PLANYC 2030

 

Burger King Holdings Inc. said its fiscal third-quarter profit fell 13 percent on a higher tax rate and bad winter weather that crimped sales, but the performance still managed to narrowly top Wall Street’s forecast.

Cautious about signs of an improving economy – as unemployment remains high – the burger chain is working to provide menu items that appeal to both value-driven customers and those who are ready to spend a bit more.

Burger King earned $41 million, or 30 cents per share, compared with $47.1 million, or 34 cents per share, a year earlier. Analysts surveyed by Thomson Reuters, whose estimates usually remove one-time items, predicted a profit 29 cents per share.

Revenue for the quarter ending March 31 dipped 1 percent to $596.9 million from $599.9 million. Wall Street expected $597.7 million.

The burger chain continued to push its $1 quarter-pound double cheeseburger during the quarter, while also launching its pricier Steakhouse XT burger line in February.

Chairman and CEO John Chidsey said in a statement that harsh winter weather in January and February hurt its restaurants, but that its U.S. restaurants saw better traffic in March and sequential improvement in average checks, which benefited from the Steakhouse XT burgers.

The Miami company said that an important sales measure dropped during the quarter, with sales at U.S. and Canadian restaurants open at least a year down 6.1 percent – about 3 percentage points of the decline was blamed on winter weather. Worldwide, sales at restaurants open at least a year fell 3.7 percent.

This figure is a key indicator of a restaurant operator’s performance because it measures results at existing restaurants rather than newly opened ones.

Last week, rival McDonald’s reported rising sales.

Burger King hopes to capitalize on promotions with anticipated summer blockbusters “Iron Man 2″ and “The Twilight Saga: Eclipse” during the fourth quarter. The company also says it will continue to roll out products for budget-conscious diners and those spending more.

The burger chain plans to debut its BK Breakfast Muffin and Buck Double, while also adding the more expensive BK Breakfast Bowl and the BK Fire-Grilled Ribs.

“In the near term, we are excited about our product line-up that includes a balance of value and premium products that take full advantage of our game-changing broiler,” Chidsey said.

Burger King added 37 new restaurants during the quarter. It runs more than 12,000 restaurants in all 50 states and in 74 countries and U.S. territories worldwide.

 

 

In general, you won’t recoup as much of a project’s cost at resale as you might have several years ago, according to estimates from Remodeling Magazine’s Cost vs. Value Report, which weighs the costs of various improvements against their resale value. And while labor costs might be more negotiable in today’s market, materials aren’t getting any cheaper, said Sal Alfano, editorial director of the magazine.

“Homeowners right now are a little shell-shocked. Houses, up to three years ago, were like a bank account… people were spending money freely on sunrooms and outdoor decks and they were always getting it back,” said David Lupberger, home improvement expert for ServiceMagic.com, a Web site that connects homeowners with prescreened home service professionals.

Those who are remodeling are generally opting for fewer frills and less expensive finishes, Alfano said. Instead of building large additions, they’re trying to better utilize space they already have. They’re seeking energy-efficiency upgrades and low-cost cosmetic improvements that make a home more comfortable and appealing.

Added Alfano: “Instead of saying ‘Yes, I want the best of everything,’ they’re making choices right now. They realize they have to make a decision on materials they want to use for counters and backsplashes and ironing centers. Their budget can’t cover the best of everything.

“People are back to tradeoffs, projects are smaller.”
 

The little things

Even if resale isn’t your top consideration, a check of the Cost vs. Value Report will still give an idea of projects that pack a punch. Home improvements that tend to excel on this list are those that have universal appeal — and a reasonable price tag.

In terms of cost recouped at resale, seven of the top 10 projects in the 2009-2010 report were exterior-replacement projects, including windows, doors and siding.

A steel exterior door-replacement was the highest-ranked project on the list. It was also the least expensive, Alfano said. For an estimated cost of $1,172, real-estate agents who were surveyed for the report estimated that 128.9% would be recovered at resale. View the Cost vs. Value Report.

“If you have a door that really needs help, you’re not spending that much money and you’re vastly improving the first impression” of a home, he said.

Painting, replacing older fixtures, and cleaning carpets also are inexpensive ways to spruce up a home without hiring a large home remodeling company — whether you’re planning on selling it soon or not, Lupberger said. “There are a lot of cosmetic things we postpone because of how busy we are,” he said.

For budget-conscious homeowners, changing door handles and putting a new finish on interior doors can also make a huge difference, said David Mackowski, of Quality Design and Construction in Raleigh real estate, N.C.

Remember, too, that improvements that make a home more efficient can cut down on utility bills, saving money over the long term. Some products that improve efficiency are eligible for federal tax credits through the end of 2010, and certain appliances qualify for state rebate programs as well.

General Motors is showing a five-passenger crossover version of the electric car at Auto China in Beijing this week. The Volt MPV5 concept is about 7 inches longer than the production Volt and about 7 inches taller.

The concept is designed to show that the battery/electric vehicle can be used across a wide family of vehicles, much like the Cadillac Converj concept did at the Detroit auto show earlier this year.

“The Volt MPV5 concept takes the efficient design of the Chevrolet Volt and adapts it to the family vehicle crossover segment. It’s immediately recognizable as a true member of the Chevrolet family,” said Bob Boniface, director of GM North America Crossover Exterior Design.

The car is technically just a concept at this point, but it appears GM is putting some serious thought into this concept: A 16-kWh T-shaped lithium-ion battery pack powers the electric drive unit. The Voltec propulsion system, which utilizes the same foundation as the Volt, gives the car gas and tailpipe emissions-free electric driving.

The flexibility of the Voltec system enables the Volt MPV5 concept to meet full vehicle speed and acceleration requirements while driving the vehicle and its five occupants up to 32 miles on pure electric propulsion. This is double what the average urban commuter in China — where the car is being shown — travels each day, but less than the 40 miles the upcoming Volt will get.

When the battery is depleted, a 1.4-liter engine generator sustains the battery charge and provides up to 300 miles of electric car battery propulsion.

Innovation, sustainability and high-end amenities were themes of the 2010 Kitchen and Bath Industry Show at McCormick Place Convention Center in Chicago April 16-18. Nearly 700 vendors hawking leading industry brands Dacor, Kohler, GE, Moen and many others presented the latest in kitchen and bathroom trends.

Debuting the latest trends in sophisticated, contemporary designs for the home, exhibitors displayed affordable luxuries as well as products that might be out of reach for the average consumer.

“Consumers are more conscious of where their money goes now,” said Bob Quasius, head of exhibits and displays for Kohler Co. “They come looking for high quality but value as well.”

Cast iron baths with chromatherapy and bubble technology, tankless toilets, etched bronze sinks, undercounter refrigeration units, electric cabinets, water-saving rain shower heads, ironing centers, and mirrors with built in televisions were some of the eye-catching items on display.

Though official attendance figures won’t be available until next week, Wagstaff Worldwide, Inc., public relations for the show, projected a 40 percent increase compared with last year’s show in Atlanta. Brian Pagel, vice president of Kitchen and Bath Group at Nielsen Expositions, the show’s production company, said there was a positive buzz on the show floor.

“We believe that this is a sign that the market has begun to stabilize and hope that it is an indication that market conditions will continue to improve,” Pagel said.

The jump in attendance might be due to more movement towards sustainability in renovation as the economy begins to recover from the recession, according to Sarah Barnard of Sarah Barnard Design, a Los Angeles firm specializing in eco-friendly design.

“In years past, we really had to promote these ideas to the clients and beg them to get on board,” Barnard said. “Now everyone is asking for them.”

Barnard said she is seeing a lot of what she calls “piecemeal” home improvements now, rather than “whole house attacks,” mainly from people who have been in their homes for some time and are finally ready to invest in renovations.

“Frankly, they’re tired of not spending and not having,” Barnard said.

For average consumers, the goal is to buy the best they can afford in a remodeling project, and that creates “a lot of pressure to make the right choice,” according to Barnard.

Although homeowners can sometimes get caught up in that, it’s important to be realistic when making a plan to remodel, she said. Barnard advises consumers to look to shows like this one more for inspiration, and not necessarily splurging on the high-end luxury items displayed. She gave the example of a high-tech toilet with buttons, a heated seat and motion-sensing lid that lifts automatically when someone enters.

“On the show room floor with a smooth-talking salesman, it seems like something that your dream bathroom can’t live without,” Barnard said. “But really, it’s a toilet. You have to keep it in perspective.”

The average household in the Midwest spends about $10,600 on kitchen appliances and bath remodeling jobs, according to a 2009 research report issued by the show’s sponsor. However, the Midwest lags behind other regions including the West, where average spending per household tops $18,000.

The same research found that just over 6 percent of households in the region are planning a kitchen and bathroom remodeling job this year, ranking second only to the Northeast with about 8 percent planning remodels.

“Financing is just not as readily available for new construction, so most people are just upgrading the homes they have,” said Keresa Richardson, national president of Benjamin Franklin Plumbing.

Typically, homeowners can expect their home value to rise by 80 percent to 90 percent of the amount they spend to remodeling a kitchen or bathroom, according to Richardson.

“Most people want to know, is it worth the money to remodel my home? And most of the time, it is,” Richardson said.

She went on to say that it’s also worthwhile to invest in energy-saving products for the home because they bring a lot of value that people want, including savings on energy and water bills.

Next year’s Kitchen and Bath Industry show will be held in Las Vegas April 26-28. The show was held in Chicago in 2006, 2008 and 2010 and Atlanta in 2009. It was at the Las Vegas Convention Center in 2005 and 2007.

CINCINNATI — Going green has become good business.

Just look at store shelves: Sales of “green” products, such as organic foods and natural personal care items, have jumped 15 percent since 2006, according to research firm Mintel International.

A wave of promotion is hitting consumers during this week’s 40th anniversary Earth Day observances: Hanes says it can put you in eco-friendly underwear, Frito-Lay offers Sun Chips from a bag you can toss in a compost pile, and Target stores invite you to use their recycling bins.

Some promotions sound more like image-buffing than Earth-saving, and big companies still have a long way to go to significantly reduce their impacts on air, water and other resources. But environmentalists say the drivers of American consumer culture are starting to make real strides.

“It’s a far cry from where we were,” said Elizabeth Sturcken, who manages corporate partnerships for the Environmental Defense Fund. “Companies are seeing the economic value of going green.”

It’s not just products. Cutting lighting and heating costs, using less packaging, streamlining transportation to save gas, recycling more instead of throwing away — those all help both the environment and the bottom line.

“It would be easy to say that companies really care about the environment only in the third week of April,” said Joel Makower, a consultant and executive editor of Greener World Media Inc. “But most big companies have been taking significant steps. … The fact is, they’re doing it for all the right business reasons.”

The behemoth that might drive even more serious improvements is retailer Wal-Mart Stores Inc. It’s urging its suppliers to reduce 20 million metric tons of greenhouse gas emissions by the end of 2015, on top of its own moves to build more energy-efficient stores, use more alternative fuels in its trucks, and reduce packaging.

Shopper Jim Farmer, 68, voiced his approval while looking through Earth Day-themed aisles recently at a West Chester, Ohio, Supercenter.

“I think Wal-Mart is trying to help, and that’s great,” Farmer said. “I have children and grandchildren, and we want to make the Earth a better place for them.”

While surveys show that many consumers want to buy environmentally friendly products, the Great Recession made them reluctant to pay more for them, dampening what had been rapid sales growth.

Mintel International says sales of natural and organic foods and beverages rose 24 percent in 2006-’08, then slowed to less than 2 percent last year; sales of green personal care products jumped 18 percent in ’06-’08, but only 1.2 percent last year.

Wal-Mart tells shoppers in promoting its environmental moves that the cost savings are passed on in low prices: “not just Earth-friendly, we’re also being wallet-friendly.” And P&G’s current “Future Friendly” campaign touts both the environmental and financial benefits of products such as Tide Cold Water detergent, which curtails the toll on utility bills of heating washer water. The consumer products giant also is giving coupons for its green products, and pledges to reach 50 million households with educational information.

That’s only part of a sustainability drive that P&G has made companywide. In one effort, it created a unit three years ago to find new uses for byproducts and leftovers that would otherwise go into incinerators and landfills.

So now, Clairol hair coloring ingredients help make tires shine, Duracell batteries help make bricks, and materials from Pampers diapers and Always maxi pads absorb industrial leaks and spills.

Scott Burns, who heads the unit, said the program has reduced waste disposal by 30 percent, saving money and increasing recycling revenue.

One area where product makers still need to improve, activists say, is in telling consumers in detail about ingredients so they can make their own decisions.

Chris Haack, a Mintel consumer market analyst, adds that many products that claim to be green, natural or organic might have only one ingredient or material that fits the bill. And there aren’t consistent standards for what qualifies as environmentally helpful.

“There is still a lot of what’s called greenwashing out there,” Haack said. “There are a million labels … consumers are befuddled. They just don’t know what to trust.”

With the explosion in green promotional claims, the Federal Trade Commission is reviewing its guidelines for environmental marketing. Meanwhile, Wal-Mart says it has been working with suppliers to develop a “Sustainable Product Index” to help guide consumers.

David Steinman, a consumer health advocate and author, urges consumers to push companies harder for full disclosure and to vote with their pocketbooks.

And Sturcken says the companies can do more than just add the occasional green product.

“Ideally, I certainly would like to see that every product these companies offer is green,” she said. “So there are no trade-offs with effectiveness and pricing and being environmentally friendly.”

 

 

Toyota Motor Corp. (TM) plans to test launch its plug-in hybrid vehicle in China soon and is also considering a new model aimed at the country’s small-sized, low-priced market segment within five years.

The plans, disclosed Friday by Toyota officials at the Beijing Auto Show, come as the Japanese carmaker works to regain customer trust after it recalled millions of cars globally due to safety concerns and defects.

China, the world’s largest auto market, is a growth area for Toyota’s sales.

The Japanese company sold 709,000 vehicles in 2009 in China, up 21% on year. For 2010, it is targeting a 13% growth in sales to 800,000 vehicles. Sales in the first two months of this year grew 43% on year to 117,000 vehicles.

Takeshi Uchiyamada, Toyota’s executive vice president, said the company wants to introduce its plug-in hybrid cars on a trial basis to the Chinese market as soon as possible.

Gas emission regulations are expected to become stricter in China, which last year toppled the U.S. to become the world’s biggest auto market.

Meanwhile, Masahiro Kato, president of Toyota Motor (China) Investment Co., said the Japanese automaker is considering a new, small, low-priced car for the Chinese market. He hopes to bring it to market in five years.

In January, the automaker issued a recall notice for 75,552 RAV4 sport-utility vehicles in China due to faulty gas pedals.

Toyota has said that this month’s fresh recall of SUVs due to problems with the stability control system doesn’t affect the Chinese market.

Toyota is striving to regain customer trust by fixing problems with 8.5 million vehicles in China, the U.S., Europe, Japan and other regions as early as possible and enhancing quality control.

In spite of the bad rap lawns have had in recent years, they are a productive part of the urban environment.

They help to cool the air, they help clean the air and they are not really water guzzlers, if managed properly.

All of these green benefits just got greener as lawnmower manufacturers have started to develop and are now selling battery-operated lawn mowers.

These mowers are quiet with absolutely no engine noise-you can mow before sun-up and not bother the neighbors. They are energy efficient-costing less than 10 percent of what a gas mower costs to operate.

And there is virtually no maintenance other than sharpening the blade or plugging them into a battery charger. No oil to change, no gas can to fill and no emissions.

While these mowers are newcomers in the marketplace, there are a few walk-behind models available and this year a riding, mulching mower saw its debut.

Cost-wise, battery mowers can be pricier than the conventional models-but the energy and maintenance costs over the life of the equipment can narrow the gap.

According to the manufacturer of the ride-on mower, for example, the extra $1,500 on the price tag is more than made up in savings over the 10-year life of the mower.

That is a reasonable trade-off when you are committed to doing your part to lower emissions and noise pollution and to go green in your own lifestyle.

Reminder: there’s more to going green with the lawn than the mower you use!

Whether or not you have a cordless electric lawn mower, you can still be very sustainable in your lawn maintenance program. Reduce, reuse, recycle is the sustainability mantra and it pays off for your lawn when you cut the grass with a mulching mower.

Here are some facts about grass clippings:

- 1,000 square feet of bluegrass lawn generates about 200 pounds of clippings each year.

- Yard waste makes up 20 percent of all debris sent to land fills.

- Hauling yard waste to landfills is labor, energy and emissions intensive.

A mulching mower solves these problems by cutting up all the clippings as you mow and depositing them on top of the lawn. Not only does mulching stop waste, it turns clippings into a green by-product that makes the lawn healthier.

- Clippings left on the grass provide additional shade and green matter that helps keep moisture in the soil. Clippings are actually about 75 percent water – leaving them behind should be part of your lawn care program.

- Mulching is a water-saving process. If you change to a mulching mower, be sure to decrease the amount of water from what you’ve usually applied to the lawn. In some cases, this can be as much as half the amount. Monitor soil moisture and the weather and adjust accordingly.

- Clippings are nitrogen-rich and will provide 25-30 percent of the nitrogen needs for the lawn. Since nitrogen is the primary ingredient in fertilizer, that means you will need less fertilizer to achieve the same results.

- Clippings break down rather quickly and that process encourages beneficial microorganisms and earthworms which also promote lawn health.

Mowing tip: Unfortunately, many people sharpen their mower blade in the spring and forget about it the rest of the mowing season. Be good to your grass and sharpen the blade about once a month as part of a good lawn maintenance program. A dull blade actually tears the blades of grass and can open the way to disease and other health issues. Keep the blade sharp-and keep mulching!

President Barack Obama used a Manhattan speech to urge top banking executives to back his sweeping overhaul of financial-market rules, while in Washington the bill gained steam as cracks in the Republican opposition improved its prospects in Congress.

Two years after a campaign speech at Cooper Union that spelled out his vision for Wall Street, Mr. Obama pressed his case to an audience that included wary finance executives. The president’s call for their cooperation lacked the sharpness of his recent barbs and references to “fat cat bankers.” Instead, he suggested the “titans of industry” join a legislative push that is in its final stages.

“Ultimately, there is no dividing line between Main Street and Wall Street. We will rise or we will fall together as one nation,” Mr. Obama told the audience.

Appearing just up the road from Wall Street Thursday, Mr. Obama hoped to raise the political pressure and seal the deal. Among those in the audience at Cooper Union’s historic Great Hall were Goldman Sachs Chief Executive Lloyd Blankfein and President Gary Cohn, who sat impassively as the president pressed bankers to call off “the furious effort of industry lobbyists to shape this legislation to their special interests.”

In Washington, senators intensified bipartisan negotiations aimed at producing legislation that could be supported by members in both parties. Timing for a possible agreement was uncertain, but Senate Banking Chairman Chris Dodd (D., Conn.) and Alabama Sen. Richard Shelby, the panel’s senior Republican, appeared committed to closing a deal.

Internal GOP divisions improved Democrats’ chances of securing another of their big domestic priorities: a bill they could tout as addressing the causes and aftermath of the financial crisis. A big test could come as soon as Monday, when Republicans likely will need all 41 of their senators to stop floor debate on the bill.

The Securities and Exchange Commission’s civil-fraud action against Goldman Sachs filed last week appears to have supercharged Mr. Obama’s legislative push, just as the implosion of WorldCom all but ensured passage of the Sarbanes Oxley corporate-governance law in 2002.

Nerves appeared to be fraying among Republicans faced with the increasingly unappetizing prospect of opposing new curbs on Wall Street. At a contentious meeting of GOP senators Wednesday, some expressed concern about Mr. Shelby’s talks with Mr. Dodd. According to people familiar with the meeting, Arizona Sen. John McCain questioned why the Senate was debating derivatives trading, something he ventured few of them understood, while huge numbers of homeowners in his state were struggling to hang on to their houses.

New Hampshire Sen. Judd Gregg responded that if Republicans don’t unify against the bill, Congress could pass legislation that would chase the derivatives industry overseas and into even darker corners.

Republican aides said the party faced a dilemma: It could sign on to a bill that they and many of their constituents won’t like, or watch a bill pass with them largely on the sidelines and give Democrats an issue to run on in the fall.

Senate Majority Leader Harry Reid (D., Nev.) sought to begin formal debate on the bill using a fast-track procedure that requires all senators to agree. Senate Minority Leader Mitch McConnell (R., Ky.) objected, setting up a likely showdown vote early next week and a deadline for the Dodd-Shelby talks.

The proposed legislation seeks to revamp almost every area of finance, from trading to borrowing to lending and investing, with the ultimate goal of forestalling another credit crisis. The federal government would get the power to seize teetering financial giants and dismantle them, just as the Federal Deposit Insurance Corporation now seizes failing banks. It would create a financial consumer regulator, boost the strength and budget of the SEC and impose new rules on the trading of derivatives, the complex financial instruments that helped bankrupt Lehman Brothers and nearly wiped out American International Group Inc.

The legislation also would reach into areas unrelated to the financial crisis, such as the relationship between corporations’ shareholders and their boards, and the role of investors in start-up businesses. Shareholders would get a “say on pay”—a nonbinding vote to ratify the compensation of publicly traded companies’ top executives. And the SEC would be required to raise the threshold for so-called angel investors to qualify for “accredited investor status,” to take into account price inflation since the standard was set in 1982. The Angel Capital Association said that could eliminate more than two-thirds of accredited investors who invest directly in start-ups and young small businesses.

Opponents say the bill would entrench, not end, government bailouts of companies. The Senate measure includes a $50 billion pool, funded by the financial industry, to be used for unwinding a teetering financial giant. Some Republicans say firms would see that as “implied insurance” that would bail them out if needed, and because the fund is insufficient, taxpayers would be on the hook for any additional costs. In constraining financial firms, they say, the new rules would also crimp access to credit.

Mr. Obama didn’t threaten to veto the bill if it didn’t meet his standards, as he did during his State of the Union address and again as recently as a few days ago.That could be because the Senate legislation appears to reflect all of his major priorities, as aides have fought off many of the changes he found objectionable.

In Thursday’s speech, Mr. Obama dodged discussing elements of the bill that might change, including state regulators’ power over national banks and certain provisions designed to beef up the clout of company shareholders that Republicans strongly oppose.

He also suggested that certain companies could be shielded from rules that would redraw the market for derivatives, especially those that use the instruments to hedge exposure to fluctuating prices of commodities. By making that distinction clear, Mr. Obama could win over senators who are concerned about the breadth of the proposed curbs.

“The only people who ought to fear the kind of oversight and transparency that we’re proposing are those whose conduct will fail this scrutiny,” he said.

While the crowd, comprising mostly students and supporters, was largely receptive, the Wall Street executives filling the first three rows were considerably more subdued. Their hands remained in their laps when the president spoke of a bank fee to recover outstanding bailout funds and his plea to call off the industry lobbyists.

J.P. Morgan Chase & Co. CEO Jamie Dimon, a longtime Democratic supporter who has grown frustrated with Washington, was in Chicago receiving an award and didn’t attend. Other big financial firms represented included Barclays, Morgan Stanley and Credit Suisse.

Key issues remain unresolved in Washington, and tensions continued to bubble over.

Shuttling between negotiating sessions, Mr. Shelby said he hadn’t heard the president’s remarks, and didn’t see any immediate impact on efforts to piece together a bipartisan bill. “What’d he do, give them a lecture?” he scoffed at midday. “We’re down in the weeds dealing with serious subject matter.”

 

A year after backing away from a deal to bring a cruise ship terminal to Mayport, the Jacksonville Port Authority has launched its search for a permanent home for Carnival Cruise Lines in Jacksonville.

Port Authority CEO Rick Ferrin addressed the Seaport-Airport Special Committee Tuesday and updated it on the authority’s progress with the cruise terminal.

“Carnival remains bullish on Jacksonville,” said Ferrin. “They have weathered the storm of the current economy because families know they are a good value and there is stability there.”

The Port Authority’s temporary cruise facility is at Dames Point, bordered by Heckscher Drive and State Road 9A. The Port Authority has been working with Carnival to develop a permanent cruise ship terminal that would allow the company to increase the number of ships it can dock in Jacksonville.

The authority has a list of about 20 sites that it will review and plans to present options to its board of directors in 60 to 90 days so it can make a presentation to Carnival concerning cruises departing from Jacksonville.

By designating a site, it can then determine how much the project will cost and what kind of commitment it will need from Carnival.

“We believe they would be willing to give us a 10-year commitment to stay in Jacksonville, which shows their desire to be in Jacksonville. Normally, agreements are year-to-year or, at best, five years,” Ferrin said.

The Port Authority will use three initial criteria for assessing potential locations for Carnival Cruises: it must be east of the Dames Point Bridge because of the height of the boats, which prevent them from traveling under the structure; the site must have 1,200 feet of wharf space; and the property must be owned by the Port Authority or by a willing seller.

What has changed since the Port proposed a terminal in Mayport?

The ability to access credit to build the project.

“We didn’t know the durability to endure the economy nor did we have the ability to borrow money,” said Ferrin. “Borrowing money was expensive because you had such a tightening of credit. Both of those things have eased considerably. We think by the time we needed to borrow money we could probably borrow it at a percentage that we could afford.”

Committee Chair Daniel Davis liked what he was hearing from Ferrin’s report.

“Through this process, I think you will see a lot of win-win situations for the community, the city and the port,” said Davis.

The committee is charged with helping the Port Authority and Jacksonville Aviation Authority find and secure the resources needed to accommodate the city’s growing seaport business and the economic development opportunities at Cecil Field; identifying potential state and federal funding sources for these improvements; and acting as the liaison with local, state and federal officials to help prioritize infrastructure projects and assist with funding sources that stimulate economic development.

A bankruptcy examiner’s report showing that Lehman Brothers may have filed misleading financial reports could lead to U.S. Securities and Exchange Commission charges, the former head of the SEC said on Tuesday.

Christopher Cox, who was chairman of the SEC when Lehman declared bankruptcy in September 2008, also said that neither the SEC or the Federal Reserve was aware that Lehman used so-called “Repo 105″ transactions to artificially reduce its apparent leverage, as alleged in the report.

“The examiner’s report of evidence that Lehman filed misleading financial reports and failed to disclose material accounting information… may provide the basis for SEC law enforcement action in that case,” Cox said in testimony prepared for the U.S. House of Representative’s Financial Services Committee.

Cox did not clarify whether he believes the SEC may be able to charge the firm or individuals.

Former Lehman Chief Executive Richard Fuld said in prepared remarks for the same hearing that he only learned of the firm’s use of Repo 105, a controversial accounting technique, a year after the investment bank filed for bankruptcy.

The committee is exploring the public policy implications of investment bank Lehman’s failure and the findings of the bankruptcy examiner.

Cox, whose agency was the primary supervisor for Lehman and other investment banks, did not appear in person, but submitted eight pages of testimony.

He said international bank capital standards at the time were not adequate to protect Lehman and other firms from shocks to the financial system.

Cox said he is concerned new stricter capital and liquidity rules are not yet in place.

“In my view, it remains a matter of the utmost urgency, in particular for commercial bank holding companies, whose ranks now include not only such large and systemically important entities such as Citigroup and Bank of America, but also the nation’s largest investment banks,” he said.

He also said that in the final days before Lehman filed for bankruptcy, it was still not clear to top government officials and Wall Street executives whether there would be federal support for Lehman.

“The lack of such clarity may have contributed to the demise of Lehman in September 2008,” Cox said.