Bill Gross told rival Gundlach: ‘I am Kobe, you are LeBron’ (Reuters)
It was one of the most extraordinary meetings in the history of the bond market. Two of the biggest-ever names in fixed-income investing, Bill Gross and Jeffrey Gundlach, fierce rivals who had never previously talked, held a secret meeting over glasses of lemonade, water, and plates of crudites about whether to join forces. In the week of Sept. 15, just before Gross shocked the investment world on Sept. 26 by storming out of Pimco, he approached Gundlach and dropped a bombshell. According to Gundlach, Gross said he was about to be fired by the firm he had helped launch more than four decades ago and had built into a $2 trillion investment powerhouse. […] Gundlach said that Gross called him out of the blue. “Bill called through the DoubleLine switchboard,” said Gundlach. Skeptical that it was really Gross, Gundlach said he “told the receptionist to take a number and then call it to verify it was not some prankster. A couple of hours later I called Bill from home.” […] Discussing their potential legacies, Gundlach said Gross spun an analogy to National Basketball Association star players Kobe Bryant and the younger LeBron James. “I am Kobe. You are LeBron James,” Gross told Gundlach. “I have five rings, you have two rings – probably going to five,” a reference to the number of NBA championships the two players have each won.
Trio of Officials Key to AIG Bailout Face Grilling (WSJ)
Besides Mr. Bernanke, other high-profile witnesses will include former U.S. Treasury Secretary Henry Paulson and former Federal Reserve Bank of New York President Timothy Geithner. Court filings indicate each will field hours of questions. The lawsuit argues that the government cheated shareholders of $40 billion. It was filed by Starr International Co., an investment and charitable firm run by Mr. Greenberg that was AIG’s largest shareholder in 2008. The judge overseeing it in the U.S. Court of Federal Claims has certified it as a class action, and about 300,000 shareholders would share any award.
Hackers’ Attack Cracked 10 Financial Firms in Major Assault (Dealbook)
Questions over who the hackers are and the approach of their attack concern government and industry officials. Also troubling is that about nine other financial institutions — a number that has not been previously reported — were also infiltrated by the same group of overseas hackers, according to people briefed on the matter. The hackers are thought to be operating from Russia and appear to have at least loose connections with officials of the Russian government, the people briefed on the matter said.
Hewlett-Packard Plans to Break in Two (WSJ)
Hewlett-Packard Co. plans to separate its personal-computer and printer businesses from its corporate hardware and services operations, the latest attempt by the technology company to improve its fortunes by breaking itself in two. The company intends to announce the move on Monday, people familiar with the plan said. It is expected to make the split through a tax-free distribution of shares to stockholders next year, said one of the people. If the division goes off as planned, it would give rise to two publicly traded companies, each with more than $50 billion in annual revenue.
Poker Pro Says He Preys on Casinos With All Legal Means (Bloomberg)
Phil Ivey, a 10-time winner of the World Series of Poker tournament who’s suing a Genting Bhd. unit for 7.7 million pounds ($12.3 million) in unpaid winnings, said he uses every strategy that is legal to boost his chances. “As a professional gambler, my job is to seek to lawfully reverse or reduce the perceived house edge,” Ivey said in a witness statement on the second day of a London trial. Ivey, 38, won the money playing a form of Baccarat called Punto Banco, using a technique known as edge sorting, at Genting’s Crockfords casino in London, according to his lawyers. Genting refused to pay up, saying the practice is unfair. “I would not be doing my job very well if I did not seek to use to my benefit weaknesses that I identify in the way that casinos set up or offer particular casino games,” he said in his statement made available by the court.
Man Floating In Bubble Rescued By Coast Guard (AP)
A longtime endurance runner and peace activist whose latest goal was to reach Bermuda in a homemade floating “Hydro Pod” was rescued by the U.S. Coast Guard on Saturday after he began suffering from fatigue. Coast Guard air crew were able to safely pick up Reza Baluchi and the bubble Saturday morning, Coast Guard spokeswoman Marilyn Fajardo said in a statement. He was transported to a nearby Coast Guard station and found to be uninjured, Fajardo said…The “Hydro Pod” is a large bubble made of 3-mm- (0.11-inch)-thick plastic, Baluchi’s website, “Run With Reza” says. The bubble, which he propelled forward by running inside and pushing it with his arms, was housed in a large aluminum-type frame studded at intervals with inflated soccer balls. A man who appears on a video during the bubble’s construction compares it to a hamster wheel. According to the site, Baluchi planned to run in the bubble in the mornings, cool off in the sea while leashed to the floating sphere, and sleep in a hammock inside it at night. In addition to the protein bars the Coast Guard said it found in his bubble, he planned to catch and eat fish, the site said. Read more »