The Record from Hackensack, New Jersey • B3

THURSDAY, SEPTEMBER 8, 2005 BUSINESS THE RECORD B-3 NORTH JERSEY Ryan Beck recommits to municipal bond market Firm expanding staff to take advantage of rival's retreat By RICHARD NEWMAN STAFF WRITER Ryan Beck Co. is expanding its municipal bond business. CEO Ben Plotkm plans to add 10 to 15 investment bankers, traders and institutional sales people over the next month or two. He also has hired two former Legg Mason executives to head the growing di Al Savastano, analyst at Janney Montgomery Scott, said he doesn't expect the municipal bond business expansion will have much of an impact on the stock performance of Ryan Beck's Florida-based parent company, BankAtlantic Bancorp. But "it should help diversify the revenue stream," he said, noting that the company's investment banking business is cyclical, which might frustrate some shareholders who prefer stable earnings.

This year is expected to be a good one for Ryan Beck, thanks in part to fees from co-managing Hudson City Bancorp's $3.9 billion stock offering. Such spikes in earnings add to speculation about the company's future. "The big thing is, will Ryan Beck be spun off next year?" said Anthony Polini, banking analyst with Advest. E-mail: newmannorthjersey.com jf" Kit commissions are generally set as a percentage of the deal amount. And Plotkin says his ambition is to arrange "larger, institutionally oriented deals" where the main buyers are institutions, not individuals.

While some of the new hires will work at the new Florham Park headquarters, others will be in New York and Chicago, he said. "Historically, the company's bond business has been mostly in New Jersey, but we're expanding in the mid-Atlantic states and the Midwest," Plotkin said. Ryan Beck now has 39 offices in 14 states. Since acquiring most of Gruntal Financial in 2002, it increased its assets under management from about $4 billion to about $18 billion. ment to the bond market is that a key competitor has left an opening.

Commerce Capital Markets, one of the biggest municipal bond underwriters in New Jersey, exited the "negotiated" part of the business last year amid "pay-to-play" criticism. Commerce now only handles deals that are awarded through competitive bids. The no-bid, or negotiated, deals are a large and lucrative part of the market. Commerce's retreat "was a factor to consider," Plotkin said in an interview last week. With their previous employer, Siegal and Chang worked on bond issues by the New Jersey Healthcare Facilities Financing Authority, including one for $51 million earlier this year.

In the bond business, size matters as long history with tax-exempt bonds. John J. Ryan was a Lehman Brothers bond buyer when he set out on his own in the 1940s. In 195 1, he teamed up with Monmouth County bond salesman Roy G. Beck.

In 1966, the firm co-managed a $179 million New Jersey Turnpike bond, making the firm a top player in state bond market. But in more recent years, the company has been better known for advising banks on mergers and managing their public offerings. Typical bond underwriting deals for Ryan Beck in New Jersey this year included modest school district bond issues of $6.6 million and $7.5 million in Middlesex and Gloucester counties, respectively. One reason for Ryan Beck's recommit PLOTKIN vision: Bonnie R. Sie-gal, a former managing director of Legg Mason's public finance department, and Hamilton Chang, former managing director of its structured products group.

Florham Park-based Ryan Beck has a N.J. Concession stands take Giant step forward IDT offers $1.70 of stock per share of Net2Phone NEWARK IDT Corp. said Tuesday it is changing its tender offer for Newark-based Net2Phone, Inc. IDT, which spun off Net2Phone in 2000, said it is offering $1.70 worth of its stock in exchange for each share of Net2Phone Inc. In June, IDT offered $1.70 in cash for the Net2Phone shares it does not already own -IDT owns 41 percent of Net2Phone shares and a controlling interest in the company.

Last month, Net2Phone rejected the offer. On Wednesday, shares of Net2Phone rose two cents to close at $1.73. IDT said the offer of its class common stock is equivalent to a ratio of 0.1283 IDT shares for each share of Net2Phone. Martha McKay Electronics distributor moving to Meadowlands CARLSTADT BDI-Laguna, a company that distributes consumer electronics and computer products, will be moving from Hackensack to the Meadowlands Distribution Center in Carlstadt, the distribution center's leasing agent, said Wednesday. The company has 155 employees throughout the United States.

Its 95 New Jersey workers will all move to the new building, a BDI-Laguna spokeswoman said. "Over the past 20 years our business has grown and thrived in Bergen County, and this new facility will enable us to maintain our momentum and stay in the community we started in," Joel Blank, executive vice president, said in a news release. The Meadowlands Distribution Center is a facility that was completed in 2004. Medimedia occupies 140,000 square feet at the building. Cushman Wakefield is now marketing the balance of the space.

Prashant Gopal Ventiv Health to buy drug consulting firm SOMERSET Somerset-based Ventiv Health a health-care sales and marketing company, said it will buy inChord Communications Inc. for $185 million in cash and stock to expand services to drug and biotechnology companies. The shares surged. The purchase of closely held inChord will increase fourth-quarter per-share earnings by 3 cents to 4 cents, Ventiv said in a statement. Ventiv reported net income of $14.1 million, or 52 cents a share, in the year-earlier quarter.

InChord, of Westerville, Ohio, provides advertising and consulting for many top global drug companies, Ventiv said. Ventiv's clients include Bristol-Myers Squibb Co. and Sanofi-Aventis. Ventiv raised its forecast for 2005 earnings per share to between $1.25 and $1.29 after a 16-cent tax benefit on revenue of $505 million to $515 million. Per-share earnings in 2006 will be $1.45 to $1.50, the company said.

Bloomberg News THOMAS E. FRANKLINSTAFF PHOTOGRAPHER Former Giants linebacker Carl Banks demonstrating PayPass MasterCard at less technology to buy food at Giants games this year. Banks bought lunch Giants Stadium on Wednesday. Fans will be able to use the card's contact- for kids from the Madison Square Boys and Girls Club in Brooklyn. Merck asks N.J.

judge to bar Vioxx trial telecast Lawyers say move is needed for a fair hearing over the drug, a Texas jury Aug. 19 ordered Merck to pay $253 million in damages to the family of a man who died after taking the drug for eight months. The company's shares rose 26 cents to $29.25 in New York Stock Exchange composite trading Wednesday. The stock has fallen 34-percent since Merck pulled Vioxx off the market, wiping out about $37 billion in market value. By JEF FEELEY BLOOMBERG NEWS ATLANTIC CITY Merck the third-largest U.S.

drug maker, asked a New Jersey judge Wednesday to bar the media from televising the trial of a postal worker's claims that the painkiller Vioxx caused his heart attack. Merck's lawyers contend in court papers that broadcasting the trial of fair trial now and in the future," lawyers said in yesterday's filing in state court in Atlantic City. Whitehouse Station-based Merck has set aside $675 million to fight Vioxx cases. A New Orleans judge overseeing Vioxx claims filed in federal courts said in May that the company may have to defend more than 100,000 such suits. In the first trial Frederick Humeston's lawsuit would make it difficult for the drug maker to get a fair hearing.

Merck took Vioxx off the market in September 2004 after it was linked to an increased risk of heart attacks and strokes. "An order barring the use of broadcasting equipment in the courtroom is an essential step in protecting Merck's fundamental right to a THE RECORD 70 Hardware supplier hit with discrimination suit Woman says she was fired because of pregnancy By PRASHANT GOPAL tary losses and the emotional pain and humiliation she experienced," an YTD YTD Name Div Yld Last Chg Chg Name Div Yld Last Chg Chg AEPInd 20.40 38.3 IDT Corp 12.87 .95 4.9 19.53 2.5 Infcrssing 8.90 Alpharma .18 .7 27.13 .39 60.1 IngerRds .64 1.6 40.94 .12 2.0 AstaFdg .14 .4 32.10 .10 19.6 Innodata 2.53 Audible 11.93 IntchgFSs .36 2.0 17.86 3.0 AutoData .62 1.5 42.42 JacksnHew .32 1.3 25.00 Avaya 10.03 .03 JohnJn 1.32 2.0 64.80 1.01 2.2 BkofAm 2.00 4.6 43.31 LakeldB .40 2.5 15.69 .19 BarrPhm 50.42 .37 10.7 Linens 24.37 .35 BectDck .72 1.3 53.70 Lucent 3.18 .12 BedBath 41.26 .04 3.6 MackCali 2.52 5.6 45.32 BioRef 15.66 .38 MedcoHlth 53.07 2.89 27.6 BrMySq 1.12 4.4 25.17 .22 Merck 1.52 5.2 29.25 .26 Cambrex .12 .6 19.50 .09 Movado .20 1.0 19.07 .26 2.3 Cartels 21.45 .12 Net2Phn 1.73 .02 Celgenes 52.70 98.7 Novartis .86 1.7 49.35 .07 Cendant .44 2.1 20.81 .29 PDIInc 14.75 ChildPIc 39.22 5.9 PNC 2.00 3.5 56.80 .08 Chubb 1.72 2.0 87.18 13.4 ParPharm 25.19 .46 CogTech 46.40 9.6 Pathmrk 11.30 .24 94.5 CmcBNJs .44 1.3 34.29 6.5 Pfizer .76 2.9 26.30 .43 CtlAirB 12.40 Prudentl .63 .9 67.84 .55 23.4 CurtWrt .36 .6 65.44 14.0 PSEG 2.24 3.4 65.89 27.3 Cytec .40 .9 46.60 .45 QstDiag .36 .7 50.66 6.0 DOVPh 15.87 .33 RussBer .10 16.37 DRSTech .12 .2 52.10 22.0 Sanofi .83 2.0 41.95 4.7 Datascpe .28 .9 32.91 .14 SchergPI .22 1.0 22.38 .34 7.2 EnglCp .48 1.7 28.54 .18 SealAir 50.76 .06 GtAtPc 25.84 .35 152.1 VlyNBcp .88 3.8 23.29 GrtrCoB .52 3.3 15.80 VerizonCm 1.62 4.9 32.73 Honwlllntl .83 2.1 38.53 8.8 VitalSgn .28 .6 43.97 13.0 HovnanE 61.59 1.20 24.4 Vornado 3.04 3.5 86.81 14.0 HudsCitys .28 2.2 12.55 9.3 Wachovia 2.04 4.0 50.68 .43 HudsonUtd 1.48 3.5 42.88 .13 8.9 WebMD 10.96 .02 34.3 IDSys 17.71 .24 Wyeth .92 2.0 46.51 .28 9.2 Bio-Reference Laboratories Inc. Location: Elmwood Park Business: An independent regional clinical laboratory Third quarter 2005third quarter 2004 Revenue: $42.7 million Earnings per share: 1 9 cents1 8 cents Net earnings: $2.5 million Share price at close: $15.66, up 38 cents Wednesday 52-week highlow share price: Analysis: The company said it posted record revenue in the quarter. Marc Grodman, its president, said the company is in the midst of a transitional period stemming from changes in reimbursement and the company's rise in its infrastructure. Lewis Krauskopf STAFF WRITER The U.S.

Equal Employment Opportunity Commission has sued Fast-bolt saying the Hackensack hardware supplier discriminated against a pregnant employee. The company hired Andrea Pitts of Teaneck as a file clerk and fill-in receptionist on July 12, 2004, and fired her three months later a day before she was to take medical leave related to a high-risk pregnancy, according to the lawsuit filed in U.S. District Court. The Civil Rights Act of 1964 makes it illegal to deny a person an employment opportunity because of race, color, religion, national origin or sex. Congress amended the act in 1978, to prevent employers with 15 or more employees from discharging or denying workers equal leave and other opportunities because they are pregnant.

"The EEOC seeks to eliminate the discriminatory practices alleged in the case and have Fastbolt Corporation compensate Ms. Pitts for her mone EEOC news release said Wednesday. Albert Zaukas, who owns 31 -year-old Fastbolt, said Pitts was let go during a 90-day probation period because of her performance, but said he could not comment further about the case. Many of the company's 46 employees are women and many of them have returned to work after having children, he said in an interview. "The allegations in my opinion are completely incorrect," said Zaukus, whose company sells fasteners, screws, nuts and bolts among other products.

"My average employee longevity is 10 years. I take care of all of my employees. This takes me by shock." In fiscal year 2004, the EEOC received 4,512 charges of pregnancy-based discrimination and recovered $11.3 million in monetary benefits for victims, according to the EEOC Web site. E-mail: gopalnorthjersey.com.