Financials, Energy & Natural Resources - Trefis Picks of the Week
Below is a summary of featured articles across the financials, energy, and natural resources sectors that investors may find useful. Here we look at AIG's ( AIG ) "re-IPO" and sale of its MetLife ( MET ) stake, as well as JPMorgan Chase's ( JPM ) Digital Growth Fund investment and Bank of America's ( BAC ) thoughts on the government's new foreclosure plan. In the energy space, we note that ConocoPhillips ( COP ) has stopped exporting oil from Libya. The following selection of articles was drawn from top web publishing sites.
AIG ( AIG )
Under the Microscope: AIG's Second Chance , on March 02, 2011, "Knowledge@Wharton"
AIG will once again sell its stock in public in a "re-IPO" in May this year. This slection looks at the company from the investors point of view, taking into account recent events and the company's efforts to re-capitalize itself.
AIG's Outlook Murky as Core Business Underperforms , on February 28, 2011, "ABC News"
AIG's market value took a hit during the economic crisis and the company had to be bailed out by the U.S. government. Since 2008, AIG has sold 33 businesses and raised more than $57 billion in cash and securities but its core businesses are under-performing, a cause of concern for the investors.
MetLife ( MET )
MetLife Floods Market With Shares To Pay AIG, on March 03, 2011, "Forbes"
The market is flooded with shares of MetLife after the company agreed to let AIG sell its stake, which AIG received as a part of the ALICO acquisition.
Hartford Financial (HIG)
Hartford Financial Services (HIG) Sells Subsidiary, on March 02, 2011, "eMoney Daily"
Hartford has decided to sell its Specialty Risk Services subsidiary to a rival Tennessee claims administrator. The sale is part of the insurer's reorganization to refocus on its core property-casualty and wealth-management businesses.
Fitch Affirms Hartford's Ratings; Outlook Revised to Stable, on February 25, 2011, "Insurance News"
Fitch Ratings has affirmed all Issuer Default Ratings (IDRs), debt and Insurer Financial Strength (IFS) ratings for the Hartford Financial Services Group and its primary life and property/casualty insurance subsidiaries. The Rating Outlook has been revised to Stable from Negative.
The Hartford Launches New Disability Insurance Product for Smaller Businesses, on February 23, 2011, " Insurance Business Review"
The Hartford Financial Services Group has launched a new disability insurance product designed to help small business owners.
Bank of America ( BAC )
Bank of America's Proposed Fees Defy Credit CARD Act Regulations, on March 03, 2011, "Technorati"
Bank of America recently announced its intention to apply new $59 annual fees to about 5% of its existing credit card accounts. This seems to contradict the stipulations instituted by the CARD Act that make it illegal for credit card companies to change the interest rate on a consumer account unless the account holder becomes at least 60 days late on his or her payments.
Why Bank of America Is Crying Over Obama's New Foreclosure Plan, on March 03, 2011, "Bnet"
Bank of America thinks government officials are being unfair in proposing that the company help struggling homeowners by reducing their mortgage balance.
Bank of America to Face Huge Fines for Foreclosure Mess, on February 28, 2011, "Obama.net"
It seems that the issue surrounding the foreclosure mess for Bank of America will take longer to resolve than initially thought.
Bank of America Legal Bill: Up to $1.5 Billion, on February 28, 2011, "Bizjournal"
Bank of America faces legal losses of up to $1.5 billion related to mortgage-securitization lawsuits and similar demands.
JPMorgan Chase ( JPM )
JPMorgan Made $907 Million From Cash Held in Madoff Accounts, Study Says, on March 4, 2011, "Bloomberg"
JPMorgan reportedly made about $907 million in pretax profit from deposits held at the bank by imprisoned Ponzi scheme operator Bernard L. Madoff.
JPMorgan needs $4.5 billion to fight 10,000 legal actions, on March 3, 2011, "Housing Wire"
JPMorgan may need up to $4.5 billion to settle 10,000 legal cases pending against the bank.
New Fund Provides Stake in Twitter for JPMorgan, on February 28, 2011, "NYTimes"
JPMorgan and its Digital Growth Fund is a major investor in a fund operated by Chris Sacca who bought about $400 million worth of shares of Twitter giving it a stake of roughly 9 percent and implying a valuation of $4.2 billion to $4.5 billion for the microblogging site.
Energy & Natural Resources
ConocoPhillips ( COP )
ConocoPhillips: Not Exporting Any Oil From Libya , on March 1, 2011, "Automated Trader"
After sanctions by the U.S. government on Moammar Gadhafi's government, ConocoPhillips has stopped exporting oil from Libya where it has 16.3% stake in Waha concessions.