Assets

Few people want to think about planning for death, but when 2011 gets here, more may wish they had. If you have assets of more than $1 million, the cost of not planning will come in the form of potentially higher taxes if you die after 2010. That's when the current estate tax exemption (the amount that's not subject to tax) of $2 million in assets expires and reverts to the 2001 exemption of $1 million. The higher exemption was the result of President Bush's tax cut plan, which expires in 2010.

June is wedding season, a time when couples often hear advice about starting their financial lives together. Spending habits, savings goals, debt management and estate planning are all topics that financial planners urge couples to discuss before venturing down the aisle. While young couples might have decades for trial and error, the stakes are higher for those in or near retirement who are planning to marry. "It's going to take a little more planning than perhaps you did the first time around," said Rande Spiegelman, vice president of financial planning for the Schwab Center for Investment Research in San Francisco.

Recent filings in the U.S. Bankruptcy Court, District of Maryland, Baltimore City:March 5Barton Arthur George, 871 Roper St., Baltimore, t/a Barts Music Center, filed under Chapter 7. Assets: $86,730.31; Liabilities: $159,579.70Halcon and Leola M. Brown, 2811 Mount Holly Ave., Baltimore, engaged in a cleaning services operation, jointly filed for adjustment of debts under Chapter 13. Assets: $84,100; Liabilities: $163,100Sandbox Trucking Inc., 7921 Liberty Circle, Pasadena, filed under Chapter 7. Principal: Troy Oliver-Rand Hawkins, president.

Recent filings in the U.S. Bankruptcy Court, District of Maryland, Baltimore City:Sept. 9John C. & Cheryl L. Spears,6517 Hazelwood Court, Baltimore, independent truck operators, jointly filed under Chapter 7. Assets: $199,480; Liabilities: $328,049Sept. 13Errol Anthony Carthy,4370 Nicholas Ave., Baltimore, an individual, operating as Earl's Auto Repair, filed under Chapter 13. Assets: $66,300; Liabilities: $101,764David Cameron Kunes,421 Latimer Road, Joppa, a restaurant operator, filed under Chapter 7. Assets: $5,710; Liabilities: $290,086.

A Baltimore Circuit Court judge has appointed a receiver to take over operation of Coleman Craten LLC after an elderly Towson couple accused the beleaguered downtown brokerage firm and its co-founder, Monica Coleman, of embezzling $2 million in their retirement funds.The judge issued the order Friday at the request of James R. and Carol J. Hyde of Towson, who had sought emergency action earlier that day.The order came less than an hour after Monica Coleman filed for bankruptcy under Chapter 7 in U.S. Bankruptcy Court, which provides for the liquidation of assets, according to court documents that became available yesterday.

BOCA RATON, Fla. -- U.S. investors should pay brokers an annual fee of no more than 1 percent of the equity assets they hold for full-service accounts, Merrill Lynch & Co.'s brokerage chief contends.That's what Merrill is charging for an account it started in July that combines a broker's advice with unlimited trading over the Internet, and it's less than half the 2.25 percent that rival Morgan Stanley Dean Witter & Co. is charging clients who have less than $250,000 in similar accounts."I think 2 percent is too high," said John Steffens in an interview after a speech to 700 members of the Securities Industry Association at their annual conference here.

Highwoods Properties Inc., beset by Wall Street pressure to generate higher returns, a stagnant stock price and excessive debt, plans to sell the Timonium development firm it acquired a little more than a year ago, sources said yesterday.The North Carolina-based real estate investment trust's decision to shed Riparius Development Corp. is part of a larger plan to raise capital in the wake of a two-year expansion.Between 1997 and 1998, Highwoods invested more than $2 billion expanding its office and industrial building portfolio.

It took the Annie E. Casey Foundation half a century to reach $1.8 billion in assets. It took just one day to double that.The Baltimore philanthropy was a major benefactor of United Parcel Service Inc.'s initial public offering yesterday, the largest ever by a U.S. company. As investors rushed to snatch up shares, they drove up the value of the foundation's 41.6 million UPS shares by $1.75 billion."I didn't even work very hard today," joked Douglas W. Nelson, the foundation's president, during the first day of UPS trading on Wall Street.

Belair-Edison activists work hard to maintain a strong communityOn behalf of the residents of Belair-Edison, I want to comment on Dan Rodricks' statement, Belair-Edison has a lot of committed people, and theirs is the kind of neighborhood that needs vigilance ("A shiny new mayor brings a tiny ray of hope to the killing streets," Dec. 8).Mr. Rodricks is correct when he talks about committed people. Just this year, many residents have come together and developed a strategic plan for the neighborhood.

Recent filings in the U.S. Bankruptcy Court, District of Maryland, Baltimore City:Feb. 16Rhonda Darnell Dixon, 1210 White Mills Road, Catonsville, an individual engaged in day-care service, filed for adjustment of debts under Chapter 13. Assets: $163,250; Liabilities: $188,450Barbara Ann Thompson, 127 Carver Road, Baltimore, an individual engaged in rental of real estate, filed for adjustment of debts under Chapter 13. Assets: $220,355; Liabilities: $214,807Feb....

Ciena Corp.'s offer to acquire Nortel Networks Corp.'s optical networking business for $521 million would create the largest maker of network equipment in North America and position the technology company to compete more effectively on a global scale, experts said Wednesday. Ciena, based in Linthicum, said Wednesday it has signed agreements to pay $390 million in cash and 10 million shares of Ciena common stock, valued at $131 million based on Tuesday's closing price, to acquire Toronto-based Nortel's optical networking and carrier Ethernet assets in North America, Latin America, the Caribbean and Asia.

The Maryland U.S. attorney's office has established an Asset Forfeiture and Money Laundering Section to go after criminal proceeds and provide victim restitution. "Seizing and forfeiting ill-gotten gains enables us to take the profit out of crime and use the proceeds to compensate victims," said U.S. Attorney Rod J. Rosenstein. The new unit, announced Monday, will work with federal, state and local authorities to pursue the forfeiture of assets, including cars, homes and cash, from people committing crimes such as mortgage fraud, Rosenstein said.

Washington - -Members of Maryland's congressional delegation, including millionaire Sen. Benjamin L. Cardin, took a financial hit when the U.S. economy nose-dived last year, according to annual financial disclosure forms released Friday. Cardin saw the value of his reported assets shrink to between $1.3 million and $3.1 million in 2008, down from $1.7 million to $4 million the previous year. Rep. Roscoe G. Bartlett, who vies with Cardin for the distinction of the state's richest federal lawmaker, took advantage of the depressed real estate market to add to his property holdings.

The financially ailing owner of the Preakness Stakes, Pimlico Race Course and Laurel Park formally withdrew Friday its proposal to auction off those assets in a bankruptcy sale this summer. In a filing with the U.S. Bankruptcy Court in Delaware, attorneys for Magna Entertainment Corp. of Ontario, Canada, indicated they would still "explore all alternatives" with respect to the Maryland assets. The news came as a relief to government officials who have been worried that Maryland's horse-racing legacy could be sold out of state.

The Maryland Senate gave preliminary approval Friday to a bill that would authorize the state to acquire the Preakness, Pimlico Race Course and Laurel Park, either in a bankruptcy auction or by eminent domain. Meanwhile, lawmakers in the House of Delegates continued to press aides to Gov. Martin O'Malley, who introduced the emergency legislation this week, on the viability of the proposal. The governor and Democratic leaders in Annapolis say the state needs broad condemnation powers to ensure that the historic second jewel of the Triple Crown continues running at Pimlico.

Middle River-based cosmetics provider Jane & Co. filed for Chapter 11 bankruptcy protection Monday in federal court in Delaware. The Baltimore County company said it faced "significant cash liquidity issues" because of declining consumer spending amid an economic crisis. Jane said it has obtained financing from a senior secured lender that will allow it to continue operations. The company, which reported $25 million in annual revenue, listed assets of between zero and $50,000 and liabilities of $1 million to $10 million, according to electronic court documents.

One good thing you can say about the effect of the stock market swoon on 401(k) retirement accounts: It has pushed some employees to examine their statements. Many workers hadn't paid attention since they first signed up, often when they were hired. This neglect meant their 401(k) asset mix and the amount deducted from their paychecks never changed. Some investors have been making moves: About 6 percent of assets in 401(k) plans were shifted out of stocks and into bonds last year, mostly during tumultuous October and November, according to an analysis by human resources consultant Hewitt Associates.

The Obama administration released the long-awaited details Monday of its plan to cleanse banks of bad home loans and toxic assets, igniting a major Wall Street rally as investors glimpsed what might be the beginning of the end of a problem at the core of the financial crisis. The Dow rocketed nearly 500 points after Treasury Secretary Timothy F. Geithner briefed reporters on the administration's innovative but untested plan, which makes a strategic bet that partnering with private investors to buy the assets will stabilize the crisis while limiting the risk to taxpayers.

Citigroup Inc. began yesterday to shrink its financial "supermarket" model that took shape in Baltimore two decades ago by splitting into two businesses, as it reported an $8.29 billion quarterly loss. Citicorp will focus on its stronger operations, including its global, corporate and investment banking services, while Citi Holdings will oversee noncore businesses such as its government-backed risky assets, insurance unit Primerica Financial Services and CitiFinancial, its Baltimore-based consumer lending arm. Citi Holdings assets are expected to be sold or merged, although Citigroup chief executive Vikram Pandit said yesterday that the company is in "no rush ... to separate ourselves from these businesses."

Asset prices and interest rates are down, making this an opportune time for retirees to think about estate planning. Trouble is, few people are interested. Such planning can involve divesting assets just when you're feeling the most vulnerable. Wealthy or not so wealthy, many retirees are scaling back this year on what they will do for their heirs. Wealthier families are re-examining tax strategies that involve gifts to family and charities, and retirees with more modest portfolios are reducing their help for adult children so they can preserve more of what is left of their nest eggs, financial advisers said.