Monday, October 1, 2007

Three Former Dynegy Executives Settle SEC Charges for Manipulating Financial Statements

The Securities and Exchange Commission today announced settled enforcement actions against former Dynegy Inc. chief financial officer Robert D. Doty, Jr. and two other former executives at the Houston-based energy company for their roles in a $300 million accounting fraud known as Project Alpha.

According to the Commission's Order, Doty was involved in the decision to proceed with Project Alpha and improperly disguise a loan as operating cash flow in order to minimize the gap between Dynegy's reported net income and cash flow from operations, and to realize as net income a related $79 million tax benefit that was invalid. Furthermore, Doty was involved in the decision not to make any separate disclosure to investors about Alpha's unique, non-commercial pricing characteristics. Doty will pay more than $375,000 to settle the SEC's charges.

"This case demonstrates that we will hold accountable anyone involved in manipulating a public company's financial statements," said Rose Romero, Regional Director of the SEC's Fort Worth Regional Office. "The enforcement actions announced today reflect the Commission's commitment to ensuring that both companies and the individuals who work for them are honest and straightforward with investors."

Dynegy's former vice president of taxation, Gene S. Foster, and former manager of accounting-deal structure, Helen C. Sharkey, also settled with the Commission regarding their roles in the creation and implementation of Project Alpha. According to the Commission's Orders, both willfully disregarded accounting advice from Dynegy's outside auditor, and concealed critical transaction details from the auditor in violation of federal securities laws. Without admitting or denying the Commission's findings, Foster and Sharkey consented to orders permanently enjoining them from future violations of the antifraud and internal controls provisions of federal securities laws. They also consented to administrative orders barring them from appearing or practicing before the Commission as accountants.

A third defendant in the Commission's civil enforcement action, Jamie Olis, recently asserted a counterclaim for attorney fees and costs. The Court struck down his counterclaim on September 7, 2007, and then granted the Commission's motion to dismiss its claims against Olis, Dynegy's former vice president of finance. Olis is currently incarcerated after being convicted in a parallel criminal proceeding of six felony counts relating to his role in Project Alpha. The Commission also issued an administrative order permanently suspending Olis from appearing or practicing before the Commission based on his criminal convictions.

Doty, without admitting or denying the Commission's findings, agreed to a federal district court judgment requiring him to pay a civil penalty of $120,000 and prohibiting him from serving as an officer or director of a public company for a period of five years. Doty also consented to a public administrative and cease-and-desist order requiring him to pay disgorgement of $200,000 and prejudgment interest of $56,560, and suspending him from appearing or practicing before the Commission as an accountant for five years. The order also directs Doty to cease and desist from committing or causing future violations of the antifraud and internal controls provisions of the federal securities laws, or aiding and abetting or causing violations of the record-keeping and reporting provisions.

Dynegy previously settled SEC charges in 2002 that it had engaged in accounting improprieties and made misleading disclosures about a financing transaction involving special-purpose entities (SPEs). The Commission had found that Dynegy violated federal securities laws by improperly disguising the $300 million loan as cash flow from operations on its financial statements, thereby misleading investors about the level of its energy trading activity.

In July 2003, the Commission issued a settled cease-and-desist order against Citigroup for its role in Project Alpha. In its order, the Commission found that Citigroup was a cause of Dynegy's violations. Citigroup paid $19 million to settle the proceeding.

The Commission acknowledges the assistance of the United States Attorney's Office for the Southern District of Texas, the Federal Bureau of Investigation and the United States Postal Inspection Service.

Henry Schein, Inc. to Join the NASDAQ-100 Index Beginning October 2, 2007

Henry Schein, Inc. (Nasdaq:HSIC) of Melville, New York, will become a component of the NASDAQ-100 Index(r) (Nasdaq:NDX) and the NASDAQ-100 Equal Weighted Index (Nasdaq:NDXE) prior to market open on Tuesday, October 2, 2007. Henry Schein, Inc. will replace Maxim Integrated Products, Inc. (Nasdaq:MXIM).

With a market capitalization of approximately $5.4 billion, Henry Schein, Inc. distributes healthcare products and services, including practice management software, to office-based healthcare practitioner. The company's operations include direct marketing, telesales and field sales.

The NASDAQ-100 Index, launched in January 1985, is one of the most widely followed benchmarks in the world.

Bank of the James Financial Group, Inc. Announces Stock Repurchase Program

Bank of the James Financial GroupThe Board of Directors of Bank of the James Financial Group, Inc. (the "Company") (OTCBB:BOJF) has authorized a stock repurchase program whereby the Company is authorized to buy up to 25,000 shares of its common stock. As of September 30, 2007, the Company had 2,558,578 shares of common stock outstanding.

The Company expects that repurchases under the plan will be made from time to time in the open market at prevailing prices. Purchases will be based on, among other things, stock availability and price. It is anticipated that the repurchases will be made during the next twelve months, although no assurance can be given as to when they will be made or the total number of shares that will be repurchased.

Robert R. Chapman III, President and Chief Executive Officer of the Company, stated, "We believe that the plan to repurchase our shares represents a sound capital management strategy for the acquisition of common shares at times when we believe that the market may not value our stock appropriately. We believe the repurchase plan will benefit the Company and our stockholders."

Bank of the James Financial Group, Inc., the common stock of which is quoted on the OTC Bulletin Board under the symbol "BOJF" (some web systems require "BOJF.OB" to obtain a quote), is the holding company for Bank of the James (the "Bank"), a state chartered bank that shares the Company's headquarters at 828 Main Street, 3rd Floor, Lynchburg, Virginia 24504. The Bank currently operates seven full service locations in the Lynchburg, Virginia area, as well as mortgage origination offices in Forest and the Smith Mountain Lake area of Bedford County, Virginia. In addition BOTJ Investment Group, Inc., a wholly-owned subsidiary of Bank of the James Financial Group, Inc., provides institutional and retail investment services and is located in the Bank's Church Street branch in downtown Lynchburg.

For more information regarding the Bank's products and services and for Bank of the James Financial Group, Inc. investor-relations information, please visit http://www.bankofthejames.com.

HP Closes Neoware Acquisition

HP today announced that it has completed its acquisition of Neoware Inc., a provider of thin client computing and virtualization solutions, at a fully diluted, enterprise value (net of cash) basis of approximately $214 million.

With the acquisition of King of Prussia, Pa.-based Neoware, HP plans to use the best of both companies’ technologies to create thin clients that are easier to deploy, more secure and more affordable. The deal will also extend HP’s regional sales reach.

Thin clients provide a higher level of security, can reduce maintenance costs, and consume less electricity compared to other desk-based computing products because they contain no local data, no moving parts, utilize low-power components and connect over a network to remote blade PCs and servers where data processing and storage occurs.

“The integration of Neoware will enable us to offer the industry’s broadest portfolio of remote client solutions that deliver the most secure, reliable and easily managed computing infrastructure available today,” said Kevin Frost, vice president, Business Desktops, Personal Systems Group, HP. “Our top priority is to ensure that Neoware and HP deliver uncompromised product and business continuity to our combined customers.“

Prior to the acquisition, HP was the worldwide leader in each of the Microsoft Windows® XPe, Windows CE and Linux thin client categories. Acquiring Neoware is expected to boost HP’s thin-client business in the areas of Linux software, client virtualization and customization capabilities.

Under the terms of the merger agreement, Neoware stockholders will receive $16.25 for each share of Neoware stock that they held at the closing of the acquisition and the company will be integrated into the Business Desktop unit of HP’s Personal Systems Group.

About HP

HP focuses on simplifying technology experiences for all of its customers – from individual consumers to the largest businesses. With a portfolio that spans printing, personal computing, software, services and IT infrastructure, HP is among the world’s largest IT companies, with revenue totaling $100.5 billion for the four fiscal quarters ended July 31, 2007. More information about HP (NYSE: HPQ) is available at http://www.hp.com.

Bank of America Completes Purchase of LaSalle Bank

Bank of America Corporation today completed its purchase of ABN Amro North America Holding Company, parent of LaSalle Bank Corporation and its subsidiaries, from ABN Amro Holding NV to create the largest bank franchise by deposits in Illinois and in Michigan.

Bank of America significantly expands its metropolitan Chicago and Michigan presence by adding LaSalle's 17,000 commercial banking clients, 1.4 million retail customers, 400 banking centers and 1,500 ATMs. Bank of America marks its retail branch entry in Michigan, where it now has 256 offices. It also adds LaSalle's six banking offices in Indiana.

"LaSalle customers and commercial clients can now enjoy the benefits of the largest retail bank in the nation," said Kenneth D. Lewis, Bank of America chairman and chief executive officer. "Clients will have access to a world- class range of commercial banking and wealth management products and services, and benefit from Bank of America's demonstrated commitment to the communities it serves. We look forward to helping thousands of new customers and clients realize their dreams through the financial opportunities Bank of America can offer."

Customer Convenience

Beginning today, Bank of America and LaSalle customers can access the nation's largest network of more than 18,500 ATMs to make cash withdrawals with no ATM fees. For example, a Bank of America customer can now withdraw cash from a LaSalle ATM in Chicago with no fees and a LaSalle customer can now do the same at any Bank of America ATM throughout the U.S.

LaSalle customers should continue to bank as usual by phone, ATM, online or at their regular LaSalle branch. In addition, LaSalle customers should continue to use their LaSalle debit and ATM cards. In the coming months customers will be notified about the change from LaSalle Bank to Bank of America as well as when they can begin using Bank of America offices for other banking services in addition to ATMs.

Along with having the expanded depth and breadth of Bank of America's retail and small business banking services, LaSalle's commercial clients will benefit from expanded credit and treasury services capabilities and enhanced access to global capital markets and investment banking.

LaSalle signs will begin to change to the Bank of America brand during the first quarter of 2008. Those changes will take place throughout 2008.

In the Community

Bank of America also today announced a $70 billion community development goal in Illinois and a $25 billion goal in Michigan to build on the outstanding track records of Bank of America and LaSalle in delivering capital and credit to low- and moderate-income and minority communities.

The strategic plan for Illinois and Michigan are new goals in support of Bank of America's national commitment of community development lending and investment of $750 billion over 10 years in low- and moderate-income and minority communities. The Illinois and Michigan goals also will occur in a 10-year period beginning in January of 2008 and are intended to address the unique needs of the market.

During the course of the new 10-year strategic plan, the annual production for the combined company will average $7 billion a year in Illinois, or $70 billion over the course of the plan. In Michigan, the company will average $2.5 billion a year or $25 billion in the same period.

The more than $17 million in combined annual philanthropic giving in Michigan and Illinois by Bank of America and LaSalle will be sustained.

Executive Leadership
Bank of America today also announced several executive leadership changes.
LaSalle Bank Chairman Norman Bobins will become chairman emeritus of LaSalle, assist in the merging of the two organizations and represent Bank of America in the community, with clients and customers. As previously announced, he will retire at the end of the year.

LaSalle Bank President and Chief Executive Officer Robert Moore will serve as the LaSalle transition executive working closely with Barbara Desoer, Bank of America's Global Technology and Operations executive. He will continue to oversee legacy LaSalle businesses in addition to his transition duties. He has decided to pursue other opportunities at the end of year.

Bank of America also plans to relocate its Commercial Real Estate Banking headquarters to Chicago from Atlanta. Eugene Godbold, a 28-year veteran of the company, will continue as president of the business and move to Chicago. Bank of America is the nation's largest provider of commercial real estate financial services.

Additionally, Kieth Cockrell will assume a new role as the regional executive for banking centers in Michigan, Illinois and Indiana. Cockrell, who most recently was the national sales executive for Global Consumer and Small Business Banking and joined Bank of America in 1993, also will serve as market president for Detroit.

Cockrell previously served as consumer executive for the Mid-Atlantic consumer division and before that was executive vice president of Debit, ATM and Smart Card Services. In 2000 he was the Customer Service and Support executive managing call centers nationwide.

Bank of America

Bank of America is one of the world's largest financial institutions, serving individual consumers, small and middle market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk-management products and services. The company provides unmatched convenience in the United States, serving 57 million consumer and small business relationships with more than 5,700 retail banking offices, more than 17,000 ATMs and award-winning online banking with more than 22 million active users. Bank of America is the No. 1 overall Small Business Administration (SBA) lender in the United States and the No. 1 SBA lender to minority-owned small businesses. The company serves clients in 175 countries and has relationships with 98 percent of the U.S. Fortune 500 companies and 80 percent of the Fortune Global 500. Bank of America Corporation stock (NYSE: BAC) is listed on the New York Stock Exchange.

Friday, September 21, 2007

NASDAQ Announces Sale of Its Remaining 5.3 Million Shares in the London Stock Exchange Group plc

The Nasdaq Stock Market, Inc. (Nasdaq:NDAQ) ('NASDAQ') today announced the disposal by its wholly owned subsidiary Nightingale Acquisition Limited of 5,324,529 shares in the London Stock Exchange Group plc (the "LSE") through a market book-built sale process at a price of 18.00 pounds per share. This sale represents the balance of the NASDAQ group interests in LSE shares held following the disposal of 56.0 million shares announced on 20 September 2007. The aggregate sale value of today's transaction is 95,841,522.00 pounds.

HP Board Approves Policies on Stockholder Rights Plans, Executive Compensation

HP today announced that the HP board of directors has approved an amendment to the company’s bylaws regarding stockholder rights plans and that the company has adopted a new long-term executive compensation program, confirming its longstanding policy on performance-based pay.

The amendment to HP’s bylaws formalizes the company’s existing policy that, subject to a limited fiduciary exception, the HP board will seek stockholder approval prior to its adoption or extension of a stockholder rights plan. It also states that any stockholder rights plan adopted or extended by the HP board without prior stockholder approval pursuant to the fiduciary exception will expire unless ratified by the stockholders of HP within one year of adoption.

The HP board’s HR and Compensation Committee approved a new program, effective with the fiscal 2008 compensation review cycle, under which most equity grants will vest only upon the satisfaction of financial performance criteria over a three-year period. In doing so, it confirmed its policy that a significant portion of long-term incentive compensation for senior executives should be performance-based. The structure of the new program reflects an updated approach to performance-based plan design.

The details of the program, including specific performance metrics and targets, are still in development. HP expects to provide more information regarding the new program in HP’s proxy statement for its 2008 annual meeting of stockholders.

The bylaw amendment and new equity compensation program were adopted in response to proposals stockholders submitted and approved at HP’s most recent annual stockholder meeting held on March 14, 2007. They are disclosed in a Form 8-K filed with the U.S. Securities and Exchange Commission.

About HP

HP focuses on simplifying technology experiences for all of its customers – from individual consumers to the largest businesses. With a portfolio that spans printing, personal computing, software, services and IT infrastructure, HP is among the world’s largest IT companies, with revenue totaling $100.5 billion for the four fiscal quarters ended July 31, 2007. More information about HP (NYSE: HPQ) is available at www.hp.com.