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Monday 26Striking writers resume talks withproducers.

Tuesday 27The S&P/Case-Shiller home-price indexlikely will show an accelerating paceof decline nationally, says MFR.

Consumer confidence should continueto deteriorate in November, fallingnearly six points, on concerns overthe housing and financial markets,says Lehman Brothers.

Philly Fed President Charles Plosserspeaks about the economic outlookand central-bank policy, at RochesterUniversity.

An FDA panel hears about possiblechanges to Roche’s Tamiflu label.

Wednesday 28Rohm & Haas holds an investor day.

Look for Aéropostale to post earn-ings of 47 cents a share, the high endof guidance, says Morgan Keegan.The focus of the investor call will beNovember same-store sales.

The Fed releases its beige-book surveyof regional economic conditions.

Existing home sales likely fell 2.5%in October to an annual pace of4.91 million units, says Lehman.

Durable-goods orders probably fell0.7% in October, on a decline in air-craft orders, says Lehman.

Thursday 29Third-quarter gross domestic productgrowth should be revised up stronglyto an annualized rate of 4.8% from3.9%, on revisions to nonresidentialconstruction, inventories and trade,says Mission Residential Research.But a stronger reading will set thestage for slower fourth-quartergrowth, which Mission puts at 0.7%.

Sears Holdings likely reports anearnings decline, on housing weakness.

New-home sales probably fell 4.5%,to a pace of 735,000 in October, aftera surprising jump in September,forecasts Lehman.

Dell reports results.

Anheuser-Busch makes its annualregional investor presentation.

Fed Chairman Ben Bernanke makes aspeech at 7 p.m. EST.

Friday 30Look for personal income to rise 0.4%in October, matching the pace overthe past two months, says Lehman. Itsees average hourly earnings up 0.2%.On the spending side, it sees an in-crease of 0.3%, on a rise in prices,leaving real consumption unchanged.

PPG Industries meets with analysts.

Conrad Black is sentenced inChicago on fraud and obstruction-of-justice charges related toHollinger International.

Pfizer holds a meeting with analysts.

St. Louis Fed President William Poolegives a speech to the Cato Institute.

Fed Governor Randall Kroszner partic-ipates in a panel on “Innovation andRegulation in Financial Markets.”

Sunday 2Russians elect a lower house of Parlia-ment; the vote is seen as a referen-dum on Putin’s presidency.Venezuela votes on reforms thatwould let Hugo Chavez run forpresident indefinitely.Treasury auctions: Page M63.

Any day now, one of the moderators of the innumerabletelevised presidential debates will wake up to the firstgreat financial crisis of the 21st century—and hurl a“What-do-we-do-now?” question at the candidates.Most of the leading Democratic contenders, we’ve dis-covered, are prepared to take a whack at it; Republi-cans, however, seem to have their eyes on issues like taxcuts, which they view as more vital to the GOP base.

DemocratsHillaryClinton,BarackObama,JohnEd-wards and Chris Dodd all have detailed proposals for

endingthehousing/mortgagecri-sis. They range from measuresto stave off residential foreclo-sures or personal bankruptcy tooffering tax relief or assuringthatmortgagemoneykeeps flow-ing. Sen. Obama’s staff is evenstudying ways to prevent a

blow-up in the credit-card market. Sen. Joe Bidenhasn’t addressed the subject, but is expected to shortly.

Republican Mitt Romney has uttered a couple ofsoundbites andSen . JohnMcCain says he’d like to helphomeownerswho got steered into improper mortgages.Dark-horse candidate Ron Paul of Texas got some seri-ous YouTube exposure when he blasted Federal Re-serve Chairman Ben Bernanke for proposing a fewweeks ago to expand Freddie Mac’s and Fannie Mae’shousing role.Mostly, however, theGOPcandidates havenot offered comprehensive remedies, andRudyGiulianiandFredThompsonhavebarelydiscussed theproblem.

A McCain adviser says, “It’s strange—it comes up inTown Hall meetings all the time,” but never in the de-bates. We expect this will change.

—JIM MCTAGUE

Consensus EstimateDay Time Consensus Est Last PeriodT 10:00 November Consumer Confidence 91.0 95.6

W 8:30 October Durable Goods 0.0% – 1.7%10:00 October Existing Home Sales 5.00 mil 5.04 mil

Th 8:30 Q3 GDP (p) 4.9% 3.9%10:00 October New Home Sales 750,000 770,000

F 8:30 October Personal Income 0.4% 0.4%8:30 October Consumption 0.3% 0.3%9:45 November Chicago PMI 50.5 49.7

10:00 October Construction Spending – 0.3% 0.3%

Unless otherwise indicated, times are Eastern. p-preliminary Source: BloombergFOR MORE INFORMATION about coming economic reports - and what they mean - go to Barron's Online's freeEconomic Calendar at www.barrons.com

Candidates’ Debate

Dems Eye Mortgage Mess

Hardball

Coming EarningsDay Consensus Year

Estimate Ago

MDonaldson Co Inc (1Q) 0.48 0.43

TAmerican Eagle (3Q) 0.45 0.44Kopin Corp (3Q) –0.01 0.08Tech Data Corp (3Q) 0.60 0.33Dress Barn Inc (1Q) 0.32 0.40Staples Inc (3Q) 0.40 0.36Analog Devices (4Q) 0.39 0.39More Earnings on Page 63

Edited by Robin Goldwyn Blumenthal

Thursday 29: The rate of growth of GDP

is expected to be revised higher for the third

quarter, giving a read on the economy’s strength.

Hillary Clinton,Barack Obama,John Edwards andChris Dodd all havedetailed proposalsfor the housing/mortgage crisis.

For moreinformation about comingeconomic reports–andwhat they mean–go toBarron’s Online’s freeEconomic Calendar atwww.barrons.com

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November 26, 2007 B A R R O N ' S 17

Jeff SandeferAn oil-and-gas industry

entrepreneur, the 47-year-old Sandefer was troubledby the state of businessschools: Curriculums, hesays, hadn’t evolved muchin decades and top-paidprofessors seemed unin-spired. So in 2004 he andsome other entrepreneurs founded a radically differentkind of b-school.

STRATEGY: Acton, affiliated with a West Texas college,offers a two-semester program based on the Socraticmethod (no lectures allowed). Classes are tiny, and each se-mester the worst-performing students and the worst-rated(by students) professor aren’t invited back. Students pay$17,500 in tuition, but that’s reimbursed at graduation,and the second semester is free.

REACH: So far, 20 students have graduated from Acton,and three dozen professors across the United States havebeen trained in the methodology. The founders/teachershave donated nearly $25 million in time and money.

EFFECTIVENESS: Acton has won plaudits from thePrinceton Review. All 20 members of the first graduatingclass have agreed to sign a pledge promising to donate10% of their earnings to finance Acton fellowships until thecost of their own education has been repaid.

PLANS: Sandefer hopes to train another 500 entrepre-neurs to teach the Acton way in colleges around the coun-try, and license the course materials for a nominal $1 a year.

Lynn FritzWhen Fritz sold his global-lo-

gistics firm to UPS in 2001, hedidn’t leave his planning skills be-hind. He simply shifted them tothe nonprofit world, helping im-prove disaster-relief efforts incountries where he’d done busi-ness. “It was a clunky, inefficient,uncoordinated process, and itwas bothering me,” he says.

STRATEGY: Fritz provides relief groups with staff train-ing and logistics software. “All we are trying to do isbring tried-and-true business practices to an area thatdoesn’t have the time or resources to devote to build-ing them internally,” he says.

REACH: The Fritz Institute, launched in 2001 with $6 mil-lion of seed capital from Fritz, has trained more than 500 hu-manitarian aid workers from 50 countries. Its software sys-tem is used by nongovernmental organizations worldwide.

EFFECTIVENESS: Fritz helped the Red Cross becomemuch more efficient. After the 2004 Asian tsunami, ittook the group 18 days to set up a supply chain to de-liver aid, at a cost of $800 per family. When the 2006Jakarta earthquake struck, the Red Cross, armed withsoftware from Fritz, was able to cut response time tothree days, at $142 per family.

PLANS: Fritz is helping his hometown of San Francisco bemore prepared for earthquakes and disasters.

Eugene LangLang, an 88-year-old entre-

preneur, has spent three de-cades working with high-schoolstudents through his I Have aDream Foundation, to helpthem graduate and go to col-lege, where many have thrived.

STRATEGY: In 1981, Langpledged during an elementary-school commencement speechin New York to finance the college education of any of the61 graduates who wanted to go on to college. Horrifiedwhen the principal informed him that 70% were likely todrop out and only one or two would make it to college,Lang developed a mentoring program. As well as organiz-ing tutoring and trips to museums and colleges, Langmade himself available to his “Dreamers” every Saturday.

REACH: The organization has replicated the mentoringin 66 cities and 27 states, touching the lives of some 13,500students. Lang figures he has deployed some $200 million.

EFFECTIVENESS: Of the first group of Dreamers, 90%graduated from high school, 70% received some college ed-ucation and 40% earned college degrees. Dreamers con-tinue to graduate at higher rates than their peers, and aremore likely to attend college.

PLANS: Lang is still rolling out programs, including sometailored to encourage careers in science and medicine. Anew one aimed at basic literacy is in the works.

HIGHER EDUCATION

Steve and LizAlderman

After their son, Peter, waskilled in the Sept. 11, 2001, terror-ist attacks, the Aldermans strug-gled to find a way to honor him.“When I saw a Nightline programdealing with issues of masstrauma, and heard that a billion

people have experienced torture or some other kind of massviolence, it just clicked,” says Liz Alderman, 66.

STRATEGY: The couple, through the Peter C. AldermanFoundation, fund a training center run by the HarvardProgram in Refugee Trauma, allowing doctors from devel-oping countries such as Cambodia and Rwanda to meetand discuss their experiences treating traumatic depres-sion. The centerpiece is an annual event in Orvieto, Italy,now attended by some 26 physicians from a dozen ormore countries. The Aldermans also are setting up clinicsin developing countries.

REACH: The foundation, started with money the family re-ceived from the 9/11 victims’ compensation fund, now totalsmore than $1 million. Over the past four years, its programsand clinics have reached more than 55,000 individuals.

EFFECTIVENESS: Each doctor attending the programtrains a dozen or so health-care workers, such as teach-ers, midwives or even village elders. The Aldermans tryto ensure that the programs meet local needs; in Cam-bodia, all patients go to a Buddhist monastery for spiri-tual healing.

PLANS: Clinics will open next year in Uganda and Rwanda.

The consulting firm, based outside Philadelphia, assem-bled the list from its own research and the insights ofexperts on philanthropy in five broad areas: higher educa-tion, international health, domestic poverty, internationalpoverty and disaster relief. Assisted by IFF Advisors,Geneva Global closely examined more than 100 candi-dates, looking for giving that has had measurable andimportant impact on people’s lives. The 10 finalists maynot be absolutely the most effective givers in theirfields—but they are unquestionably close.

“We narrowed the list down to people who have made asustainedandsignificant commitmentover aperiodofmanyyears, because people who aren’t willing to focus their ef-forts and stick to it for awhilewill not produce real change,”says Tim Ogden, Geneva Global’s chief knowledge officer.

Geneva spells out its methodology—and offers ex-panded information about the 10 donors—on one of itsWebsites, www.beyondphilanthropy.org. The firmdoesn’t have broad consulting relationships with any ofthe 10, but has done some work for one, David Weekley,and has indirect ties to others. Barron’s approved ofthe lineup after studying supporting material and inter-viewing each.

These donors share more than a passion for theircauses: Regardless of how much wealth each may bringto bear on a particular problem, all 10 want to see real,noticeable change within their lifetimes. “We’re 66years old and don’t have time to mess around with stuffthat doesn’t work,” says Steve Alderman who, with hiswife Liz, founded an organization to provide treatmentto victims of mass trauma in countries such as Rwandaand Cambodia.

Being effective means finding the right way to give.“We saw that we could have a significant impact withsmall dollars, if they were given to the smaller ruralorganizations that also worked most closely with thepeople who needed help,” says Kerry Olson, who alongwith husband David Katz launched the Firelight Foun-dation to help children infected with or orphaned byAIDS. “Most donors don’t want to give small gifts, butthat money hits the ground running.”

For more tips on effective giving, read on. n

DISASTER RELIEFA field of more than 100

candidates was narrowed to

10 who have shown sustained,

significant commitments to

their causes.

How to Get ReprintsCopies of Barron’s articles, inminimum lots of 500, are availablefrom Dow Jones Custom Reprints.Telephone: 1-877-895-0508E-mail: customreprints@dowjones.com

52 B A R R O N ' S November 26, 2007

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November 26, 2007 B A R R O N ' S 15

Kerry Olsonand David Katz

Kerry Olson and David Katz be-came beneficiaries of the SiliconValley boom in 2000 after the ini-tial public offering of Juniper Net-works, the software company atwhich Katz remains a “distin-guished engineer.” The couplechose to finance community groups helping children or-phaned by AIDS in Africa. “We saw it as an opportunity tohave a significant impact with relatively small grants,” saysOlson, 50.

STRATEGY: The Firelight Foundation, set up with $12 mil-lion of Katz’s IPO profits, funds only community projects,not the large nongovernmental organizations already get-ting funding. Grants have covered home-based care for or-phans, vocational training, and programs to fight the stigmathat goes along with AIDS in the region.

REACH: In the six years since the foundation’s launch,it has made more than 700 grants totaling $8.6 millionto more than 300 entities, assisting hundreds of thou-sands of children.

EFFECTIVENESS: The Firelight Foundation won’t initiateprograms; it only responds to requests for funding fromgrassroots groups. “We need to be careful not to underminethe sense of local ownership,” Katz says. Only 20% of the pro-posals survive Firelight’s screening for high-potential impact.

PLANS: Katz and Olson are ramping up their efforts tobring together grassroots organizations in informal groupsto discuss their experiences.

Jacobs FamilyValerie Jacobs Hapke,

along with her mother, sis-ter, husband and son, havebeen rejuvenating poorneighborhoods in theirhometown of San Diego,tapping a $150 million fam-ily foundation that grewout of the family business,Jacobs Engineering Group.

STRATEGY: In approach-ing a community, the familyaims to “attack everything at once: employment, transpor-tation, child care, health care,” Hapke says. “Everything isrelated.” Its Market Creek project is a model for this, withthe family transforming a blighted piece of land into a com-munity shopping center.

REACH: Residents of the Market Creek neighborhood nowcan buy groceries locally at affordable prices and tend to theirbanking and enjoy three new restaurants. “About $32 millionthat residents used to spend outside the community on essen-tial services now stays here,” says Hapke. That’s in addition tothe jobs: 190 new full-time positions have been created.

EFFECTIVENESS: Using the foundation’s assets as loanguarantees, rather than just making grants, has let the fam-ily carry out large-scale projects. Ultimately, the family plansto spend the foundation’s assets and transfer ownership ofall the projects to the community.

PLANS: The foundation is snapping up land near MarketCreek, so the community can control development.

David WeekleyWeekley, founder of a large pri-

vately held homebuilder, DavidWeekley Homes, made a promiseto himself after losing nearly ev-erything in a business downturn:He would invest at least half hisincome and half his time to non-profits serving people on the mar-

gins of society, mostly around his hometown of Houston.STRATEGY: Weekley looks for groups that can benefit

from his ability to analyze organizations and strategic plans.At Casa de Esperanza, a nonprofit serving HIV-infected ba-bies, he realized that the group’s residential facilities in anewly gentrified area could be sold at a big profit. He’s nowbuilding the group 10 new houses elsewhere, at cost; the re-mainder of the proceeds will fund an endowment.

REACH: Weekley, 54, calculates he has given away morethan $100 million in time and money over the past 12 years,most recently through a donor-advised fund establishedwith the Greater Houston Community Foundation.

EFFECTIVENESS: By selecting organizations that canmore than double the number of people they serve, Weekleyboosts the odds that his giving will have a real impact. “I en-sure that an organization has metrics for what they want todo and I check to be sure that they follow through on that.”

PLANS: Sharply boosting his overseas giving. “I can havemuch greater leverage for each dollar in other countries,” hesays. He’s looking for school-related projects in Tanzania.

Donna andPhilip Berber

The couple—a Londoner and aDubliner now living in Austin,Texas—launched A Glimmer ofHope in 2001 to support grass-roots projects in rural areas ofEthiopia. Seed funding came from

$100 million of Charles Schwab stock, part of the proceedsPhilip Berber received on the sale of his online-trading firm,CyBerCorp, to Schwab in 2000.

STRATEGY: Key to success has been emphasis on workingwith local government-approved (but not government-run)organizations in Ethiopia, which identify specific projects inindividual rural communities.

REACH: The $65 million nonprofit has funded 2,000 waterwells, the construction of several hundred schools, and morethan 150 health projects; collectively, these have assistedsome 2 million individuals at a cost of less than $9 a head.

EFFECTIVENESS: The Berbers fund projects on an annualbasis, but funding is released quarterly, based on perform-ance. They require their regional “partners” to establish com-mittees to monitor projects; those committees must includeone or two women, as African women have the most dailyengagement in issues such as health and education.

PLANS: Philip Berber spent time with rural farmers lastyear, investigating how microloans could finance the pur-chase of small-scale irrigation equipment.

Scott HillstromHis life changed when he

learned that 25,000 children diedevery day from malnutrition ordisease. “I wondered what25,000 children’s corpses wouldlook like in my front yard; the hor-ror of that made me realize that Ihad to act,” says Hillstrom, a law-yer by profession.

STRATEGY: Hillstrom was drawn to the franchise model ofoutfits like McDonald’s, concluding that it could be appliedto rural health clinics as a way to achieve rapid growth, whileensuring quality care.

REACH: Today, some 65 combination clinic/pharmacy out-lets funded by the Hillstrom Foundation reach 400,000 peo-ple in sub-Saharan Africa, up from 11 outlets in 2000. Hill-strom has invested $500,000 of his own capital in the cause.In 2004, his efforts, backed by a team of franchising gurus,began attracting outside donors.

EFFECTIVENESS: The foundation ensures that the clinicsand pharmacies follow clear guidelines. “The only way the‘franchisor’ clinic can prosper is by maintaining high stan-dards and reaching larger numbers of clients/patients,” Hill-strom maintains.

PLANS: After pioneering his concept in Kenya, Hillstromwill roll it out in Rwanda in 2008. He’s trying to coordinatewith other social entrepreneurs who are launching similarprograms in Ghana, Nigeria and India.

DOMESTIC POVERTY

Mike MurrayMurray spent much of his ca-

reer working for Steve Jobs atApple and then Bill Gates atMicrosoft. But it was MuhammadYunus, founder of Grameen Bankin Bangladesh, who mostchanged Murray’s life, pointingthe way to effective, broad-scalephilanthropy during a meeting in 1997. “For the first time, Iwas moved to wonder how I, personally, could help.”

STRATEGY: In 2000, on retiring from Microsoft, Murraybegan studying microfinance operations like Grameen,which extend small loans for businesses in poor coun-tries. But instead of starting yet another microfinance out-fit, his nonprofit Unitus sought ways to increase the fi-nancing and effectiveness of the best existing organiza-tions he could identify.

REACH: Partner organizations have made more than$250 million in loans to some 1.4 million new clients. Mur-ray’s family foundation alone invests about $1 million a yearand supports the operating expenditures.

EFFECTIVENESS: “If I had put $1 million into microfinancedirectly, I could have made maybe 50,000 loans over the pastfive years,” Murray says. Instead, focusing on making the ex-isting groups more efficient has made his own giving gomuch further. As the only organization taking this approachto microfinance, Unitus can pick and choose the groups itwants to work with.

PLANS: Unitus aims to help 10 million households getaccess to microfinance, up from an earlier goal of 5 million.

INTERNATIONAL POVERTYINTERNATIONAL HEALTH

54 B A R R O N ' S November 26, 2007