Tax-Break Law Could Benefit JPMorgan (WSJ)
JPM is nearing a deal that would allow it to benefit from a tax refund of as much as $1.4 billion, becoming the latest company to tap a little-noticed plank in an economic stimulus bill. That law let companies apply losses from 2008 or '09 against taxes paid in the previous five years, instead of the previous two years. Failed Seattle thrift Washington Mutual is eligible for about $2.6 billion in tax refunds, thanks to big losses in 2008. Now J.P. Morgan, which took over WaMu's banking operations in September 2008, is in discussions with the Federal Deposit Insurance Corp. and bondholders about the refund. According to people familiar with the talks, an agreement under discussion would let J.P. Morgan claim more than half of the total, to be held in an FDIC receivership as part of a larger settlement with bondholders. J.P. Morgan could dip into that pot to satisfy certain claims related to WaMu's collapse.
Wall Street Despised by Americans in Poll Showing Majority Want Regulation (Bloomberg)
Tell us how you...really feel?
Financier Is Pulled Back Into Focus (WSJ)
Louis Bacon has "recorded the largest personal property purchase in U.S. history and is known for stalking prey and for a fondness for polo and other sports." People are talking about this because, you know, the whole raid of his London office on suspicions of insider trading thing.
Plea Anticipated For Former IBM Executive (AP)
Robert Moffat is the latest of Raj Rajaratnam's friends to plead guilty.
Tough-Talking Feinberg Eases A Bit On GMAC (NYT)
According to Mr. Feinberg’s determination letter, GMAC’s compensation committee is free to grant up to $12.5 million of stock to employees that will paid out only if they meet individual performance goals. In addition, the company will be able to award up to another $12.5 million worth of long-term stock at the end of this 2010. That second portion must be approved by Mr. Feinberg and can only be paid out if the company itself turns an annual profit from its continuing operations.
Paul Krugman: Jamie Dimon Was Right (NYT)
About the 19th Century.