10/18/09 Sun. Microsoft's Windows 7 to Launch this Week

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Post #165 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 a list of the Dow 30 CEO's, a ranking of the Dow 30 by market capitalization as of close of 10/12/09 and an update of the Dow 30's most recent SEC filings as of 10/12/09.

A read of Sunday's 10/18/09 print editions of: New York Times, Atlanta Journal Constitution, 10/19/09 issue of Barron's and 10/29/09 issue of Business Week 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: Barron's Market Week" pM1 says breaking Dow 1000 is starting to seem like quitting smoking. It's no big deal; we've done it dozens of times. Wile the number itself might be familiar, the economic climate's very different from the one we had when the Dow first cross 10k, more than 10 years ago. Unemployment is double what it was then. Oil was under $16 a barrel, versus $78 today. Today's dollar would have bought only 75 cents then. Perhaps most stark is the fact that we're merely at a stock market level attained 10 years earlier, yet some folks are insisting stocks have climbed too high.

Barron's pM1 "The Trader - Why the Dow May Top 1000 Again" by Kopin Tan says nearly 80% of the major companies that have reported 3Q profits have beat projections. it could end up as one of the best quarters since early '04. JPMorgan Chase earned $3.6 bil 3Q, JPMorgan Chase earned $3.6 bil 3Q and losses at its finance unit continued to vex GE while Bank of America reported a $1 bil net loss as loan losses drowned out trading and investment banking rev; the stock pulled back 7% in 2 days.

BW p67 says the Dow broke 10000 on 10/14 but insiders have been signaling a stock market pullback. Since 9/1 directors and execs at publicly traded US companies have sold $40 worth of shares for every $1 of purchases. That compares with $22 in sales for every $1 buy from March through August. Insider selling hasn't been this high since the downturn began at the end of '07.

AT&T T $25.7 -0.21 0.81% 34,807,358 NYSE: Barron's p5 "Streetwise - Five Modern Myths" by Michael Santoli says the excitement for corporate debt over equities is by now familiar. Eleven dollars in net inflows have gone to bond mutual funds for every net dollar into equity funds over the past 3 months and the securities of telecom companies AT&T, Verizon and CenturyTel illustrate this. Their stock-dividend yields are between 6.4% and 8.3% - higher than their bond yields by one to 3 percentage points. Morgan Stanley strategists suggest that the stocks are a better deal, given the dividend sustainability (itself implied by the skimpy bond yields).

Barron's p31 "Tech Trader - Will the New windows Lift Chip Stocks? don't Count on It" by Eric J. Savitz says as the new Windows 7 to be introduced by Microsoft this week is getting rave reviews. Also Intel's Paul Otellini said last week that '10 forecasts could see PC units increase 10% or more because of Windows 7 combined with whizzy new Hehalem class processors from Intel will make the purchase of PCs irresistible. But the author says the great '09 chip rally may be running out of steam because the arrival of Win 7 might fail to trigger a big burst of PC buying. If consumers don't buy a ton of Win 7 based PCs, the chip sector could suffer a double dip, with a quick return to the days of glutted inventor. Meanwhile, competition in the carrier markets keeps accelerating. AT&t has jumped into the ever more eroded prepaid market dominated by Leap Wireless and MetroPCS apparently worried that low cost, no contract plans will eat into the core post paid market. WalMart also entered the competition as it rolled out a prepaid service in partnership with a unit of America Movil offering a $5 a month plan for unlimited voice and messages, and $30 for 1,000 minutes and a 1,000 messages. There are too many carriers but rather than consolidation, we are seeing new entrants which is not a good sign for telecom stocks.

BW p6 says Cisco's acquisition of Tandberg will helpit continuing to deliver 13% to 17% annual growth and says maybe one day Cisco can bring relief to frustrated iPhone users, given carrier AT&T's difficulty keepin up with massive mobile Net traffic

AA $14.04 -0.32 2.23% 29,403,677 NYS: No mentions found.

American Express AXP $34.95 -0.59 1.66% 14,266,126 NYSE: Barron's p16 "Last Week Review & this Week Preview" says American Express will report 3Q earnings on Thurs. 10/22.

Bank of America BAC $17.26 -0.84 4.64% 333,015,187 NYSE: Barron's p16 "Last Week Review & this Week Preview" says Earnings reports from Bank of America and GE disappointed investors as did a falling consumer-sentiment index.

Barron's pM2 "charting the Market" charts BAC saying the country's biggest bank posted a 3Q loss of 26 cents a share, versus a profit a year earlier. Consumer lending was a sore point.

Barron's pM "The Trader - Why the Dow May Top 1000 Again" by Kopin Tan says nearly 80% of the major companies that have reported 3Q profits have beat projections. it could end up as one of the best quarters since early '04. JPMorgan Chase earned $3.6 bil 3Q, JPMorgan Chase earned $3.6 bil 3Q and losses at its finance unit continued to vex GE while Bank of America reported a $1 bil net loss as loan losses drowned out trading and investment banking rev; the stock pulled back 7% in 2 day.s

Boeing BA $53.19 +1.43 2.76% 7,398,105 NYSE: Barron's p39 in an interview with J.d. Delafied, CEO of Delafield Hambrecht by Jack Willoughby he says you there are many good uncovered companies in the Pacific Northwest other than Boeing, which still has its main manufacturing facilities there even though its headquartered in Chicago, Starbucks, Amazon.com and Microsoft.

Caterpillar CAT $54.57 -0.20 0.37% 8,789,941 NYSE: Barron's p16 "Last Week Review & this Week Preview" says Caterpillar will report 3Q earnings on Tues. 10/20 with a consensus estimate of 0.07 compared to year ago of 1.39.

Chevron CVX $76.81 +0.12 0.16% 9,587,098 NYSE: Barron's pM11 "The Striking Price Optons" by Steven M. Sears says that US companies with international exposure should outperform domestic focused competitors due to the weak dollar and says it may be a good idea to buy 3 month calls on Chevron according to Pat Neal, Jefferies strategy chief.

Cisco CSCO $24.02 -0.346 1.42% 37,883,143 NASDAQ-GS: Barron's p16 "Last Week Review & this Week Preview" says Cisco agreed to buy Starent Networks for $2.9 bil.

Barron's p18 "Follw-Up A return Visit to Earlier Stories - John Chambers, Fund manager says over the past 8 years, John chambers, the Cisco CEO has acted like the manager of a value stock mutual fund and the stock that he thinks offers the most value is his own. Two days after the 9/11 terrorist attacks, Cisco began a repurchase plan under which it has since bought $57.2 bil worth of its stock at an average price of $20. In the same span, the shares' open market price has risen nearly 74%, while the S&P is up 5.5%. and the boost to Cisco's bottom line has been sizable, given that the share count is about 22% below '01's total. Cisco now trades at a 18.4 p/e and has $35 bil in cash and $10 bil of long term debt and is nicely position to grow. Its deal last week to buy Tandberg is being funded with $3bil of the $29 bil it has abroad. Tandberg should boost growth and cash flow.

Barron's pM2 "charting the Market" charts Starent Networks saying it agreed to be acquired by Cisco for $2.9 bil in cash or $35 a share.

BW p6 says Cisco's acquisition of Tandberg will hel it to continue to deliver 13% to 17% annual growth and says maybe one day Cisco can bring relief to frustrated iPhone users, given carrier AT&T's difficulty keepin up with massive mobile Net traffic.

Coca-Cola KO $55.01 +0.09 0.16% 10,754,082 NYSE: Barron's p16 "Last Week Review & this Week Preview" says Coca-Cola will report 3Q earnings on Tues. 10/20 with a consensus estimate of 0.81 compared to year ago of 0.83.

Barron's p20 "Cover Story C'mon, Ben! - With the crsis over, it's high time for the Fed to raise rates. To keep them this low hurts savers, foreign creditors and maybe even stocks" by Andrew Bary says the stock market has become a weak-dollar constituency because a declining greenback boosts profits of multinational companies like coca-Cola and Intel. Overall, companies in the S&P 500 get 30% of their revs from abroad.

AJC pD3 "UpClose - Getting better displaying in . . . locations that are bigger" is an interview by Joe Guy Collier with Steve Cahillane, Exec. AP and pres of Coca-Cola Enterprises North American Group who says that the number one driver of volume for the Coke system in North America is price, so when KO sells on sale sparkling beverages, people buy it and number 2 is visibility or cases on display. Coca-Cola Enterprises is controlled by KO but is, of course, a separate company.
DIS $29.4 +0.17 0.58% 12,014,394 NYSE

BW p59 has an article by Nanette Byrnes about Dr Pepper and says in the soda wars, Dr. Pepper Snapple Group has long run a distant third to Coca-Cola and PepsiCo but the beverage maker is experiencing a surprising renaissance with its stock up 154% since March compared with a 33% climb for Coke and 32% rise of Pepsi. Sales of Dr. Pepper are bucking the industry trend rising almost 3% in the first half of this year while overall soda consumpton dropped by that much. All this because it was spun off from Cadbury in '08. Recently Dr Pepper scored a coup: a fountain spigot in McDonald's 14,000 US restaurants.

DuPont DD $34.1 -0.47 1.36% 6,342,647 NYSE: Barron's p16 "Last Week Review & this Week Preview" says DuPont will report 3Q earnings on Tues. 10/20 with a consensus estimate of 0.33 compared to year ago of 0.56.

ExxonMobil XOM $73.12 +0.18 0.25% 22,960,082 NYSE: Barron's "Fields of Dreams" by Vito J. Racanelli says Anadarko Petroleum and Tullow have new oil strikes with big potential. Why the compaies' shares also may have room to run. 2 recent oil finds in previously neglected subSaharan African regions could top a billion barrel. One of the 2, the Jubilee field off the coast of Glhana received a big boost from XOM which is battling China National offshore Oil Corp., or Conoc, to buy a 23.5% stake held in Jubilee by Kosmos Energy at a price of $4bil. The Jubilee field is expected to come online in 3Q of '10 and could produce 120,000 barrels a day.

BW p33 "Inside the business War against Tax Reform" by Nanette Byrnes, Robert Berner, Ben Elgin, Keith Epstein says lobbying by PG, Schering-Plough, and others has stymied the proposed $210 bil in tax hikes. But the companies' tactics and past IRS battles raise troubling questions. PG argues that the tax hike will give foreign competitors a big advantage and US firms already face a 35% income tax rate, higher than that of most countries. GE has lowered its tax rate from 31% in '99 to 5.5% last year due to losses at GE Capital unit. The story discusses ExxonMobil's use of the LIFO method which boosted XOM's $45 bil bottom line by $341 mil last year.

GE $16.08 -0.71 4.23% 181,319,744 NYS: BW p52 "The Spectre Haunting GE" by jeff Gerth says many MRI patients are injected with a GE dye to enhance images. If they have weak kidneys, they might develop a rare and sometimes fatal disease. The GE product, Omniscan, has been linked to this sometimes fatal ailment known as nephrogenic systemic fibrosis or NSF. GE's medical division of imaging machines and related products, monitoring devices, and medical records tech had sales in its most recent year of $17.4 bil, profits of $2.85 bil and 46,000 employees. Also GE Capital lends to many GE healthcare customers.

Barron's p16 "Last Week Review & this Week Preview" says Earnings reports from Bank of America and GE disappointed investors as did a falling consumer-sentiment index.

Barron's pM1 "The Trader - Why the Dow May Top 1000 Again" by Kopin Tan says nearly 80% of the major companies that have reported 3Q profits have beat projections. it could end up as one of the best quarters since early '04. JPMorgan Chase earned $3.6 bil 3Q, JPMorgan Chase earned $3.6 bil 3Q and losses at its finance unit continued to vex GE while Bank of America reported a $1 bil net loss as loan losses drowned out trading and investment banking rev; the stock pulled back 7% in 2 days.

BW p33 "Inside the business War against Tax Reform" by Nanette Byrnes, Robert Berner, Ben Elgin, Keith Epstein says lobbying by PG, Schering-Plough, and others has stymied the proposed $210 bil in tax hikes. But the companies' tactics and past IRS battles raise troubling questions. PG argues that the tax hike will give foreign competitors a big advantage and US firms already face a 35% income tax rate, higher than that of most countries. GE has lowered its tax rate from 31% in '99 to 5.5% last year due to losses at GE Capital unit. The story discusses ExxonMobil's use of the LIFO method which boosted XOM's $45 bil bottom line by $341 mil last year.

BW p37 "Dell's Doover" by Cliff Edwards discusses how Michael Dell is tring to change almost everything about the company he founded. Dell is weeks away from closing its largest acquisition, a $3.9 bil deal for Perot systems. The preeminent pc maker has fallen on hard times. While Hewlett-Packard, IBM and other rivals transformed themselves in recent years by acquiring new companies, Dell stuck with its old playbook of cranking out PCs. In '05 Dell was valued at $100 bil, more than HP and Apple combined, but today its worth is only $30 bil. Dell has hired execs away from GE, IBM, and Motorola. Dell used to rely on Microsoft and Intel for innovations but now its ramping up its R&D to do its own innovations. Dell also announced plans to sell its PCs at WalMart in order to use retail stores to reach more customers.

Hewlett-Packard HPQ $48.37 +0.37 0.77% 19,404,635 NYSE: Barron's p29 "D.C. Current - How to Play the Health-Care Flinale" by JJim McTague says data providers will benefit from the health care reform bills. Big providers of the Dept. of Veterans Affairs include Hewlett-Packard which bought EDS, a big VA contractor. HPQ has been trading at $48 and its '10 earnings are estiamted at 4.28, versus 3.81 this year and is not expensive.

BW p37 "Dell's Do-over" by Cliff Edwards discusses how Michael Dell is tring to change almost everything about the company he founded. Dell is weeks away from closing its largest acquisition, a $3.9 bil deal for Perot systems. The preeminent pc maker has fallen on hard times. While Hewlett-Packard, IBM and other rivals transformed themselves in recent years by acquiring new companies, Dell stuck with its old playbook of cranking out PCs. In '05 Dell was valued at $100 bil, more than HP and Apple combined, but today its worth is only $30 bil. Dell has hired execs away from GE, IBM, and Motorola. Dell used to rely on Microsoft and Intel for innovations but now its ramping up its R&D to do its own innovations. Dell also announced plans to sell its PCs at WalMart in order to use retail stores to reach more customers.

Home Depot HD $27.26 -0.04 0.15% 12,004,612 NYSE: BW p43 "The hard Sell" by Jena McGregor says retailers are fighting for the hearts and minds of the new consumer and says Home Depot has cut back on styles of paintbrushes, grills and even outdoor holiday products such as artificial Xmas trees and blow up snowmen in order to dump fringe products to be more efficient.

Inel INTC $20.18 -0.49 2.37% 75,411,423 NASDAQ-GS: Barron's p16 "Last Week Review & This Week Preview" says investors anxious to see quarterly top line growth accompany profit gains are cheering last week's reports from companies such as Google, where 3Q sales grew 7%, and outlooks from Intel and Dell, which sees order improving.

Barron's p20 "Cover Story C'mon, Ben! - With the crsis over, it's high time for the Fed to raise rates. To keep them this low hurts savers, foreign creditors and maybe even stocks" by Andrew Bary says the stock market has become a weak-dollar constituency because a declining greenback boosts profits of multinational companies like coca-Cola and Intel. Overall, companies in the S&P 500 get 30% of their revs from abroad.

Barron's p31 "Tech Trader - Will the New windows Lift Chip Stocks? don't Count on It" by Eric J. Savitz says as the new Windows 7 to be introduced by Microsoft this week is getting rave reviews. Also Intel's Paul Otellini said last week that '10 forecasts could see PC units increase 10% or more because of Windows 7 combined with whizzy new Hehalem class processors from Intel will make the purchase of PCs irresistible. But the author says the great '09 chip rally may be running out of steam because the arrival of Win 7 might fail to trigger a big burst of PC buying. If consumers don't buy a ton of Win 7 based PCs, the chip sector could suffer a double dip, with a quick return to the days of glutted inventor. Meanwhile, competition in the carrier markets keeps accelerating. AT&t has jumped into the ever more eroded prepaid market dominated by Leap Wireless and MetroPCS apparently worried that low cost, no contract plans will eat into the core post paid market. WalMart also entered the competition as it rolled out a prepaid service in partnership with a unit of America Movil offering a $5 a month plan for unlimited voice and messages, and $30 for 1,000 minutes and a 1,000 messages. There are too many carriers but rather than consolidation, we are seeing new entrants which is not a good sign for telecom stocks.

BW p4 says Intel beat its own forecasts on 10/14 and its stock adanced 1.75 to push the Dow past 10,000.

BW p37 "Dell's Do)over" by Cliff Edwards discusses how Michael Dell is tring to change almost everything about the company he founded. Dell is weeks away from closing its largest acquisition, a $3.9 bil deal for Perot systems. The preeminent pc maker has fallen on hard times. While Hewlett-Packard, IBM and other rivals transformed themselves in recent years by acquiring new companies, Dell stuck with its old playbook of cranking out PCs. In '05 Dell was valued at $100 bil, more than HP and Apple combined, but today its worth is only $30 bil. Dell has hired execs away from GE, IBM, and Motorola. Dell used to rely on Microsoft and Intel for innovations but now its ramping up its R&D to do its own innovations. Dell also announced plans to sell its PCs at WalMart in order to use retail stores to reach more customers.

IBM $121.64 -6.34 4.95% 18,542,370 NYSE: Barron's pM2 "Charting the Market" charts IBM saying Big Blue posted a 14% gain in 3Q profit and raised its earnings outlook. But sales in global services, hardware and software softened.

BW p37 "Dell's Do)over" by Cliff Edwards discusses how Michael Dell is tring to change almost everything about the company he founded. Dell is weeks away from closing its largest acquisition, a $3.9 bil deal for Perot systems. The preeminent pc maker has fallen on hard times. While Hewlett-Packard, IBM and other rivals transformed themselves in recent years by acquiring new companies, Dell stuck with its old playbook of cranking out PCs. In '05 Dell was valued at $100 bil, more than HP and Apple combined, but today its worth is only $30 bil. Dell has hired execs away from GE, IBM, and Motorola. Dell used to rely on Microsoft and Intel for innovations but now its ramping up its R&D to do its own innovations. Dell also announced plans to sell its PCs at WalMart in order to use retail stores to reach more customers.

J.P. Morgan Chase JPM $46.06 -1.10 2.33% 35,920,168 NYSE: Barron's p7 "Up & Down Wall Street - A Whiff of Reality" by Alan Abelson says the outpouring of gov money hasn't stanched the job hemorrhaging or loosened credit to the struggling small business owner or shut off the surge in foreclosures. There is no better illustration of the quixotic effects of the massive injection of money by Washington into the economy than the contrast between the continuing woes of so many banks and the robust fortunes of some of their more prominent counterparts like JPMorgan Chase and Goldman Sachs, which reported stellar 3Q earnings even embattled Citigroup contrived to show a profit.

Barron's p20 "Cover Story C'mon, Ben! - With the crsis over, it's high time for the Fed to raise rates. To keep them this low hurts savers, foreign creditors and maybe even stocks" by Andrew Bary says while savers are suffering and Main Street is hurting from still tight bank lending policies, Wall Street is having one of its best years even and rock bottom short term rates are a key reason. JPMorgan and Goldman last week reported strong 3Q profits, stemming in large part from trading activities.

Barron's pM1 "The Trader - Why the Dow May Top 1000 Again" by Kopin Tan says nearly 80% of the major companies that have reported 3Q profits have beat projections. it could end up as one of the best quarters since early '04. JPMorgan Chase earned $3.6 bil 3Q, JPMorgan Chase earned $3.6 bil 3Q and losses at its finance unit continued to vex GE while Bank of America reported a $1 bil net loss as loan losses drowned out trading and investment banking rev; the stock pulled back 7% in 2 days.

BW p4 says JPM announced 3Q profits of $3.6 bill up from $527 mil same quarter prior year.

BW p24 "Banks: Pain Now, Profits Tomorrow" by David Henry says by recognizing loan losses preemptively, companies are setting the stage for better ernings next years. Mortgages, credit cards, and other consumer loans are showing signs of stabilizing, although JPMorgan CEO Jamie Dimon warned on 10/14 that he expects consumer credit costs to stay elevated for the foreseeable future.

Johnson & Johnson JNJ $60.46 -0.48 0.79% 13,498,251 NYSE: Barron's Take - Reshaping J&J - Acquisitions in line with future global health needs" by Tiernan Rays says JNJ is the world's biggest medical device maker and one fo the largest pharmaceutical companies and JNJ's management is turning it around. JNJ's 3Q sale fell 5.3% to $15.1 bil, slightly below analysts' estimates of $15.2 bil. Earnings, however, rose 2.6% to 1.20, seven cents better than the consensus forecost. JNJ shares, ehich recently have been trading below 61 could reach 68 as thier drug pipeline begins to bear fruied according to Tim Nelson, a senior health care analyst with First American Funds. JNJ's 52 week high is 65 and its 52 week low is 46.25.

Kraft KFT $27.03 +0.40 1.5% 18,932,475 NYSE: BW p6 said Bruce Wasserstein died on 10/1409 and he had been advising Kraft in its pursuit of Cadbury.

Mcdonald's MCD $58.78 +0.58 1% 9,941,534 NYSE: BW p59 has an article by Nanette Byrnes about Dr Pepper and says in the soda wars, Dr. Pepper Snapple Group has long run a distant third to Coca-Cola and PepsiCo but the beverage maker is experiencing a surprising renaissance with its stock up 154% since March compared with a 33% climb for Coke and 32% rise of Pepsi. Sales of Dr. Pepper are bucking the industry trend rising almost 3% in the first half of this year while overall soda consumpton dropped by that much. All this because it was spun off from Cadbury in '08. Recently Dr Pepper scored a coup: a fountain spigot in McDonald's 14,000 US restaurants.

BW p60 in an article about critics of stealth advertising are pressuring the FCC for tougher regulation by Tom Lowry, Burt Helm gives an example of placing Mcdonald's McFlurry in "30 Rock."

MRK $33.21 -0.09 0.27% 20,250,941 NYSE: No mentions found.

Microsoft MSFT $26.5 -0.21 0.79% 56,116,365 NASDAQ-GS: Barron's p16 "Last Week Review & this Week Preview" says on Thurs. 10/22 Microsoft's new Windows 7 operating system becomes available.

NYT Bus. Sec. p1 "Forecast for Microsoft: Partly Cloudy - Even as Windows 7 Arrives, the Company Looks Beyond the PC" by Ashlee Vance with a half page photo of CEO Steven A. Ballmer looking heaven ward with a sly smile as if he were a Franciscan monk. The article says with the arrival this week of wlindows 7 and a host of complementary, slick computers, Microsoft intends to undermine tose Apple ads that mock PCs and their users as stumbling bore. MSFT says Windows 7 will let PCs keep pace with other computing devices and finally make them sexy. In a play for its piece of the cloud, Microsoft plans to release a software platfrom,, Windows Azure, next month that represents its bid to lure businesses with online services. While late to cloud computing in spots and a lackluster participant in the mobile market, MSFT sill could reinvent itself and move being the desktop. There is a chart that says MSFT's revs declined for the first itne im the company's history in its '09 fical year and its profits declined for onlly the third time. Anotehr charts shows how Microwsoft's robust software divisions continued to generate huge profits, though they fell slightly in the last fiscal year. Performance improved in its server products div, but declined in online services and entertainment. Two final charts show how Microsoft has lost some ground to Apple in the computer market, while its momentum in the smartphone marked has waned. Microsoft's chief software architect is heavily quoted in the article and is pictured.

Barron's p31 "Tech Trader - Will the New windows Lift Chip Stocks? don't Count on It" by Eric J. Savitz says as the new Windows 7 to be introduced by Microsoft this week is getting rave reviews. Also Intel's Paul Otellini said last week that '10 forecasts could see PC units increase 10% or more because of Windows 7 combined with whizzy new Hehalem class processors from Intel will make the purchase of PCs irresistible. But the author says the great '09 chip rally may be running out of steam because the arrival of Win 7 might fail to trigger a big burst of PC buying. If consumers don't buy a ton of Win 7 based PCs, the chip sector could suffer a double dip, with a quick return to the days of glutted inventor. Meanwhile, competition in the carrier markets keeps accelerating. AT&t has jumped into the ever more eroded prepaid market dominated by Leap Wireless and MetroPCS apparently worried that low cost, no contract plans will eat into the core post paid market. WalMart also entered the competition as it rolled out a prepaid service in partnership with a unit of America Movil offering a $5 a month plan for unlimited voice and messages, and $30 for 1,000 minutes and a 1,000 messages. There are too many carriers but rather than consolidation, we are seeing new entrants which is not a good sign for telecom stocks.

BW p28 "Can Apple Spoil Microsoft's Day?" by Peter Burrows says the impending launch of Windows 7 is been seen by Apple as an opportunity to lure PC users away. Millions of PC owners are expected to head to stores over the next year to replace their aging machines because Microsoft's last operating system, Vista, was so poorly reviewed that many peeople simply stuck with machines running the 8 year old Windows XP system. Apple plans a big advertising campaign to lure computer buyers to buy its Macs. Microsoft Windows' share of the US Pc market is 92.5% and Apple's share is 6.6%.

Bw p71 "Win 7 Microsoft Gets it Right Finally" by Stephen H. wildstrom says the operating system is fast and loaded with smart features, unlike the disastrous Vista.

BW p37 "Dell's Do-over" by Cliff Edwards discusses how Michael Dell is tring to change almost everything about the company he founded. Dell is weeks away from closing its largest acquisition, a $3.9 bil deal for Perot systems. The preeminent pc maker has fallen on hard times. While Hewlett-Packard, IBM and other rivals transformed themselves in recent years by acquiring new companies, Dell stuck with its old playbook of cranking out PCs. In '05 Dell was valued at $100 bil, more than HP and Apple combined, but today its worth is only $30 bil. Dell has hired execs away from GE, IBM, and Motorola. Dell used to rely on Microsoft and Intel for innovations but now its ramping up its R&D to do its own innovations. Dell also announced plans to sell its PCs at WalMart in order to use retail stores to reach more customers.

Pfizer PFE $17.77 +0.11 0.62% 66,977,392 NYSE: Barron's p16 "Last Week Review & this Week Preview" says Pfizer will report 3Q earnings on Tues. 10/20 with a consensus estimate of 0.48 compared to year ago of 0.62.

Procter & Gamble PG $57.44 -0.20 0.35% 11,743,941 NYSE: BW p33 "Inside the business War against Tax Reform" by Nanette byrnes, Robert Berner, Ben Elgin, Keith Epstein says lobbying by PG, Schering-Plough, and others has stymied the proposed $210 bil in tax hikes. But the companies' tactics and past IRS battles raise troubling questions. PG argues that the tax hike will give foreign competitors a big advantage and US firms already face a 35% income tax rate, higher than that of most countries. GE has lowered its tax rate from 31% in '99 to 5.5% last year due to losses at GE Capital unit. The story discusses ExxonMobil's use of the LIFO method which boosted XOM's $45 bil bottom line by $341 mil last year.

BW p70 "Inside Wall Street" by Gene Marcial says P&G, No. 1 in consumer products, is supposed to be the ultimate defensive firm for weathering hard times. But sale sin fiscal '09 ended 6/30 slid 3%, with flat operating profit margins. this has restrained the stocks rise: Its at 57.33 up from a low of 43 on 3/9. but Edwin Walczak of Vontobel sees PG at 73 in a year.

MMM $76.02 +0.75 0.98% 3,313,938 NYSE: No mentions found.

TRV $48.67 +0.12 0.25% 4,777,815 NYSE: No mentions found.

United Technologies UTX $64.89 +0.49 0.76% 6,179,561 NYSE: Barron's p16 "Last Week Review & this Week Preview" says United Technologies will report 3Q earnings on Tues. 10/20 with a consensus estimate of 1.12 compared to year ago of 1.33.

Verizon VZ $28.9 -0.21 0.72% 20,787,216 NYSE: Barron's p5 "Streetwise - flive Modern Myths" by Michael Santoli says the excitement for corporate debt over equities is by now familiar. Eleven dollars in net inflows have gone to bond mutual funds for every net dollar into equity funds over the past 3 months and the securities of telecom companies AT&T, Verizon and CenturyTel illustrate this. Their stock-dividend yields are between 6.4% and 8.3% - higher than their bond yields by one to 3 percentage points. Morgan Stanley strategists suggest that the stocks are a better deal, given the dividend sustainability (itself implied by the skimpy bond yields).

Wal-Mart WMT $51.22 +0.27 0.53% 16,487,768 NYSE: Barron's p16 "Last Week Review & this Week Preview" says on Thurs. 10/22 Wal-Mart Stores will conduct its annual analyst and investor meeting.

Barron's p31 "Tech Trader - Will the New windows Lift Chip Stocks? don't Count on It" by Eric J. Savitz says as the new Windows 7 to be introduced by Microsoft this week is getting rave reviews. Also Intel's Paul Otellini said last week that '10 forecasts could see PC units increase 10% or more because of Windows 7 combined with whizzy new Hehalem class processors from Intel will make the purchase of PCs irresistible. But the author says the great '09 chip rally may be running out of steam because the arrival of Win 7 might fail to trigger a big burst of PC buying. If consumers don't buy a ton of Win 7 based PCs, the chip sector could suffer a double dip, with a quick return to the days of glutted inventor. Meanwhile, competition in the carrier markets keeps accelerating. AT&t has jumped into the ever more eroded prepaid market dominated by Leap Wireless and MetroPCS apparently worried that low cost, no contract plans will eat into the core post paid market. WalMart also entered the competition as it rolled out a prepaid service in partnership with a unit of America Movil offering a $5 a month plan for unlimited voice and messages, and $30 for 1,000 minutes and a 1,000 messages. There are too many carriers but rather than consolidation, we are seeing new entrants which is not a good sign for telecom stocks.

BW p37 "Dell's Do)over" by Cliff Edwards discusses how Michael Dell is tring to change almost everything about the company he founded. Dell is weeks away from closing its largest acquisition, a $3.9 bil deal for Perot systems. The preeminent pc maker has fallen on hard times. While Hewlett-Packard, IBM and other rivals transformed themselves in recent years by acquiring new companies, Dell stuck with its old playbook of cranking out PCs. In '05 Dell was valued at $100 bil, more than HP and Apple combined, but today its worth is only $30 bil. Dell has hired execs away from GE, IBM, and Motorola. Dell used to rely on Microsoft and Intel for innovations but now its ramping up its R&D to do its own innovations. Dell also announced plans to sell its PCs at WalMart in order to use retail stores to reach more customers.

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Here are the CEOs of the Dow 30 Companies:

T Randall L. Stephenson
AA Klaus Kleinfeld
AXP Kenneth I. Chenault
BAC Kenneth D. Lewis (on 10/1 he announced his resignation as of year-end).
BA W. James McNerney, Jr.
CAT James W. Owens
CVX David O'Reilly who will be replaced by John Watson at year end.
CSCO John Chambers
KO Muhtar Kent
DIS Robert Iger
DD Ellen Kullman
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 10/12/09:

1. Exxon Mobil XOM $337
2. Microsoft MSFT 229
3. WalMart WMT 191
4. JPMorgan Chase 181
5. GE 174
6. Johnson & Johnson JNJ 172
7. Procter & Gamble PG 168
8. IBM 167
9. Bank of Am BAC 156
10. At&t T 151
11. Chevron CVX 148
12. Cisco CSCO 137
13. Coke KO 127
14. Pfizer PFE 115
15. Intel INTC 114
16. Hewlett-Packard HPQ 112
17. Verizon VZ 82
18. Merck MRK 69
19. McDonald's MCD 62
20. United Technologies UTX 58
21. Disney DIS 53
22. 3M MMM 52
23. Home Depot 46
24. American Express AXP 42
25. Kraft KFT 39
26. Boeing BA 38
27. Caterpillar CAT 33
28. DuPont DD 30
29. Traveler's TRV 28
30. Alcoa AA 14

Here are the latest SEC filings as of 10/12/09 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: 10/2/09 11K Annual Report of employee stock purchase plan.

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 AT&T redeemed certain long-term debt issues as of September 28, 2009.

Alcoa AA: 10/8/09 announcing financial results for the third quarter.

7/29/09 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: 10/2/09 8K announcing departure of Alfred F. Kelly, Jr., as Pesident and head of AXP Global Consumer Group as of 4/10/09.

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: 10/9/09 several free writing prospectus regarding issuance of securities.

Boeing BA: 10/9/09 8K announcing the election to the Board and Audit & Fin. Committee of retired Admiral Edmund P. Giambastiani, Jr. former Vice-Chair of Joint Chiefs of Staff '05- '07.

10/6/09 8K announcing a charge to third quarter earnings in connection with delays in the 747-8 program.

9/15/09 8K 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: 10/5/09 8K announcing price changes on most machines worldwide effective Jan. '10.

9/23/09 8K announcing a new credit agreement with The Bank of Tokyo-Mitsubishi UFJ, Ltd., that provides for an unsecured aggregate revolving credit facility up to $2.38 billion that serves as an alternative source of funds, if necessary, for CAT's commercial paper programs.

9/21/09 8K furnishing supplemental information concerning deliveries to users for its Machinery and Engines lines of business. Caterpillar sells the majority of its machinery and engines to independently owned and operated dealers and Original Equipment Manufacturers to meet the demands of their customers, the end users. Retail Sales of Machines by marketing region for the 3-month rolling period compared with the same months of the prior year were down significantlly.

9/15/09 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.

Chevron CVX: 10/8/09 8K announcing third quarter interim financial results.

9/30/09 8K announcing the retirement of CEO David J. OReilly who is being replaced by John S. Watson and the election to the Board as Vice-Chairman of George L. Kirkland.

8/6/09 10Q

Cisco CSCO: 10/5/09 8K announcing its offer to buy the Norwegian fimr Tandberg ASA for $3 bil.

9/23/09 Proxy Statement in connection with its Annual Meeting to be held 11/12/09.

9/11/09 10K.

9/9/09 8K Cisco appointed Arun Sarin, former CEO of Vodafone Group Plc, to its Board of Directors.

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; Willaim 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: 9/22/09 Form S-4 Proxy and 9/16/09 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: 10/7/09 8K regulation FD disclosure regarding comments made by Executive Vice President Mark Vergnano who said DuPont would return to its level of '08 profitability in 2 and a half years.

9/29/09 and 8/13/09 8Ks announcing Nicholas C. Fanandakis, age 53, Senior Vice President & Chief Financial Officer 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: 9/24/09 8K saying at its Securities Analyst Meeting, HPQ addressed how it is uniquely positioned to grow and expand in the global information technology market. “We expect the IT industry to return to growth in 2010 and believe that HP will outpace the market,” said Mark Hurd, CEO.

9/17/09 8K announcing the election of 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

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: 10/8/09 amended the 9/21/09 tender offer regarding exchange of some of its stock options with its employees.

9/15/09 8K Intel announcing Intel's consolidation of 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.

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

7/28/09 10Q

JPMorganChase JPM: 10/9/09 Various free writing prospectus re: issuance of securities.

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

Kraft KFT: 10/6/09 8K announcing the promotion of Kim H. Jones, 49, to VP & Corp. Controller.

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: 9/25/09 8K announcing a quarterly cash dividend of .55 cents per share payable 12/15/09.

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: 9/21/09 8K announcing that the acquisition by Sanofi-aventis of Merck’s 50percent interest in Merial Limited (Merial) has been completed. Sanofi-aventis acquired Merck’s interest in Merial for a cash consideration of $4 billion. Formed in 1997, Merial is a leading animal health company that was a 50/50 joint venture between Merck and sanofi-aventis and is now a wholly-owned subsidiary of sanofi-aventis.

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

Microsoft MSFT: 10/6/09 Proxy Statement regarding the Shareholders Annual Meeting to be held in Bellevue, Washington on 11/19/09.

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: 9/24/09 8K announcing the expansion of the Board to 14 members pursuant to the agreement to merge with Wyeth and electing two Wyeth directors to the newly expanded Board: Frances D. Fergusson and John P. Mascotte.

9/24/09 11-K Annual Report of Employee Stock Option Plan.

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: 11K Annual Report of Employee Stock Purchase Plan.

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: 8K 9/11/09 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.
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: 8K 9/18 Pricing agreement re: the 9/16 filed prospectus relating to $1 bil of Euro Note Offering at 4.875%

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

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