BRIEFCASE MAN TO ADMIT GUILT IN INVESTING SCAM.

Byline: - Staff and Wire Services

BEVERLY HILLS - A businessman accused of bilking more than 200 friends, relatives and associates out of $21 million will plead guilty to securities and mail fraud charges, according to a document filed in federal court Tuesday.

Gary A. Eisenberg, 64, operated Advance Finance Inc. and Advance Finance Holding Inc., both of Beverly Hills.

In a plea agreement, Eisenberg admits he fraudulently collected about $20 million from investors.

He also admits he told the investors their money was in partnerships that used the funds for ``factoring,'' or loaning money to corporations with the recipients' accounts receivable as collateral.

United pilots set pay-cut vote aside

CHICAGO - United Airlines' pilots union has shelved a vote on a proposed 10 percent pay cut as the troubled carrier pushes for even bigger cutbacks and cost savings in a bid to avoid bankruptcy.

The 9,200 pilots had been scheduled to vote starting Tuesday on whether to approve a tentative agreement calling for the wage reduction over three years, resulting in an estimated $520 million in savings.

United, which has been unable to gain concessions from its other unions, cited the pilots' commitment in its June application for a $1.8 billion federal loan guarantee it says is needed to help it recover from financial struggles. But officials in Washington have made it clear to the airline that the application will be rejected without broader, deeper and longer-term cost savings.

U.S. trade deficit shows June drop

WASHINGTON - The U.S. trade deficit dipped slightly to $37.2 billion in June as a big jump in sales of American exports of everything from corn to computer chips helped offset record demand by American consumers for foreign-made products, the government reported Tuesday.

Even with the improvement, the Commerce Department said the June deficit was still the second-largest in history, down just 1.8 percent from the record high of $37.8 billion set in May.

Still, many analysts saw reason for optimism that the country may be finally turning the corner on trade. They noted that June marked the fourth consecutive month that American exports have risen, helped by a 7 percent drop in the value of the dollar this year since February, making U.S. goods cheaper and thus more competitive in overseas markets.

Avis parent to buy bankrupt Budget

NEW YORK - Cendant Corp. has agreed to buy Budget Group Inc. out of Chapter 11 bankruptcy for $107.5 million, a published report said.

In a story posted on its Web site early this morning, The Wall Street Journal, citing unidentified people familiar with deal, said New York-based Cendant also agreed to assume $2.7 billion in debt.

The paper said the deal is expected to be announced today.

Cendant, which owns car-rental company Avis Holdings Inc., is also expected to cover nearly $100 million in operating liabilities that Daytona Beach, Fla.-based Budget had before it filed for bankruptcy protection in July.

If the deal is approved, it would make Cendant's the nation's second-biggest car-rental company behind Enterprise Rent-a-Car Co.