Financing MediaGram

Volume 2, Issue 5

Bonus Depreciation

On March 9, 2002, President Bush signed the Job Creation and Worker Assistance Act of 2002. One of the consequences of this stimulus package was the changes to accelerated depreciation.

Section 168(k) provides for a new three year 30 percent accelerated depreciation on equipment such as printing presses, and bindery. This means you may depreciate 40 percent (instead of 14 percent) in the first year, and 57 percent in the first two years for equipment that is currently depreciated over seven years.

For equipment depreciated over 5 years, the first year depreciation would be 44 percent instead of 20 percent.

For a specific example, please refer to this document:

Stimulus Law Example

2003 ISA Expo

The 57th Annual International Sign Expo will be held at Mandalay Bay Hotel and Convention Center in Las Vegas from April 2nd to 5th.

This annual show is important to manufacturers, distributors, and customers seeking ways to project visual business communications.

Technology Update

During the past decade, there has been increasing speculation about cheap, portable, high resolution displays that could behave like paper, and yet be re-writable.

One such design, called SmartPaper, uses two sheets of thin plastic with millions of tiny bichromal (two color) beads embedded in between.

After a charge is applied, the beads rotate to a black or white (or any other two colors) face to create all the typical page elements (type, graphics, grayscale images).