InBev and Anheuser-Busch Agree to Combine, Creating the Global Leader in Beer with Budweiser as its Flagship Brand
Traitors! After much wrangline, the iconic US beer maker Anheuser-Busch has agreed to sell out to the the evil Belgians. Of course, the two parties pretend that it's no big deal. St. Louis will remain, they say, the headquarters of the flagship Bud brand. Whoo. There are a number of other details about US ops remaining intact, though there will be changes to be sure. Shareholders will be taken out at $70 per share, above the $66.50 they closed at on Friday.
Treasury and Fed Pledge Aid For Ailing Mortgage Giants (WSJ)
So do we know now that Fannie and Freddy do enjoy some special status in the eyes of the government. Is the tacit guarantee of protection a real guarantee of protection? After the news that the Fed will do what it takes to help the ailing companies, you might be tempted to say yes. On the other hand, you'd have to be sure that the Fed wouldn't do the same for other companies, and it's not obvious that in the USSA they wouldn't. So the question is unresolved. You can click the article for the full details.
Rescue plan for US mortgage giants (FT)
Here's more on it from the FT... you know, this whole thing about the US investing in Fannie/Freddie equity. Isn't that the kind of stuff they do in developing countries, where they have funds set aside to stabilize the stock market. What's next, multi-colored bills? Oh, no, we already have that. So what's next, holes drilled in the center of our coins?
Nikkei up 1.1 pct, worries eased by U.S. move (Reuters)
Well the plan to save the world at least made us through the night, as the Nikkei bounced up 1.1 percent on the news.
Earnings Season Savior? (Ticker Sense)
Sweet. Earnings season starts this wee. That always gives us plenty of fodder, interesting excuses for misses, and brand new insights into the economy. Ticker Sense takes a look at what historical data says about what we can expect, stock-wise from the coming earnings season. Naturally we're a bit skeptical, but it's worth checking it out.