CenturyTel to buy Embarq for $5.8bn

CenturyTel is set to buy larger rival local telephone carrier Embarq for $5.8bn in stock, in a deal that marks a significant step toward the long-awaited consolidation of US regional phone service providers.
Source: FT.com - US homepage | 27 Oct 2008 | 12:15 pm

Goldman called Citi for merger in September: source (Reuters)

Reuters - Goldman Sachs Chief Executive Lloyd Blankfein called Citigroup Inc head Vikram Pandit last month about a possible merger, but Pandit rejected the proposal, a source familiar with the matter said on Monday.

Source: Yahoo! News: Business | 27 Oct 2008 | 12:08 pm

CenturyTel to acquire Embarq in $11.6 billion deal

NEW YORK (Reuters) - CenturyTel Inc plans to buy Embarq Corp for $5.8 billion in stock, in an effort to cut costs and stay competitive amid a decline in the traditional phone business.

Source: Reuters: Business News | 27 Oct 2008 | 12:03 pm

Global shares continue to slide

European shares open sharply lower following falls in Asia, which saw Tokyo's Nikkei closing at its lowest level for 26 years.
Source: BBC News | Business | World Edition | 27 Oct 2008 | 12:02 pm

G7 frets about yen, rate cuts seen ahead

LONDON/HONG KONG (Reuters) - The Group of Seven warned on Monday the surging yen posed a threat to financial and economic stability, the latest coordinated effort by the world's richest nations to curb the worst financial crisis in 80 years.

Source: Reuters: Business News | 27 Oct 2008 | 12:01 pm

Stock futures drop on fears of acute recession

NEW YORK (Reuters) - Stock index futures dropped on Monday, setting Wall Street on track to extend a worldwide sell-off sparked by signs that the global economy is in sharp recession.

Source: Reuters: Business News | 27 Oct 2008 | 11:59 am

Stock futures drop on fears of acute recession (Reuters)

Reuters - Stock index futures dropped on Monday, setting Wall Street on track to extend a worldwide sell-off sparked by signs that the global economy is in sharp recession.

Source: Yahoo! News: Business | 27 Oct 2008 | 11:59 am

Wireless bolsters Verizon profit despite economy

NEW YORK (Reuters) - Verizon Communications Inc reported higher profit thanks to strong wireless sales, despite worries that a slower U.S. economy would hurt spending by consumers and business customers.

Source: Reuters: Business News | 27 Oct 2008 | 11:57 am

Wireless bolsters Verizon profit despite economy (Reuters)

Reuters - Verizon Communications Inc reported higher profit thanks to strong wireless sales, despite worries that a slower U.S. economy would hurt spending by consumers and business customers.

Source: Yahoo! News: Business | 27 Oct 2008 | 11:57 am

How to get a job for the holidays - and beyond

October is the biggest month for hiring holiday help, so if you'd like to make some green during the season, it's time to get busy. According to Shawn Boyer, CEO of SnagAJob.com, a job board for hourly employees, the competition this year is particularly tough. Retailers plan to take on even fewer workers than they did last fall (which was not such a hot hiring season either; see Ask Annie, 11/20/07). And "there are about 1.6 million more people working part time this year than last who would rather be working full time," he says, "so turning a holiday position into a permanent one is going to be harder than ever."

Source: Business and financial news - CNNMoney.com | 27 Oct 2008 | 11:56 am

Verizon (VZ) Has A Good Time

Verizon (VZ) is doing just fine, recession or no. Its earning moved up 31% in Q3. Whether it can keep that up is a matter of opinion but at least the phone company can make a good case.

Verizon's strength was wireless, which should not surprise people. The average citizen is getting rid of his phone and use VoIP or his cell. The firm hit 70.8 million total customers up 11.3 percent.

Verizon's cable TV killer also did well. It added 233,000 net new FiOS TV customers and 225,000 net new FiOS Internet customers.The company has 1.6 million FiOS TV customers. It still has not wired its whole service area which is about 18 million homes, so that number should get better. FiOS TV sales penetration increased to 19.7 percent, compared with 15.2 percent in last year's third quarter

Verizon's oldest business, dating back to Alexander Graham Bell did poorly. Wireline total operating revenues were $12.2 billion, a 1.7 percent decrease compared with the third quarter 2007.

Revenue for the entire beast of a company was up 4% to $24.6 billion.

Next year may not be so good.

Douglas A. McIntyre

Source: 24/7 Wall St. | 27 Oct 2008 | 11:56 am

Top 10 Pre-Market Analyst Upgrades & Downgrades (RE, FIG, PRE, SGEN, TROW, AUY, NT, RICK, RDS.A, X)

These are ten of the top analyst upgrades and downgrades we have seen this Monday morning with about 2 hours to the the open:

• Everest Re (RE) to Outperform at Wachovia.
• Fortress Investment (FIG) Raised to Hold from Sell at Citigroup.
• PartnerRe (PRE) Raised to Outperform at Wachovia.
• Seattle Genetics (SGEN) Raised to Outperform at Oppenheimer.
• T. Rowe Price (TROW) Raised to Outperform at KBW; raised to Outperform at Wachovia.
• Yamana Gold (AUY) Raised to Outperform at CIBC.
• Nortel (NT) Cut to Neutral at UBS.
• Rick’s Cabaret (RICK) Cut to Neutral at Merriman Curhan Ford.
• Royal Dutch Shell (RDS.A) Cut to Underperform at Credit Suisse.
• US Steel (X) Cut to Sell at UBS.

Jon C. Ogg
October 27, 2008

Source: 24/7 Wall St. | 27 Oct 2008 | 11:50 am

House prices 'to recover by 2013'

UK house prices will not get back to the levels they reached in 2007 until 2013, a consultancy group predicts.
Source: BBC News | Business | World Edition | 27 Oct 2008 | 11:46 am

The biggest raise you'll ever get

The oldest of my three children started college this year, prompting me to flash forward to the day when my kids have all left home and the expenses of child rearing - from piano lessons to orthodontics, summer camp to undergrad tuition - are firmly behind me.

Source: Business and financial news - CNNMoney.com | 27 Oct 2008 | 11:41 am

Apple's incredible shrinking iPod

Source: Business and financial news - CNNMoney.com | 27 Oct 2008 | 11:33 am

Brown defends higher borrowing

Gordon Brown defends plans for increased government borrowing as a way to tackle the downturn.
Source: BBC News | Business | World Edition | 27 Oct 2008 | 11:33 am

Tech companies offer loans as defaults rise: report

(Reuters) - Big tech companies are filling the void left by banks and specialty lenders that are retrenching and making financing more difficult for smaller tech firms, the Wall Street Journal said.

Source: Reuters: Business News | 27 Oct 2008 | 11:32 am

Mitsubishi UFJ Financial to raise 1 trillion yen

Mitsubishi UFJ Financial Group Inc. said Monday it will raise up to 990 billion yen ($10.6 billion) by issuing new shares over the next year, shoring up its balance sheet in the wake of a...
Source: Infocious RSS raw feed - channel BNewsBusiness | 27 Oct 2008 | 11:20 am

Humana profit drops, but forecasts strong 2009

NEW YORK (Reuters) - U.S. health insurer Humana Inc posted a 39 percent decline in profit on Monday, hurt by losses on investments and higher operating expenses, but results beat expectations and the company forecast a rebound in profit growth for next year.

Source: Reuters: Business News | 27 Oct 2008 | 11:12 am

Yen climbs despite G-7 warning

A warning by top industrialized nations about the recently surging yen fell flat Monday, unable to overcome the deluge of investors buying back the Japanese currency by reversing so-called...
Source: Infocious RSS raw feed - channel BNewsBusiness | 27 Oct 2008 | 11:11 am

Movers & Shakers: Monday's biggest gaining and declining stocks

Among the companies whose shares are expected to see active trade in Monday's session are the financial-services companies as well as ATP Oil & Gas, B/E Aerospace, Embarq, Humana, Penn National, SanDisk, Sohu.com and Volkswagen.

Source: MarketWatch.com - Top Stories | 27 Oct 2008 | 11:10 am

Toyota's global sales down in July-September

Toyota Motor Corp. said Monday its global sales in the July-September quarter fell for the first time in seven years due to faltering demand in the U.S. Japan's top automaker sold 2.24...
Source: Infocious RSS raw feed - channel BNewsBusiness | 27 Oct 2008 | 11:09 am

US dollar mixed, gold rises in trading

The U.S. dollar was mixed against other major currencies in European trading Monday morning. Gold rose. The euro traded at $1.2454, down from $1.2612 late Friday in New York. Other...
Source: Infocious RSS raw feed - channel BNewsBusiness | 27 Oct 2008 | 11:09 am

Robert Peston

New records for monthly decline in share prices
Source: BBC News | Business | World Edition | 27 Oct 2008 | 11:07 am

G7 frets about yen, rate cuts seen ahead (Reuters)

Reuters - The Group of Seven warned on Monday the surging yen posed a threat to financial and economic stability, the latest coordinated effort by the world's richest nations to curb the worst financial crisis in 80 years.

Source: Yahoo! News: Business | 27 Oct 2008 | 11:04 am

Three regional banks get $9.5B from Treasury

Three prominent regional banks - KeyCorp, Fifth Third and Capital One - have announced their participation in the federal government's $700 billion Wall Street bailout, adding a total of $9.5 billion in capital.

Source: Business and financial news - CNNMoney.com | 27 Oct 2008 | 11:03 am

Earnings Watch: Updates, advisories and surprises

A roundup of the latest corporate earnings reports and what companies are saying about future quarters.

Source: MarketWatch.com - Top Stories | 27 Oct 2008 | 11:01 am

National Legal Association Asks Illinois Banks Receiving State Investments to Consider Hiring Minority- or Women-Owned Businesses

National Association of Minority and Women Owned Law Firms Offers to Provide Illinois Banks Assistance in Finding Law Firms CHICAGO, Oct. 27 /PRNewswire/ -- Illinois...
Source: Infocious RSS raw feed - channel BNewsBusiness | 27 Oct 2008 | 11:00 am

Actimize, a NICE Company, Announces that Credit Agricole Titres is Implementing its Brokerage Compliance Market Abuse Solution

NEW YORK, October 27 /PRNewswire-FirstCall/ -- Actimize, a leading provider of transactional risk management software for the financial services industry and a NICE...
Source: Infocious RSS raw feed - channel BNewsBusiness | 27 Oct 2008 | 11:00 am

Duane Reade Holdings, Inc. To Report Third Quarter 2008 Financial Results

NEW YORK, Oct. 27 /PRNewswire/ -- Duane Reade Holdings, Inc. today announced that on Friday, November 7, 2008 the Company will report third quarter 2008 financial results before...
Source: Infocious RSS raw feed - channel BNewsBusiness | 27 Oct 2008 | 11:00 am

Cascade Engineering Launches SWIFT Wind Turbine System for Commercial and Residential Use

Optimizes internationally patented technologies to deliver quiet and vibration-free clean energy GRAND RAPIDS, Mich., Oct. 27 /PRNewswire/ -- Cascade Engineering today
Source: Infocious RSS raw feed - channel BNewsBusiness | 27 Oct 2008 | 11:00 am

Economy Slowing, Lawn Care Still Growing

Two-income households continue using franchised service businesses HOLMDEL, N.J., Oct. 27 /PRNewswire/ -- Millions of households are cutting back as energy prices...
Source: Infocious RSS raw feed - channel BNewsBusiness | 27 Oct 2008 | 11:00 am

[video] Wall St. Network's 3-Minute Press Show Features Executive Interviews and Highlights Recent Press for the Following: CLBH, OOIL

NEW YORK, Oct. 27 /PRNewswire-FirstCall/ -- Wall St. Network's 3-Minute Press Show is a daily program hosted by WSN reporter Tracee Tolentino that features in-depth...
Source: Infocious RSS raw feed - channel BNewsBusiness | 27 Oct 2008 | 11:00 am

Europe Markets: European shares tumble as financial turmoil continues

European shares tumbled again on Monday after more heavy losses in Asia and more trouble in the financial sector after German retail banking group Deutsche Postbank reported a quarterly loss and unveiled plans to raise capital.

Source: MarketWatch.com - Top Stories | 27 Oct 2008 | 10:49 am

Wall Street ready for another drop

U.S. stock futures tumbled early Monday as turmoil gripped markets around the world.

Source: Business and financial news - CNNMoney.com | 27 Oct 2008 | 10:46 am

Overseas Markets Fall Amid Currency Concerns

Stock markets shuddered in Europe and Asia as the sell-off in equities showed no signs of abating.
Source: Infocious RSS raw feed - channel BNPaperBusiness | 27 Oct 2008 | 10:43 am

Group of 7 Meeting in Tokyo Tackles Yens Rise

Finance officials of the Group of 7 industrialized nations said that they were concerned about the yens exchange rate.
Source: Infocious RSS raw feed - channel BNPaperBusiness | 27 Oct 2008 | 10:42 am

Crisis moves to Gulf

Read full story for latest details.

Source: Business and financial news - CNNMoney.com | 27 Oct 2008 | 10:39 am

Currencies: Dollar, yen benefit from further safe-haven flows

The U.S. dollar surged against the euro and the British pound Monday, but lost ground against ever-resilient Japanese currency as safe-haven flows trumped a G7 warning over “excessive” yen volatility.

Source: MarketWatch.com - Top Stories | 27 Oct 2008 | 10:37 am

Indications: U.S. stock futures slump on continued worldwide turmoil

U.S. stock futures slumped on Monday on heightened worldwide economic turmoil, with the Group of Seven industrialized nations hinting they could intervene to stop the Japanese yen’s ascent and the International Monetary Fund announcing rescue plans for Hungary and Ukraine.

Source: MarketWatch.com - Top Stories | 27 Oct 2008 | 10:34 am

Call for end to empty office tax

A number of the UK's leading firms back a campaign for the scrapping of the tax on empty business properties.
Source: BBC News | Business | World Edition | 27 Oct 2008 | 10:30 am

Bailout: 'Punished for success'

Bill Kwon is the embodiment of the American dream. His father - who was arrested by North Korean Communists in the early 1950s for championing democracy - brought the family from Seoul to Illinois when he was a baby. Bill worked himself ragged pursuing every opportunity America's heartland offered, never leaving Peoria.

Source: Business and financial news - CNNMoney.com | 27 Oct 2008 | 10:23 am

South Korea cuts rates to 4.25%

South Korea's central bank cuts its key interest rate to 4.25% from 5% in an attempt to boost the economy.
Source: BBC News | Business | World Edition | 27 Oct 2008 | 10:22 am

Japanese bank to ask for capital

Japanese banking giant, Mitsubishi UFJ Financial, is to ask investors for up to $10.5bn (£6.85bn)to strengthen its financial soundness.
Source: BBC News | Business | World Edition | 27 Oct 2008 | 10:21 am

Bank of Korea slashes interest rate

Read full story for latest details.

Source: Business and financial news - CNNMoney.com | 27 Oct 2008 | 10:20 am

Where Do Investors Find Safely? (XOM)(MSFT)(WMT)(PG)

Some investors have been so rattled by this market that they have taken their money and run. Even Treasuries are not safe enough. What if the US government defaults?

Of course, Treasuries are a safe investment which is why their prices are going up. A lot of investors are also putting money into corporate bonds, particularly those issued by rock solid firms such as IBM (IBM).

The intrepid are going to keep some money in equities, so the question becomes "where do they go"?

The first and probably only stop is companies that are likely to make money in almost any economy, have massive amounts of cash, and some yield. A lot of these stocks may drop another 20%, but they are likely to move up better than most in a recovery.

Big oil is going to stay profitable. While a company such as Exxon (XOM) may not make $11 billion every quarter, it has a 2.5% yield and as clean a balance sheet as anyone can find.

The business of selling soap, detergent and razor should be okay. P&G (PG) yields over 2% and it is hard to image it posting a loss.

Microsoft (MSFT) may be trading near a five-year low, but it yields 2.5% and has more cash than the British government.

Wal-Mart (WMT) is where the poor will go shopping. That means everyone in about six months. With a 1.8% yield and the best cost controls in the retail industry, it is a good place for safety and some return by dividend.

Douglas A. McIntyre

Source: 24/7 Wall St. | 27 Oct 2008 | 10:16 am

G7 warns on yen volatility; currency extends gains

The Japanese currency extended gains against the U.S. dollar and the euro Monday, as a communiqué from the Group of Seven industrialized nations expressed concern about the yen’s rapid rise for global financial stability but fell short of pledging concerted action to arrest the gains.

Source: MarketWatch.com - Top Stories | 27 Oct 2008 | 10:11 am

Oil sinks to 17-month low

Oil prices fell to 17-month lows below $62 a barrel Monday in Asia as investors weighed Friday's OPEC output cut against growing evidence of a severe global economic slowdown that would undermine crude demand.

Source: Business and financial news - CNNMoney.com | 27 Oct 2008 | 10:05 am

Knocking Down HP (HPQ) And Dell (DELL): The Netbook Goes Wild (AAPL)(RIMM)

The "netbook: seemed like a remarkably stupid idea. It sits somewhere between small laptops and smartphones. It is not much good for anything beyond e-mail and web access. It looks like a cheap toy.

The devices should have done poorly. Laptops are getting smaller and more powerful. They are also getting less expensive. The have better battery life. WiFi and 3G access makes them more useful as portable devices.

On the other hand, smartphones like the Apple (AAPL) iPhone, RIM (RIMM) Blackberry, and Samsung Instinct are reasonably priced because they come with two-year calling plans. Cell providers underwrite the cost for the consumer and make the money back over time. These devices have everything from GPS to video games. They are a mainframe in a tea cup.

Those factors should not have left much of a market for netbooks, but analysts who believed that were wrong. According to the FT, “We expect there will be shortages before Christmas,” said Richard Doherty, an analyst at Envisioneering, a consumer technology research firm.

What the market missed is that a netbook sells for as little as $349, and they do not require the kind of onerous $100-a-month, 24 month calling plan that the phone companies insist on.

From the standpoint of PC companies, the netbook is not as profitable as a nice big $1,000 laptop. That means margins at places like HP (HPQ) and Dell (DELL) will be under pressure. Who knows, maybe the netbooks will even take sales away from Apple Macs and iPhones.

Douglas A. McIntyre

Source: 24/7 Wall St. | 27 Oct 2008 | 9:59 am

Yen, credit crisis to sink Japan carmakers' guidance

TOKYO (Reuters) - With the yen soaring to historic heights and car demand crumbling under the threat of a global recession, Japanese carmakers will likely slash their profit forecasts for what had already shaped up as a weak year when they report interim results from this week.

Source: Reuters: Business News | 27 Oct 2008 | 9:54 am

Betting on climate change

With markets whipsawing day to day, and former blue chip companies in tatters, what investors want is a safe haven for their money. Ironically, climate change, that global environmental trend that could bring about the end of not just the stock market but civilization as we know it, may be that haven, suggests a just-released report by Deutsche Asset Management, the asset management arm of Deutsche Bank.

Source: Business and financial news - CNNMoney.com | 27 Oct 2008 | 9:52 am

Citigroup (C) Won't Make It

Source: 24/7 Wall St. | 27 Oct 2008 | 9:38 am

Volkswagen shares skyrocket as Porsche seeks 75% stake

Shares of Volkswagen traded as much as 78% higher on Monday as Porsche Automobil Holdings over the weekend announced it was aiming to buy three-quarters of the Europe’s largest automaker so that it can record VW’s profit and revenue on its own book.

Source: MarketWatch.com - Top Stories | 27 Oct 2008 | 9:38 am

MUFG to raise $10.6 billion, Japan to take bank action

TOKYO (Reuters) - Mitsubishi UFJ Financial Group , Japan's biggest bank, said on Monday it will raise up to $10.6 billion by issuing new shares, the latest sign that a free-falling stock market is likely to shred profits at Japanese lenders.

Source: Reuters: Business News | 27 Oct 2008 | 9:37 am

Asia Markets: Hang Seng crumbles 12.7% -- `nothing but pain'

Hong Kong stocks crumbled under a barrage of selling Monday, with the benchmark Hang Seng Index plunging 12.7% to its lowest finish in more than four years as investors who bought shares on credit were forced to offload them in a falling market.

Source: MarketWatch.com - Top Stories | 27 Oct 2008 | 9:34 am

VW shares jump 75 percent on Porsche control move

FRANKFURT (Reuters) - Volkswagen shares rose by 75 percent in early trade on Monday on weekend news that sports car maker Porsche SE plans to gain control of over 75 percent in Europe's biggest car producer.

Source: Reuters: Business News | 27 Oct 2008 | 9:21 am

Trouble brewing

Can innovation help to revive flagging beer sales?
Source: BBC News | Business | World Edition | 27 Oct 2008 | 9:19 am

Asian stocks drop on recession fears

Asian shares fell, with Japanese banking stocks particularly hard hit, amid lingering concerns that more measures would be required this week to help fend off a global recession. The Nikkei closed down 6.4%, its fourth consecutive day of declines
Source: FT.com - US homepage | 27 Oct 2008 | 9:16 am

German business climate drop reinforces ECB rate-cut view

A steep drop in the Ifo Institute’s closely-watched gauge of German business sentiment point to a sharp slowdown for Europe’s biggest economy and underlines expectations for further, aggressive rate cuts by the European Central Bank, economists said.

Source: MarketWatch.com - Top Stories | 27 Oct 2008 | 9:07 am

Brown defends surge in government debt

Gordon Brown today defended an expected surge in government borrowing to fuel a massive rise in pubic spending as "the responsible course" to maintain growth in the UK.
Source: Latest Business News from Times Online | 27 Oct 2008 | 8:56 am

London Markets: Shares in London hit fresh five-year lows

LONDON (MarketWatch) -- HBSC Holdings fell sharply again on Monday, helping to pull London's top index down to a fresh five-year low, as investors once again sold stocks with significant exposure to Asia.

Source: MarketWatch.com - Top Stories | 27 Oct 2008 | 8:55 am

G7 warns on yen volatility

The Group of Seven leading economies issued a joint statement indicating its intention to co-operate on foreign exchange markets, in a thinly-veiled reference to action aimed at stemming the rapid rise of the yen
Source: FT.com - US homepage | 27 Oct 2008 | 8:12 am

GKN to cut 2,000 jobs and warns on profits

GKN, the automotive and aerospace group, is to cut more than 2,000 jobs after giving warning that its profits will be 20 per cent lower this year because of a dramatic slowdown in its main businesses.
Source: Latest Business News from Times Online | 27 Oct 2008 | 8:10 am

Shares plunge as pound buckles

Sterling plunged against the dollar this morning, having fallen through $1.60 for the first time in five years on Friday. The pound lost a further 3 cents to $1.542 amid mounting fears of a prolonged UK recession.$
Source: Latest Business News from Times Online | 27 Oct 2008 | 8:07 am

Asian Markets Head Down Amid Currency Concerns

Intensely nervous after Fridays mass sell-offs around the world, Asian stock markets started the week lower.
Source: Infocious RSS raw feed - channel BNPaperBusiness | 27 Oct 2008 | 8:00 am

Media Digest 10/27/2008 Reuters, WSJ, NYTimes, FT, Bloomberg

According to Reuters, the Korean central bank made record rate cuts.

Reuters reports that the G7 said the rising yen may be a threat to financial markets.

Reuters writes that Hungary and the IMF agreed to an assistance plan.

Reuters reports that Japan will take crisis actions as shares in its banks suffered sharp drops.

Reuters reports that the prime minister of the UK hinted a further coordinated rate cuts.

The Wall Street Journal reports that job losses early in this recession appear to be as bad as they were late in the last two major downturns, worrying economists.

The Wall Street Journal reports that retailers expect bad holiday sales.

The Wall Street Journal writes that investors are concerned that if GM (GM) and Chrysler cannot strike a merger deal each might go bankrupt late next year.

The Wall Street Journal reports the refiners are cut output due to falling demand.

The Wall Street Journal reports that defaults are hitting the world of lending to companies who are buying tech products.

The Wall Street Journal reports that McDonald's (MCD) efforts to offer premium coffee is being hurt by the recession.

The Wall Street Journal writes that mutual fund companies are being badly hurt by poor returns and redemption's.

The Wall Street Journal reports that newspaper circulation is falling.

The Wall Street Journal reports that the credit crisis is hitting major countries in the Middle East.

The Wall Street Journal reports that the Federal Reserve will begin today to offer loans to non-financial corporations..

The Wall Street Journal reports that housing cannot find a bottom while new home sales keep dropping even while existing home sales appear to be more stable.

The Wall Street Journal reports that Goldman Sachs (GS) had approached Citigroup (C) about a merger.

The Wall Street Journal reports that Asia may be closer to a slowdown than many people expect.

The Wall Street Journal reports that Porsche will take 75% ownership in VW.

The Wall Street Journal reports that more firms are adopting poison pills as their shares drop.

The New York Times reports that as spending stalls US companies are cutting more jobs.

The New York Times reports that every year the F.D.A. lets onto the market thousands of devices after only cursory review.

The FT reports that US public pension funds face large losses.

The FT reports that the IMF has unveiled a rescue package for the Ukraine.

The FT reports that earnings forecasts are expected to 40% by the end of 2009.

The FT reports that netbooks are leading the growth in computer sales.

Bloomberg reports that Bernanke may push interest rates toward zero.

Douglas A. McIntyre

Source: 24/7 Wall St. | 27 Oct 2008 | 7:53 am

Persimmon warns profits under fresh pressure

Persimmon, one of Britain's leading housebuilders, is writing off £600 million, or 19 per cent, of the value of its land as it gave warning that the housing market deterioration was accelerating.
Source: Latest Business News from Times Online | 27 Oct 2008 | 7:49 am

UK's Brown hints at further joint rate cuts: report (Reuters)

Reuters - British Prime Minister Gordon Brown has hinted at the possibility that lower inflation thanks to falling oil prices could prompt central banks around the world to make more joint interest rate cuts, the BBC reported.

Source: Yahoo! News: Business | 27 Oct 2008 | 7:32 am

UK's Brown hints at further joint rate cuts: report

LONDON (Reuters) - British Prime Minister Gordon Brown has hinted at the possibility that lower inflation thanks to falling oil prices could prompt central banks around the world to make more joint interest rate cuts, the BBC reported.

Source: Reuters: Business News | 27 Oct 2008 | 7:32 am

Asia Markets And Europe Open 10/27/2008 Drop Continues

Markets in Asia fell.

The Nikkei dropped 6.4% to 7,163.Mitsubishi UFJ Financial fell on news it may need to raise money. Toyota (TM) also fell sharply.

The Hang Seng fell 8.9% to 11,499. China Life (CHL) and HSBC (HBC) both dropped.

The Shanghai Composite was off 6.3% to 1,724.

In Europe, all major indexes fell at the open.

Data from Reuters

Douglas A. McIntyre

Source: 24/7 Wall St. | 27 Oct 2008 | 7:21 am

Fancifull Gift Baskets aims to unwrap growth

A small-business consultant advises owners of the Los Angeles firm to focus on marketing, expand the product line and boost Fancifull's presence on the Web.

The back wall at the Melrose Avenue shop Fancifull Gift Baskets is dominated by a giant organizational chart detailing who does what in dozens of jobs across seven divisions and 21 departments.

Source: L.A. Times - Business | 27 Oct 2008 | 7:00 am

Forgo credit cards to keep spending in check

Here's one way to dodge credit card debt and late fees: Don't carry any plastic.

Source: L.A. Times - Business | 27 Oct 2008 | 7:00 am

'High School Musical 3' graduates to the big time with $42 million

The Disney film has the best opening weekend ever for a movie musical. Horror film 'Saw V' is No. 2. A gang of...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 27 Oct 2008 | 7:00 am

Fancifull Gift Baskets aims to unwrap growth

A small-business consultant advises owners of the Los Angeles firm to focus on marketing, expand the product line and boost Fancifull's presence on the Web. ...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 27 Oct 2008 | 7:00 am

U.S. Treasury to invest $395 million in Beverly Hills-based City National Bank.

Treasury will invest $395 million in City National. CEO may use 'fortress balance sheet' to buy rivals. In a harbinger...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 27 Oct 2008 | 7:00 am

Animated 'Bolt' will tell tale of the new Disney

The company's first Pixar-run feature is a bid to regain primacy in a field it pioneered. The upcoming Disney...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 27 Oct 2008 | 7:00 am

U.S. Treasury to invest $395 million in Beverly Hills-based City National Bank.

Treasury will invest $395 million in City National. CEO may use 'fortress balance sheet' to buy rivals.

In a harbinger of what may be a flood of similar disclosures, City National Bank in Beverly Hills said Sunday that it would receive a $395-million capital infusion from the U.S. Treasury as part of the government's $250-billion bailout program.

Source: L.A. Times - Business | 27 Oct 2008 | 7:00 am

Forgo credit cards to keep spending in check

Here's one way to dodge credit card debt and late fees: Don't carry any plastic.
Source: Infocious RSS raw feed - channel BNPaperBusiness | 27 Oct 2008 | 7:00 am

Nintendo moves right along

Sales of Wii and DS consoles remain strong even during the economic crisis, an executive says.

Nintendo Co.'s sales are speeding along faster than a getaway car, shrugging off economic woes as if they were bugs on the windshield.

Source: L.A. Times - Business | 27 Oct 2008 | 7:00 am

'High School Musical 3' graduates to the big time with $42 million

The Disney film has the best opening weekend ever for a movie musical. Horror film 'Saw V' is No. 2.

A gang of hyperactive New Mexico high school kids faced down a sadistic serial murderer at the movies this weekend and came out on top, big time.

Source: L.A. Times - Business | 27 Oct 2008 | 7:00 am

Errors may inflate tally of contracts to small businesses, SBA warns

The federal government last year fell just shy of its goal of giving small businesses almost a quarter of its contracts, but the Small Business Administration warned that error-filled data submitted by agencies might have falsely inflated the government's numbers.

Source: L.A. Times - Business | 27 Oct 2008 | 7:00 am

Animated 'Bolt' will tell tale of the new Disney

The company's first Pixar-run feature is a bid to regain primacy in a field it pioneered.

The upcoming Disney animated film "Bolt" features a feisty canine that gets lost and makes his long journey home with the help of two world-wise pals.

Source: L.A. Times - Business | 27 Oct 2008 | 7:00 am

Economic crisis hits as Brazil builds

Financing is jeopardized for road, port and energy projects the country hoped would hasten its growth.

With investors and credit markets spooked by the global financial crisis, Brazil is facing delays in crucial billion-dollar public works projects that it needs to modernize its economy and join the upper tier of world powers.

Source: L.A. Times - Business | 27 Oct 2008 | 7:00 am

Nintendo moves right along

Sales of Wii and DS consoles remain strong even during the economic crisis, an executive says. Nintendo Co.'s...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 27 Oct 2008 | 7:00 am

Cox Communications plans own cellular network

The cable-TV firm's service, set to start up next year, seeks to blunt phone company competition. Cable TV provider...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 27 Oct 2008 | 7:00 am

Wall Street is likely to face another volatile week

Investors will be looking for upbeat signs from the economy, but data due out are not expected to provide that lift.

In a typical recession, stocks start recovering about six months before the economy does. The crisis we're in right now, however, is anything but typical: Lending is frozen, hedge-fund selling is happening on a massive scale, and economic troubles have spread all over the globe.

Source: L.A. Times - Business | 27 Oct 2008 | 7:00 am

Travelodge to open 22 new hotels

Budget hotel chain Travelodge is to open 22 new hotels, as more people seek lower cost accommodation.
Source: BBC News | Business | World Edition | 27 Oct 2008 | 6:58 am

IMF aid for Ukraine and Hungary

The IMF agrees to offer a $16.5bn loan to Ukraine and announces an as yet undisclosed package for Hungary.
Source: BBC News | Business | World Edition | 27 Oct 2008 | 3:09 am

G7 'preparing to drive down the yen'

Members of the Group of Seven (G7) nations may be considering a joint market intervention to prevent a further surge in the yen as the Japanese currency’s sharp rise threatens the world’s second biggest economy and other Asian economies.
Source: Latest Business News from Times Online | 27 Oct 2008 | 3:08 am

Australian stocks: Banks lead losses

SYDNEY - The Australian share market was almost two per cent weaker at open following sharp declines in global markets on Friday amid fears of a worldwide recession. At 1015 AEDT, the benchmark S&P/ASX200 was down 69 points, or...
Source: New Zealand Herald - Business | 27 Oct 2008 | 1:10 am

Another Fed Cut And Another OPEC Cut: 1+1=0

Las Vegas odds are currently 10-to-1 in favor that the Federal Reserve will cut rates at its upcoming meeting. This was not going to happen. The Fed is never to act just before a presidential election. It has the chance of putting its finger on the scales for one candidate or the other.

But, a deepening recession will trump precedent, and the agency will almost certainly cut rates to 1%, the equivalent of giving money away. It will be one more brick in the dam that the government is building to try to keep the sea of a deleveraging financial and housing system from swamping the economy for what many experts believe could be the better part of two years.

In general, a rate cut would have to be viewed as a benefit in getting the financial world back on track.

It is easy to forget that just this last summer the major villain in the battle to keep GDP moving was the price of oil which hit $147. Since then, the income for members of the OPEC cartel has been beaten to a pulp by falling oil prices. The consuming nations further mocked OPEC when it lowered production by 1.5 million barrels a day and papers around the world reported that the price of crude still dropped to a 17-year low.

The Fed may not be done, but neither is OPEC. Several of its members are already calling for another production cut to be announced at their meeting in December. It is not out of the question that the gathering could be moved up. Financing the national treasuries, and, in some cases deficits, of the oil- producing nations may require that oil be much closer to $90. To get the price to move in that direction would certainly require cutting another two million or more barrels of supply per day.

It is a popular perception that OPEC has been castrated by falling demand due to a shrinking global economy. That ignores the supply side of the issue. Although no one knows where the tipping point is, cutting output will eventually raise prices sharply. It would appear that OPEC is prepared to test that point.

While the Fed takes down rates almost monthly and central banks pour money into the system at will, it is worth remembering that OPEC still has the ability to damage the dynamics of bettering the credit crisis by simply getting crude back above $100. And, it can.

Douglas A. McIntyre

Source: 24/7 Wall St. | 27 Oct 2008 | 12:26 am

As Porsche Takes Over VW, Big Three Find An Acquirer

Porsche is not a very big car company, but it has had some special rights to buy a significant amount of equity in the largest car company in Europe--VW. The VW management has not warmed to the idea. Who wants to report to people from a tiny sports car company which has as a best seller a $100,000 SUV?

The Porsche people do have guts. VW has learned that the hard way, and one of the Big Three may be about to learn it as well.

According to The Wall Street Journal, "Porsche Automobil Holding SE said Friday the rift between its owners, the Piëch and Porsche families, has been resolved, and both families now fully support Porsche Chief Executive Wendelin Wiedeking's plan to take over Volkswagen AG."

VW has a special distinction and that should add to the firm's value. It is the only large car company in the world which expects to have a unit sales increase in 2008. The firm has the largest market share among auto companies in China, which at some point in the next decade is expected to become the world's No.1 car market.

The Porsche/VW deal comes at the moment when The Big Three are facing the worst car sales environment since Alfred Sloan, the legend who built GM (GM), became its chairman in 1937.

It is almost certain that one of America's big car companies will not survive as an independent company. That prediction may be proved if GM buys Chrysler sometime in the next month. Word is now that GM cannot raise the $10 billion or so it would need to finance the severance for about 60,000 people which would be part of the economy of combining the two companies.

At Ford (F), it appears that the company wants to sell Volvo to raise money. Ford's shares are at $2. At some point soon the Ford family, which has a lock on the board due to its voting shares, will have to decide if they want its fortunes to go down with the ship.

Buying a US car company is primarily a matter of how many expenses can be eliminated and what will become of a large debt load. Buying out the common shareholders should not be a significant issue. Ford's market cap is under $5 billion.

If GM believes it can fire 60,000 people by taking over Chrysler, VW would have to be able to find some impressive economies of scale by buying one of the Big Three. If it can save several billions of dollars a year, that would justify taking on the debt which would come with owning one of the American car companies.

VW has less than a 1% share of the US vehicles market. Ford's quarterly revenue is still well over $40 billion. The German car company can buy that for a few pennies on the dollar.

Douglas A. McIntyre

Source: 24/7 Wall St. | 27 Oct 2008 | 12:05 am

Rail operators fear delays to upgrades

Rail operators are concerned that a multibillion-pound programme to buy much-needed new carriages could be delayed because two thirds of the country's train leasing industry is about to change hands.
Source: Latest Business News from Times Online | 27 Oct 2008 | 12:00 am

Warzone where oil prospects outweigh risks

Half way up a barren mountain in northern Iraq the earth begins to shake. Starting slowly, a deep rumble is heard, stopping suddenly with a thin hydraulic hiss. But this is no earthquake. It is part of a seismic test to search for oil in a region where crude is so prolific that it oozes from the rocks.
Source: Latest Business News from Times Online | 27 Oct 2008 | 12:00 am

Hallowe'en becomes night for adult dress-ups

Every part of the economy has its benchmark indicator; for Hallowe'en it is fangs.
Source: Latest Business News from Times Online | 27 Oct 2008 | 12:00 am

Vietnamese seek the security of gold

Near the counter of the Phu Quy gold store in central Hanoi, a man hovers nervously with his wife, his six-year-old daughter and a 10-inch thick wad of 100,000 dong (£3.72) banknotes.
Source: Latest Business News from Times Online | 27 Oct 2008 | 12:00 am

Sony Pictures seeks measure of solace with latest James Bond

James Bond’s latest outing, Quantum of Solace, will need to take more than £13 million this weekend in Britain if it is to stand a chance of becoming the top-grossing Bond movie.
Source: Latest Business News from Times Online | 27 Oct 2008 | 12:00 am

Bank delays hit Lehman unwinding

The unwinding of Lehman Brothers' European operations has not gone as fast as its administrators had hoped because of slow co-operation from other banks, the man in charge of the process has admitted
Source: FT.com - US homepage | 26 Oct 2008 | 10:35 pm

US public pension funds face big losses

Public pension funds in US states are facing their worst year of losses in history, exacerbating existing funding shortfalls and putting pressure on state governments to shore them up
Source: FT.com - US homepage | 26 Oct 2008 | 10:32 pm

Goldman chief sought Citi tie-up talks

Lloyd Blankfein, Goldman Sachs chief executive, called Vikram Pandit, his Citigroup counterpart, last month to discuss a merger, in a dramatic example of the secret manoeuvring that preceded the government bail-out of the financial sector
Source: FT.com - US homepage | 26 Oct 2008 | 10:32 pm

S&P futures start week up in early Asian trade (Reuters)

Reuters - Standard & Poor's 500 index futures opened the week on a slightly firmer footing after Wall Street's latest drubbing on Friday, edging about 2 points higher as trading got underway in Asia's Monday morning session.

Source: Yahoo! News: Business | 26 Oct 2008 | 10:31 pm

IMF approves $US16.5bn loan for troubled Ukraine

WASHINGTON - The International Monetary Fund says it has reached an agreement with Ukraine on a US$16.5 billion ($28.77 billion) loan to help the country out of its financial predicament. IMF managing director Dominique Strauss-Kahn...
Source: New Zealand Herald - Business | 26 Oct 2008 | 10:19 pm

McCain insists polls are misleading

John McCain warned Americans against the increasingly likely prospect of a Democratic takeover of Washington's two main branches of government but insisted that opinion polls indicating a strong victory for Barack Obama were misleading
Source: FT.com - US homepage | 26 Oct 2008 | 10:13 pm

Australian dollar opens 3.1pc down

SYDNEY - AAP - The Australian dollar opened 3.1 per cent weaker today after fears of a global recession pushed the currency to a five-year low at the weekend. At 0700 AEDT, the Australian dollar was trading at US$0.6195/97,...
Source: New Zealand Herald - Business | 26 Oct 2008 | 9:47 pm

Damascus accuses US of killing eight in raid

Relations between Washington and Damascus appeared to plunge to a new low after Syria's official news agency said the US had killed eight civilians in a helicopter raid
Source: FT.com - US homepage | 26 Oct 2008 | 9:44 pm

Gasoline prices in steepest drop ever (Reuters)

Reuters - The average retail price for a gallon of gasoline in the United States plunged more steeply than ever over the last two weeks as the economic slowdown weighed on crude oil and drove consumers off of the roads, according to the latest nationwide Lundberg survey.

Source: Yahoo! News: Business | 26 Oct 2008 | 9:38 pm

Horror tales from Chinese tourists

Tourists taken to souvenir shops in backstreet industrial areas and told the prices are in US dollars. Guides charging tourists hundreds of dollars to leave their tour to visit a relative or friend for a couple of hours. Tour...
Source: New Zealand Herald - Business | 26 Oct 2008 | 4:00 pm

Backlash against Contact forecast

A top sharebroking firm estimates Contact Energy will lose 5 per cent of its customers by the end of next year because of a consumer backlash against its price rises and failed attempt to almost double directors' fees. Forsyth...
Source: New Zealand Herald - Business | 26 Oct 2008 | 4:00 pm

Fed picked to slash interest rates to 1%

Federal Reserve chairman Ben Bernanke is poised to slash American interest rates to just 1 per cent this week - the lowest level since the depths of the dotcom crash - as government figures reveal the US has joined Britain on the...
Source: New Zealand Herald - Business | 26 Oct 2008 | 4:00 pm

Air New Zealand seeks more cash from Pacific nations

Air New Zealand wants millions of dollars in higher subsidies from South Pacific island states to maintain services through their territories to the United States, TVNZ said last night. The subsidy requests threaten the weekly...
Source: New Zealand Herald - Business | 26 Oct 2008 | 4:00 pm

Term deposits come out on top for investors

Investors now see term deposits as providing a better return than any other investment class. The finding comes in ASB's latest quarterly Investor Confidence survey. For the first time in the survey's eight-year history term...
Source: New Zealand Herald - Business | 26 Oct 2008 | 4:00 pm

Angels more important when it's hell out there

With economics the way they are, angel investors will only be attracted to the most savvy entrepreneurial schemes, says Colin McKinnon. "There is money out there but it's harder to come by, so entrepreneurs that get the money from...
Source: New Zealand Herald - Business | 26 Oct 2008 | 4:00 pm

Owen Hembry: Few surprises in National's farm policy

The National Party released its agriculture policy last week, saying there is a real and growing divide between urban and rural New Zealand that needs to be urgently addressed. "National will investigate a number of steps to increase...
Source: New Zealand Herald - Business | 26 Oct 2008 | 4:00 pm

Companies Beyond Financial Sector Want Bailout Cash, A Bad Idea (C)(WFC)(NCC)(WB)

Too many mouths to feed. Someone will have to starve.

Now that Henry Paulson has $700 billion and some discretion about how to spend it companies from car manufacturers to airlines want a piece. So do some municipalities. Insurance companies are already in the "salvation system", or at least AIG (AIG) is. But, its $123 billion came from a pot all of its own.That means Treasury has a bit more money.

It is not unreasonable to think that "strategic" industries like automobiles should get a Brink's truck of bullion. The trouble is that Treasury Secretary Henry Paulson may find financial firms need more money than projected. Right now Treasury has $250 billion earmarked for equity investments. Tens of billions of dollars, or perhaps more, will go for the original plan of buying toxic paper.

If Wall St. considers that massive write-downs that NCC (NCC) and Wachovia (WB) made when they were taken over, it gives some picture about how bad off banks may really be. NCC is a modest-sized bank and it will take almost $20 billion in charges. Wells Fargo (WFC), Wachovia's new owner, says write-offs after the buyout could be a large multiple of the NCC number.

Several analysts recently wrote that Citgroup (C) may not make money until 2010. What the total cost of future capital going into the big money center banks is hard to calculate.

But, Paulson had better save the entire $700 billion for the banking system. He is going to need it.

Douglas A. McIntyre

Source: 24/7 Wall St. | 26 Oct 2008 | 11:48 am