Monthly Archives: January 2013

HBCU Money™ Dozen Links 1/21 – 1/25


Did you miss HBCU Money™ Dozen via Twitter? No worry. We are now putting them on the site for you to visit at your leisure.

Government Departments

The EPA has a team of divers that does scientific research all over the country? Check out their photos! l EPA http://ow.ly/h8OQp

Moving data between multiple clouds, still pie in the sky? l Government Computer News http://bit.ly/YsKf6t

Obama’s ‘Recess’ Appointments Declared Unconstitutional l Senate News http://bit.ly/W8Qd94

NRA’s LaPierre to testify before Senate Judiciary l Senate News http://bit.ly/V5sANu

Illiteracy Costs the Global Economy $1 Trillion. l Truman Project http://trumanproject.org/?p=2808

Staying Competitive: U.S. small wind manufactures report using 80-85 % domestic content in their turbines l DoEn http://go.usa.gov/4Khd

Federal Reserve, Central Banks, & Financial Departments

Remittances to developing world rose 6.5% in 2012. l World Bank http://bit.ly/XyNQzK

In just 7 paragraphs, find out why apartment rentals are booming & home sales still aren’t l St. Louis Fed http://bit.ly/XFqouL

Kauffman Foundation researcher discusses business trends for women-owned companies l Atlanta Fed http://goo.gl/T6lfd

It is time to rethink how we grow, share and consume our food l World Bank http://ow.ly/h9dyy

Mississippi entrepreneurs: Register to learn about funding, credit resources, grants, tax obligations l St. Louis Fed http://bit.ly/XCrdV0

Business activity in the Carolinas remained soft in January. l Richmond Fed http://bit.ly/10CQJeJ

Thank you as always for joining us on Saturday for HBCU Money™ Dozen. The 12 most important government and central bank articles of the week.

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The HBCU Money™ Weekly Market Watch


Our Money Matters /\ January 25, 2013

NAME TICKER PRICE (GAIN/LOSS %)

African American Publicly Traded Companies

Citizens Bancshares Georgia (CZBS) $4.75 (UNCH)

Carver Bank New York (CARV) $4.21 (1.94% UP)

Radio One (ROIA) $1.25 (3.60% UP)

African Stock Exchanges

Bourse Regionale des Valeurs Mobilieres (BRVM)  172.43 (0.12% DN)

Botswana Stock Exchange (BSE)  7 655.99 (0.88% UP)

Ghana Stock Exchange (GSE)  1 254.68 (4.58% UP)*

Nairobi Stock Exchange (NSE)  103.03 (N/A)

Johannesburg Stock Exchange (JSE) 40 538.96 (0.16% DN)

International Stock Exchanges

New York Stock Exchange (NYSE) 8 879.79 (0.26% UP)

London Stock Exchange (LSE)  3 288.60 (0.17% UP)

Tokyo Stock Exchange (TOPIX)  917.09 (2.17% UP)

Commodities

Gold 1 660.60 (0.56% DN)

Oil 95.72 (0.24% DN)

*Ghana Stock Exchange shows current year to date movement. All others daily.

All quotes reported as of 12:00 PM Eastern Time Zone

African America’s Top 5 Highest Paid Media Personalities Of 2012


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How good is it to be the man with second ranked courtroom show and the longest running court show featuring an African American judge? It is good enough to ensure you make more money than the next 4 on our list combined. These 5 combine to bring in $34.5 million annually in salary and often have the ears and eyes of millions on a daily basis. A nice day’s work at the office – or in this case the studio.

1 – Judge Joe Brown (pictured above)

2012 Salary: $20 Million

Show: Judge Joe Brown Show

2 – Al Roker

2012 Salary: $7 Million

Show: NBC News

3 – Robin Roberts

2012 Salary: $6 Million

Show: ABC News

4 – Gayle King

2012 Salary: $2 Million

Show: CBS News

5 – Sherri Shepherd

Salary: $1.5 Million

Show: The View

Source: TV Guide; Daily Beast; Huffington Post

Mortgage Delinquency Rate Per HBCU State


From 2007 to 2009 there were 2 011 completed foreclosures per 10 000 loans. Of those 2 011 completed foreclosure, 40 percent were African Americans according to the Center for Responsible Lending. African America was second only to Latino America in terms of imminent risk of foreclosure with 21.4 percent and 21.6 percent, respectively, facing imminent foreclosure. Meanwhile, European and Asian America had 14.8 and 15.7 percent, respectively, facing imminent risk of foreclosure. Imminent risk is defined as borrowers who are two or more payments behind on their mortgage.

The Center for Responsible Lending also reports that the cost to the African American community between 2009-2012 due to foreclosures could be an estimated $194 billion. This is equivalent to an estimated 17.6 percent in value of African America’s current buying power for perspective. Below are the overall mortgage delinquency rates for each state that an HBCU is located in and not the mortgage delinquency rates for African Americans in that state.

The overall mortgage delinquency rate has risen 54.3 percent from 2008 to 2012 (pictured below). 2008 showed only 10 of the 24 HBCU states and territory being below the national mortgage delinquency rate. 2012 shows 16 of the 24 HBCU states and territory below the national mortgage delinquency rate. South Carolina and Delaware saw rises of 85 percent and 83 percent in their mortgage delinquency rate, respectively, to lead the way in increases. No states saw declines.

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December 2008

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December 2012

STATE – MORTGAGE DELINQUENCY RATE December 2012 (2008)

Arkansas – 3.4% (2.5%)

Missouri – 3.4% (2.5%)

Kentucky – 3.4% (2.6%)

Alabama – 3.7% (2.7%)

Tennessee – 3.9% (2.6%)

Oklahoma – 3.9% (2.7%)

Texas – 4.0% (3.0%)

Pennsylvania – 4.0% (2.5%)

Virginia – 4.0% (3.5%)

Washington D.C. – 4.1% (2.6%)

Ohio – 4.5% (3.5%)

North Carolina – 4.6% (2.6%)

Louisiana – 4.7% (3.0%)

Mississippi – 4.8% (3.3%)

Massachusetts – 5.1% (3.8%)

Michigan – 5.3% (4.0%)

South Carolina – 6.1% (3.3%)

Delaware – 6.4% (3.5%)

Georgia – 6.6% (4.2%)

Maryland – 7.3% (4.9%)

Illinois – 7.9% (4.5%)

New York – 9.5% (5.3%)

California – 10.2% (7.7%)

Florida – 18.9% (12.4%)

Source: Bloomberg Visual Data; Center for Responsible Lending; HBCU Endowment Foundation

The HBCU Endowment Feature – Tennessee State University


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School Name: Tennessee State University

Median Cost of Attendance: $24 125

Undergraduate Population: 7 105

Endowment Needed: $3 428 162 560

Analysis: Tennessee State University needs approximately $3.4 billion to allow all of its students to attend debt free annually. The HBCU with the eight largest endowment going into 2012 is poised with new leadership at the helm – and fair or unfair some would say a continuing identity crisis. Leadership has challenged alumni chapters to raise what could be an estimated $3 million which could put Tennessee State University in striking distance of seventh place but would need to double its current endowment of $38 million to make a run at sixth place. Tennessee State University’s identity crisis seems to be an ongoing story leaving some to wonder can the university remain an HBCU or will it succumb to calls for “diversity” which most often end in gentrification or dilution of African American institutions. This is particularly true for a school like Tennessee State University where its European American population is already over 20 percent of the institution. A strategic problem when institutional concessions have to be made for a population whose social, wealth, and political power makes it the majority even in an institution where it is the “minority”. A conundrum worth watching. Historically, while European Americans have attended HBCUs it has been hard to identify them being consistent donors back to the institution in such a way that truly supports the HBCU mission of African American empowerment. Perhaps the new leadership at Tennessee State University has the magic sauce to unlock that door but if not danger looms for the university and its endowment. As the only public HBCU in Tennessee it would behoove the school to use that status to build its graduate school presence amongst the private HBCUs in Tennessee to increase its access to higher paid alumni over the long term. Ultimately, there is no reason Tennessee State University does not become a $50 million endowment within the decade especially given that it boast the second highest return on investment among the top ten HBCU endowments. The question of whether they can become a $100 million endowment lies largely in the school’s demographic makeup and what impact that will have on giving over the next ten years.

As always it should be noted that endowments provide a myriad of subsidies to the university for everything from scholarship, faculty & administration salaries, research, and much more.