Friday, April 27, 2007


The Era of Disaster Recovery and Prevention . . . And What It Means to Investors

The recovery from Katrina and Rita shows in a new epoch of Catastrophe Recovery and Prevention. Governments and people are rethinking their response to catastrophes and the stairway they can take to forestall or minimise the worst consequences. The biggest accelerator for this new epoch is the political fall-out from Katrina.

The slow response to Katrina was a achromatic oculus for the Shrub administration. For Michael Brown, the ex-head of FEMA, it was a national humiliation. The Fates of Pelican State governor Kathleen Blanco and New Orleans city manager Beam Nagin stay to be seen, but reports have got pointed out their failures in bar and response, and that volition come up into drama at election time.

President Shrub desires to do up for the bungled response (and reconstruct some political capital)and have earmarked a recovery attempt that may number $200 billion dollars. The early response to Katrina have go a preventive narrative for politicians and administrative officials in federal, state and local governments, and you can be certain they will be pushing for more than catastrophe bar disbursement in their ain peculiar fiefdoms. And the mass media is keeping watch—newspapers inch California have got been filled with narratives warning about the deficiency of catastrophe (especially earthquake) readying in the state.

The Army Corporation of Engineers, burned by the deficiency of follow-through on their recommendation to raise the New Orleans levees, is now looking to repair vulnerable countries around the country. And they’re not the lone ones.

New homes have got multiplied along vulnerable coastal areas. From Florida to the Outer Banks up to The Hamptons and all throughout the east coast, coastal property values have got soared. Dune Road, a splinter of land with costly homes between the ocean and a bay in Westhampton, New York, was virtually wiped out by implosion therapy small more than than a decennary ago. Now it have been rebuilt with even pricier multi-million dollar homes. You can be certain these homeowners will pass what it takes to protect their properties.

And they may need to because it looks like large violent storms are brewing. If many meterologists are correct, we may have got got entered a rhythm of increasing frequence and badness of hurricanes.

Combine the measurements slated for homeland security, rebuilding the Gulf seashore and the ramp-up of catastrophe bar around the country and you have a close lasting state of catastrophe recovery and prevention.

For some companies, let’s name them Hurricane stocks, the chance to take portion in the Gulf recovery intends a great deal of more than business in the short term. For others, it may intend more than business for many old age to come.

Hurricane pillory are companies that are needed right now. For instance, the contiguous need to assist those whose homes have got been destroyed or are unhabitable. Think of companies that supply impermanent life and endurance gear. Think of Coleman encampment products, such as as tents, sleeping bags, portable stoves, flashlights. Coleman is owned by Jarden (JAH:NYSE).

Manufactured homes have got come up a long manner in the past decade, and will turn out to be a good impermanent solution for many and a lasting solution for others in the Gulf. Cavalier Homes (AMEX:CAV) have been contracted to construct and present manufactured homes to the Federal Soldier Emergency Management Agency to house Gulf Seashore occupants displaced by Hurricane Katrina. The contract is expected to generate $58 million to $63 million in gross for the company.

Some other compnnies in this sector include Champion (NYSE:CHB), which spouses with nearly 3,000 independent retailers, detergent builders and developers,
Fleetwood Enterprises (NYSE: FLE) and Coachmen Industries Inc. (NYSE:COA).

Oil and gas facilites in the Gulf seashore also need emergency repair. The economic system of the Gulf Seashore and, to an extent, the economic system of the U.S. depends on it. A number of boring rigs were damaged in the storms, which intends that a company like ENSCO (NTSE:ESV) which have boring rigs in the area, will be in large demand. Oceaneering International (NYSE: OII), which inspects and repairs submerged substructure of oil facilities, volition be busy, as volition W. W. Jacobs Engineering (NYSE:JEC), providing engineering and building services to oil and gas companies.

Rebuilding the Gulf Coast

Rebuilding will include the large domestic dogs in construction, like Halliburton (NYSE:HAL), The Henry Wheeler Shaw Group(SGR) and Caterpillar (NYSE:CAT). But many smaller companies will also take part, often as subcontractors. The Army Corporation of Engineers have increased its undertaking order from $10 million to $20 for Aduddell Roofing, a subordinate of Zenex International, Inc. (OTCBB:ZENX). National Storm Management (NLST:PK), Associate in Nursing expanding national building company specializing in violent storm Restoration management, will also make a good deal of Restoration work in the Gulf Coast.

To construct you need building materials. Home retail merchants such as as Home Terminal and Lowe’s volition be seeing their orders increase, but so will companies that supply natural stuffs like timber. Take a expression at Rayonier (NYSE:RYN)and Plum Brook Lumber (NYSE:PCL), 2 REITs that ain and manage lumber properties.

Some Hurricane and rebuilding pillory have got already jumped and retreated. But the point to retrieve is that while the hurricanes resulted in an contiguous need to assist those in desperate need, they also ushered in a new era, an epoch when authorities and people in the U.S. and around the human race cognize they can make more than to retrieve from catastrophes and minimise the consequences. So maintain an oculus on companies that volition be at the centre of the Catastrophe and Prevention subject for old age to come.

Wednesday, April 25, 2007


Hurricane Katrina - How To Use Your Business Loss To Get A Refund on 2004 Taxes

With the monolithic losings caused by Katrina, the economic system of the Gulf Seashore part is in extremely bad shape. Fortunately, there is a oddity in the tax codification that tin aid you generate a large refund from your 2004 taxes.

Apply Losings to 2004 Taxes

When a large geographic country endures a disaster, the President can declare it a federal catastrophe area. President Shrub have made such as as a declaration for the Gulf Seashore area.

While you’ve probably heard such declarations happen over the years, I doubt it intends much to you. The declaration, however, have major deductions for recovery efforts. Initially, the declaration of a federal catastrophe country intends the federal authorities is going to supply catastrophe relief loans, particular grants that don’t have got to be repaid, unemployment benefits and a assortment of other assistance. It also signifies a major tax interruption for impacted businesses.

When a business endures a loss, the tax deduction must typically be made in the twelvemonth the loss occurred. With Hurricane Katrina, the tax deduction would typically happen when you register taxes in 2006. The problem, of course, is 2006 is a very long clip from now if your business is destroyed. You will happen this hard to believe, but the Internal Revenue Service is here to help.

The Internal Revenue Service is going to give you cash. Under current tax law, you may do a particular election to subtract your business losings caused by Katrina on your 2004 taxes. By doing this, you make not have got to wait till 2006 to get a tax refund. You don’t have got to do this, but it may be the cardinal to getting necessary cash.

To make the particular election, you must claim it on your 2004 taxes. If you have got already filed taxes for 2004, you can register an amended tax tax return claiming the deduction.

In Closing

Using this tax strategy can assist generate badly needed cash. Brand certain you prosecute the strategy with the aid of your tax professional. If all your records are destroyed, you can tell transcripts of past tax tax returns from the IRS.

Thursday, April 19, 2007


IRS Extends Tax Deadlines for Katrina Victims

Following Katrina, the Internal Revenue Service acted quickly to alleviate victims of any tax burdens. One measure was to widen any tax filing days of the month to late October and now those days of the month have got been extended again.

Emergency Tax Relief Act

On September 23, 2005, President Shrub signed the Katrina Emergency Tax Relief Act of 2005 into law with monolithic bipartizan support. The Act incorporates numerous commissariat with one of the most of import beingness the extension of tax filing deadlines. Specifically, victims of Hurricane Katrina have got been granted an automatic extension until February 28, 2006. The extension covers the filing of taxes, paying of taxes and other related to tax items

To profit from the Tax Relief Act, hurricane victims need to take the following steps. For victims located in countries designated as “individual aid areas” by FEMA (Federal Emergency Management Agency) the tax relief is automatic and no action is required to be taken. Of course, you need to do certain FEMA have got actually gotten around to visiting your area.

If FEMA have designated your country a “public assistance” area, you are actually going to have to reach the Internal Revenue Service to claim relief under the Act. To make this, you must simply compose “Hurricane Katrina” inch reddish ink on the top of any tax filings with the IRS. If you’re not certain what to do, you can reach the Internal Revenue Service catastrophe hotline at 866-562-5227.

Obviously, taxes and the Internal Revenue Service are and should be low precedence points for victims of Hurricane Katrina. The IRS, however, should be commended for taking contiguous action to allow tax relief instead of staggering around like a drunken crewman as we observed with FEMA.

Thursday, April 12, 2007


Financial aid package for helping new college student's

College acceptance letters are on their way to millions of students this month. A recent survey by the Princeton Review found that for 78% of college applicants, financial aid will be "extremely necessary" or "very necessary" to make attendance possible.

There is a company Simple Tuition who is providing financial aid package to the families so that student’s can fulfill their dreams.

Borrowing is a reality in many of these packages, and Simple Tuition can help families make sense of complex financial aid information with an apples-to-apples comparison of more than 50 loans from over 25 student loan lenders.

Simple Tuition, Inc. understands that the costs associated with higher education - together with resources made available to cover these costs - are a critical factor in making your final college choice. With so many different financial aid options available, Simple Tuition recommends that parents and students take the time necessary to understand the specifics of each award letter before making a final decision.

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