Media Coverage: July 2006

USA Today, 07/31/2006—Anthony Warren, director of the Farrell Center for Corporate Innovation and Entrepreneurship, comments on the importance of ethics in entrepreneurship. "Who wants to be in business with someone you cannot fully trust, especially in the start-up phase where the stress levels are high?" he says. (Starting A Business: What It Takes).

The (New Orleans) Times-Picayune, 07/30/2006—Fariborz Ghadar, director of the Center for Global Business Studies, comments on Hispanic population trends. "Most of them don't leave, you're going to see a major shift, very much in line with southern Florida and southern California," he said. (Mucho Mas Business).

Modern Healthcare, 07/24/2006—Gary Gray, visiting professor of finance, is mentioned in an article regarding the valuation of the Hospital Corporation of America. "A quick analysis of HCA's discounted cash flow expectations using valuepro.net, a Web site operated by Gray and two colleagues, suggests that HCA is a solid candidate for a takeover, Gray said, because the stock price implied by discounting the company's expected cash flows is about $8 to $10 above the market price." (Investors Eye HCA).

Reuters, 07/23/2006—Timothy Pollock, associate professor of management, comments on IPOs. "Banks, insurance companies, and stuff like that do OK and are able to go public because you know how much money they have in the bank and what they are worth," Pollock said. "You are buying assets as opposed to promises and expectations." (IPO Investors Seek Assets, Not Expectations).

Reuters, 07/18/2006—J. Edward Ketz, associate professor of accounting, comments on the FASB's expected announcment that it's going to rewrite its lease-accounting rules. "Sophisticated investors, like the investment banks, take the disclosures and they can estimate what the effect would be if leases were capitalized now," Ketz said. "It will make a major difference though, for unsophisticated investors who may be shocked as to what the implications will be for debt-to-equity ratios." (FASB Seen Voting To Rewrite Lease Accounting Rules).

The Wall Street Journal, 07/18/2006—J. Edward Ketz, associate professor of accounting, comments on the FASB's expected announcment that it's going to rewrite its lease-accounting rules. Ketz calls the current rules "ridiculous, absurd, contorted and illogical." (Up for Overhaul: Lease Accounting). This article also appeared in The Wall Street Journal Asia and The Wall Street Journal Europe.

Dow Jones Newswires, 07/17/2006—J. Edward Ketz, associate professor of accounting, comments on the FASB's expected announcment that it's going to rewrite its lease-accounting rules. "Across the total economy, you're talking about at least a trillion dollars of off-balance sheet debt," Ketz said. (Lease-Accounting Revamp May Start This Week).

Marketing News, 07/15/2006—Article outlines a speaker at a recent conference sponsored by the Institute for the Study of Business Markets. (Reichheld's NPS Deserves B-To-Bers' Attention).

The Wall Street Journal, 07/10/2006—Interview with Smeal alumnus Jim Stengel '83 MBA highlights his Smeal College commencement speech. "When James Stengel, Procter & Gamble Co.'s global marketing officer, delivered the commencement address at Penn State's Smeal College of Business this spring, he shared his two guiding principles in life: serendipity and honest relationships." (And Now A Word From ...). This article also appeared in The Wall Street Journal Europe and The Wall Street Journal Asia.

The Philadelphia Inquirer, 07/10/2006—Charles Enis, associate professor of accounting, comments on the business tax cuts included in the new Pennyslvania state budget. He "praised the changes as 'a small step in the right direction.' He called the capital stock and franchise tax unfair because companies pay tax on their income, which they reinvest, raising their net worth and triggering a tax increase." (Pa. Businesses Get $100 Million Tax Cut).

The Reporter (Lansdale, Pa.), 07/08/2006—Smeal College alumnus W. Scott Fargo is mentioned regarding his thesis. "Companies shipping supplies are going to have to cut out using trucks on long hauls and utilize a combination of rail, warehousing and trucks to maintain their vitality, said W. Scott Fargo, a 2006 Penn State graduate who wrote his Smeal College of Business and Schreyer Honors College thesis on the topic." (Railroads Could Be Answer For The Future).

CFO, July 2006—J. Edward Ketz, associate professor of accounting, comments on the American Institute of Certified Public Accountants. "The AICPA has gradually lost influence over the past decade," said Ketz. "When the accounting scandals hit in 2002, the [AICPA] leaders were caught flat footed." (The AICPA: Heading South?).

Business Woman (Lancaster, Pa.), July 2006—Virginia Tucker, senior executive development consultant for Penn State Executive Programs, is profiled. "Penn State Executive Programs teaches executives how to assess the marketplace, analyze the company's current position in the marketplace, research how the competition is responding and identify ways to enhance the company's internal efficiencies. 'Organizations must be very focused in the marketplace,' Dr. Tucker said." (Training Opportunities Sharpen The Executive Edge).

BizEd, July/August 2006—Article mentions research by Linda Trevino, Franklin H. Cook Fellow in Business Ethics. "Three professors recently completed a study that explored incidents of cheating among business graduate students and nonbusiness graduate students. The findings are not encouraging for business schools: According to the study, more graduate students in business reported that they've cheated during their programs than graduate students from other disciplines." (Ethical Lapses Among MBAs).

SmartPros.com, July 2006—J. Edward Ketz, associate professor of accounting, writes on CEO pay. "Perhaps it is time for society to review the outrageous salaries of today's business executives," Ketz writes. "Clearly, it is time for investors and managers of pension managers to ask whether there is value added to the corporation from these wealth transfers." (How Valuable Are CEOs?).

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