Thursday, July 1, 2010

Financials -$STD – Santander’s moves “puzzle” analysts according to WSJ – despite its stock price being down and its CDS wider $GS

American International Group


· Hedge funds hope ‘Volcker rule’ will clip banks’ wings – FT article - “Banks will have to scale back. There will be less competition. That’s good for me, that’s good for the industry,” the chief executive of one of America’s biggest hedge fund managers tells the Financial Times. “Way to go Paul – keep pounding the banks hard,”   FT

· STD – Santander’s moves “puzzle” analysts according to WSJ – despite its stock price being down and its CDS wider, the co has embarked on a shopping spree; there is some worry about the co’s Spanish market (WSJ)

· AIG – CEO Benmosche threatened to resign last week as the existing rift between him and chairman H Golub deepens; Benmosche said he would leave if Golub stayed – WSJ

· AIG – S&P said that it revised its outlook on United Guaranty Residential Insurance Co. and United Guaranty Mortgage Indemnity Co. (collectively referred to as UGC) to stable from negative.  UGC's operating performance, which had been poor in recent periods, improved significantly in 2009.  The stable outlook on UGC constitutes a departure from the outlook on the sector as a whole. Although the current macroeconomic environment continues to challenge the sector, UGC's results will run counter to those of the sector participants overall because of the reinsurance treaties. 

· ANH - its board of directors declared a quarterly common stock dividend of $0.25 per share for the second quarter of 2010 (down slightly from 0.27 prior dividend).  The common stock dividend is payable on July 27, 2010 to common stockholders of record as of the close of business on July 9, 2010.

· ABK - On June 25, 2010 and June 28, 2010, the Company entered into a series of additional debt for equity exchanges with certain holders of the Company’s 9 3/8% debentures, due August 2011 (the “Debentures”), pursuant to separate agreements. Pursuant to these agreements, the Company has issued an aggregate of 8,602,414 shares of its common stock to the bondholders in exchange for $11.811 million in aggregate principal amount of the Debentures.  Since early June, the Company has issued an aggregate of 13,638,482 shares of its common stock in exchange for $20.3 million in aggregate principal amount of its 9 3/8% Debentures due August 2011. 

· UBS – some activist shareholders in the company are urging the current board to pursue the former senior managers responsible for the co’s ~$50B worth of write-downs of illiquid securities (DJ)

· ACAS  - co says its accounting firm has removed the “going concern” warning previously contained on its financial statements. 

· PUK - Prudential PLC's chairman and CEO both have board support despite the U.K. insurer's failed AIA bid, its chief financial officer said.  WSJ  

· Barclays - releases update on Q2 performance - says Q2 tracking to Q1.....but says IB has been softer in May and June and that corp credit in Spain have deteriorated (this hit ~11amET on Wed)  (

· AGO – the stock drew heavy call buying on Wed(SO WHAT SOME IDIOTS ARE BUYING CALLS) –

· BRK – this story was out Wed but is receiving a lot of attention overnight – Berkshire may have to post ~$8B worth of collateral on its existing derivatives contracts thanks to the fin reg reform bill – NY Post.   

· WSH - Major losses from the Chile earthquake and storms in Australia in the first quarter of 2010 have had little impact on pricing in the global reinsurance market, which continued to soften this renewal season. The exception was on Chilean-specific renewals, which have seen rate increases of between 40 and 70 percent

No comments:

Post a Comment