A federal bankruptcy judge approved the $1.052 million sale of the Your Black Muslim Bakery property in Oakland to a corporation backing AIDS support center Vital Life Services.
Once the sale closes, the center will have its first permanent home at 5832 San Pablo Ave., Oakland. Founded in 1987, Vital Life Services has been operating in a rented 4,500-square-foot former Safeway building at 5720 Shattuck Ave.
The center provides services ranging from meals to counseling for about 400 East Bay residents living with AIDS, mostly in the Interstate 880 corridor, Executive Director Peggy Bush said. "It's just like heaven. It doesn't get any better than this."
U.S. Bankruptcy Court Judge Edward Jellen on Nov. 29 approved a motion by bankruptcy trustee Tevis Thompson to accept the high bid of $1,052,000 by NCK LLC, an entity formed by Vital Life Services benefactors. NCK representative Kurt Zimmerman declined to provide any further details about the corporation, citing the violent history associated with the bakery organization.
The ruling gave NCK has the right to purchase the two-story, 6,000-square-foot bakery property, with a second bidder, Paulette Arbuckle, a resident of the neighborhood, as backup purchaser at a bid of $1,051,000. According to news reports, Arbuckle was represented by a broker with ties to the family that founded Your Black Muslim Bakery.
The bids were entered during a four-round private auction at a lawyer's office Nov. 28. In court the following day, Thompson told Jellen he was confident the "overbid" process that started with an $899,000 offer from Arbuckle Sept. 10 resulted in the best possible price for a property with "a lot of warts and blemishes."
The trustee verified each bidder's ability to carry out an all-cash transaction for the property, Thompson said.
The bakery purchase price will go toward paying off more than 25 liens against the property totaling more than $900,000, said Equistone Partners broker Michael Harrison, who represented NCK.
NCK expects to spend another $800,000 to $1 million to renovate the building, using commercial interiors specialist R.N. Field Construction of San Francisco, where Zimmerman is a partner.
Zimmerman and Harrison bid on the bakery after spending months looking for a new home for Vital Life Services after Zimmerman received an unsolicited offer to buy the center's Shattuck Avenue location, Harrison said. The sale of that property was contingent on relocating Vital Life Services.
Once the centerpiece of a family-run, community-based string of businesses credited with creating job opportunities in an impoverished neighborhood, Your Black Muslim Bakery deteriorated in the past decade amid charges of violence and the deaths of its founder, Yusuf Bey, and the murders of two successors. A journalist investigating the business, Oakland Post Editor Chauncey Bailey, was shot to death Aug. 2 in Oakland, and Devaughndre Broussard, a handyman at the bakery, was charged with his murder.
The court moved Your Black Muslim Bakery into Chapter 7 bankruptcy proceedings in August after representatives of the business failed to file reports and pay fees required under Chapter 11 voluntary reorganization. The bankruptcy was one of the topics being researched by Bailey when he was killed.
credted by: bizjournals.com
2007-11-30
Bernanke: Economic outlook murky
U.S. Federal Reserve Chairman Ben Bernanke gave no hint Thursday whether interest rates will continue to drop. But in a speech in Charlotte, he said the nation's economic outlook is murky, given ongoing stress from the credit crunch and rising fuel prices.
Bernanke discussed the economy during a presentation at the Charlotte Chamber's annual meeting. The chamber also honored him with the organization's Citizen of the Carolinas Award.
The chamber presents the award annually to an individual who has brought positive recognition to the Carolinas. Bernanke is a native of Dillon, S.C., about 120 miles southeast of Charlotte. He was sworn in as Fed chairman in early 2006, replacing Alan Greenspan.
About 2,400 people attended Thursday night's chamber event, held at the Charlotte Convention Center.
The Fed's Open Market Committee, which sets monetary policy and considers raising or lowering interest rates, will meet next on Dec. 11. The committee cut the federal funds rate to 4.75 percent in September and to 4.5 percent Oct. 31. Banks use the federal funds rate to determine the interest they charge on overnight loans to each other.
"How has the economic picture changed in the month since that meeting?" Bernanke said. "As is often the case, the incoming economic data have been mixed."
Several key indicators, such as home construction, remain weak, he said. Household income will continue to grow but at a slower rate.
A combination of high gas prices, the weak housing market, tight credit conditions and declines in stock prices seem likely "to create some headwinds for the consumer in the months ahead," Bernanke said.
On the bright side, the Fed chairman said the labor market remains solid, with the unemployment rate staying at 4.7 percent last month. That's important for maintaining the economic expansion, he said.
At the Fed panel's Dec. 11 meeting, the committee will "have to judge whether the outlook for the economy or the balance of risks have shifted materially," Bernanke said. The Fed will remain "exceptionally alert and flexible as we continue to assess how best to promote sustainable economic growth and price stability."
Bernanke also discussed the Charlotte region's growth and how the area has changed since the days when he would visit his paternal grandparents here 40 years ago. The couple lived on Cumberland Avenue in the Myers Park community.
He said Carolinians are facing the same challenge confronting other areas of the country: replacing jobs in old-line manufacturing industries by creating employment in services such as health care and hospitality. Meanwhile, the region is adapting to globalization and advancing technology, he said.
Work-force quality is the most important factor in an economy's success, Bernanke said. "In a rapidly changing world, economically valuable skills can be maintained only through learning that extends beyond traditional schooling to encompass training and retraining well into the middle years of life."
Charlotte has benefited from its emergence as a financial-services center during the last 10 years, he noted. And an average of 39,000 residents have moved here each year since 1997.
"Thus, like many other vibrant regions of the country, the Charlotte area has grown by developing a high-productivity service economy," Bernanke said.
He cited the construction of the N.C. Research Campus on the site of the former Pillowtex Inc. headquarters and manufacturing site in Kannapolis -- where more than 4,000 workers lost their jobs when the company closed in 2003 -- as an example of the transition.
While Charlotte will continue to woo highly educated and skilled employees from other regions, Bernanke said it remains crucial to improve the skills of other local workers, especially those displaced by declining industries such as textiles.
"Education and skills must be provided flexibly and to people of any age," he said.
Reflecting on his visits here as a child, Bernanke recalled how his "Grandpa Friedman" would take him to Freedom Park to feed the ducks. At the time, the youngster thought the area's name was "Friedman Park."
"I was suitably impressed by the honor the city authorities had apparently given my grandparents," he quipped.
credited by: bizjournals.com
Bernanke discussed the economy during a presentation at the Charlotte Chamber's annual meeting. The chamber also honored him with the organization's Citizen of the Carolinas Award.
The chamber presents the award annually to an individual who has brought positive recognition to the Carolinas. Bernanke is a native of Dillon, S.C., about 120 miles southeast of Charlotte. He was sworn in as Fed chairman in early 2006, replacing Alan Greenspan.
About 2,400 people attended Thursday night's chamber event, held at the Charlotte Convention Center.
The Fed's Open Market Committee, which sets monetary policy and considers raising or lowering interest rates, will meet next on Dec. 11. The committee cut the federal funds rate to 4.75 percent in September and to 4.5 percent Oct. 31. Banks use the federal funds rate to determine the interest they charge on overnight loans to each other.
"How has the economic picture changed in the month since that meeting?" Bernanke said. "As is often the case, the incoming economic data have been mixed."
Several key indicators, such as home construction, remain weak, he said. Household income will continue to grow but at a slower rate.
A combination of high gas prices, the weak housing market, tight credit conditions and declines in stock prices seem likely "to create some headwinds for the consumer in the months ahead," Bernanke said.
On the bright side, the Fed chairman said the labor market remains solid, with the unemployment rate staying at 4.7 percent last month. That's important for maintaining the economic expansion, he said.
At the Fed panel's Dec. 11 meeting, the committee will "have to judge whether the outlook for the economy or the balance of risks have shifted materially," Bernanke said. The Fed will remain "exceptionally alert and flexible as we continue to assess how best to promote sustainable economic growth and price stability."
Bernanke also discussed the Charlotte region's growth and how the area has changed since the days when he would visit his paternal grandparents here 40 years ago. The couple lived on Cumberland Avenue in the Myers Park community.
He said Carolinians are facing the same challenge confronting other areas of the country: replacing jobs in old-line manufacturing industries by creating employment in services such as health care and hospitality. Meanwhile, the region is adapting to globalization and advancing technology, he said.
Work-force quality is the most important factor in an economy's success, Bernanke said. "In a rapidly changing world, economically valuable skills can be maintained only through learning that extends beyond traditional schooling to encompass training and retraining well into the middle years of life."
Charlotte has benefited from its emergence as a financial-services center during the last 10 years, he noted. And an average of 39,000 residents have moved here each year since 1997.
"Thus, like many other vibrant regions of the country, the Charlotte area has grown by developing a high-productivity service economy," Bernanke said.
He cited the construction of the N.C. Research Campus on the site of the former Pillowtex Inc. headquarters and manufacturing site in Kannapolis -- where more than 4,000 workers lost their jobs when the company closed in 2003 -- as an example of the transition.
While Charlotte will continue to woo highly educated and skilled employees from other regions, Bernanke said it remains crucial to improve the skills of other local workers, especially those displaced by declining industries such as textiles.
"Education and skills must be provided flexibly and to people of any age," he said.
Reflecting on his visits here as a child, Bernanke recalled how his "Grandpa Friedman" would take him to Freedom Park to feed the ducks. At the time, the youngster thought the area's name was "Friedman Park."
"I was suitably impressed by the honor the city authorities had apparently given my grandparents," he quipped.
credited by: bizjournals.com
2007-11-28
Max Muscle looking to bulk up
Max Muscle, a seller of sports nutrition, weight loss and fitness products, is seeking franchisees to expand its presence nationwide.
The chain, founded Anaheim in 2003, operates more than 125 stores and is looking to add 500 additional locations over the next five years.
The company, which locates its stores near health and athletic clubs, is vying to grab a bigger piece of the $16 billion nutritional supplement market. Max Muscle sells such supplements, as well as athletic apparel and a private line of vitamins and other natural nutrient products under the name Max Nutraceuticals. But its target market is not just bodybuilders, but everyday people.
The chain is seeking regional directors as well as single- and multi-unit franchisees. Investment costs for a Max Muscle franchise range from $158,000 to $285,000 for a single unit, and $100,000 to $500,000 for area development agreements and master licenses.
The rollout coincides with a new store design that features flat-screen televisions, interactive libraries and online nutritional and exercise planning software.
credited by: bizjournals.com
The chain, founded Anaheim in 2003, operates more than 125 stores and is looking to add 500 additional locations over the next five years.
The company, which locates its stores near health and athletic clubs, is vying to grab a bigger piece of the $16 billion nutritional supplement market. Max Muscle sells such supplements, as well as athletic apparel and a private line of vitamins and other natural nutrient products under the name Max Nutraceuticals. But its target market is not just bodybuilders, but everyday people.
The chain is seeking regional directors as well as single- and multi-unit franchisees. Investment costs for a Max Muscle franchise range from $158,000 to $285,000 for a single unit, and $100,000 to $500,000 for area development agreements and master licenses.
The rollout coincides with a new store design that features flat-screen televisions, interactive libraries and online nutritional and exercise planning software.
credited by: bizjournals.com
Cessna Skycatcher -- made in China
Cessna Aircraft Co. says the Shenyang Aircraft Corp. will build the company's newest model airplane, the 162 Skycatcher light sport aircraft.
Cessna Chairman, President and CEO Jack Pelton says light sport aircraft need the latest avionics, light-weight equipment, must be safe and reliable and be competitively priced.
"Our solution is to partner with SAC, a company with excellent facilities, state-of-the-art technologies and a workforce highly experienced in aircraft manufacturing," Pelton says.
Cessna is a subsidiary of the Textron Co. (NYSE: TXT). SAC is a subsidiary of China Aviation Industry Corp. 1. It is a government-owned group of aviation manufacturers.
Cessna will design the Skycatcher. It will also conduct testing and send employees to the SAC plant to oversee the manufacturing process. The airplanes will be assembled at the SAC plant in China.
credited by: bizjournals.com
Cessna Chairman, President and CEO Jack Pelton says light sport aircraft need the latest avionics, light-weight equipment, must be safe and reliable and be competitively priced.
"Our solution is to partner with SAC, a company with excellent facilities, state-of-the-art technologies and a workforce highly experienced in aircraft manufacturing," Pelton says.
Cessna is a subsidiary of the Textron Co. (NYSE: TXT). SAC is a subsidiary of China Aviation Industry Corp. 1. It is a government-owned group of aviation manufacturers.
Cessna will design the Skycatcher. It will also conduct testing and send employees to the SAC plant to oversee the manufacturing process. The airplanes will be assembled at the SAC plant in China.
credited by: bizjournals.com
Judge upholds signature revocation law
Leon County Circuit Judge Charles A. Francis rejected Florida Hometown Democracy's challenge to a new law that allows voters to revoke petition signatures on ballot initiatives.
Political action committee Florida Hometown Democracy challenged the constitutionality of the law allowing revocation of petition signatures. Save Our Constitution, the primary opponent of the group's proposed amendment -- which would require local referendums on future land-use changes -- has used the new law to try to cut the number of signatures its supporters have collected to try to get on the November 2008 ballot.
Save Our Constitution, a committee backed by the Associated Industries of Florida and Florida Hometown Democracy's primary opponent, said the ability of voters to take back their signature is necessary, "especially in light of the tactics of the Hometown Democracy group and its mercenary signature-gatherers."
Florida Hometown Democracy and its leader, Leslie Blackner, did not immediately return calls for comment. The group has the option to appeal.
Supporters need 611,000 signatures to get on the ballot and had nearly 394,000 filed with the state as of Tuesday afternoon.
credited by: bizjournals.com
Political action committee Florida Hometown Democracy challenged the constitutionality of the law allowing revocation of petition signatures. Save Our Constitution, the primary opponent of the group's proposed amendment -- which would require local referendums on future land-use changes -- has used the new law to try to cut the number of signatures its supporters have collected to try to get on the November 2008 ballot.
Save Our Constitution, a committee backed by the Associated Industries of Florida and Florida Hometown Democracy's primary opponent, said the ability of voters to take back their signature is necessary, "especially in light of the tactics of the Hometown Democracy group and its mercenary signature-gatherers."
Florida Hometown Democracy and its leader, Leslie Blackner, did not immediately return calls for comment. The group has the option to appeal.
Supporters need 611,000 signatures to get on the ballot and had nearly 394,000 filed with the state as of Tuesday afternoon.
credited by: bizjournals.com
2007-11-27
European Indexes End Higher
London
The FTSE 100 closed well in the black on positive broker views on the pharma and life insurance sectors and M&A in mining and utilities. Wall Street was trading higher. VEDANTA [+7.16%] was firm on talk of bid interest from China. Also, India's Supreme Court barred Vedanta from mining bauxite in the eastern part of the country. WTI was at US$97.86/bbl. In broker moves, Citigroup upgraded AVIVA [+5.34%] to buy from hold, arguing it could be the best buying opportunity in the sector since 2003. Also, Deutsche Bank boosted pharma stocks by saying that there are 'few catalysts, but valuation finally grabs some attention'. In utilities, PE firms Montagu and HgCapital said BIFFA [+24.76%] had rejected their bid approach. In company updates: GCAP MEDIA [-14.24%] said first half pretax profit slipped to 5.6 million and that CEO Ralph Bernard is to leave. INFORMA [+3.48%] appointed Adam Walker as finance director, adding it is on course to meet expectations for the group for the full year. NATIONAL EXPRESS [+3.31%] says trading remains in line with expectations, with particularly strong revenue growth at UK Trains. The company added that Adam Walker is to step down from his post as finance director to join Informa.
Paris
The CAC 40 [+1.94%] closed higher, with Wall Street trading positively on Black Friday. In Paris, SANOFI [+2.02%] was firm following a positive sector note from Deutsche Bank. ARCELOR MITTAL [+3.55%] plans a listing in India, wrote The Times of India. Elsewhere, AREVA [+4.94%] could see billions of invested - Germany's Siemens is 'ready' to increase its 34% stake in Areva NP, its nuclear reactor arm, according to Les Echos. However, the paper added that Siemens would not be happy to share Areva's capital with its rival ALSTOM [+4.9%]. There has been much market murmuring over a possible grand tie-up involving Areva, Alstom and BOUYGUES [+2.56%]. The plot thickened as La Tribune cited a trade union source suggesting French state-funded nuclear body CEA may reduce its 79% stake in Areva. Among financials, AXA [+4.3%] is making moves for CNP ASSURANCES [+11.0%], Les Echos reported. NATIXIS [+4.05%] shot higher having been upgraded to hold by Citigroup. CREDIT AGRICOLE [+5.0%] is seeking permission to be able to take its stake in Spain's Bankinter up to 30%. EADS's [+0.52%] Airbus has slashed R&D budgets in response to fears over the weakening US$, the FT reported. REXEL [+4.84%] has sealed its 4.85/sh takeover of NL's Hagemeyer.
Frankfurt
Xetra-Dax [+0.62%] closed in the black, above the 7600 level, as Wall Street was trading in positive territory on Black Friday, the day retailers are traditionally said to turn a profit as shoppers go bargain hunting after Thanksgiving. The US closes early today at 18:00 GMT. On the local macro front, German import prices excluding oil for October were up 0.4% m/m and down 0.1% year-over-year. POSTBANK [+4.14%] remained the leading blue-chip gainer as COMMERZBANK's [+2.01%] CEO says it is interested. Commerzbank also still wants to make an acquisition in Russia after failing to acquire a majority stake in Promsvyazbank, Interfax reported. In other news, SIEMENS [+2.18%] is 'ready' to increase its 34% stake in Areva NP, Areva's nuclear reactor arm, according to Les Echos. Merger plans between LUFTHANSA's [+1.63%] Germanwings unit and TUI's [+0.06%] TUIfly division are set to include Eurowings too, people familiar with the matter told Reuters. Both companies would each hold 40% of a planned joint airline, Sueddeutsche Zeitung reported. BEIERSDORF [-0.15%] wants to divest Tesa, its adhesives unit, and may sell stock in the division to its shareholders, according to Manager Magazin. There was talk of Kuwait raising its stake in GEA [+8.51%] to 25%. Away from M&A, DEUTSCHE BOERSE's [+2.81%] supervisory board is likely to extend CEO Reto Francioni's contract until 2013.
Netherlands
The AEX [+1.19%] closed higher, with Wall Street in positive territory on Black Friday, the day retailers are traditionally said to turn a profit as shoppers go bargain hunting after Thanksgiving. PHILIPS [+4.93%] rose further as the Lower House of Dutch Parliament passed a bill which doubles the limit on the amount of tax-free share buybacks. The news was particularly positive for Philips as it has a large amount of cash for share buybacks available. Separately, Philips wants to sell its Lighting unit in Winschoten, according to local press reports. In other news, the EU has extended its deadline to review AKZO NOBEL's [+3.25%] takeover of ICI. Akzo still expects the deal to close in January. HAGEMEYER [+1.96%] has reached an agreement on a 4.85 per share bid by France's Rexel. ARCELOR-MITTAL [+3.35%] wants to list on the Indian stock exchanges, using the Indian Depository Receipts [IDR], The Times of India reported. The steelmaker announced today that it bought back 3 million shares for 143.3 million between 16 and 22 November. HEINEKEN [-0.74%] is in talks to acquire Czech beverage group Drinks Union, daily MF Dnes reported, citing two unnamed sector sources.
Switzerland
After a rather choppy week, the SLI finished at a lower level than it had done at the end of the previous week. On Friday, however, markets were in fine fettle as Wall Street enjoyed a minor post-Thanksgiving session rally, on a shortened trading day. Back in Zurich, pharmas and financials were among the outperformers. Deutsche Bank reiterated its overweight on the pharma sector based on attractive valuations; says that its top picks include NOVARTIS [+3.33%] and ROCHE [+0.37%]. Anglo-Swedish AstraZeneca is another top pick for the broker. Financials also fired up, as bargain hunters scooped up names like UBS [+3.41%]. JP Morgan thinks ZURICH FINANCIAL [+1.99%] offers a pricing anomaly which it believes could close in the short term. For this reason, highlighted the stock as a short term trading idea while not changing its fundamental recommendation of neutral or price target of CHF435. On the news front, Domtar said it has won a judgment by the Supreme Court of Canada in a claim against ABB [+2.19%] and Alstom Canada Inc. The two companies have to pay Domtar c.CAD38.7 million in damages and interest. UNIQUE ZURICH AIRPORT [+0.96%] named Thomas E. Kern to become new CEO as of 15 January 2008. The airport operator also says CFO Beat Spalinger will leave in April 2008. In broker action, Goldman downgraded SONOVA [-3.17%] to a conviction sell.
credited by: businessweek.com
The FTSE 100 closed well in the black on positive broker views on the pharma and life insurance sectors and M&A in mining and utilities. Wall Street was trading higher. VEDANTA [+7.16%] was firm on talk of bid interest from China. Also, India's Supreme Court barred Vedanta from mining bauxite in the eastern part of the country. WTI was at US$97.86/bbl. In broker moves, Citigroup upgraded AVIVA [+5.34%] to buy from hold, arguing it could be the best buying opportunity in the sector since 2003. Also, Deutsche Bank boosted pharma stocks by saying that there are 'few catalysts, but valuation finally grabs some attention'. In utilities, PE firms Montagu and HgCapital said BIFFA [+24.76%] had rejected their bid approach. In company updates: GCAP MEDIA [-14.24%] said first half pretax profit slipped to 5.6 million and that CEO Ralph Bernard is to leave. INFORMA [+3.48%] appointed Adam Walker as finance director, adding it is on course to meet expectations for the group for the full year. NATIONAL EXPRESS [+3.31%] says trading remains in line with expectations, with particularly strong revenue growth at UK Trains. The company added that Adam Walker is to step down from his post as finance director to join Informa.
Paris
The CAC 40 [+1.94%] closed higher, with Wall Street trading positively on Black Friday. In Paris, SANOFI [+2.02%] was firm following a positive sector note from Deutsche Bank. ARCELOR MITTAL [+3.55%] plans a listing in India, wrote The Times of India. Elsewhere, AREVA [+4.94%] could see billions of invested - Germany's Siemens is 'ready' to increase its 34% stake in Areva NP, its nuclear reactor arm, according to Les Echos. However, the paper added that Siemens would not be happy to share Areva's capital with its rival ALSTOM [+4.9%]. There has been much market murmuring over a possible grand tie-up involving Areva, Alstom and BOUYGUES [+2.56%]. The plot thickened as La Tribune cited a trade union source suggesting French state-funded nuclear body CEA may reduce its 79% stake in Areva. Among financials, AXA [+4.3%] is making moves for CNP ASSURANCES [+11.0%], Les Echos reported. NATIXIS [+4.05%] shot higher having been upgraded to hold by Citigroup. CREDIT AGRICOLE [+5.0%] is seeking permission to be able to take its stake in Spain's Bankinter up to 30%. EADS's [+0.52%] Airbus has slashed R&D budgets in response to fears over the weakening US$, the FT reported. REXEL [+4.84%] has sealed its 4.85/sh takeover of NL's Hagemeyer.
Frankfurt
Xetra-Dax [+0.62%] closed in the black, above the 7600 level, as Wall Street was trading in positive territory on Black Friday, the day retailers are traditionally said to turn a profit as shoppers go bargain hunting after Thanksgiving. The US closes early today at 18:00 GMT. On the local macro front, German import prices excluding oil for October were up 0.4% m/m and down 0.1% year-over-year. POSTBANK [+4.14%] remained the leading blue-chip gainer as COMMERZBANK's [+2.01%] CEO says it is interested. Commerzbank also still wants to make an acquisition in Russia after failing to acquire a majority stake in Promsvyazbank, Interfax reported. In other news, SIEMENS [+2.18%] is 'ready' to increase its 34% stake in Areva NP, Areva's nuclear reactor arm, according to Les Echos. Merger plans between LUFTHANSA's [+1.63%] Germanwings unit and TUI's [+0.06%] TUIfly division are set to include Eurowings too, people familiar with the matter told Reuters. Both companies would each hold 40% of a planned joint airline, Sueddeutsche Zeitung reported. BEIERSDORF [-0.15%] wants to divest Tesa, its adhesives unit, and may sell stock in the division to its shareholders, according to Manager Magazin. There was talk of Kuwait raising its stake in GEA [+8.51%] to 25%. Away from M&A, DEUTSCHE BOERSE's [+2.81%] supervisory board is likely to extend CEO Reto Francioni's contract until 2013.
Netherlands
The AEX [+1.19%] closed higher, with Wall Street in positive territory on Black Friday, the day retailers are traditionally said to turn a profit as shoppers go bargain hunting after Thanksgiving. PHILIPS [+4.93%] rose further as the Lower House of Dutch Parliament passed a bill which doubles the limit on the amount of tax-free share buybacks. The news was particularly positive for Philips as it has a large amount of cash for share buybacks available. Separately, Philips wants to sell its Lighting unit in Winschoten, according to local press reports. In other news, the EU has extended its deadline to review AKZO NOBEL's [+3.25%] takeover of ICI. Akzo still expects the deal to close in January. HAGEMEYER [+1.96%] has reached an agreement on a 4.85 per share bid by France's Rexel. ARCELOR-MITTAL [+3.35%] wants to list on the Indian stock exchanges, using the Indian Depository Receipts [IDR], The Times of India reported. The steelmaker announced today that it bought back 3 million shares for 143.3 million between 16 and 22 November. HEINEKEN [-0.74%] is in talks to acquire Czech beverage group Drinks Union, daily MF Dnes reported, citing two unnamed sector sources.
Switzerland
After a rather choppy week, the SLI finished at a lower level than it had done at the end of the previous week. On Friday, however, markets were in fine fettle as Wall Street enjoyed a minor post-Thanksgiving session rally, on a shortened trading day. Back in Zurich, pharmas and financials were among the outperformers. Deutsche Bank reiterated its overweight on the pharma sector based on attractive valuations; says that its top picks include NOVARTIS [+3.33%] and ROCHE [+0.37%]. Anglo-Swedish AstraZeneca is another top pick for the broker. Financials also fired up, as bargain hunters scooped up names like UBS [+3.41%]. JP Morgan thinks ZURICH FINANCIAL [+1.99%] offers a pricing anomaly which it believes could close in the short term. For this reason, highlighted the stock as a short term trading idea while not changing its fundamental recommendation of neutral or price target of CHF435. On the news front, Domtar said it has won a judgment by the Supreme Court of Canada in a claim against ABB [+2.19%] and Alstom Canada Inc. The two companies have to pay Domtar c.CAD38.7 million in damages and interest. UNIQUE ZURICH AIRPORT [+0.96%] named Thomas E. Kern to become new CEO as of 15 January 2008. The airport operator also says CFO Beat Spalinger will leave in April 2008. In broker action, Goldman downgraded SONOVA [-3.17%] to a conviction sell.
credited by: businessweek.com
Stocks Stage a Post-Holiday Rally
Just like ordinary Americans, with their Thanksgiving rituals of pumpkin pie and football viewing, the stock market has its own Turkey Day traditions. And one of them was observed Friday, much to the relief of equity investors.
The market, which fell Wednesday, historically rises on the day after Thanksgiving following pre-holiday loss, notes Standard & Poor's MarketScope. And that was the case for Friday's holiday-shortened session, when major indexes scored solid gains.
On Friday, the Dow Jones industrial average gained 181.84 points, or 1,42%, to 12,980.88. The broader S&P 500 index was up 23.93 points, or 1.69%, to 1,440.7. The index started 2007 at 1418, and is now in slightly positive territory for the year. The Nasdaq composite index was higher by 34.45 points, or 1.35%, to 2,596.6.
Financial and retailer stocks were pacesetters on bargain hunting and short covering. Trading was slow as market closed early. On the New York Stock Exchange, 26 issues advanced in price for every five that declined. Nasdaq breadth was 21-6 positive.
Peter Cardillo, chief market economist at Avalon Partners, said that Friday's market may have seen some bargain hunting after Wednesday's sharp declines. "I just think it's purely a technical bounce from Wednesday's sharp sell-off," he adds.
Indeed, when traders return to work Monday they will be facing the same factors that drove the market's recent weakness. Market players remain worried by the Federal Reserve's projections of sluggish GDP growth over the next 3 years.
There were no significant economic reports scheduled for release during Friday's shortened session. Many Fed officials are slated to speak next week, and the government will release third-quarter GDP results next Thursday, which are expected to be revised to the 5% growth level.
Credit concerns remained a focus on Wall Street. According to a Wall Street Journal report, Bank of America (BAC), Citigroup (C), and JPMorgan Chase (JPM) are drawing up a plan to ease the credit markets are expected to ask others in the industry to help out next week. The three are spearheading an effort to raise billions of dollars for a new fund that is supposed to help structured investment vehicles sell hard-to-value paper they hold without further unnerving already jittery credit markets.
The banks have asked BlackRock (BLK) to act as the lead asset manager for the $75 billion fund they are creating to support the asset-backed securities market, a source told Reuters. According to the Journal, bankers involved in assembling the plan have said they would like to get the superfund running by January.
The Federal Reserve's gloomier than expected projections for economic growth issued earlier in the week continued to reverberate on Wall Street Friday. Economist Jan Hatzius of Goldman Sachs (GS) wrote in a note Friday that although the FOMC minutes sounded quite hawkish, the firm expects the FOMC to change its mind on the need for further monetary easing -- partly because of deteriorating economic data and partly because of the tightening in financial conditions. But, according to Hatzius, "[t]he most important risk is not the decline in broad equity market indexes, but the increased risk of damage to the financial system signaled by the sharp downturn in financial sector stock prices."
"Our own views are even more bearish on the near-term growth outlook than those of the FOMC, but considerably more optimistic about the long-term picture," wrote Hatzius. Goldman expects real GDP to grow at close to a 3% trend in the longer term. "Consequently, we expect a higher unemployment rate and more room for monetary easing."
In the energy markets Friday, January West Texas Intermediate crude oil futures, which fell 74 cents Wednesday, climbed in late trading Friday to $97.96 per barrel. According to a Reuters report, Roy Mason of Oil Movements said that OPEC oil exports, excluding Angola, will rise by 720,000 barrels per day in the four weeks to Dec. 8.
December gold futures surged to $822.40 on Friday, even though the dollar index was higher and the euro tumbled from record highs on worries a world financial turmoil will cause a bigger-than-expected slowdown in the euro zone, prompting the single currency to tumble.
Among stocks in the news Friday, Arcelor Mittal (MT) confirmed it is in talks with controlling shareholders in China Oriental Group Limited about future co-operation and including increasing its stake in the company. Arcelor currently holds a 28% equity stake in China Oriental Group.
Bristol-Myers Squibb (BMY) and Pierre Fabre Medicament terminated their license agreement for the development of vinflunine, a chemotherapy agent under investigation for the treatment of advanced or metastatic bladder cancer and other tumor types.
Broadcom (BRCM) announced that a federal judge has let stand a jury verdict that found that Qualcomm (QCOM) infringes three Broadcom patents. Broadcom will now seek to enjoin Qualcomm from making, using, selling and developing third generation [3G] WCDMA and EV-DO cellular chips that infringe any of the patents.
CIBC World downgraded shares of Hecla Mining (HL) to sector underperform from sector perform.
Massey Energy (MEE) said a higher court overturned a $76 million judgment against the company.
European and Asian markets rose even though central bank officials worried economies slowing down.
In London, the FTSE 100 index gained 1.59% to 6,253.40. In Paris, the CAC 40 index added 1.51% to 5,497.95. Germany's DAX index rose 0.45% to 7,596.40.
Hong Kong's Hang Seng index advanced 2.06% to 26,541.09. Shanghai's benchmark index rose 0.96%.
Japan's markets were closed Friday for a holiday.
Treasury Market
Bonds, which surged Wednesday in a flight to safety from falling stocks, were a bit lower Friday morning as U.S. stocks moved higher. The 10-year note was lower at 101-27/32 for a yield of 4.029%, while the 30-year bond was higher at 109 for a yield of 4.453%.
credited by: BusinessWeek.com
The market, which fell Wednesday, historically rises on the day after Thanksgiving following pre-holiday loss, notes Standard & Poor's MarketScope. And that was the case for Friday's holiday-shortened session, when major indexes scored solid gains.
On Friday, the Dow Jones industrial average gained 181.84 points, or 1,42%, to 12,980.88. The broader S&P 500 index was up 23.93 points, or 1.69%, to 1,440.7. The index started 2007 at 1418, and is now in slightly positive territory for the year. The Nasdaq composite index was higher by 34.45 points, or 1.35%, to 2,596.6.
Financial and retailer stocks were pacesetters on bargain hunting and short covering. Trading was slow as market closed early. On the New York Stock Exchange, 26 issues advanced in price for every five that declined. Nasdaq breadth was 21-6 positive.
Peter Cardillo, chief market economist at Avalon Partners, said that Friday's market may have seen some bargain hunting after Wednesday's sharp declines. "I just think it's purely a technical bounce from Wednesday's sharp sell-off," he adds.
Indeed, when traders return to work Monday they will be facing the same factors that drove the market's recent weakness. Market players remain worried by the Federal Reserve's projections of sluggish GDP growth over the next 3 years.
There were no significant economic reports scheduled for release during Friday's shortened session. Many Fed officials are slated to speak next week, and the government will release third-quarter GDP results next Thursday, which are expected to be revised to the 5% growth level.
Credit concerns remained a focus on Wall Street. According to a Wall Street Journal report, Bank of America (BAC), Citigroup (C), and JPMorgan Chase (JPM) are drawing up a plan to ease the credit markets are expected to ask others in the industry to help out next week. The three are spearheading an effort to raise billions of dollars for a new fund that is supposed to help structured investment vehicles sell hard-to-value paper they hold without further unnerving already jittery credit markets.
The banks have asked BlackRock (BLK) to act as the lead asset manager for the $75 billion fund they are creating to support the asset-backed securities market, a source told Reuters. According to the Journal, bankers involved in assembling the plan have said they would like to get the superfund running by January.
The Federal Reserve's gloomier than expected projections for economic growth issued earlier in the week continued to reverberate on Wall Street Friday. Economist Jan Hatzius of Goldman Sachs (GS) wrote in a note Friday that although the FOMC minutes sounded quite hawkish, the firm expects the FOMC to change its mind on the need for further monetary easing -- partly because of deteriorating economic data and partly because of the tightening in financial conditions. But, according to Hatzius, "[t]he most important risk is not the decline in broad equity market indexes, but the increased risk of damage to the financial system signaled by the sharp downturn in financial sector stock prices."
"Our own views are even more bearish on the near-term growth outlook than those of the FOMC, but considerably more optimistic about the long-term picture," wrote Hatzius. Goldman expects real GDP to grow at close to a 3% trend in the longer term. "Consequently, we expect a higher unemployment rate and more room for monetary easing."
In the energy markets Friday, January West Texas Intermediate crude oil futures, which fell 74 cents Wednesday, climbed in late trading Friday to $97.96 per barrel. According to a Reuters report, Roy Mason of Oil Movements said that OPEC oil exports, excluding Angola, will rise by 720,000 barrels per day in the four weeks to Dec. 8.
December gold futures surged to $822.40 on Friday, even though the dollar index was higher and the euro tumbled from record highs on worries a world financial turmoil will cause a bigger-than-expected slowdown in the euro zone, prompting the single currency to tumble.
Among stocks in the news Friday, Arcelor Mittal (MT) confirmed it is in talks with controlling shareholders in China Oriental Group Limited about future co-operation and including increasing its stake in the company. Arcelor currently holds a 28% equity stake in China Oriental Group.
Bristol-Myers Squibb (BMY) and Pierre Fabre Medicament terminated their license agreement for the development of vinflunine, a chemotherapy agent under investigation for the treatment of advanced or metastatic bladder cancer and other tumor types.
Broadcom (BRCM) announced that a federal judge has let stand a jury verdict that found that Qualcomm (QCOM) infringes three Broadcom patents. Broadcom will now seek to enjoin Qualcomm from making, using, selling and developing third generation [3G] WCDMA and EV-DO cellular chips that infringe any of the patents.
CIBC World downgraded shares of Hecla Mining (HL) to sector underperform from sector perform.
Massey Energy (MEE) said a higher court overturned a $76 million judgment against the company.
European and Asian markets rose even though central bank officials worried economies slowing down.
In London, the FTSE 100 index gained 1.59% to 6,253.40. In Paris, the CAC 40 index added 1.51% to 5,497.95. Germany's DAX index rose 0.45% to 7,596.40.
Hong Kong's Hang Seng index advanced 2.06% to 26,541.09. Shanghai's benchmark index rose 0.96%.
Japan's markets were closed Friday for a holiday.
Treasury Market
Bonds, which surged Wednesday in a flight to safety from falling stocks, were a bit lower Friday morning as U.S. stocks moved higher. The 10-year note was lower at 101-27/32 for a yield of 4.029%, while the 30-year bond was higher at 109 for a yield of 4.453%.
credited by: BusinessWeek.com
Florida fares poorly in breast cancer report
Florida is among the "most restrictive" states for women seeking state help during breast cancer treatment, according to a new report from Susan G. Komen for the Cure.
The State of Breast Cancer Report released Monday says that Florida is one of 21 states that still determine a woman ineligible for Medicaid-funded treatment, unless she was screened through the state program.
That restricts access to care for those diagnosed elsewhere, according to a release from the Florida Suncoast Affiliate of Komen for the Cure, a network of breast cancer survivors and activists.
The affiliate plans to lobby the Florida Legislature to change laws affecting women seeking Medicaid-funded treatment for breast cancer, the release says.
In 2006, the affiliate says it provided 2,500 initial screening mammograms and 1,100 initial diagnostic procedures including biopsies, and 89 women were diagnosed and treated for breast cancer. In addition, the affiliate says it reached more than 60,000 people through educational and support programs, made possible through grants totaling $975,000 awarded to 20 local nonprofit organizations.
credited by: bizjournals.com
The State of Breast Cancer Report released Monday says that Florida is one of 21 states that still determine a woman ineligible for Medicaid-funded treatment, unless she was screened through the state program.
That restricts access to care for those diagnosed elsewhere, according to a release from the Florida Suncoast Affiliate of Komen for the Cure, a network of breast cancer survivors and activists.
The affiliate plans to lobby the Florida Legislature to change laws affecting women seeking Medicaid-funded treatment for breast cancer, the release says.
In 2006, the affiliate says it provided 2,500 initial screening mammograms and 1,100 initial diagnostic procedures including biopsies, and 89 women were diagnosed and treated for breast cancer. In addition, the affiliate says it reached more than 60,000 people through educational and support programs, made possible through grants totaling $975,000 awarded to 20 local nonprofit organizations.
credited by: bizjournals.com
Tech Data posts big gains in third quarter
Tech Data Corp. said third quarter net income was $40.9 million, or 73 cents a share, compared to net income of $9.6 million, or 18 cents a share, for the prior-year period.
The company said net sales for the three months ended Oct. 31 were $5.9 billion, an increase of 9.1 percent from $5.4 billion in the same three months a year earlier.
During the third quarter one year ago, the company had recorded $6.1 million in restructuring charges and $2.8 million in consulting costs related to its European restructuring program that was completed in October 2006, according to a release.
The European operations continue to strengthen and gain traction in the marketplace, although there is still work to do to improve execution and profitability, Robert Dutkowsky, chief executive, said in the release.
He said the just-completed third quarter's sales and income gains were due to steady market conditions, sales execution, a focus on the small and mid-sized business sector, and product and inventory management efforts.
For the nine months ended Oct. 31, Tech Data said sales were $16.9 billion, an increase of 10.6 percent from $15.3 billion in the year-earlier period. Net income was $58.1 million, or $1.05 a share, compared to a net loss of $133 million, or $2.41 a share, in the same period a year earlier.
For the fourth quarter ending Jan. 31, Tech Data expects net sales of $6.35 billion to $6.5 billion, the release said. The company said it expects double-digit year-over-year growth in the Americas but a mid-to-high single-digit decline in Europe, reflecting a reduction in retail business as well as a decision to exit operations in Israel and the United Arab Emirates, the release said.
Tech Data (NYSE: TECD), based in Clearwater, distributes IT products and is the largest publicly traded company based in the Tampa Bay area.
credited by: bizjournals.com
The company said net sales for the three months ended Oct. 31 were $5.9 billion, an increase of 9.1 percent from $5.4 billion in the same three months a year earlier.
During the third quarter one year ago, the company had recorded $6.1 million in restructuring charges and $2.8 million in consulting costs related to its European restructuring program that was completed in October 2006, according to a release.
The European operations continue to strengthen and gain traction in the marketplace, although there is still work to do to improve execution and profitability, Robert Dutkowsky, chief executive, said in the release.
He said the just-completed third quarter's sales and income gains were due to steady market conditions, sales execution, a focus on the small and mid-sized business sector, and product and inventory management efforts.
For the nine months ended Oct. 31, Tech Data said sales were $16.9 billion, an increase of 10.6 percent from $15.3 billion in the year-earlier period. Net income was $58.1 million, or $1.05 a share, compared to a net loss of $133 million, or $2.41 a share, in the same period a year earlier.
For the fourth quarter ending Jan. 31, Tech Data expects net sales of $6.35 billion to $6.5 billion, the release said. The company said it expects double-digit year-over-year growth in the Americas but a mid-to-high single-digit decline in Europe, reflecting a reduction in retail business as well as a decision to exit operations in Israel and the United Arab Emirates, the release said.
Tech Data (NYSE: TECD), based in Clearwater, distributes IT products and is the largest publicly traded company based in the Tampa Bay area.
credited by: bizjournals.com
EcoSystems opens Ward store
EcoSystems has opened its second boutique on Oahu.
Brothers Todd and Tedd Yamanaka have expanded to Ward Warehouse with their lines of trendy apparel and accessories for young men and women. The stores carry labels by popular surf and skate brands, including several local clothing companies.
EcoSystems opened its first store at Kahala Mall last November.
credited by: bizjournals.com
Brothers Todd and Tedd Yamanaka have expanded to Ward Warehouse with their lines of trendy apparel and accessories for young men and women. The stores carry labels by popular surf and skate brands, including several local clothing companies.
EcoSystems opened its first store at Kahala Mall last November.
credited by: bizjournals.com
Stadium prepares for Warriors-Huskies game
Extra security and parking and traffic control measures will be in place at Aloha Stadium in Honolulu for Saturday's sold-out college football game.
The undefeated, 12th-ranked University of Hawaii Warriors play the University of Washington Huskies.
The Warriors defeated Boise state Nov. 23 to become Western Athletic Conference champions.
For that game, stadium officials coordinated with the Honolulu Police Department, state and city transportation departments and other government agencies to ease traffic congestion and keep unruly fan behavior at a minimum.
Similar measures are in place for this week's game. Stadium officials say incidents at the Boise State game were nothing out of the ordinary.
If the Warriors defeat the Huskies, Hawaii could secure a Bowl Championship Series berth.
credited by: bizjournals.com
The undefeated, 12th-ranked University of Hawaii Warriors play the University of Washington Huskies.
The Warriors defeated Boise state Nov. 23 to become Western Athletic Conference champions.
For that game, stadium officials coordinated with the Honolulu Police Department, state and city transportation departments and other government agencies to ease traffic congestion and keep unruly fan behavior at a minimum.
Similar measures are in place for this week's game. Stadium officials say incidents at the Boise State game were nothing out of the ordinary.
If the Warriors defeat the Huskies, Hawaii could secure a Bowl Championship Series berth.
credited by: bizjournals.com
Kuakini Health System names CFO
Kuakini Health System has named Sharon Yoshida its new vice president and chief financial officer.
She will direct all of the hospital's fiscal departments including accounting, business services, revenue management, payroll and purchasing.
Yoshida previously worked at Ernst & Young, Bank of Hawaii, Central Pacific Bank and Centex Destination Properties.
credited by: bizjournals.com
She will direct all of the hospital's fiscal departments including accounting, business services, revenue management, payroll and purchasing.
Yoshida previously worked at Ernst & Young, Bank of Hawaii, Central Pacific Bank and Centex Destination Properties.
credited by: bizjournals.com
Genzyme, French firm collaborate on gene therapies
A Bay state biotech will work with a French company to develop gene therapies that prevent blindness.
Genzyme Corp. in Cambridge (Nasdaq: GENZ) said on Tuesday that it hat signed a collaboration deal with Fovea Pharmaceuticals SA in Paris.
Both companies declined to disclose financial terms. But as part of the partnership, Fovea will provide scientific, clinical and pharmaceutical know-how in retinal diseases. Genzyme will contribute its expertise in protein production and gene delivery.
The treatments will focus on identifying new potential treatments that could attack photoreceptor degeneration, a major cause of irreversible blindness.
The collaboration represents a continued expansion of Genzyme's product focus. It also shows how Genzyme is willing to turn to innovative startups to identify new concepts for treatments.
The publicly-traded Genzyme, which now generates more than $3 billion in annual revenue, is paired with a startup that launched in May 2005 and remains privately held.
credited by: bizjournals.com
Genzyme Corp. in Cambridge (Nasdaq: GENZ) said on Tuesday that it hat signed a collaboration deal with Fovea Pharmaceuticals SA in Paris.
Both companies declined to disclose financial terms. But as part of the partnership, Fovea will provide scientific, clinical and pharmaceutical know-how in retinal diseases. Genzyme will contribute its expertise in protein production and gene delivery.
The treatments will focus on identifying new potential treatments that could attack photoreceptor degeneration, a major cause of irreversible blindness.
The collaboration represents a continued expansion of Genzyme's product focus. It also shows how Genzyme is willing to turn to innovative startups to identify new concepts for treatments.
The publicly-traded Genzyme, which now generates more than $3 billion in annual revenue, is paired with a startup that launched in May 2005 and remains privately held.
credited by: bizjournals.com
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