Opening Bell: 02.01.13

Barclays CEO Gives Up Bonus For 2012 (WSJ)
Mr. Jenkins, who was named Barclays CEO last year, said in a statement that it was “only right” he give up his pay in light of the various problems that have beset the U.K. bank in recent months. Mr. Jenkins’s predecessor, Robert Diamond, quit the bank following allegations that the bank tried to rig interbank lending rates. Barclays is wrestling with other industrywide issues, including the misselling of payment-protection insurance and interest-rate hedging products. “I have concluded that it would be wrong for me to receive a bonus for 2012 given those circumstances,” Mr. Jenkins said.

Worst Not Over for Spain Banks After Big Writedowns (CNBC)
“The problems for Spanish banking are far from over,” Ashok Shah, chief investment officer at wealth management firm London & Capital, told CNBC on Friday. “The underlying real estate market is only half-corrected,so when it fully corrects over the next year of two, the non-performing loans are going to keep spiking up which will keep eating into the tier-one capital so the need to raise more equity is going to be enormous and very, very pressing indeed.”

‘London Whale’ Sounded an Alarm on Risky Bets (WSJ)
In one instance, Mr. Iksil told another trader that the size of his bets was getting “scary,” according to emails in a Jan. 16 report by J.P. Morgan and to the people familiar with the emails. Mr. Iksil’s emails, according to people familiar with them, show there was concern within J.P. Morgan’s chief investment office before Chief Executive James Dimon dismissed as a “tempest in a teapot” reports on the whale trades, including an April 6 article in The Wall Street Journal. The New York company first disclosed the trading losses in May, and Mr. Dimon subsequently said he was wrong to have played down concerns raised by the news report.

$3.8 Million Bonus For Gorman (NYP)
Morgan Stanley reduced pay by 7.1 percent for Chairman and CEO James Gorman, giving him a $9.75 million package that included a $3.75 million long-term incentive award. The bank almost doubled Gorman’s base salary to $1.5 million from $800,000, according to a regulatory filing yesterday.

Edward Koch, Brash New York Mayor in 1980s Boom, Dies at 88 (Bloomberg)
Serving from 1978 through 1989, Koch presided over the Wall Street-fueled economic boom of the 1980s, turning a $1 billion budget deficit into a $500 million surplus in five years. He restored the city’s credit, doubled the annual budget to $26 billion and oversaw $19 billion in capital improvements. His subsidized housing plan produced more than 156,000 new and renovated units. “Through his tough, determined leadership and responsible fiscal stewardship, Ed helped lift the city out of its darkest days and set it on course for an incredible comeback,” Mayor Michael Bloomberg said today in a statement. He called Koch “an irrepressible icon, our most charismatic cheerleader and champion.” Koch’s in-your-face style, straight talk and catchphrase “How’m I doing?” endeared him to New Yorkers wracked by the lingering fiscal crisis, the Son of Sam serial killings and the arson and looting that erupted after a blackout in July 1977.

Geraldo Rivera considering run for U.S. Senate (NYDN)
“Fasten your seatbelt,” the mustachioed Fox News host said on his radio show Thursday. “I’ve been in touch with some people in the Republican Party in New Jersey. I am truly contemplating running.” The Brooklyn native is eyeing a 2014 bid for the seat currently held by aging Democrat Sen. Frank Lautenberg, who may not seek reelection. Newark’s Democrat mayor, Cory Booker, is exploring a run.

Stifel Stalks Faltering Firms as Wall Street Retrenches (Bloomberg)
Stifel Financial Chief Executive Officer Ron Kruszewski paused in mid-sentence and asked an employee for the list, a chart showing in red which of the St. Louis-based firm’s rivals have closed or sold out. “There’s this huge consolidation,” Kruszewski, 54, said in an interview in his office, referring to the once crowded field of U.S. regional and local brokerages that vied to serve mid-size companies. “What’s left is very few firms that ever were in the middle market. We’re one of them.” About a dozen golf putters lean against a table. Nine floors down, the lobby is being remodeled with glass and white stone, while a bronze bull and bear statue is planned for outside. The way Kruszewski views it, St. Louis is now the No. 2 U.S. brokerage hub after New York…

Economy Adds 157,000 Jobs (WSJ)
Economists surveyed by Dow Jones Newswires expected nonfarm payrolls to rise by 166,000 and that the unemployment rate would hold steady at 7.8%.

U.S. Sues to Block Big Beer Merger (WSJ)
The surprise lawsuit seeks to block Bud Light maker Anheuser-Busch InBev NV’s deal with the Mexican company that owns the Corona brand, and comes just a day after concession talks with the government broke down. U.S. authorities said they want to prevent any overcharging by the global giants that dominate mass-market brews.

Burger King admits it has been selling beef burgers and Whoppers containing horsemeat (DM)
The fast food chain, which has more than 500 UK outlets, had earlier given a series of ‘absolute assurances’ that its products were not involved. However, new tests have revealed these guarantees were incorrect in a revelation that threatens to destroy the trust of customers. The contamination has been going on since at least last May and potentially for up to one year, according to evidence presented earlier this week. Tonight Burger King abandoned its earlier denials, saying: ‘Four samples recently taken from the Silvercrest plant have shown the presence of very small trace levels of equine DNA. Burger King vice president, Diego Beamonte, said: ‘We are deeply troubled by the findings of our investigation and apologise to our guests, who trust us to source only the highest quality 100per cent beef burgers. Our supplier has failed us and in turn we have failed you. We are committed to ensuring that this does not happen again.’ He added: ‘We will dedicate ourselves to determining what lessons can be learned and what additional measures, including DNA testing and enhanced traceability controls, can be taken to ensure that we continue to provide you with the quality products you expect from us.’

80 comments (hidden to protect delicate sensibilities)
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Comments (80)

  1. Posted by Guest | February 1, 2013 at 9:52 AM

    Way to go Shazzer.

  2. Posted by ignorant teen | February 1, 2013 at 9:53 AM

    people expect quality products from burger king?

  3. Posted by Guest | February 1, 2013 at 9:56 AM

    Stupid horses

    -Chic-fila Cow

  4. Posted by Secretariat | February 1, 2013 at 9:56 AM

    Eat me.

  5. Posted by Deleveraging | February 1, 2013 at 9:56 AM

    I'm not a consumer of fast food, but who cares if it is horse meat. Do consumers feel cheated that they are not getting genetically modified, hormone enhanced, fat laden beef?

    DOJ: Never mind the merger, make them stop brewing their beer with rice. It tastes like piss.

  6. Posted by take the over | February 1, 2013 at 9:56 AM

    What's the symbol for Shazer ?

  7. Posted by Guest | February 1, 2013 at 9:59 AM

    No, eat us first!

    -Noel Sisters

  8. Posted by PermaGuestII | February 1, 2013 at 10:00 AM

    RIP Mayor Koch. You did well, sir.

  9. Posted by guest | February 1, 2013 at 10:02 AM

    Wheres your crown king nothing!

    -UBS Metallica Quant

  10. Posted by Shazdaq | February 1, 2013 at 10:02 AM

    8==o

  11. Posted by 5yr old | February 1, 2013 at 10:04 AM

    ===========D
    ( ) ( )

  12. Posted by Guest | February 1, 2013 at 10:07 AM

    "Burger King admits it has been selling beef burgers and Whoppers containing horsemeat"

    I thought they taste familiar.

    -M. Broderick

  13. Posted by Bejujular | February 1, 2013 at 10:07 AM

    0

  14. Posted by Bejujular | February 1, 2013 at 10:08 AM

    I think we better ask Jack Welch just to be sure.

  15. Posted by Guest | February 1, 2013 at 10:10 AM

    When I was a kid, I used to call them booger king.

  16. Posted by Inner Matt Thoughts | February 1, 2013 at 10:12 AM

    Apparently because of the Super Bowl, Bess has asked (forced) the Dealbreaker team to wear our favorite NFL player jersey. I showed up to work without one, wearing my typical non-offensive, yet tastefully put together business casual attire. If my style was a car it would be a beige Toyota Camry. Bess is wearing a Dick Butkus jersey, which I assume is merely so she can make constant jokes and puns regarding the humorous nature of the man’s name. She also made her Buffalo wing dip that she makes entirely too spicy for my liking. Then there is Shazar. Shazar didn’t wear one, but his Chihuahua did. Paris is currently done up in a custom made pink 49ers jersey. Shazar even went as far as to paint the dogs nails pink. He said he had the stuff lying around his apartment and put it together last night. That got me thinking; Shazar not only has spare pink fabric lying around, but also pink nail polish. It's not even 10:30am and I want to go home.

  17. Posted by Texashedge | February 1, 2013 at 10:20 AM

    Look's like the Burger King's rein may have ended

  18. Posted by J. Jones, Dallas, TX | February 1, 2013 at 10:21 AM

    What brand of panties are they sellin' in the Superdome this weekend?

  19. Posted by guest | February 1, 2013 at 10:26 AM

    “Fasten your seatbelt,” the mustachioed Fox News host said on his radio show Thursday.

    Does he know that by telling people to fasten their seat belts, by definition, he is warning them that the chances of something happening have increased?

    -Trader who is reminded of the clown (a literal clown) who won a seat in congress in Brazil with the tagline "it can't get any worse".

  20. Posted by Tulsa Oil Pro | February 1, 2013 at 10:27 AM

    They've been saddled with a whopper of a problem.

  21. Posted by Texashedge | February 1, 2013 at 10:28 AM

    Whatever happens, I'm glued to my seat.

  22. Posted by Horsey | February 1, 2013 at 10:29 AM

    Neigh.

  23. Posted by guest | February 1, 2013 at 10:30 AM

    I'd imagine they'll get quite a grilling from regulators over this.

  24. Posted by Mr. Ed | February 1, 2013 at 10:36 AM

    The Bastards!!

  25. Posted by A Guy | February 1, 2013 at 10:36 AM

    Sales could stall.

  26. Posted by C. Christie | February 1, 2013 at 10:46 AM

    Are you trying to say you're better than me?

    -UBS MD

  27. Posted by ShazgetsIt | February 1, 2013 at 10:49 AM

    They probably are mad at the cow or sumpthin.

  28. Posted by Guest | February 1, 2013 at 10:53 AM

    Burger King may have thrown the other shoe.

  29. Posted by Amish Drive-By | February 1, 2013 at 11:00 AM

    At least BK management isn't having to harness race issues this time.

  30. Posted by Hobbes | February 1, 2013 at 11:02 AM

    I don't know why the US didn't sue sooner, paying anything for Bud Light is overcharging.

    – Beer snob

  31. Posted by firsttime,longtime | February 1, 2013 at 11:04 AM

    noel fillies comments are so nostalgic

  32. Posted by BK Marketing | February 1, 2013 at 11:05 AM

    I bridled at that comment.

  33. Posted by Guest | February 1, 2013 at 11:12 AM

    "Fasten your seatbelt…. we're going for a moustache ride."

  34. Posted by Mike Larson | February 1, 2013 at 11:13 AM

    "<img src=""http://www.ladyoffice.com/new/images/yue.jpg""/&gt; Booger King! Yes, we had that name for it too!<img src=""http://www.ladyoffice.com/new/images/lyue.jpg""/&gt;
    "

  35. Posted by Stable Returns | February 1, 2013 at 11:15 AM

    Sarah Jessica Parker cares. She's had to go into hiding.

  36. Posted by B. Frank | February 1, 2013 at 11:21 AM

    I do not agree with the ideological view of Mr. Rivera, but I would like a mustache ride.

  37. Posted by guest | February 1, 2013 at 11:26 AM

    "did well" = New York was a cesspool during the 80s, crack epidemic, highest murder rate in the country during his reign, dilapidated Manhattan, homeless EVERYWHERE, bankers carrying snub nose .38s for fear of being gunned down outside of le bernardin

    did well indeed………..

  38. Posted by DB Compliance | February 1, 2013 at 11:28 AM

    guest adhering to the "just because he's gone we won't kiss his ass policy"…We think it's ok

  39. Posted by B. Frank United | February 1, 2013 at 11:30 AM

    Stand up for what you believe in.

  40. Posted by Laxbro | February 1, 2013 at 11:32 AM

    yoga pants on a slam who grew up riding equestrian >>>>>>>>>>>>>>>>>>>

  41. Posted by PermaGuestII | February 1, 2013 at 11:35 AM

    Town was a hell of a lot worse in the '70s. Koch started the turnaround. Now I'm sorry he wasn't as great a mayor as your heroes Abe Beam and David Dinkins, but he did pretty fucking well with the hand he was dealt.

  42. Posted by Long un | February 1, 2013 at 11:36 AM

    Guy behind the counter at BK aked me what I wanted on my Whopper, I said "£5 to win"

  43. Posted by Pau Shazaul | February 1, 2013 at 11:36 AM

    Hopefully just basic white cotton underwear……mmmmmmmmm

  44. Posted by Guest | February 1, 2013 at 11:42 AM

    Father – "Wait are we in Hell's Kitchen?"
    Me – "Yes"
    Father – "Wow, I remember when this place used to be called "Hell's Kitchen for a reason"
    He then went on to ramble about how you couldn't walk through Central Park without seeing some dead dude with a needle in his arm.

  45. Posted by Guesteban | February 1, 2013 at 11:45 AM

    But this is going to whip customers into a frenzy… and just as BK is jockeying for position in the UK fast-food market. This could really hurt them down the homestretch.

  46. Posted by Gabby Giffords | February 1, 2013 at 11:48 AM

    Hee Haw!

  47. Posted by Mr. Ed, CFA | February 1, 2013 at 11:57 AM

    Hey!

  48. Posted by VonSloneker | February 1, 2013 at 11:57 AM

    Got his nose broken by a chair and took the world on a journey to Al Capone's empty vaults…

    I would say he has no qualifications, but then I remember Stuart Smalley is a senator.

  49. Posted by guest | February 1, 2013 at 11:57 AM

    turn around? 1978-1990 = homicides 2k/yr, robberies 100k/yr, peaks in every violent crime category…..

  50. Posted by Raj | February 1, 2013 at 12:00 PM

    Ah, miss those days.

  51. Posted by PermaGuestII | February 1, 2013 at 12:08 PM
  52. Posted by guest | February 1, 2013 at 12:12 PM

    *

  53. Posted by Barbaro | February 1, 2013 at 12:13 PM

    real original.

  54. Posted by Incitatus | February 1, 2013 at 12:18 PM

    Don't forget the Arsenio appearance sans clothing.

    And this man wants to be a POLITICIAN! The mind boggles.

  55. Posted by PermaGuestII | February 1, 2013 at 12:20 PM

    SHZTQ

  56. Posted by Texashedge | February 1, 2013 at 12:20 PM

    ^best one

  57. Posted by Shazared | February 1, 2013 at 12:20 PM

    Fasten your seatbelt, you're on board the Monkey Business. -G. Hart

  58. Posted by guest | February 1, 2013 at 12:21 PM

    Your fellow special ed kids must have loved that.

  59. Posted by Incitatus | February 1, 2013 at 12:22 PM

    This thread has reaffirmed my faith in the DB commentariat.

  60. Posted by Brudda | February 1, 2013 at 12:23 PM

    Gotta start with SJP.

  61. Posted by guest | February 1, 2013 at 12:25 PM

    Why do you think this cotton underwear thing is funny? It's just odd.

  62. Posted by MQG Compliance | February 1, 2013 at 12:31 PM

    Make sure your screen isn't in view of a TV camera when perusing this site.

  63. Posted by Laxbro | February 1, 2013 at 12:37 PM

    What makes yoga pants great is knowing the smash puppy lounging in my apartment is going to take them off soon. Nothing like sending a slam a "COME OVER" late-night text and she shows up in Burberry rain boots, a Patagonia bubble with cozy sweater underneath and yoga pants. Bonus points when you ask her what's the password as you open the door and she hands you a plate of fresh baked cookies. Long story short, a website with pics of rando girls in them does nothing for me. Those little p-j shorts are also hella acceptable.

  64. Posted by guest | February 1, 2013 at 12:40 PM

    Ever heard of Mad Horse Disease? Exactly! so STFU!

    -B. King

  65. Posted by Guest | February 1, 2013 at 12:44 PM

    Did anyone else think that was cum dripping out of his mouth?

  66. Posted by DB Commentator | February 1, 2013 at 1:03 PM

    You heard it straight from the horse's mouth.

  67. Posted by Guest | February 1, 2013 at 1:04 PM

    What cotton underwear thingy?

  68. Posted by Jerry Jones Briefer | February 1, 2013 at 1:26 PM

    For those of you who don't know, Jerry worked a deal to sell Victoria Secret lingerie — with Cowboy logos — inside the billion dollar stadium he and the City of Arlington, TX built. Bras, panties, garter belts, pjs, etc will be for sale along with foam fingers and anything you can stick a star on. Romo jersey sales will be down. Inside a football stadium. Brahs and bras, bros.

    No NFL championship for more than 17 years but you can get your crotchless panties thanks to Jerry's intellectual capital.

  69. Posted by guestbrit | February 1, 2013 at 1:40 PM

    I knew their burger gave me the trots.

  70. Posted by barry | February 1, 2013 at 2:00 PM

    i blame george bush

  71. Posted by Guest | February 1, 2013 at 2:01 PM

    Koch was a lifelong bachelor, and his sexual orientation became an issue in the 1977 mayoral election with the appearance of placards and posters with the slogan "Vote for Cuomo, Not the Homo." During the campaign and after becoming mayor, Koch began attending public events with former Miss America, well-known television game show panelist and consumer advocate Bess Myerson.

    Bess, any relation?

  72. Posted by Guest | February 1, 2013 at 2:09 PM

    I'm surprised they didn't notice something was a-foal earlier.

  73. Posted by guest | February 1, 2013 at 2:30 PM

    Hold your horses, he replied.

  74. Posted by DB Compliance | February 1, 2013 at 3:58 PM

    Actually you should blame the majority that keeps this charade going….You'll be getting a call from us soon "barry".

  75. Posted by Guest | February 1, 2013 at 4:04 PM

    Stop mocking King Snowball!

  76. Posted by guest | February 14, 2013 at 10:50 AM

    <iframe width="560" height="315" src="http://www.youtube.com/embed/fzHNdEJ_uz8&quot; frameborder="0" allowfullscreen></iframe>

  77. Posted by guest | February 14, 2013 at 10:51 AM

    <object width="560" height="315"><param name="movie" value="http://www.youtube.com/v/fzHNdEJ_uz8?hl=en_GB&amp;version=3"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/fzHNdEJ_uz8?hl=en_GB&amp;version=3&quot; type="application/x-shockwave-flash" width="560" height="315" allowscriptaccess="always" allowfullscreen="true"></embed></object>

  78. Posted by guest | February 14, 2013 at 10:53 AM
  79. Posted by guest | February 14, 2013 at 10:54 AM
  80. Posted by guest | February 14, 2013 at 10:56 AM

    <iframe width="560" height="315" src="https://www.youtube.com/embed/fzHNdEJ_uz8&quot; frameborder="0" allowfullscreen></iframe>