Says Barter Business Is Booming!
Detwiler, President of Detroit's Trade Exchange of America, declares
that business has never been better. The 5,000 member trade exchange
reports a 25% increase in income and trade volume over the past twelve
months. "Innovative business minds turn to barter," Detwiler
exclaimed, "when businesses are conserving their cash resources
during a faltering economy."
Exchange of America operates multiple regional offices in Michigan,
Ohio and Florida. Detwiler is a founding member of the International
Reciprocal Trade Association. For more information go to www.tradefirst.com.
Opened For Further Mergers Of Broadcast Media
can look for further consolidation efforts among the media as rules
against regulation were struck down by a federal appeals court last
month. This means that ownership by big media companies, of cable systems
and local broadcasters in the same market, can now take place.
short, the new ruling will make it easier for the networks to continue
buying as many of these highly profitable local broadcast stations (their
affiliates) as possible.
within the media industry is still behind that of such industries as
pharmaceuticals and aerospace. There's now 100 media companies worldwide
with more than $1 billion a year in revenue. It's expected that consolidation
will create media platforms with the leverage and scale to introduce
services widely and economically.
the barter industry this consolidation is a two-edged sword. Ownership
of more inventory (stations) does consolidate management, making a relationship
that much more valuable. However, it can also reduce possible sales
opportunities, if one is unable to work with the management. Furthermore,
consolidation can lessen competition in certain markets, which makes
for a tougher sell.
Changing Synthetic Lease Rule
Financial Accounting Standards Board sets the "generally accepted
accounting principles" used by U.S. corporations. And they're talking
action on a financing vehicle--synthetic leases--that has been used
to hide real estate loans, and is considered to be a contributor to
short, such a lease provided the tax benefits of real estate ownership
while keeping the debt off the company's books. This obscures the extent
of a firm's liabilities and exposes it to interest-rate risks.
synthetic leases are used by more than 2,000 companies in the US, which
means they will have to add more than $100 billion in debts to their
books (cumulatively) after the new regulations are passed.
- MGM and NBC
have formed a venture to spearhead their barter sales efforts in a
bid to expand sales of their television properties. The new venture
will be based in New York and led by MGM media sales executive vice
president Michael Daraio.
- North Korea and
Thailand are working on "accounts trade," a form of barter
wherein cash is only used to make up the difference in the value of
goods. The barter arrangement will see Thai sugar exchanged for North
- Bartercard UK
is seeking to raise £1,699,999.60 through an offer for shares
at £1.30 each.
- Boutique hotels
are being shunned today. A far different scenario than just a couple
years ago, when customers were willing to pay premium prices for chic
lodgings. Cost was not a concern because they were intoxicated with
their company's growth prospects.
Presently, business people staying in such hotels are not seen as
a serious player. As a result the average daily rate at such hotels
dropped a staggering 23% last year. As a result, hoteliers will be
designing more comfortable, not so provocative rooms with more lighting,
and not rely on having the coolest lobby or bar...as today's travelers
have re-focused on value and service.
- In the past six
months, an estimated 75 barter clubs have sprouted up in and around
Buenos Aires, and weekend "cashless barter markets" where
people go to trade with one another using "barter vouchers"
have mushroomed as well. (Vendors accept barter vouchers from each
other, as well as from shoppers.)
It is estimated that some 2.5 million Argentines flock to these sites
to trade everything from food and clothes, to cars, property, and
even holiday trips.
- In 1998 BarterNews
reported that George Bush, Sr., traded his speech making efforts
at Global Crossing conferences in Tokyo and Barcelona for stock
in the still private firm. Four months after making the barter arrangement,
in lieu of his usual $80,000 speaking fee, Global Crossing went public.
In 1999 and 2000 Bush cashed out of the stock for more than $4.5 million
when he sold that stock, according to the SEC.