The News Review:
- Fed Selects Four Firms to Manage MBS Purchase Plan
- Aberdeen Asset buys Credit Suisse fund management ops
- Austria to Take ver Bank Medici Management
- Dell to shake up management team: WSJ
- Chesapeake Corp files for Chapter 11; to sell itself
- GMAC Adds Loans as US Injects $6 Billion to Aid GM
Fed Selects Four Firms to Manage MBS Purchase Plan
Bloomberg
7 billion of the companies? home-loan securities from September through last month. ?The investment managers will be required to purchasesecurities frequently and to disclose the Federal Reserve asprincipal? the central bank said. ?Each investment managerwill be required to implement ethical walls that appropriatelysegregate the investment management team? that implements theFed?s purchases from advisory and proprietary trading teams theFed said. ?Minimal? Risk The central bank said risk on the securities would be?minimal? and ?mitigated by the conservative buy-and-holdinvestment strategy? of the program. Fed officials announced the program Nov. 25 and said theaction was taken to ?reduce the cost and increase theavailability of credit for the purchase of houses.
Aberdeen Asset buys Credit Suisse fund management ops
Reuters
substring(0CMSB_ID. L) will acquire Credit Suisse’s (CSGN. VX) fund management arm in an all-share deal valued at 250 million pounds ($363. 3 million) boosting its funds under management.
Austria to Take ver Bank Medici Management
Wall Street Journal
–>Austria to Take ver Bank Medici Management ArticleCommentsmore in Europe » Austria’s government said Wednesday it will take over management of Bank Medici but will not supply it with funds after the Vienna-based bank suffered large losses on investments with the alleged New York Ponzi scheme run by Bernard Madoff. Austrian authorities began investigating Bank Medici earlier this month following reports it had placed about $2. 1 billion in funds controlled by.
Dell to shake up management team: WSJ
MarketWatch
is preparing a shake-up of its management team that is likely to include both Michael Cannon president of global operations and Mark Jarvis the group’s chief marketing officer leaving their roles according to a report in The Wall Street Journal. Jarvis is likely to leave Dell while Cannon will likely remain at the company in a different role the newspaper said citing people briefed on the matter. It added other changes at the computer maker are expected to focus on cutting costs and gaining tighter control over the group’s global operations. The Journal said the moves are a signal that CE Michael Dell is adjusting the strategy he implemented as recently as 2007 to try and restore growth at the company.
Chesapeake Corp files for Chapter 11; to sell itself
Reuters
The Richmond Virginia-based company said it could not keepup with interest payments on its debt as the slowing economyand aggressive competition undermined demand for its foldingcardboard boxes leaflets and plastic beverage bottlesaccording to court documents filed late on Monday. A widespread credit crunch also meant the company foundedin 1918 could not borrow more money it said. A group of investors including affiliates of Irving PlaceCapital Management LP and aktree Capital Management LPhave said they will pay $485 million for the company with theamount paid to the company reduced by pension and severanceobligations subject to bankruptcy court approval according toa press release. The private equity group plans to operate the business asusual. Chesapeake said it filed for Chapter 11 bankruptcyprotection to help facilitate the purchase. Chesapeake’snon-U.
GMAC Adds Loans as US Injects $6 Billion to Aid GM
Bloomberg
The lender financed about 35 percent of GM?s retailcustomers and about three-quarters of dealer inventory lastyear. GM which sold 51 percent of GMAC in 2006 to a group ledby private equity firm Cerberus Capital Management LP isseeking a permanent federal bailout to avert bankruptcy. Cerberus also owns Chrysler. Markets React GMAC ran short of cash this year after $7. 9 billion oflosses over five quarters mostly from record defaults onsubprime mortgages which are made to homebuyers with the worstrecords. The lender was shut out of credit markets and had tolimit lending only to people with the top repayment histories apolicy that GM dealers said had cut deeply into sales.
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