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Strategies & Market Trends : LastShadow's Position Trading -- Ignore unavailable to you. Want to Upgrade?

To: Redhook who wrote (29178)	1/13/2000 11:45:00 AM
From: U Up U Down	Respond to of 43080

H&R Block to Offer Online Trading, Tax Services (Update2) H&R Block to Offer Online Trading, Tax Services (Update2) (Adds closing share price.) New York, Jan. 12 (Bloomberg) -- H&R Block Inc., the world's largest tax preparation company, said it will offer online trading and some mortgage services as part of its Internet operations. H&R Block President Mark Ernst said the announcement is designed to capitalize on the beginning of the U.S. tax season, which is geared for the April 15 Internal Revenue Service deadline. Last year, H&R Block prepared tax returns for 16.1 customers globally, up 4.8 percent from 1998, and expects a similar growth rate this year, the company said. ''For most Americans tax time is the only time of year when they stop to think about their financial information,'' Ernst said. ''What we hope will happen is when clients understand what their needs are that they'll choose to invest with us as well.'' Kansas City, Missouri-based H&R Block will also expand the number of U.S. financial services centers, which offer mortgage services, investment advice and tax preparation. H&R Block, which will have 94 financial service centers this year, is trying to move to a full-year financial services company. ''They've indicated all along that at some point they planned to launch this,'' said Michael Hodes, an analyst at Goldman Sachs & Co. Hodes said he upgraded his rating of the company to ''trading buy'' to ''market outperform'' last week in anticipation of what the company would announce. H&R Block has been buying accounting, mortgage and other financial services companies to diversify its earnings. The company typically reports a profit only in its fiscal fourth quarter ended in April, after most U.S. residents have filed their income tax returns. The company spent the beginning of this week with analysts and investors in New York detailing its plans. ''They're stock has been beaten down recently,'' said Michael Millman, an analyst at Salomon Smith Barney. The meetings are to ''spotlight H&R Block's new products and also to show that Block is really an aggressive company.'' H&R Block shares have fallen 19 percent since August, before the company announced its acquisition of Olde Financial Corp. for $850 million in cash. At the time investors said they were concerned about H&R Block's ability to integrate the companies it has bought, and Moody's Investors Service downgraded its rating of Block Financial debt to A3, from A2. Company shares fell 1/8 to 47 1/2 on the New York Stock Exchange. H&R Block will charge $19.95 for up to 2,500 shares traded online. The company has also expanded the site to allow people to apply for mortgages and do their tax returns online. E-Loan Inc. is working with H&R Block on providing mortgage rates for its online service. quote.bloomberg.com