Corning, Inc.

Corning, Inc.: The Sweet Smell of Diesel
by Justice Litle
The Rude Awakening
Wall Street, New York
Friday, January 6, 2006

Justice Litle discusses Corning, Inc's innovative exhaust filter that could boost demand for diesel.

-------------------------

-------------------------

[Joel's Note: There is an amazing view of the New York City
skyline as you cross over the Brooklyn Bridge around
sunset. The lights are just starting to dot the enormous
buildings and the heaving mass of concrete begins to
illuminate the sky. The sight is so breathtaking that, for
a moment, I forget what poor shape I am in and quicken my
pace for the downhill, home leg.

The New York icon had been mocking me from outside my
window all afternoon yesterday. "You'll never be able to
conquer me," she called, "behold my great expanse. I am for
the fittest runners only," she taunted. So, after a few
hours of enduring such mockery, I donned the running shoes,
stretched up, programmed my ipod with some hard rock music
and set off.

Another great thing about running the Brooklyn Bridge,
apart from the view, is that the old wooden walkway is
perched high above the traffic, sparing your lungs from the
exhaust fumes of the outbound, afternoon commuters.
Although, as Justice Litle, editor of Outstanding
Investments, points out below, we may be about to see a
fairly significant decrease in automobile omissions in the
near future anyway. As always, Justice has devised a method
with which your wallet can join you lungs in this improved,
healthier state. So stretch up and read on for the full
article below...

--- Advertisement ---

This time next year, you could have doubled your money.

In fact, if you don't do so 12 times in the next 12 months,
we'll give you a FULL REFUND.

The man's name is Steve Sarnoff. The time frame is one
year. The profits are guaranteed.

Don't miss a single alert. Click here now.

http://www.agora-inc.com/reports/OHL/EOHLFC07   

-------------------------

The Sweet Smell of Diesel
Written by Justice Litle
Edited by Eric Fry

More than a century has passed since Ransom Eli Olds
introduced the first mass-production vehicle, the Curved
Dash Oldsmobile, in 1901. (Ford was hot on his heels.) A
hundred years later, developments in automotive technology
have not slowed down.

Electronic gadgets may capture most of the "Ooohs" and
"Ahhhs" at auto shows, but these modern marvels are of
small consequence compared to what's happening under the
hood...and inside the tailpipe. Corning Inc. – the "fiber
optic company" – has developed an exhaust-filtration
technology that could dramatically boost demand for diesel-
powered vehicles. This is a long-term play on an exciting,
and perhaps inevitable, development in the automotive
world.

Even without Corning's innovative exhaust filter, diesel is
superior to conventional gasoline in two key respects: It
releases 15-20% less (CO2) per mile driven than regular
gasoline and gets about 30% more miles to the gallon. These
advantages were long hidden by a few nasty drawbacks. The
diesel engines of old were loud, dirty and smelly. You
could hear a diesel truck coming from a quarter mile away,
see the soot half a block away and smell the exhaust as it
rolled past. But after years of research and refinement,
the vast majority of diesel's problems have been licked.
European refineries have long since removed the sulfur from
their diesel production, allowing for a sharp reduction in
smell and smoke. And the rising price of gasoline has made
fuel efficiency all the more important, offsetting the
extra cost of building a diesel engine.

Corning, Inc.: Diesel from Turkey Parts

These elements give diesel an edge in capturing global
market share. But diesel also benefits from a much bigger,
and potentially decisive, factor: the existence of
petroleum alternatives. As it turns out, you don't need
crude oil to make diesel. You can make it from coal, plant
mass, cooking oil or even spare turkey parts (a small
refinery in Missouri turns gobblers into fuel, cranking out
hundreds of barrels per day). Biodiesel has taken off in
Europe: Germany is in the lead, raising output 40-50% a
year. Drivers love biodiesel, because it saves them money
at the pump; governments love biodiesel because it offers
justification - partial at least - for the countless
billions gone to farm subsidies. It seems diesel can be
made from just about anything with semi-organic origins. If
you run a restaurant or a cafeteria, you may be tempted to
invest in a cooking oil converter kit; this handy kit lets
you deep fry a batch of potatoes and later reuse the oil in
your delivery truck.

All well and good. But the final hurdle for diesel
dominance can be summed up in a three-letter word: "NOx."
Short for nitrous oxide, NOx is one of the soot-causing
pollutants emitted by diesel engines. While engineers have
figured out how to thoroughly "scrub" diesel exhaust
through the use of catalytic converters and particle traps,
getting out the last bit of NOx has been tricky. In
embracing diesel so many years ago, Europe chose to make a
tradeoff - accepting the downside of NOx-type particulates
in exchange for lower CO2 emissions and greater fuel
efficiency. Now both continents face a challenge: the high
hurdle of tightened emissions regulations. "By 2007, the
U.S. Environmental Protection Agency will require a 90%
reduction in the amount of soot," Forbes reports. "Between
2007 and 2010 the agency also mandates a phased 92%
reduction in the amount of NOx emitted from a truck's
tailpipe." Europe has committed itself to a similar
mandate.

The American trucking industry, which depends on diesel, is
in a tizzy. A 92% NOx reduction is no small thing, and
yesterday's pollution technology is not quite up to snuff.
Tailpipes must be upgraded; the entire trucking industry
must find a way to comply by the EPA deadline. This is
where opportunity comes into focus...He who slays the NOx
dragon wins the fair maiden's hand: the lucrative exhaust-
filtration market. Corning – to continue the metaphor – may
be the lucky knight-in-shining armor.

Corning, Inc.: PhD's per capita

This 150-year-old company has enjoyed a long history of
maverick innovation. Its intense focus on research and
development, combined with a willingness to take risks on
new ideas, is woven into the fabric of the company. In
testament to its research prowess, the town of Corning,
N.Y., challenges Los Alamos, N.M., for the highest number
of Ph.D.s per capita in the world. (Sometimes that's a good
thing). From the mundane to the exotic, Corning is widely
known for its glass products. The company has done
groundbreaking work in everything from light bulbs, Pyrex
dishes and test tube beakers to space shuttle windows,
missile nose cones and spy satellites.

Although most folks know Corning as the leading pioneer of
fiber optic technology, the company has also pioneered
environmental technologies. More than three decades ago,
Corning introduced the honeycomb-type material at the heart
of catalytic converters. Now, this innovative company is
preparing to take the automotive world by storm yet again.

Corning sold off its conventional glassware business in the
late 1990s to make way for a major research and development
push. As part of that effort, Corning focused on diesel-
exhaust technology. The company's researchers saw the
inevitability of tightening environmental regulations and
felt they could come up with far superior exhaust-
filtration solutions in comparison to what currently
existed. So Corning's management decided to take a risk and
invest close to half a billion dollars in a new factory and
new materials research, even as the bursting dot-com and
telecom bubbles were savaging company's core fiber-optics
business.

The big bet looks like it will soon begin to pay off.
Thanks to up-and-coming regulations, diesel tailpipes are
projected to be a billion-dollar market by 2008 - a more-
than-80-fold increase from the year Corning first took the
plunge. And that is only the beginning: As diesel
technology takes hold in the developing world, the tailpipe
growth curve will rapidly accelerate.

Corning dominated fiber optics through a relentless
combination of smarts, guts and know-how. The company has
also performed under pressure in the past, developing the
catalytic converter in response to a new era of emission
regulations. The goal is to do the same thing here in 2006,
creating a particulate filter that is simultaneously more
efficient, more durable and less expensive than the
competition's. The material Corning has selected for its
next-generation filter - aluminum titanate - is the result
of more than two years of intense research. The firm is
taking risks and leaping ahead while competitors stick to
the status quo. Between technological savvy, early-stage
initiative and already recorded progress, Corning has a
strong shot at dominating this lucrative new market space.

At the moment, the bulk of Corning's profits comes from LCD
screens and flat panels; Corning is seen as the fiber
optics company that "also" does environmental technology.
With the growth of diesel in the coming years, Corning
might eventually become the environmental technology
company that "also" does flat panels and fiber optics.

[Joel's Note: It might be time you blew the smoke off your
portfolio and added Justice's pollution-free, financial
newsletter to your investment strategy. Learn more about
why Justice believes diesel is going to play an
increasingly important role by reading this special report
on the coming petroleum crisis.

The coming petroleum apocalypse – what you need to know:
http://www.isecureonline.com/Reports/OST/EOSTFC25/

--- Advertisement ---

Profit in the coming year from the number one financial
letter of the last 5 years.

Outstanding Investments has recently been voted the top-
performing financial newsletter of the last five years by
the Hulbert Financial Digest.

But the news is not all cheery. The "Petrol Apocalypse" is
on its way...find out what all the fuss is about right
here.

Who can pronounce "Petrocalypse"?
http://www.isecureonline.com/Reports/OST/EOSTFC25/   

-------------------------

Did You Notice: The Great Gold Harrumph
By Justice Litle

The Dec. 1 issue of The Economist has a wonderful article
on gold titled "The Little Yellow God." The subtitle reads,
"Even at $500, it's still a barbarous relic." The article
then goes on to poke fun at goldbugs, making a grumpy case
for why gold's current price means nothing at all. The
piece is more sour grapes than anything - if a magazine
article could harrumph, this one would.

For gold investors, this is wonderful news. If The
Economist had been excited and enthused about gold's
prospects at $500, that would have been cause for worry.
You see, the magazine is more than just a top-notch info
source. It also serves as an excellent contrarian indicator
for the big tops and bottoms.

After two years of downward descent, The Economist caught
the dollar bottom almost perfectly in December 2004. Not on
purpose, of course: The relevant cover that month was "The
Disappearing Dollar," questioning whether the greenback was
on the verge of accelerated freefall. With impeccable
timing, multiyear lows were established soon after, and
have not been visited since.

But that call was small beer compared to March 1999, when
our beloved Economist ran the infamous cover, "Drowning in
Oil." (Probably a collector's item by now, it is the crown
jewel of my Economist collection.) In that issue, we
learned why oil, just above $10 a barrel at the time, would
soon be headed to $5. Crude never did see $5, of course, or
even single digits - and today seems more drawn to triple
digits instead.

With these accidental market calls in mind, it is good to
see gold harrumphed and ridiculed by the establishment.
Perhaps The Economist will be extra cheeky in its
dismissals when gold doubles yet again, to $1,000 an ounce.

[Joel's Note: Whether gold falls in line with
previous predictions from our good friends over at The
Economist, or rallies and makes it's charge to the $1,000
an ounce mark, one man will be lining his readers pockets
with dough. You see, Kevin Kerr is a master at playing both
sides of the markets. Last year he delivered triple digit
gains when resources were hot AND when they under
performed. There's no need to fret about a market's
direction, so long as it's on the move, Kevin is putting
cash within your reach. Find out what all the fuss is about
with the Resource Trader Alert, right here: 

Money, either way, with the Resource Trader Alert:
http://www.agora-inc.com/reports/RTA/ERTAFB23

-------------------------

And the Markets...

	Monday	Friday	This week	Year-to-Date
DOW	11,012	10,959	53	2.1%
S&P	1,290	1,285	5	6.5%
NASDAQ	2,319	2,306	13	6.6%
10-year Treasury	4.37	4.38	-1.00	4.33
30-year Treasury	4.56	4.56	0.00	4.51
Russell 2000	706	699	7	8.4%
Gold	$549.30	$539.95	$9.35	25.5%
Silver	$9.18	$9.14	$0.04	34.7%
CRB	337.33	339.47	-2.14	18.8%
WTI NYMEX CRUDE	$63.36	$64.21	-$0.85	45.8%
Yen (YEN/USD)	JPY 114.26	JPY 114.43	0.16	-11.4%
Dollar (USD/EUR)	$1.2089	$1.2153	64	10.8%
Dollar (USD/GBP)	$1.7646	$1.7706	60	8.0%