that, he was vice president and general manager- DuPont Chemical Solutions Enterprise from September 2003 through September 2006 and vice president- Corporate Plans from October 2006 through December 2007. Jeffrey L. Keefer, EVP and Chief Financial Officer, will remain EVP and transition from the position of Chief Financial Officer to assume leadership responsibility for the DD's Performance Coatings business, corporate strategy development, Information Technology and overall cost and working capital productivity efforts effective November 1, 2009. Richard R. Goodmanson, EVP and Chief Operating Officer will retire effective September 30, 2009.

ExxonMobil XOM: 8/5/09 10Q

GE: 8/4/09 8K GE reached a settlement with the SEC & consented to a judgment of a fine of $50 million relating to four accounting matters arising in 2002 - 2003: the application of SFAS 133 to GE’s since-discontinued commercial paper hedging program and, separately, to certain swap derivatives where fees were paid or received at inception; a change in accounting for profits on spare parts in the commercial aviation engine business; and certain year-end transactions in the Rail business.

Hewlett-Packard HPQ: 9/17/09 8K On 9/17/09 HPQ elected Marc L. Andreessen as a dierctor and chair of the Technology Committee of the Board. Andreessen is a co-founder and general partner of Andreessen Horowitz, a venture capital firm, and a co-founder and chairman of Ning, Inc., an online platform for people to create their own social networks. Andreessen co-founded Opsware Inc. & served as chief technology officer of America Online, Inc. and was a co-founder of Netscape Communications Corporation. Andreessen gets an retainer of $100,000, an annual equity retainer of $150,000, and $2,000 in cash for each Board meeting attended in excess of six per year. Mr. Andreessen also will be eligible to participate in the product matching portion of the HP Employee Giving Program under which each non-employee director may contribute up to $100,000 worth of HP products each year to a qualified charity by paying 25% of the list price of those products, with HP paying the remaining 75%. In addition, Mr. Andreessen will receive an annual retainer of $10,000 for service as the chair of the Technology Committee. HPQ also increased the number of HPQ directors from ten to eleven.

9/8/09 10-QA

9/4/09 10-Q

Home Depot HD: 9/3/09 10-Q

8/26/09 8K announcing amendments to their By-Laws dealing with resignations of directors.

Intel INTC: 9/16/09 An intranet article re the Stock Option Exchange Program.

9/15/09 8K Intel is consolidating all of its major product divisions into the newly formed Intel Architecture Group, which will be co-managed by Sean Maloney and David (Dadi) Perlmutter, executive vice presidents. Maloney will be responsible for business and operations while Perlmutter will lead product development and architecture. Paul Otellini, CEO, will devote more time to corporate strategy and driving the company’s growth initiatives. Intel’s global manufacturing organization, the Technology and Manufacturing Group will now report to Andy Bryant, Intel’s chief administrative officer. Pat Gelsinger and Bruce Sewell, General Counsel, will leave INTC.

8/28/09 8K announcing that as a result of stronger than expected demand for microprocessors and chipsets, Intel now expects revenue for the third quarter to be $9.0 billion, plus or minus $200 million, as compared to the previous range of $8.5 billion, plus or minus $400 million. The gross margin percentage for the third quarter is expected to be in the upper half of the previous range of 53 percent, plus or minus two percentage points. The company is scheduled to report its third-quarter financial results on Oct. 13.

IBM: 9/8/09 8K IBM representatives will be meeting with a number of institutional investors through mid-September.

7/28/09 10Q

JPMorganChase JPM: 9/17/09 prospectus reReverse Exchangeable Notes due December 21, 2009 Linked to Eight Equally Weighted Reference Stocks and in preceding days there were similar prospectuses.

9/2/09 Free Writing Prospectus relating to Core commodity C-IGAR Sigma Long-Short Index

Johnson & Johnson JNJ: 8/4/09 10Q

Kraft KFT: 9/9/09 prospectus relating to Kraft's bid to take over Cadbury that was announced on 9/7/09.

9/9/09 8K announcing a strategic update, including a review of the company’s successful three-year turnaround plan.

8/5/09 10Q

McDonalds MCD: 9/9/09 8K announcing that global comparable sales rose 2.2% in August and by segment performance was as follows: U.S. up 1.7%; Europe up 3.5%; andAsia/Pacific, Middle East and Africa declined 0.5%.

8/11/09 re: press release "McDonald’s Reports Global Comparable Sales Up 4.3% in July"

Merck MRK: 8/3/09 Sched 14A proxy material re: updated of acquisition of Schering-Plough

Microsoft MSFT: 9/11/09 8K James Cash to retire from Board of Directors. The
Harvard Business School professor and senior associate dean emeritus had served on the board since 2001. With Cash’s departure, the Microsoft board will have nine members: Bill Gates, chairman of Microsoft; Steve Ballmer; Dina Dublon, former chief financial officer of JPMorgan Chase; Raymond V. Gilmartin, former chairman, president and chief executive officer of Merck & Co. Inc.; Reed Hastings, founder, chairman and CEO of Netflix Inc.; Maria M. Klawe, president, Harvey Mudd College; David F. Marquardt, general partner at August Capital; Charles H. Noski, former vice chairman of AT&T Corp.; and Dr. Helmut Panke, former chairman of the board of management at BMW AG.

8/24/09 S-8 Securities to be offered to employees in employee benefit plans

Pfizer PFE: 9/2/09 8K announcing an agreement with the U.S. Department of Justice to settle an investigation regarding off-label promotional practices related to Bextra, which Pfizer withdrew from the market in 2005 and other DOJ investigations involving off-label promotional practices concerning Zyvox, Geodon and Lyrica, and allegations related to payments to healthcare professionals involving these and nine other Pfizer medicines. Pfizer previously disclosed a related $2.3 billion charge to its fourth-quarter and full-year 2008 earnings in connection with the DOJ agreement in principle on January 26, 2009. PFE has reached agreements with attorneys general in 432 states to settle state civil consumer protection allegations regarding promotional practices concerning Geodon. PFE will pay a total of $33 million to the settling states.

Procter & Gamble PG: 9/10/09 8K confirmed its fiscal year 2010 and July – September quarter outlook for organic sales growth. The company also stated it expects to return to organic sales growth in the October – December quarter compared to prior year levels, following two quarters of organic sales declines. P&G also updated earnings per share guidance to include the anticipated impacts from the Pharmaceutical divestiture, which was announced on August 24, 2009. For fiscal year 2010, P&G confirmed previous guidance for organic sales growth of one to three percent. P&G expects net sales in the range of flat to up three percent versus prior year levels, which includes a foreign exchange impact of zero to minus one percent. P&G now expects fiscal 2010 earnings per share in the range of $3.99 to $4.12 per share. This includes a one-time net increase in earnings of $0.44 per share from the sale of the Pharmaceutical business, which will be partially offset by $0.10 to $0.12 per share of earnings dilution related to the transaction.

8/28/09 S-8 Securities to employees and 8/28 8K annoucning public offering of $500,000,000 aggregate principal amount of 3.150% Notes due 2015.
Also a PG subsidiary, Procter & Gamble International Funding SCA issued $1,000,000,000 aggregate principal amount of 1.350% Notes due 2011.

3M MMM: 8/5/09 3M contributed 8,329,862 shares of its common stock with a corresponding dollar value of approximately $600 million to its defined benefit pension plan, the 3M Employee Retirement Income Plan, made from treasury stock.

Travelers TRV: 8/5/09 10Q/A Amended 10Q

United Technologies UTX: 7/24/09 10Q

Verizon Communications Inc. VZ: 9/10/09 8K announcing VZ's cash flow and balance sheet are strong, and VZ recently increased its dividend for the third consecutive year. VZ is not planning for any economic improvements in the second half of 2009. Verizon expects that economic conditions will continue to pressure revenues and margins in the second half of 2009, particularly in its Wireline segment. VZ expects to add one million wireless customers per quarter for the next several quarters.
o The company expects to achieve its stated Alltel cost synergy targets & greater cash flow from operations in the second half of 2009 compared to the first half of 2009.

9/4/09 8K VZ raised its quarterly dividend 3.3% to 47.5 Cents per Share. This is the third consecutive year that VZ has approved a quarterly dividend increase in September.

9/4/09 8K annoucning retirement of Dennis F. Strigl, President and Chief Operating Officer of Verizon Communications Inc.

Wal-Mart WMT: 9/14/09 Prospectus re debt securities of $364,600,000

9/9/09 10Q

8/13/09 8K re 7/31/09 2Q report of earnings

Here are the CEOs of the Dow 30 Companies:

T Randall L. Stephenson
AA Klaus Kleinfeld
AXP Kenneth I. Chenault
BAC Kenneth D. Lewis
BA W. James McNerney, Jr.
CAT James W. Owens
CVX David O'Reilly
CSCO John Chambers
KO Muhtar Kent
DIS Rogert Iger
DD Nicholas C. Fanandakis replaced Ellen Kullman 9/1/09
XOM Rex W. Tillerson
GE Jeffrey R. Immelt
HPQ Mark Hurd
HD Frank Blake
INTC Paul S. Otellini
IBM Samuel J. Palmisano
JPM Jamie Dimon
JNJ William C. Weldon
KFT Irene Rosenfeld
MCD Jim Skinner
MRK Robert Clark
MSFT Steve Ballmer
PFE Jeffrey Kindler
PG Bob McDonald
MMM George W. Buckley
TRV Jay S. Fishman
UTX Louis Chenevert
VZ Ivan Seidenberg
WMT Mike Duke

Here are the Dow Jones Industrial Average 30 ranked in order of market capitalization rounded to the nearest billion as of 9/16/09:

1. Exxon Mobil XOM $345
2. Microsoft MSFT 225
3. WalMart WMT 193
4. GE 180
5. JPMorgan Chase 167
6. Johnson & Johnson JNJ 166
7. IBM 163
8. Procter & Gamble PG 161
9. AT&T T 156
10. Chevron CVX 145
11. Cisco CSCO 135
12. Coke KO 122
13. Pfizer PFE 111
14. Intel INTC 110
15. Bank of Am BAC 110
16. Hewlett-Packard HPQ 109
17. Verizon VZ 86
18. Merck MRK 68
19. McDonald's MCD 62
20. United Technologies UTX 58
21. Disney DIS 53
22. 3M MMM 53
23. Home Depot 48
24. American Express AXP 42
25. Kraft KFT 39
26. Boeing BA 38
27. Caterpillar CAT 33
28. DuPont DD 31
29. Traveler's TRV 28
30. Alcoa AA 14