A third day of a rally? This seemed impossible just last week. Despite some choppy retail sales, stocks were up triple-digits in the DJIA in the final minutes before the close and another day not in the red was assured. A slight drop in jobless claims helped as well, even if the pre-holiday week is generally viewed as a wash by Wall Street.

Here are today's unofficial closing bell prices:

Dow 10,138.99 +120.71 (1.20%)
S&P 500 1,070.25 +9.98 (0.94%)
Nasdaq 2,175.40 +15.93 (0.74%)

Don't forget that new rules regarding air travel with lithium batteries take effect on January 1. Spare lithium batteries -- meaning those not installed in the devices they are intended to support -- may not be packed in checked bags. Spare batteries in carry-on baggage must remain in the original packaging or be placed in plastic bags so that leads are not exposed.

Batteries, whether spare or installed, are also subject to quantity restrictions. Those with up to 8 [grams]-oz. of lithium, or about 100 watt-hours, are allowed. That includes cell phone lithium ion batteries, as well as most laptop batteries. You can also bring additional spare batteries with an aggregate of up to 25 [grams]-oz. of lithium, or 300 watt-hours. However, you may only bring up to 2 [grams]-oz. of lithium metal per battery. Most consumer lithium metal batteries are below that limit, but check with the manufacturer of your devices if you are unsure.

In a nutshell, traveling with most lithium batteries intended for consumer devices should be okay, but those for professional grade equipment may be confiscated.

The fear is that non-rechargeable lithium batteries may pose a fire hazard. The FAA has found that the fire-protection systems in the cargo holds of passenger planes cannot extinguish fires sparked by lithium batteries. And the NTSB has not ruled out that a fire in a cargo plane at Philadelphia International Airport last year was caused by lithium batteries.

[Updated units of measure.]

Like any stock market loser, when I read the news I'm always looking for any potential ideas that can come from the story's theme. When I read a BusinessWeek article about Homeland Security Secretary Michael Chertoff "promising more cargo screening" my mind immediately thought about the ramifications this move would have on the defense sector. I'm happy that the Homeland Security Secretary is starting to do something after his bold predictions of terrorist activist just a few weeks ago.

In my research I've found a company that should directly benefit from this spending on increased screening -- American Science & Engineering (NASDAQ: ASEI). Surprisingly, the stock didn't move on this news, which makes the situation even better as it seems the connection between American Science & Engineering (AS&E) and the Chertoff announcement flew over most people's heads. I think the reason for this is that AS&E wasn't in any way tied to the article, meaning the article doesn't mention the stock, or any other stock for that matter.

American Science & Engineering isn't a one-trick pony or a poorly developed company. In fact, the company boasts a strong product line, and an undervaluation when compared to its sector.

The company's product line is quite diversified between a wide variety of innovative and useful security technologies. AS&E's SmartCheck screening system basically creates an electronic chalk outline of the person being screened -- any potential weapons, for example, stick out from the body. The TSA has begun pilot testing this technology. The company's Gemini X-ray system is also very interesting. When compared to standard x-ray scanners, the product has been shown to more easily detect metal objects and fine details. Like the SmartCheck, it is easy to see the applicability of the Gemini in today's world. Lastly, and my reason for writing this story, AS&E has a product that provides excellent cargo and vehicle inspection -- the OmniView.

Last week, the Transportation Security Administration became aware that an employee lost an external hard drive containing employment records of 100,000 TSA employees from January 2002 through August 2005.

Oops.

The data, which included names, social security numbers, dates of birth, payroll information and bank account routing information, among other things, was discovered missing from the TSA Headquarters Office of Human Capital. The names included various personnel and even U.S. Sky Marshals.

I'm not going to discuss how this puts our Sky Marshals, the travel industry and the American public at great risk, but you all know the potential Pandora's Box that was just opened.

While the TSA notified the FBI and Secret Service to help find the lost hard drive, they failed to notify their workers with as much haste.

If you didn't know by now, the TSA, a division of the Homeland Security Department, is responsible for the security of the nation's transportation system, including airports and train stations. The TSA has not yet mastered protecting computer hardware and their employee's private information.

Despite the fact that the TSA claims it follows strict data protection laws and has "zero tolerance for employees not following policies on data protection," they still earned a D in computer security from the House Committee on Oversight and Government Reform. To make things even worse, 2006 was the first year the Department of Homeland Security scored a passing grade.

This past Monday, the Washington Post scolded the TSA and the government saying, "This is getting ridiculous," and "... Uncle Sam's track record is horrendous."

But the TSA is not the only government organization losing things.

• The IRS lost 490 laptops during 2003-2006, many with unencrypted data
  

• The U.S. Department of Transportation lost a laptop with the personal information of 133,000 Florida residents in July of 2006.

• Personal data from 26.5 million U.S. military veterans was stolen from a Department of Veteran Affairs data analyst who took information home last May (The data was later recovered).

• The U.S. Census Bureau and the Department of Agriculture exposed 63,000 farmers to Identity theft last month.

For additional security breaches from the government see here.

It's true that most Americans worry about identity theft. If you happen to be one of the victims that I mentioned above, or fear that your own identity is at risk, Crediteria.com has a great worksheet for you.

With all of the multitude of options available to today's advertiser, I find it hard to believe that placing an ad in plastic airport security bins will hold much of an attraction.

Why would any advertiser be interested in reaching a consumer who is not only probably in a bad mood but in a rush to get someplace? Besides, the consumer can't act on any message that the advertiser is giving them and probably will forget it once their plane lands.

Who is going to buy these ads? National advertisers can reach their audience more effectively through the Internet or television. Local advertisers probably wouldn't want to buy these ads either considering the huge numbers of people from outside their area that are in airports.

Rolodex, though, gave it a shot and placed its ads in bins at Los Angeles International Airport, according to USA Today. I doubt it did much to boost sales. Advertisers are always willing to give a new thing a shot at least once. The head of the company who provided the bins to LAX told the paper that "people have a heightened sense of awareness" at a checkpoint" making them more open to a message.

Give me a break.

The Transportation Security Administration is requiring that companies who buy the 12-inch by 17-inch supply the airport checkpoints with new bins, carts and stainless steel table, according to USA Today. The problem is that people who notice the ads may not notice pickpockets, according to airport security officials quoted by the paper.

--Jonathan Berr is editor of http://www.desperateinvestors.com.