Archive - Feb 10, 2009 - Story

ARS is all over the latest gossip on satellite radio company Sirius XM.

ARS is all over the latest gossip on satellite radio company Sirius XM.

Investors with Bernie Madoff, who were "lucky" enough to withdraw funds from Madoff anytime before the most spectacular ponzi explosion up to 2 to 4 years prior (depends on treatment), and were hoping they could tiptoe away from the whole mess, are starting to realize they will soon have two options: 1) repay the money or 2) not repay, end up getting sued and only then have to pay it back.

As we wrote extensively two weeks ago when discussed the ISDA CDS dutch settlement auction, we came to the conclusion that it presents a terrific one-time arbitrage opportunity due to the fundamentals-to-liquidity disconnect in the valuation of a given defaulted security (much more in linked article).

Muzak, which somehow made money for decades, selling elevator music to.... elevators, and which over the past 4 years was on life support, pulled the plug today and filed for bankruptcy. The filing (09-10422, Delaware), listed over $500 million in debt and less than $50,000 in assets.

Muzak, which somehow made money for decades, selling elevator music to.... elevators, and which over the past 4 years was on life support, pulled the plug today and filed for bankruptcy. The filing (09-10422, Delaware), listed over $500 million in debt and less than $50,000 in assets.

As most eyes are glued to CNBC and the exploration of the huge financial problem at home, few follow just how bad the situation is at fledgling developing economies.

Adding to today's bad news, GE's CFO Keith Sherin announced that the company transferred $9.5 billion in cash from to GECC as Moody's is currently evaluating the finance unit for a possible downgrade. Shering said the transfer lowered the division's leverage ratio from 7x in the fourth quarter to the 6x pro forma for the injection.

AA Shares, meet Anton Chigurh...

Some extracts:

geithner - Free Legal Forms

Can someone say selling on the news?

If anyone wants to see a glaring example of the faulty approach the government has applied to "fixing" its failed entities, look no further than the GSEs (Fannie and Freddie). And for pearls of the economic wisdom percolating in D.C.

And the uber-leveraged LBO dominoes keep falling. The spotlight now turns to Clear Channel Communications (CCU) which was acquired a brief 6 months ago in July 2008 for $20 billion in one of the biggest LBOs of recent years.

And the uber-leveraged LBO dominoes keep falling. The spotlight now turns to Clear Channel Communications (CCU) which was acquired a brief 6 months ago in July 2008 for $20 billion in one of the biggest LBOs of recent years.

We were half joking when we said 2 days ago that 2nd largest auto-supplier in Europe Schaeffler-Continental may go bankrupt.

• JPM expects prime-jumbo mortgage losses to double (Bloomberg)
• Obama leaves no room for failure in stimulus plan (WSJ)
• NYT agrees with our requirement for more bailout plan clarity (NYT)
• Record SFr20 billion loss for UBS, to keep investment banking (