Lt. Governor Dalton Speaks on the Importance of Small Businesses for North Carolina’s Economy

BELMONT, NC - A variety of small business owners from throughout the county attended the Gaston County Small Business Issues Forum on Monday, August 30 at the Gaston College Kimbrell Campus and Textile Technology Center in Belmont.

The forum hosted by The Gaston County Economic Development Commission (EDC) featured speakers North Carolina Lt. Governor Walter Dalton and NC State Commissioner of Small Business, Scott Daugherty who spoke on the importance of small businesses for the North Carolina economy. Also representatives of Gaston Regional Chamber of Commerce, Montcross Area Chamber of Commerce, Bessemer City Chamber of Commerce and Cherryville Chamber of Commerce, and other city, county and state government agencies attended the meeting.

Among those forum participants were (L to R) Brad Rivers, Director of Gaston College Small Business Center, Jennifer Davis, member of the Gaston County Economic Development Commission’s Small Business Council, Donny Hicks, Executive Director of the Gaston County Economic Development Commission, Dr. Patricia Skinner, President of Gaston College, and Ted Hall, President, Montcross Area Chamber of Commerce.

The former chief of Lehman Brothers told a panel investigating the financial crisis that the Wall Street firm could have been rescued, but regulators refused to help — even though they later bailed out other big banks.

Richard S. Fuld Jr. told the Financial Crisis Inquiry Commission at a hearing that Lehman did everything it could to limit its risks and save itself in the fall of 2008.

"Lehman's demise was caused by uncontrollable market forces, and the incorrect perception and accompanying rumors that Lehman did not have sufficient capital to support its investments," Fuld testified.

LAKE NORMAN - Mooresville resident Marcia White recently joined Peoples Bank as Relationship Manager Private Banking serving the Bank’s Lake Norman Region. White has been intricately involved in this market for the past 13 years and brings a wealth of banking knowledge and experience to Peoples Bank. President and Chief Executive Officer Tony W. Wolfe made the announcement and welcomed White to the locally-based community bank. “It is a distinct pleasure to welcome Marcia to Peoples Bank ,” Wolfe commented. “Her impact will be realized immediately as we continue to build our franchise in this important market.”

CHARLOTTE, North Carolina (Reuters) - A federal judge approved the creation of a $150 million fund for Bank of America Corp shareholders as part of a settlement with the Securities and Exchange Commission over the bank's 2009 acquisition of Merrill Lynch.

The SEC alleged in a lawsuit filed last year that BofA, in the months before it bought the investment bank in January 2009, failed to disclose $3.6 billion in bonuses Merrill Lynch paid its employees and $15.8 billion in fourth-quarter 2008 losses at the investment bank.

As part of the settlement, BofA agreed to pay $150 million into a "fair fund" to be distributed to owners of BofA stock who were injured by the alleged misconduct, according to the fund's website.

Bank of America Corp. spent $1.09 million in the second quarter to lobby the federal government on various aspects of the financial regulatory overhaul and other issues, according to a disclosure report.

That's up 36 percent from the $800,000 it spent in the 2009 second quarter as the financial crisis ensued, and 16 percent above the $940,000 it spent in the first quarter of 2010. For the first six months of the year, Bank of America spent $2.03 million on lobbying as banking regulations came to the forefront of the national agenda.

WASHINGTON (Reuters) - Sales of previously owned U.S. homes took a record plunge in July to their slowest pace in 15 years as the wind went out of the housing sector's sails and underlined a struggling economy.

Tuesday's report from the National Association of Realtors was the latest data series that indicated economic activity continued to slacken into the third quarter.

The NAR said overall sales were at their lowest since it started the existing-home sales data series in 1999, with single-family home sales that account for most business at their lowest since 1995. Association chief economist Lawrence Yun characterized sales as the softest since 1995.

NEW YORK (Reuters) - Bank of America Corp and former Chief Executive Kenneth Lewis denied civil fraud charges brought by New York's attorney general over the bank's takeover of Merrill Lynch & Co amid the 2008 financial crisis.

In court papers filed on Wednesday, Lewis said the state's prosecutor Andrew Cuomo had no basis in his lawsuit to allege a conspiracy to mislead the public and shareholders about Merrill's deteriorating finances and Bank of America's desire for government assistance.

"Some have looked to assign blame for every aspect of the financial crisis, even where there is no evidence of misconduct," Lewis said.

NEWTON, N.C. -- The Board of Directors of Peoples Bancorp of North Carolina, Inc. (Nasdaq:PEBK) declared a cash dividend for the third quarter of 2010 in the amount of $.02 per share. The cash dividend will be paid on September 15, 2010 to shareholders of record September 3, 2010. Future dividend payments will be based upon the performance of the Company and will be determined each quarter by the Board of Directors.

Shareholders are encouraged to enroll in the Company's Dividend Reinvestment and Stock Purchase Plan. For details, you may contact Krissy Price at (828) 464-5620 or (800) 948-7195 or visit our transfer agent's website at www.rtco.com.

Stocks tumbled Thursday after two disappointing economic reports renewed investors' concerns about the pace of a recovery.

The Dow Jones industrial average fell about 165 points in afternoon trading. Broader indexes also fell by more than 1.5 percent. Interest rates also fell sharply as investors flocked to the safety of Treasury bonds.

The Labor Department said claims for unemployment benefits rose unexpectedly last week and the Federal Reserve of Philadelphia said manufacturing activity in the mid-Atlantic region has dropped during August.

NEW YORK (Reuters) - Bank of America Corp is considering whether to reduce its stake in asset manager BlackRock Inc , which is viewed as a non-core asset, a source familiar with the situation said on Sunday.

Charlotte, North Carolina-based Bank of America inherited a stake in BlackRock through its 2008-2009 acquisition of Merrill Lynch.

It owns a 34.1 percent economic interest in the asset manager. As of March 31, the bank valued its BlackRock investment at $14.1 billion.

Bank of America has for some time been looking at its non-core assets and weighing whether to sell or keep them, said the source. The BlackRock asset is not considered core, so the bank is also weighing whether that should be reduced, the source said.

A decline in exports and a sharp rise in imports pushed the U.S. trade deficit in June to its widest point since October 2008, raising new concerns about the weakening economic recovery.

The $49.9 billion gap is worrying economists, who fear it means the U.S. economy grew at half the rate in the April-to-June quarter than what was first estimated by the government last month.

The trade deficit jumped 18.8 percent in June compared to May, the Commerce Department reported Wednesday.

Federal Reserve policymakers are pondering ways to jump-start the economic recovery. The trick: making sure whatever they do or say doesn't rattle Wall Street.

U.S. stocks closed higher Monday as investors anticipated reassuring words or action Tuesday by Fed Chairman Ben Bernanke and his colleagues on the Federal Open Market Committee. Asian shares were mixed in early trade Tuesday.

"There was some anticipation the Fed could announce additional liquidity measures like the purchase of bonds," Craig Peckham, market strategist at Jefferies & Co. "It's a little premature for the Fed to expand. We don't think they'll be any meaningful change in policy."

Indiana's advocate for utility ratepayers said Monday he is "deeply concerned" about the mounting cost of a coal-gasification plant Duke Energy Corp. is building and urged state regulators to protect Duke's customers from the cost overruns.

Indiana Utility Consumer Counselor David Stippler's comments came four months after Duke Energy revealed the cost of its southwestern Indiana plant had grown to nearly $2.9 billion, or about twice the project's original 2007 estimate.

In its April request to the Indiana Utility Regulatory Commission for permission to pass the higher costs onto its customers, Duke said those costs had risen $530 million, or 23 percent, since November largely due to design changes that required more materials.

CHARLOTTE, North Carolina (Reuters) - Sluggish markets and the May 6 flash crash pinched even trading highflier Goldman Sachs Group Inc in the second quarter, according to the company's quarterly report filed on Monday.

The New York-based investment bank reported 10 days of trading losses for the period, with three days of more than $100 million in trading losses, according to the filing.

Stock futures are rising modestly following signs that Europe's recovery is speeding up. However, gains were kept in check as investors look to the Federal Reserve for direction about the domestic economy.

European markets are climbing Monday after German exports reached their highest levels since late 2008, indicating the country's economy is recovering much faster than previously thought.

HP CEO ousted over fudged expenses walking away with about $28m in cash, stock

Lauded for making Hewlett-Packard Co. the world's biggest technology company, CEO Mark Hurd was in talks for a new contract worth about $100 million, according to a person familiar with the negotiations.

Instead, he's getting almost one-third that much just to go away.

HP said Friday that it ousted Hurd after its investigation of a sexual harassment complaint found he had falsified expense reports and other documents to conceal a relationship with a contractor. Hurd also allegedly helped the woman get paid for work she didn't do.

Most automakers posted higher U.S. sales last month, a sign that Americans are still willing to buy big-ticket items even though concerns linger about the economy and hiring.

After a sluggish June, sales rose slightly at Detroit automakers General Motors Co. and Chrysler. Foreign-based companies like Kia and Subaru posted bigger gains. Ford, meanwhile, had flat sales.

Sales were boosted by easier credit and new versions of cars and trucks ranging from Jeeps to large family wagons. Summer promotions also helped.

Disappointment over US durable goods data weighs on world stock markets

An unexpected decline in U.S. durable goods orders during June weighed on stock markets Wednesday as it reinforced concerns that the recovery in the world's biggest economy is rapidly running out of steam.

In Europe, the FTSE 100 index of leading British shares was down 30.23 points, or 0.6 percent at 5,335.44 while Germany's DAX fell 42.22 points, or 0.7 percent to 6,165.09. The CAC-40 in France was 0.1 percent lower at 3,662.26.

On Wall Street, the Dow Jones industrial average was down 22.93 points, or 0.2 percent, at 10,514.76 soon after the open while the broader Standard & Poor's 500 index was down 2.65 points, or 0.2 percent, at 1,111.19.

NEWTON, N.C. -- Peoples Bancorp of North Carolina, Inc. (Nasdaq:PEBK), the parent company of Peoples Bank, reported net earnings of $864,000 or $0.16 basic and diluted net earnings per share, before adjustment for preferred stock dividends and accretion, for the three months ended June 30, 2010 as compared to $1.4 million, or $0.25 basic and diluted net earnings per share, for the same period one year ago.

After adjusting for dividends and accretion on preferred stock, net earnings available to common shareholders for the three months ended June 30, 2010 were $515,000, or $0.09 basic and diluted net earnings per common share as compared to $1.0 million, or $0.18 basic and diluted net earnings per common share, for the same period one year ago. Tony W. Wolfe, President and Chief Executive Officer, attributed the decrease in second quarter earnings to an increase in provision for loan losses and a decrease in non-interest income, which were partially offset by a decrease in non-interest expense.

STAFF REPORTS

DENVER, NC - The Music Box Studio held their grand opening and ribbon cutting last week on Thursday, July 15, 2010.

The Music Box Studio is located at 4732 North Highway 16, in Denver, NC.

The Music Box Studio is owned by Mr. Randy Cooke.

HONG KONG (Reuters) - Bailed-out insurer American International Group Inc (AIG) named former Prudential plc Chief Executive Mark Tucker as head of its Asia life insurance business, AIA, replacing existing boss Mark Wilson.

AIG said in a statement on Monday that it would also seek to list American International Assurance Co Ltd (AIA) on the Hong Kong stock exchange, subject to regulatory approvals and market conditions.

Stock futures rose modestly Thursday after banking giant JPMorgan Chase & Co. became the latest company to report strong quarterly results, even as broader economic indicators point toward a slowdown.

Big gains, though, were kept in check as investors prepare for key reports on unemployment, inflation and manufacturing that will shed more light on the pace of recovery.

A day after the Dow Jones industrial average broke a seven-day losing streak, stocks are set to resume that slide.

Futures dipped Wednesday, but were well off their lows of the morning, as investors remain concerned about the pace of a global recovery.

General Motors Co. says its sales dropped nearly 13 percent from May to June, another sign that the economy is stalling.

All automakers are reporting U.S. sales on Thursday. Combined sales are expected to be about 10 percent lower than May.

NEW YORK (Reuters) - Wall Street suffered losses for a fourth straight day on Thursday as disappointing home sales, manufacturing and jobless data raised new doubts about growth in major sectors of the economy and prompted a sharp pullback from riskier assets.

Stocks got off on the wrong foot for the second half of the year after suffering through the worst quarter since late 2008.