The Securities and Exchange Commission has not necessarily reviewed the information in this filing and has not determined if it is accurate and complete.
The reader should not assume that the information is accurate and complete.

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 13F

FORM 13F INFORMATION TABLE
OMB APPROVAL
OMB Number: 3235-0006
Estimated average burden
hours per response: 23.8
COLUMN 1 COLUMN 2 COLUMN 3 COLUMN 4 COLUMN 5 COLUMN 6 COLUMN 7 COLUMN 8
VALUE SHRS OR SH/ PUT/ INVESTMENT OTHER VOTING AUTHORITY
NAME OF ISSUER TITLE OF CLASS CUSIP (x$1000) PRN AMT PRN CALL DISCRETION MANAGER SOLE SHARED NONE
3M Company COM 88579y101 2,100 17,590 SH   SOLE   17,590 0 0
AFLAC, Inc. COM 001055102 241 3,895 SH   SOLE   3,895 0 0
AT&T Inc. COM 00206r102 1,276 37,740 SH   SOLE   37,740 0 0
Air Products and Chemicals, In COM 009158106 2,020 18,950 SH   SOLE   18,950 0 0
American Express Co. COM 025816109 23,033 304,997 SH   SOLE 1 200,797 0 104,200
Apache COM 037411105 1,106 12,986 SH   SOLE   12,986 0 0
Apple Computer COM 037833100 236 495 SH   SOLE   495 0 0
Archer Daniels Midland Co. COM 039483102 18,872 512,267 SH   SOLE 1 308,767 0 203,500
BB&T Corporation COM 054937107 22,613 670,027 SH   SOLE 1 433,727 0 236,300
Berkshire Hathaway - Class B COM 084670702 210 1,850 SH   SOLE   1,850 0 0
CSX Corp. COM 126408103 1,242 48,235 SH   SOLE   48,235 0 0
CVS Caremark Corp. COM 126650100 16,636 293,152 SH   SOLE 1 198,052 0 95,100
Capital One Finance Corp. COM 14040h105 7,401 107,673 SH   SOLE 1 78,073 0 29,600
Caterpillar Inc. COM 149123101 14,869 178,290 SH   SOLE 1 107,190 0 71,100
Chevron Corp. COM 166764100 22,862 188,165 SH   SOLE 1 126,765 0 61,400
Cisco Systems Inc COM 17275R102 21,689 925,664 SH   SOLE 1 550,664 0 375,000
Coca-Cola Co. COM 191216100 13,877 366,329 SH   SOLE 1 272,829 0 93,500
Comcast Corp. - Special Class COM 20030N200 3,088 71,225 SH   SOLE   71,225 0 0
Compugen Ltd COM 011768504 821 80,000 SH   SOLE   80,000 0 0
ConocoPhillips COM 20825c104 20,606 296,452 SH   SOLE 1 187,752 0 108,700
Consolidated Edison, Inc. COM 209115104 1,865 33,826 SH   SOLE   33,826 0 0
Corning Inc. COM 219350105 18,711 1,282,435 SH   SOLE 1 758,935 0 523,500
Devon Energy Co. COM 25179m103 21,039 364,248 SH   SOLE 1 216,448 0 147,800
Duke Energy Corporation COM 26441c204 1,957 29,310 SH   SOLE   29,310 0 0
E.I. duPont de Nemours & Co. COM 263534109 14,089 240,585 SH   SOLE 1 165,685 0 74,900
Eaton Corp. PLC F COM 278058102 4,600 66,820 SH   SOLE   66,820 0 0
Emerson Electric Company COM 291011104 22,877 353,588 SH   SOLE 1 228,388 0 125,200
Exxon Mobil Corporation COM 30231g102 4,576 53,182 SH   SOLE   53,182 0 0
Friendfinder Networks Inc COM 358453306 1 32,650 SH   SOLE   32,650 0 0
General Electric Co. COM 369604103 3,744 156,735 SH   SOLE   156,735 0 0
General Mills COM 370334104 1,739 36,280 SH   SOLE   36,280 0 0
Hewlett-Packard Co. COM 428236103 9,767 465,332 SH   SOLE 1 237,832 0 227,500
Intel Corporation COM 458140100 1,988 86,729 SH   SOLE   86,729 0 0
International Business Machine COM 459200101 3,041 16,422 SH   SOLE   16,422 0 0
Itracker System, Inc. COM 46573A107 0 110,000 SH   SOLE   110,000 0 0
J. P. Morgan Chase & Co. COM 46625H100 30,661 593,165 SH   SOLE 1 393,065 0 200,100
Johnson & Johnson COM 478160104 26,089 300,950 SH   SOLE 1 201,850 0 99,100
Johnson Controls Inc. COM 478366107 15,985 385,182 SH   SOLE 1 225,082 0 160,100
Kellogg Company COM 487836108 8,487 144,510 SH   SOLE 1 90,410 0 54,100
Kimberly-Clark Corp. COM 494368103 1,796 19,063 SH   SOLE   19,063 0 0
McDonald's Corp. COM 580135101 11,262 117,057 SH   SOLE 1 88,957 0 28,100
Merck & Co., Inc. COM 58933Y105 2,789 58,580 SH   SOLE   58,580 0 0
MetLife Inc. COM 59156r108 27,070 576,566 SH   SOLE 1 358,866 0 217,700
MicroIslet, Inc. COM 59507q106 0 39,000 SH   SOLE   39,000 0 0
Microsoft Corporation COM 594918104 24,122 724,808 SH   SOLE 1 464,108 0 260,700
Morgan Stanley COM 617446448 20,052 744,039 SH   SOLE 1 520,039 0 224,000
Occidental Petroleum COM 674599105 25,405 271,595 SH   SOLE 1 172,595 0 99,000
Oracle Corp. COM 68389X105 1,513 45,610 SH   SOLE   45,610 0 0
Pepsico, Inc. COM 713448108 12,875 161,954 SH   SOLE 1 109,154 0 52,800
Pfizer Inc. COM 717081103 2,064 71,856 SH   SOLE   71,856 0 0
Procter & Gamble Co. COM 742718109 22,884 302,739 SH   SOLE 1 200,739 0 102,000
Psivida Corp COM 74440J101 62 15,000 SH   SOLE   15,000 0 0
Qualcomm COM 747525103 16,854 250,357 SH   SOLE 1 157,257 0 93,100
Royal Dutch Shell PLC CL B COM 780259107 2,416 35,098 SH   SOLE   35,098 0 0
Schlumberger Ltd. COM 806857108 26,327 297,946 SH   SOLE 1 190,946 0 107,000
Schwab (Charles) Corp COM 808513105 14,333 677,990 SH   SOLE 1 399,090 0 278,900
Sorrento Therapeutics COM 83587F202 236 24,628 SH   SOLE   24,628 0 0
Southern Co. COM 842587107 1,039 25,223 SH   SOLE   25,223 0 0
Southwestern Energy Company COM 845467109 1,439 39,545 SH   SOLE   39,545 0 0
State Street Corp. COM 857477103 21,726 330,428 SH   SOLE 1 194,328 0 136,100
TE Connectivity Ltd. COM H84989104 20,454 395,014 SH   SOLE 1 237,714 0 157,300
Teva Pharma Inds ADR COM 881624209 17,024 450,614 SH   SOLE 1 266,514 0 184,100
Thermo Fisher Scientific COM 883556102 16,860 182,963 SH   SOLE 1 122,463 0 60,500
Time Warner Inc COM 887317303 3,468 52,696 SH   SOLE   52,696 0 0
Trunity Holdings, Inc. COM 898183108 26 71,429 SH   SOLE   71,429 0 0
Unilever PLC - Sponsored ADR COM 904767704 1,856 48,115 SH   SOLE   48,115 0 0
United Parcel Service -Cl B COM 911312106 3,860 42,242 SH   SOLE   42,242 0 0
United Tech. Corp. COM 913017109 2,835 26,290 SH   SOLE   26,290 0 0
Wal-Mart Stores Inc. COM 931142103 449 6,070 SH   SOLE   6,070 0 0
Wells Fargo and Company COM 949746101 29,977 725,493 SH   SOLE 1 468,793 0 256,700
Winston Pharmaceuticals COM 975657107 1 10,115 SH   SOLE   10,115 0 0
Zimmer Holdings Inc. COM 98956P102 22,395 272,648 SH   SOLE 1 171,148 0 101,500
E-Kong Group Ltd. COM G2952Q109 1 12,500 SH   SOLE   12,500 0 0
Enviornmental Energy Service COM 29406q101 0 10,000 SH   SOLE   10,000 0 0