LINDA O'BRYON: The bulls were back on Wall Street today, as investors put aside worries in favor of bargain hunting. The Dow soared 188 points or 2 percent and the NASDAQ jumped 56 points or 3.5 percent. Wall Street was also eagerly anticipating Yahoo!'s (YHOO) after-the- close earnings. The Internet portal earned a penny a share, right in line with Street expectations. That pleased investors. They sent Yahoo! stock higher by about $0.60 in after hours trading. Analysts say overall Yahoo! is doing a good job of keeping an eye on costs but advertising revenues remain key to success.

GORDON HODGE, RESEARCH ANALYST, THOMAS WEISEL PARTNERS: The key item here is the advertising economy and obviously there's no sense that there's a turn any time in sight, but I think the good news that we heard was that pricing seems to have stabilized, that Yahoo! is still getting strong pricing relative to its competitors given its branded sites and its ability to target a 80 million strong registered user base.

O'BRYON: Yahoo! says it has remained the number two most visited site on the Internet over the past 12 months. That according to the Nielsen/NetRatings Service. We'll be a better picture of the fourth quarter when Yahoo! meets with analysts next month.

Nightly Business Report transcripts are available on-line post broadcast. The program is transcribed by eMediaMillWorks. Updates may be posted at a later date. The views of our guests and commentators are their own and do not necessarily represent the views of Community Television Foundation of South Florida, Inc. Nightly Business Report, or WPBT. Information presented on Nightly Business Report is not and should not be considered as investment advice. © 2001 Community Television Foundation of South Florida, Inc.

10/10/01: Senate Majority Leader Tom Daschle On The Economic Stimulus Package

LINDA O'BRYON: A United Nations report today says the September 11th terrorist attacks on the United States will take $350 billion out of the world economy this year alone. Congress has put getting the US economy on sure footing at the top of its agenda. President Bush is proposing a $60-75 billion package of tax cuts to help grow the economy. But Democratic leaders in Congress advocate more spending, today suggesting $300 or $400 checks be mailed to low-income workers in time for the holiday season. But Republican leaders say that's the wrong approach.

REP. RICHARD ARMEY, MAJORITY LEADER: What we need now is a growth package and a growth package is one that clearly understands investments are the driving edge of economic growth and we must cut taxes in such a way as to encourage that investment.

O'BRYON: Joining me now to talk more about the economic stimulus package and the congressional agenda is Senate Majority Leader Tom Daschle. Welcome to "NIGHTLY BUSINESS REPORT."

SEN. TOM DASCHLE, MAJORITY LEADER: Thank you. Good to be here.

O'BRYON: Senator, we just heard Dick Armey saying that what we need now is a growth package and cutting taxes to encourage investments. What's your view of that comment and of President Bush's overall plan?

DASCHLE: Well, I think first and foremost what we need is a bipartisan plan. I don't think we need a Republican plan or Democratic plan. It's got it be in the same context. We've got to have the same bipartisanship we've demonstrated for the last month. But I also think we have to make sure that it's limited. We can't exacerbate the public debt. We can't exacerbate long-term interest rates. We've got to provide immediate stimulus both on the spending as well as the tax cut side.

O'BRYON: You talk about bipartisanship and there certainly has been much unity on Capitol Hill on foreign policy, but there is a lot of infighting on fiscal policy. What's it going to take for Congress to enact a package and what's a realistic timetable?

DASCHLE: Well, I would hope we could do it in the next few weeks. We'd like to get it done before the end of this calendar year. That's when it would do the most good. Every economist we talked to said get it done soon if you're going to do it at all and make sure you put it in the hands of those people who can use it the most-

O'BRYON: Is that really-

DASCHLE: So that's-

O'BRYON: Excuse me. Go ahead.

DASCHLE: I was just going to say that's guidance I think we ought to adhere to.

O'BRYON: Is that realistic, though, considering the fact that Republicans and Democrats are far apart on the way they want to enact this legislation?

DASCHLE: Well, I think this is a time for leadership to step up to the plate. All four leaders in Congress along with the president and his leadership in the administration need to make sure that this doesn't get out of hand. There will be those on all sides of the aisle and all sides of the issues trying to take us in one direction or the other that are not in keeping, rally, with what we have to do. And I think we've got to show some discipline here.

O'BRYON: Do you think the idea of a $300 to $400 check going out to low income Americans is a good way to boost the economy?

DASCHLE: I do. I think if you listen to the economists, they say give it to those people who can do the most good with it, who need it the most. And certainly that fits that definition.

O'BRYON: And yet economists are saying that we've had the rebates mailed out to taxpayers and they've had little effect on the slumping economy.

DASCHLE: Well, I think the times have changed and certainly there are 34 million Americans who got no help at all. And I think the times economically have changed a lot since last summer. We've seen a dramatic slowdown. Five hundred and twenty-eight thousand people were listed as unemployed in the last week alone. I think we've got sheer, a lot of evidence that we've got to do a lot better at addressing these economic questions than we had to be concerned about just two or three months ago.

O'BRYON: Senator, you just came from a debate on airport security. Very briefly, could you update us on where that stands?

DASCHLE: Well, we finally are on the airport security bill in the Senate. We'll have a good debate about it. I filed an amendment to provide unemployment compensation and health care and training benefits to the tens of thousands of airline and aviation worker employees who are unemployed right now. We'll have that debate and at the same time we also got an agreement to take up counter terrorism. We'll do that some time in the next few days.

O'BRYON: Are we going to see the airports federalized very soon?

DASCHLE: I think we have to. If we're going to professionalize security we have to federalize security to a large extent. It doesn't have to be in every airport. We can find ways with which to address small airports and give states a lot of flexibility here. But all the major airports need to be standardized and I think federal workers would provide by far the best security and the greatest confidence.

O'BRYON: Thank you very much, Senator.

DASCHLE: My pleasure.

O'BRYON: I've been speaking with Senate Majority Leader Tom Daschle.

Nightly Business Report transcripts are available on-line post broadcast. The program is transcribed by eMediaMillWorks. Updates may be posted at a later date. The views of our guests and commentators are their own and do not necessarily represent the views of Community Television Foundation of South Florida, Inc. Nightly Business Report, or WPBT. Information presented on Nightly Business Report is not and should not be considered as investment advice. © 2001 Community Television Foundation of South Florida, Inc.

10/10/01: "America Rebuilds"-Getting The Travel Industry Back On Track

LINDA O'BRYON: The airlines aren't the only businesses suffering from a drop in travel since the September 11 attacks. Travel agencies, hotels and restaurants are, too. In part three of America Rebuilds, Diane Eastabrook looks at how one executive in the midst of all those industries is fighting for her company and her competitors.

DIANE EASTABROOK, NIGHTLY BUSINESS REPORT CORRESPONDENT: When last month's terrorist attacks grounded U.S. air traffic, Minnesota based Carlson Companies immediately went to work. Carlson Wagonlit travel agents fielded calls from stranded travelers around the globe then worked nonstop for days getting people home once air travel resumed.

MARILYN CARLSON NELSON, CHAIRMAN & CEO, CARLSON COMPANIES: This was such an intense time and then all of a sudden travel stopped.

EASTABROOK: A dramatic drop in travel since the attacks last month has sent business plummeting at Carlson Companies travel agencies, four hotel chains, cruise line and nine restaurant chains. So far, Carlson Companies has only laid off 350 of its more than 70,000 employees worldwide. But to Nelson that's far too many job cuts and she fears more are ahead.

NELSON: I've opened restaurants in Scandinavia. I've opened restaurants in Singapore. I know these people and they are my family.

EASTABROOK: Marilyn Carlson Nelson's father, founded this company during the Depression then grew it during a world war and several economic downturns. So Nelson says crisis is nothing new to Carlson Companies. This particular crisis has transformed Chairman Nelson into Commander Nelson.

NELSON: I think you could also, maybe, Mike, have somebody look into, on the small business loans. I need more information.

EASTABROOK: At daily meetings like this, Nelson marshals Carlson executives to help her strategize for this company and for the travel industry in general. She and other industry leaders are lobbying the White House for tax deductions and other relief measures for the travel industry. Nelson contends propping up businesses that cater to travelers is vital to a U.S. economy struggling with rising unemployment in many other sectors.

NELSON: The cities and the states and the federal government receive $100 billion worth of tax from this industry, so that those taxes are the very dollars that could be used to fulfill the unemployment claims. So they've got a whole new rash of unemployment claims at the same time that they don't have the receipts that come from this industry.

EASTABROOK: Juggling two difficult jobs, lobbyist for a struggling travel industry and chairman of a $10 billion company, has Nelson working longer hours and traveling more. But this grandmother finds the challenge invigorating.

NELSON: I am so energized because I'm fighting for my people, I'm fighting for my customers and frankly I feel like to some extent we're fighting for the American and the global economy.

EASTABROOK: Nelson says this 63-year-old company has grown nearly every year it's been in business and she's confident this year will be no different. Diane Eastabrook, NIGHTLY BUSINESS REPORT, Minnetonka, Minnesota.

Nightly Business Report transcripts are available on-line post broadcast. The program is transcribed by eMediaMillWorks. Updates may be posted at a later date. The views of our guests and commentators are their own and do not necessarily represent the views of Community Television Foundation of South Florida, Inc. Nightly Business Report, or WPBT. Information presented on Nightly Business Report is not and should not be considered as investment advice. © 2001 Community Television Foundation of South Florida, Inc.

10/10/01: "Money File"- In Search Of "Safe Stocks

LINDA O'BRYON: In the money file tonight, is there such thing as a safe stock? Here's Eric Schurenberg, Contributing Editor of "Business 2.0" magazine.

ERIC SCHURENBERG, CONTRIBUTING EDITOR, BUSINESS 2.0 MAGAZINE: Safety. It's been pretty hard to come by in the stock market for some time now and the events of the past four weeks only underscored how precious a commodity it is. But is there really such a thing as a safe stock anymore? Used to be when you got nervous, you just holed up in AT&T or electric utilities until the danger passed. Now, it seems no single stock offers much of a hiding place. Deregulation has stripped away the protections that once made utilities so utterly predictable. Global competition and overvaluation have undercut franchises that once seemed impregnable profit machines, from IBM (IBM) to Boeing (BA) to Coca Cola (KO). So if you're going to hunker down in these scary times, don't look for safety in individual stocks. It doesn't exist. Think instead of your whole portfolio. Own bonds and cash as well as stocks and have stocks from a wide variety of sectors, including the following two. First, small cap stocks. While historically they've fallen hardest in recessions, this time they've actually held up better. They never had the run-up that the big guys in the NASDAQ 100 and the S&P 500 did, and they still seem more reasonably priced. Secondly, you want to make sure some of your money is committed to value stocks. These stocks tend to have some asset, real estate, a patent, a brand, that the market may not fully appreciate. In other words, value stocks by their nature come with a certain margin of safety. And these days that's worth having. I'm Eric Schurenberg.

Nightly Business Report transcripts are available on-line post broadcast. The program is transcribed by eMediaMillWorks. Updates may be posted at a later date. The views of our guests and commentators are their own and do not necessarily represent the views of Community Television Foundation of South Florida, Inc. Nightly Business Report, or WPBT. Information presented on Nightly Business Report is not and should not be considered as investment advice. © 2001 Community Television Foundation of South Florida, Inc.

10/10/01: Paul Kangas' Wall Street Wrap Up

PAUL KANGAS: Stocks on Wall Street opened broadly higher today, partly in reaction to solid rallies averaging well over 2 percent in most European stock markets. Also engendering bullish confidence was the continuing success in destroying Taliban military targets in Afghanistan, and the absence of any new terrorist attacks upon the United States or its allies. In a steady upturn, the Dow Industrial Average worked its way to a 125 point or 1.4 percent gain by 11:00 this morning, when the NASDAQ Index was up 28 points, or 1.8 percent. After a brief, late morning backtracking period, the market resumed its up-trend throughout the mid-session hours with the help of in-line or better than expected earnings reports from PepsiCo (PEP)and Abbott Labs (ABT). The oil sector was firm on talk that OPEC might cut production. At 1:30 this afternoon., the Dow was sporting a 150 point or 1.7 percent advance. NASDAQ up 38 points, or 2.4 percent. The rally gained momentum for the rest of the session thanks partly to frantic short covering purchases especially after rumors circulated that a major institution was shifting out of bonds into stocks. The Dow Industrial Average closed with a gain of 188.42 points or 2.1 percent and now stands at 9240.86. The NASDAQ Composite participated certainly by shooting up 56.07 points or 3.6 percent, ending at 1626.26.

Big board volume today moved up smartly from yesterday's pace, 1.3 billion shares and up volume absolutely swamped down volume. We haven't seen that good a ratio in a long time, about 5 to 1.

The Dow Transport Index up nearly 100 points or 4.7 percent.

Utility Index up 1 1/2.

And the Closing Tick about as bullish as you'll see it, +1084.

Standard & Poor's 500 up 24 1/4 points.

Nearly a 13 point rise in the 100.

The MidCap 400 up just over 12.

And the Bridge Futures Price Index edged up .04.

A gain of just about 11 1/4 points in the New York Composite Index.

Value Line rose 9.87.

Almost a 13 point rise in the Russell2000 Small Cap Index.

And the broadly based Wilshire 5000 up 227.20 or 2.3 percent.

The bond market lost ground for the second straight day as investors were put off by concern over forthcoming new debt offerings from the Treasury. But the major negative was a big rally in the stock market which deprived bonds of any safe haven buying and probably resulted in some selling to switch funds into equities.

At the close however, there was little change in tax-free and corporate issues and the shorter maturities in the Treasury market were down just small fractions.

5-year notes off only 3/32.

The 10-year notes down 2/32.

And actually a gain in the 30-year bond of 8/32.

And then a small loss of .39 in the Lehman Brothers Long-Term Treasury Bond Index, a real mixture there.

Today wasn't a shame on Wall Street. What a rally! We see the Dow up 188 ½ points or nearly so, 2.1 percent. And the advance/decline ratio very impressive, 22 stocks higher for about every 9 lower. And the best new yearly high to low ratio we've seen in quite a while, 72 versus 47.

EMC (EMC) topped the active list on 21 million shares, losing $0.49.

Followed by Nokia (NOK), which had a good percentage gain, up $1.98. Merrill Lynch reported that mobile phone inventories are getting low.

Motorola (MOT) was helped by that news, too, up $0.19. But Motorola is forecasting a fourth quarter loss of $0.04 to $0.05 a share.

The Street was expecting earnings of about $0.01. Motorola, of course, is going to cut another 7,000 jobs as well.

General Electric (GE) participating in the rally, helping the down, up 109.

And then Citigroup gained $1.61, also helping the Dow.

AOL Time Warner (AOL) up $0.34.

A $0.30 rise in Liberty Media (LMC).

Lucent Technology (LU) edged up $0.15.

But JC Penney (JCP) down $0.12.

Tenth in volume, Tyco International (TYC), up $0.32.

American International Group (AIG), the big insurance company, up $3.35. The company said it's planning insurance rate increases, in some cases as much as double.

B.P. (BP), British Petroleum, up $1.68 on that talk about a possible cutback in production by open.

El Paso Corp. (EP), formerly known as El Paso Energy, gained $4.05. Bank America upgraded it from "market perform" to "buy."

Harley Davidson (HD) up $5.08. After the close yesterday, as we reported, third quarter earnings $0.36 versus $0.27 on a 19 percent jump in sales. Those earnings were $0.03 better than the Street estimate.

Pepsico (PE) up $0.96 today. Excluding the costs of its takeover of Quaker Oats, the company had earnings of $0.48 in the third quarter versus $0.42 last year, and that was $0.02 above the Street estimate.

Finally, UAL (UAL) up $0.98. Most of the big airlines up fractionally. The airlines are planning on delaying third quarter reports for perhaps up to two to three weeks while they try to figure out how to account for the funds that they received from the government after the September 11 attack.

JM Smucker (SJM), the news had to be good and it apparently was, the stock up $5.26. The company will accrue from Procter &

Gamble (PG) Jiff peanut butter and Crisco cooking oil products. The price, about $1 billion in stock. Procter & Gamble was up $0.80 a share.

TD Waterhouse Group (TWE) up $1.15. Toronto Dominion Bank (TD) is going to buy back all of the stock it doesn't already own and the cost, $9 a share in cash.

Dial (DI) had a good day, up $2.28. The company sees third quarter earnings coming in at $0.26 a share. That's well up from the $0.19 to $0.21 Street estimate.

Corimon (CRM) the big loser of the day, percentage wise off $4.75. It's a Venezuelan manufacturer of industrial paints and coatings. We couldn't get through to the company. Very few analysts follow this company. The stock is very volatile. No news on the wires.

MGIC Investment (MTG) down $7.55. Third quarter earnings $1.47, up from last year's $1.36, a $0.01 above the Street estimate. But there's concern over a rise in delinquent mortgages that this company insures.

And Quebecor World (ICW), one of the largest commercial printers in the world, down $2.38. The company's warning third quarter earnings will fall about 15 percent below earlier projections. It also plans to cut 2,400 jobs, or six percent of its workforce.

NASDAQ trading, a 56 point gain in the Index, 3.6 percent. Volume moved higher on the rally, 1.8 million shares. 23 stocks up for about every 12 down.

Microsoft (MSFT) topped the active list, a $0.95 gain.

Intel (INTC) did well, up $1.61.

QUALCOMM (QCOM) gaining $4.05.

And Cisco Systems (CSCO) a $0.56 gain.

Applied Materials (AMAT) up $1.26.

Oracle (ORCL) gained $0.59.

A $0.57 rise in Dell Computer (DELL).

Sun Microsystems (SUNW) just a $0.02 gain there.

IDEC Pharmaceuticals (IDPH) down $0.26, the only loser in the actives.

Broadcom (BRCM) up $0.94, tenth in volume.