- Fannie Arrives at a Deal to Sell $2.6 Billion in Unused Tax Credits
- Citigroup Plans IPO For Primerica Life-Insurance Unit
- Uproar as Firms Get Swine-Flu Vaccine
- AIG Posts Net Income of $455 Million, Second Straight Profit
- Fannie’s Draws From Emergency Treasury Fund Reach $60 Billion Share Business Exchange
- Buffett’s ‘Wake-Up Call’ to Managers May Signal More Cost Cuts
- BofA’s Moynihan Said to Testify as House Sorts Merrill E-Mails
- BNY Mellon’s Kelly Says He Doesn’t Want Bank of America Post
- U.S. Property Investors Deem 2010 Worst Time to Sell
Fannie Arrives at a Deal to Sell $2.6 Billion in Unused Tax Credits – Wall Street Journal
Fannie Mae said it reached an agreement to sell about $2.6 billion in unused low-income-housing tax credits to unnamed buyers and received approval for the deal from its federal regulator, the Federal Housing Finance Agency, in a filing Thursday with the Securities and Exchange Commission.
But the Treasury Department has yet to approve the deal, setting up a potential clash between two government agencies over how best the government should run Fannie and its smaller rival, Freddie Mac, the two mortgage-finance companies that it took over through a legal procedure known as conservatorship one year ago.
The Treasury is considering whether to allow Goldman Sachs Group Inc. and Warren Buffett’s Berkshire Hathaway Inc. to purchase Fannie’s tax credits, according to people familiar with the matter…..
Citigroup Plans IPO For Primerica Life-Insurance Unit – CNNMoney
Citigroup Inc. (C) took another step to right itself, announcing plans to divest a business that has long been seen as a poor strategic fit.
Citi said it announced an initial public offering for Primerica Inc., which sells mainly term-life-insurance policies and other investment and deposit products, and refers loans to Citi….
Uproar as Firms Get Swine-Flu Vaccine – Wall Street Journal
…..”When vaccine first became available, we directed all available doses to pediatricians, ob/gyns, community health centers and private and public hospitals,” said the [NYC Dept of Health] spokeswoman, Jessica Scaperotti. “Then, as vaccine became more available, we expanded it to adult providers.” She called large employee health clinics an important outlet for reaching at-risk adults.
The firms had to sign an agreement to administer vaccines only to the highest-priority groups identified by the CDC, including pregnant women and adults between the ages of 25 and 64 who have medical conditions that put them at risk of complications from the flu, she said…
AIG Posts Net Income of $455 Million, Second Straight Profit – Bloomberg
American International Group Inc. posted its second straight profit as investment losses narrowed and catastrophe costs declined.
Third-quarter net income of $455 million, or 68 cents a share, compares with a net loss of $24.5 billion, or a reverse split-adjusted $181, a year earlier, New York-based AIG said today in a regulatory filing.
“Their operating businesses were in pretty good shape all along, it’s just they had these incredible writedowns,” said Marshall Front, who oversees $500 million as chief executive officer of Chicago-based Front Barnett Associates and sold his AIG stake last year. “While they’re not out of the woods, they’re no longer in the deepest part of the forest.”…
Fannie’s Draws From Emergency Treasury Fund Reach $60 Billion Share Business Exchange – Bloomberg
Fannie Mae, the mortgage buyer seized by regulators, plans to tap emergency U.S. capital for a fourth time this year, bringing its draws of taxpayer money to $60 billion as the company sees no immediate end to its losses.
Fannie Mae will seek $15 billion in Treasury Department financing after posting an $18.9 billion third-quarter net loss, according to a Securities and Exchange Commission filing late yesterday. The Washington-based company, which posted $101.6 billion in losses over the previous eight quarters, has already tapped $44.9 billion from the $200 billion emergency lifeline……
Buffett’s ‘Wake-Up Call’ to Managers May Signal More Cost Cuts – Bloomberg
Berkshire Hathaway Inc.’s managers may deliver more cost cuts to Chief Executive Officer Warren Buffett after the billionaire replaced Richard Santulli as the head of a money-losing plane-leasing unit.
Berkshire executives have eliminated jobs and closed plants as the sale of bricks, jewelry and luxury flights suffered in the recession. The company, which reports third-quarter results today, may need further reductions, even as the U.S. recovers, said Jeff Matthews, founder of the hedge fund Ram Partners LP….
BofA’s Moynihan Said to Testify as House Sorts Merrill E-Mails – Bloomberg
Brian Moynihan, a contender to succeed Bank of America Corp. Chief Executive Officer Kenneth D. Lewis, agreed to testify before Congress about his role in the Merrill Lynch & Co. takeover, people familiar with the matter said.
Moynihan, 50, who heads consumer banking, will appear before the House Oversight Committee on Nov. 17, according to two people, who spoke anonymously because the schedule isn’t public yet. He’ll be joined by Timothy Mayopoulos, whom Moynihan replaced as general counsel in December as the Merrill deal almost unraveled. Mayopoulos has already been interviewed privately, another person said…..
BNY Mellon’s Kelly Says He Doesn’t Want Bank of America Post – Bloomberg
Bank of New York Mellon Corp.’s chief executive officer, Robert Kelly, told his company’s operating committee that he’s not interested becoming the head of Bank of America Corp.
“I want to be clear: I am not interested,” Kelly wrote yesterday to the operating committee of the New York-based company, according to a memo obtained by Bloomberg News…..
U.S. Property Investors Deem 2010 Worst Time to Sell – Bloomberg
U.S. commercial property prices are likely to hit bottom next year after falling more than 40 percent from their 2007 peaks, real estate executives said in a survey conducted by PricewaterhouseCoopers.
Banks that have been reluctant to foreclose on commercial properties or restructure debt will start to do so as they build up reserve funds with government capital, respondents predicted. Seized properties will become “highly attractive buying opportunities” for investors with cash, PricewaterhouseCoopers said today in its “Emerging Trends in Real Estate” report…..
Tags: AIG, Bank of America, Citigroup, Fannie Mae / Freddie Mac, Goldman Sachs, Morgan Stanley, Real Estate, Warren Buffett
