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allil


 Morgan Stanley board meets to weigh options: sources
 

Sat Sep 20, 2008 6:37pm EDT

By Jessica Hall

PHILADELPHIA (Reuters) - Morgan Stanley's board was scheduled to meet on Saturday to weigh strategic options for the investment bank, including a possible takeover by Wachovia Corp or selling a bigger stake to China Investment Corp, sources familiar with the situation said on Saturday.

No deal was seen as imminent and no formal offers were on the table from Wachovia or sovereign wealth fund China Investment Corp (CIC), sources said.

Morgan Stanley and Wachovia declined to comment and CIC could not be immediately reached.

Morgan Stanley feels less pressure to do a deal with Wachovia, or any other potential partner, in the wake of the U.S. government's massive rescue plan, the sources said.

The U.S. government said on Friday said it is preparing to take on hundreds of billions of dollars in bad mortgage debt from the banks' balance sheets, after curbing short selling and guaranteeing mutual funds in an effort to stabilize financial markets.

Any deal between would likely involve a stock purchase of Morgan Stanley by Wachovia, but Morgan Stanley's first preference is to remain independent, the sources said.

Although no deal is seen as imminent, all options are being weighed by the board this weekend, including a cash infusion by CIC, sources said. Still, Morgan Stanley is considering whether it needs to do a deal at all, sources said.

In the past week, Morgan Stanley's stock plunged and its debt insurance prices surged amid fear that even large broker-dealers could not weather the current crisis.

A series of moves by the U.S. government to limit short sales and to sop up toxic bank assets sparked a rally in financial shares on Friday.

Morgan Stanley has seen its market capitalization plunge to $30 billion from $42 billion in the past month. Shares of Morgan Stanley closed on Friday at $27.21, up $4.66, or 21 percent. Wachovia's market capitalization is $40 billion.

The Wall Street Journal reported that CIC's interest may be contingent on Wachovia being able to offload some of its mortgage assets, the Journal said. The CIC discussion has been preliminary and has not been raised with Wachovia's board, the paper said.

CIC dampened speculation on Friday that it could be ready to increase its stake in Morgan Stanley as a senior CIC official was quoted by the Xinhua news agency as saying Morgan Stanley and Goldman Sachs were capable of tackling their problems on their own.

However, sources familiar with the plans told Reuters on Thursday that CIC, which bought 9.9 percent of Morgan Stanley last December, is in talks to raise its holdings to as much as 49 percent.

(Additional reporting by Ben Klayman in Chicago, Megan Davies, Paritosh Bansal and Joseph A. Giannone in New York; Editing by Eric Walsh)

Posted by alfred at 7:21 PM - No Comments   Add a Comment  
 
 Would Not trust
 

People you will and can invest in stock market! I would Not trust the stock market or our government, this is not over by a long shot.There going to try every thing to get your money.This stock market is just like electing the new president,you better look into everything before you jump.They can say this is not like the depression but i don't believe any of it.

When it comes to electing your senators and congress people you better think about this mess were in right now.Your mayors,and governors are just as important to get it right.
Posted by alfred at 1:30 PM - No Comments   Add a Comment  
 

 The Ill-Timed Trial of Senator Stevens of Alaska
 

Published: September 19, 2008

WASHINGTON — In a year of mesmerizing political scenes, one of the most remarkable will begin to play out next week just down Constitution Avenue from the Capitol.

Senator Ted Stevens of Alaska, who as the longest serving Republican senator has prowled the corridors of Congress since 1968, will go on trial in federal court on charges of failing to disclose $250,000 in gifts and home renovations from a politically connected oil services company.

What makes the proceedings so astounding is not just that Mr. Stevens is a figure of outsize proportions in Alaska and the Senate. Or that the gifts came from a company headed by a longtime friend of Mr. Stevens at a time when the relationship between federal officials and the oil industry is under scrutiny. Or that his state, usually an afterthought in national elections, is now at the center of America’s political conversation because of the selection of Alaska’s little-known governor for the Republican presidential ticket. Or that he is the king of earmarks when such spending is itself on trial on the campaign trail.

No, on top of all that, the criminal proceedings will start about 40 days before Alaska’s voters must decide whether Mr. Stevens, 84, merits a seventh full term. His trial, near enough to the Senate so that he can excuse himself from the defense table to go cast votes if necessary, will substitute for his campaign in the closing weeks of the race.

“The verdict will essentially be the election,” said Jennifer Duffy, a nonpartisan analyst for the Cook Political Report.

In the view of Ms. Duffy and other experts on congressional elections, Mr. Stevens, who is locked in a very competitive race with Mark Begich, his Democratic opponent, can still prevail if he is able to win the case, which is scheduled to begin on Wednesday. A guilty verdict could end his rather amazing political career.

In the meantime, Mr. Stevens is going to have to count on television advertising, video links and surrogates in his re-election fight because the trial is going to keep him in Washington and off the campaign trail for at least the next month.

Though a number of House members have gone before the dock recently, criminal charges against sitting United States senators are rare. According to the Senate Historical Office, Mr. Stevens is the 11th to have been indicted. Of those, four senators have been convicted.

The first was John Smith, an Ohio Republican, who was accused of conspiring with Vice President Aaron Burr to commit treason. He was found not guilty, and the Senate fell just one vote short of expelling him, though he resigned his seat at his state’s request in 1808.

The last to go through a full trial was Senator Harrison A. Williams, Democrat of New Jersey, who was convicted of bribery and conspiracy in 1981 and faced certain expulsion by the Senate before he resigned and served nearly two years in prison.

Senator Kay Bailey Hutchison, Republican of Texas, was indicted for official misconduct by a state court in Texas in 1993, but she was ordered acquitted in 1994 as her trial opened and the prosecutor essentially folded his case.

Through the years, a handful of other senators have faced charges for such things as taking bribes in exchange for a postmaster’s position or pressing claims in return for money. But the Stevens case appears unique, with such a prominent senator trying to win an acquittal on the eve of the election.

As some Senate Republicans eye the prospects of national attention being focused on the case next week, some of them are understandably nervous, since the notoriety surrounding Mr. Stevens could rub off on other Republican candidates facing re-election in a tough year. It might also remind voters that two other Republican senators got in a bit of trouble recently — Senator Larry Craig of Idaho, who pleaded guilty to a misdemeanor in a sex sting at the Minneapolis-St. Paul airport, and Senator David Vitter of Louisiana, who was named as a customer of an escort service that the police said was a prostitution front.

The political fortunes of Mr. Stevens have taken a bit of an upward turn lately as his poll numbers have improved, though Mr. Begich, the mayor of Anchorage, still leads in surveys and has strong party backing from Washington. Some of the Stevens bump has been attributed to the decision by Senator John McCain to add Gov. Sarah Palin of Alaska to his ticket.

With the media spotlight shining brightly on Ms. Palin, Mr. Stevens may be benefitting from the perception among some voters in Alaska that the media and the Washington establishment are picking on Ms. Palin and by extension her state and its other political figures.

Mr. Stevens has said he did nothing wrong and is asking Alaskan voters to give him the benefit of the doubt after a career spent funneling tens of billions of dollars back home, work that earned him the nickname “Uncle Ted” and saw the federal dollars labeled “Stevens money.” But he first has to persuade a District of Columbia jury that he broke no laws.

Given the odd circumstances, it is impossible to predict how things will shake out. But there is one possibility that would ultimately leave his fate in the hands of his colleagues — an unsettling prospect for some. Mr. Stevens could be convicted and still win re-election. Should he chose to try to remain in the Senate, his colleagues, including lawmakers who have worked with him for decades, would then have to decide whether to try to expel him.

Or it may never get to that.

Posted by alfred at 10:01 PM - No Comments   Add a Comment  
 

 Remember it being said?
 

Remember it being said That what happened to cause the depression COULD NOT HAPPEN AGAIN !! Who was saying mainly saying this?Well they are saying it again.
Posted by alfred at 3:06 PM - No Comments   Add a Comment  
 
 Pete Visclosky sent me this
 

Important Energy Legislation
September 18, 2008
U.S.
 Congressman Pete Visclosky, Proudly representing Indiana's First
 Congressional District

Dear Friends,

High gas and energy prices are wreaking havoc on family budgets.  The average American family spent $3,080 to fill up their cars in 2007, compared to nearly $1,600 in 2001 when President Bush took office.  With three and a half months left in 2008, this year threatens to be much higher.  That is unfair and unacceptable.  We need a new energy policy that acknowledges the complexity of the energy crisis and the need for a comprehensive solution.  No one solution offers a cure-all.

This week, the House of Representatives passed H.R. 6899, the Comprehensive American Energy Security and Consumer Protection Act.  The bill responsibly expands domestic energy supply, invests in renewable energy sources like wind and solar, creates greater energy efficiency and conservation programs, and ends unfair tax breaks for Big Oil.

The bill’s key provisions include:

  • Permitting drilling on the Outer Continental Shelf between 50 and 100 miles offshore if a state enacts an opt-in law to allow leasing off its coastline;
  • Investing in wind, solar, and other renewable energy sources to cut our dependence on fossil fuels and foreign oil, reduce greenhouse gas emissions, and create green jobs;
  • Expanding conservation efforts by providing energy efficient home incentives, improving building standards, and promoting public transportation; and
  • Rolling back tax breaks for Big Oil in a time of record oil company profits and requiring oil companies to pay royalties already owed to taxpayers.


Gas prices won’t plummet overnight, but the Comprehensive American Energy Security and Consumer Protection Act will help ease the pain at the pump by increasing our domestic energy supply, investing in renewable energy sources, improving energy conservation and efficiency, and ending unnecessary tax breaks for Big Oil.  On top of that, Congress has already passed, and the President signed, legislation to increase fuel efficiency and combat oil market speculation.

With the passage of this bill, we are one step closer to getting back on track.  We need a new, family-friendly, comprehensive energy policy signed into law now.

Sincerely,
Congressman Pete Visclosky Signature
Pete Visclosky 
Member of Congress

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Posted by alfred at 12:15 PM - No Comments   Add a Comment  
 
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