- Dubai Shows Limits of Government Rescues, Roubini’s Das Says
- Mobius Says Dubai May Trigger Markets ‘Correction’
- Dubai Debt May Be Higher Than $80 Billion, UBS Analysts Say
- Dubai creditors have little option but to accept the hand they’ve been dealt
- Abu Dhabi Commercial Said Owed $1.9 Billion by Dubai
- Ex-UBS Banker Seeks Billions for Blowing Whistle
- Feinberg Stumping Helps Obama, Geithner Skirt Public’s Pay Ire
- UBS, Ernst & Young Call Claims in Madoff Case ‘Vague’
Dubai Shows Limits of Government Rescues, Roubini’s Das Says – Bloomberg
The worldwide decline in equities spurred by Dubai’s efforts to reschedule its debt is a sign that government spending alone won’t be enough to protect financial markets, according to Arnab Das of Roubini Global Economics.
Stock volatility will probably jump as countries and companies default on loans, said Das, the head of market research and strategy at RGE, the advisory firm founded by economist Nouriel Roubini…..
Mobius Says Dubai May Trigger Markets ‘Correction’ – Bloomberg
Templeton Asset Management Ltd.’s Mark Mobius said Dubai’s attempt to reschedule debt may cause a “correction” in emerging markets, compounded by Vietnam’s currency devaluation and an “avalanche” of initial share sales.
“This may be the trigger to allow for the market to take a rest and pull back,” Mobius told Bloomberg Television by phone from Hanoi. “I felt that there would be a significant correction in what is an ongoing bull market.”….
Dubai Debt May Be Higher Than $80 Billion, UBS Analysts Say – Bloomberg
Dubai, the Persian Gulf emirate whose state-run companies are seeking to defer debt payments, may owe more than the $80 billion to $90 billion in liabilities assumed by investors, UBS AG analysts said in a note.
“Perhaps Dubai’s debt includes sizeable off-balance sheet liabilities that imply a total debt burden well above the $80 billion to $90 billion markets have estimated so far,” real estate analyst Saud Masud wrote in a note yesterday. “This could imply that the debt issued by Dubai in recent weeks is insufficient to meet upcoming redemptions.”….
Abu Dhabi Commercial Said Owed $1.9 Billion by Dubai – Bloomberg
Abu Dhabi Commercial Bank PJSC may be owed $1.9 billion by Dubai World, making it the largest creditor outside the emirate to the state company seeking to reschedule debt, said two people familiar with the companies.
“We are in touch with Dubai World, and we have been in discussions more than once today and yesterday,” Ala’a Eraiqat, the chief executive officer of the third-largest lender in the United Arab Emirates, said in a telephone interview yesterday. He declined to comment on specifics. “We have a lot of assurances which is a good thing.”…..
Dubai creditors have little option but to accept the hand they’ve been dealt – Daily Telegraph
The restructuring of the $60bn (£36.4bn) of debt at the emirate’s core holding company, which includes investment vehicle Istithmar and property developer Nakheel, will be the largest and toughest ever in the Gulf region. The few precedents are not encouraging for those who funded Dubai’s grandiose vision.
Shocked creditors had expected timely repayment. Now, they are scrambling to form steering committees to liaise with Dubai World’s new restructuring chief, Deloitte’s Aidan Birkett. In practice, lenders can’t really turn down the request for a six-month standstill and have little option but to wait for Dubai World to formulate a plan to address its sprawling debts…..
Ex-UBS Banker Seeks Billions for Blowing Whistle – NY Times
Bradley C. Birkenfeld was sentenced to 40 months in prison for helping rich Americans dodge their taxes. Now he is hoping for a bit more — a few billion dollars more…..
Now, as thousands of wealthy Americans seek amnesty for keeping illicit, offshore bank accounts, Mr. Birkenfeld and his lawyers hope to use a new federal whistle-blower law to claim a multibillion-dollar reward from the American government. If they succeed — and legal experts say the odds are pretty good — it would be the largest reward of its kind……
Feinberg Stumping Helps Obama, Geithner Skirt Public’s Pay Ire – Bloomberg
Kenneth Feinberg’s decision to slash executive pay at taxpayer-rescued companies was “sheer stupidity,” says Home Depot Inc. co-founder Kenneth Langone. Not so, says compensation analyst Paul Hodgson: If anything, Feinberg is a “pay kitten” soft on Wall Street.
The Obama administration’s point man on executive pay has become a political punching bag — and that’s just the way White House officials want it…..
UBS, Ernst & Young Call Claims in Madoff Case ‘Vague’ – Bloomberg
UBS AG and Ernst & Young LLP said Luxembourg lawsuits filed by investors who lost millions of dollars in mutual funds linked to Bernard Madoff’s Ponzi scheme are invalid and should be thrown out.
Private and institutional investors who lost money through Access International Advisors LLC’s LuxAlpha Sicav-American Selection have no right to bring direct claims against the fund’s custodian bank, its auditor and other institutions linked to the fund, lawyers for UBS and Ernst & Young told a Luxembourg court today. In a second day of hearings, they said arguments by the investors are “vague” and “simply wrong.”…..
Tags: Bernie Madoff, Compensation, Dubai, Marc Mobius, Pay czar, Sovereign wealth funds, UBS
