Heart Health, Inc. (PINK SHEETS: HHEL) announces that on March 3, 2010 that the company acquired all the assets of Blue Gold Beverage, Inc. to begin the business of a private label water and beverage operation in exchange for 40,000,000 of restricted common stock of HHEL.

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ATLANTA–(BUSINESS WIRE)–The U.S. Small Business Administration reminds homeowners, renters, businesses and non-profit organizations of the deadline to submit disaster loan applications for physical damage caused by a tornado and severe storms that occurred on October 9, 2009 in Kentucky. The deadline to file an application for physical damage is December 28, 2009 . Homeowners, renters, non-profit organizations and businesses of all sizes in Casey County and the adjacent counties of Adair, Boyle, Lincoln, Marion, Pulaski, Russell and Taylor in Kentucky are eligible to apply for physical disaster assistance. The SBA offers loans up to $200,000 to repair disaster damaged primary residences. Homeowners and renters are eligible for loans up to $40,000 to replace personal property such as furniture, appliances and clothing. Loans to businesses and non-profit organizations of all sizes are available up to $2 million to repair or replace damage to real estate, machinery, inventory and equipment. SBA Economic Injury Disaster Loans (EIDLs) are available to small businesses and most private non-profit organizations of all sizes to help meet working capital needs caused by the disaster. EIDL assistance is available regardless of whether the business suffered any property damage. Interest rates are as low as 2.750 percent for homeowners and renters and 4 percent for businesses with terms up to 30 years. Loan amounts and terms are set by SBA and are based on each applicant’s financial condition. The SBA also offers mitigation funds to disaster victims up to 20 percent of the verified physical damage. These funds are designed to help borrowers pay for protective measures which may prevent damages of the same kind in the future. To obtain program information or a loan application, call the SBA’s Customer Service Center at 1-800-659-2955 (1-800-877-8339 for the hearing-impaired) Monday through Friday from 8 a.m. until 9 p.m. EST or by sending an e-mail to disastercustomerservice@sba.gov . Business loan applications can also be downloaded from the SBA Web site at www.sba.gov/services/disaster assistance . Completed applications should be mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155. Those affected by the disaster may apply for disaster loans from SBA’s secure Web site at https://disasterloan.sba.gov/ela/ . The filing deadline to return applications for physical damage is December 28, 2009 . The deadline to return economic injury applications is July 29, 2010 . For more information about the SBA’s Disaster Loan Programs, visit our Web site at www.sba.gov/services/disasterassistance . Release Number: 10-092, KY 11922/11923 Original post: SBA’s Disaster Assistance Deadline for Physical Damage Is December 28 (Business Wire)

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STOCKHOLM (AFP) – Swedish luxury carmaker Koenigsegg said Tuesday it was giving up its bid to buy Saab Automobile from its US parent General Motors due to costly delays, plunging Saab’s future into doubt. “We regret that after six months of intense and goal-oriented work we have come to the painful and difficult conclusion that we are not going to be able to carry out the acquisition of Saab Automobile,” the head of the company, Christian von Koenigsegg, said in a statement. Koenigsegg announced in September that it had teamed up with Beijing Automotive Industry Holding Co Ltd (BAIC) to buy Saab from GM. But it still needed a 400-million-euro (600-million-dollar) loan from the European Investment Bank and wanted the Swedish government to act as a guarantor. Swedish media have suggested that Saab was running short of money to continue its day-to-day operations, and doubts have flourished among experts about whether Koenigsegg would have the expertise to run a major car company. Koenigsegg Group, founded in 1994, has just 45 employees and produces 18 high-end sports cars a year at more than one million euros (1.4 million dollars) each. Saab, by contrast, employs 3,400 people in Sweden alone and sold just over 93,000 cars worldwide in 2008. Koenigsegg initially announced its plan to acquire Saab in June, and the deal was originally expected to be concluded by the end of October but has been repeatedly delayed. The Swedish government, which has refused to take a stake in the struggling carmaker, as of Tuesday had still not decided whether to act as guarantor for the EIB loan. “The time factor has from the beginning been critical for our strategy to breathe new life into the company,” von Koenigsegg said in the statement. “Unfortunately, delays in completing the deal have led to risks and uncertainties that prevent us from successfully carrying out our business plan for Saab Automobile.” In an interview with Swedish news agency TT, he stopped short of blaming the government for the delay. “I don’t want to point the finger. It’s an incredibly complicated process,” he said. “We had a business plan but when Saab is bleeding and can’t grow as long as we’re waiting (for a decision), the economic implications and outcome of our business plan become too unclear,” he said. GM’s chief executive Fritz Henderson said the company was “disappointed” by Koenigsegg’s decision. “Given the sudden change in direction, we will take the next several days to assess the situation and will advise on the next steps next week,” he said. GM recovery hits road bump with Saab sale terminated Saab spokesman Eric Geers told AFP that Koenigsegg’s decision came as “a surprise.” “We’ll see what happens now. It’s up to GM,” Geers said. The head of the influential IF Metall union at Saab, Paul Aakerlund, was dismayed by the news. “This is a heavy time for all of us,” he said. Under GM’s stewardship spanning almost two decades, Saab rarely posted a profit and last year lost 3.0 billion kronor (241 million euros, 341 million dollars at the time). While some 3,400 people are employed at Saab’s factory in Trollhaettan, a town of 55,000 in southwestern Sweden, another 12,000 work for suppliers or subcontractors that directly rely on the automaker for their income. David Cole, chairman of the Center for Automotive Research in the US state of Michigan, said Tuesday’s announcement was “not that big a deal” for GM, suggesting it may find another buyer for Saab given how many cash-rich Chinese companies are jockeying for a position in the global auto industry. GM could also decide to hold on to Saab, as it did with German carmaker Opel, to further strengthen its European position, or shut it down. Rebecca Lindland, director of automotive research at consultants IHS Global Insight, said however that it was unlikely GM will hold onto Saab and finding another buyer might be difficult. “We’re hearing rumours of a wind-down which would be dreadful,” Lindland told AFP. “You have these really iconic names that are just dropping off.” Read the original here: Swedish firm gives up bid for Saab

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STURTEVANT, Wis. & NEW YORK–(BUSINESS WIRE)–JohnsonDiversey, Inc. and Clayton Dubilier & Rice, LLC (“CD&R”) today announced the completion of a previously announced agreement under which CD&R-managed funds are investing $477 million for an approximate 46 percent equity interest in the company as part of a broader recapitalization transaction valued at $2.6 billion. In addition, the company will be simplifying its name to “Diversey, Inc.,” preserving the strong global brand equity in the current name and retaining the depiction of a water lily in its logo, a reflection of the Johnson Family heritage of environmental leadership. The name change is expected to take effect in early 2010. The recapitalization provides the company with the financial flexibility to accelerate growth in the global commercial cleaning and hygiene market. In addition to the CD&R fund investment, the transaction includes a debt financing package of approximately $1.9 billion. The new financing package includes $400 million of privately placed senior notes, $250 million of privately placed holding company PIK notes and $1.25 billion of senior secured credit facilities with a $250 million revolving credit facility. The Johnson Family of Racine, Wisconsin, retains approximately 50 percent ownership in the company. Unilever retains a 4% ownership interest. “The recapitalization and equity investment by CD&R gives us both financial flexibility as well as access to the firm’s significant operating expertise to help us grow our business and expand our capabilities in delivering products, services and solutions that contribute to a cleaner, healthier future,” said JohnsonDiversey Chairman S. Curtis Johnson. CD&R looks forward to helping the company achieve new levels of growth, added CD&R Partner Richard J. Schnall. “The transaction exemplifies many elements required today for successful private equity investing – insight to understand value in an uncertain economic environment, strong relations with financing sources, and a high level of credibility with sellers of businesses,” Schnall said. JohnsonDiversey President and CEO Ed Lonergan added, “CD&R has an outstanding track record of creating value in the companies in which it invests. We’re confident this transaction will be a success for all stakeholders.” JohnsonDiversey recently announced two new initiatives to reinforce its leadership position in the global commercial cleaning and hygiene market and its commitment to public health. The company announced yesterday the creation of an Internet-based resource, www.outbreakcontrol.com , to address the H1N1 global pandemic by providing valuable information on disinfection and facility hygiene. Earlier in November, JohnsonDiversey announced it had tripled to 25% its pledge to reduce the company’s greenhouse gas emissions by 2013 under the World Wildlife Fund Climate Savers program (see prior press release dated November 5, 2009). These actions further reinforce JohnsonDiversey’s commitment to providing cleaner, healthier and more sustainable facilities for its customers in the building management, lodging, food service, retail, health care, and food and beverage sectors. Advisors Goldman, Sachs & Co. and Citigroup Global Markets Inc. served as financial advisors to JohnsonDiversey on the transaction. Jones Day served as the company’s legal advisor. Barclays Capital Inc., HSBC Securities (USA) Inc., Natixis, Rabobank Securities, Inc. and RBC Capital Markets served as financial advisors to CD&R. Debevoise & Plimpton LLP served as CD&R’s legal advisor. Serving the Johnson Family shareholders were BDT Capital Partners, Inc. and the law firm of McDermott Will & Emery LLP. Further information about the transaction is contained in various current reports on Form 8-K, filed with the Securities and Exchange Commission and available at www.johnsondiversey.com . ABOUT CLAYTON, DUBILIER & RICE Founded in 1978, Clayton, Dubilier & Rice, Inc. is a private equity firm with an investment strategy predicated on producing superior financial returns through building stronger, more profitable businesses. The Firm’s professionals include a combination of financial and operating executives. Since inception, CD&R has managed the investment of more than $12 billion in 45 U.S. and European businesses representing a broad range of industries with an aggregate transaction value of approximately $70 billion and revenues of nearly $100 billion. CD&R’s portfolio investments include global market leaders such as Hertz (NYSE: HTZ – News ), Sally Beauty (NYSE: SBH – News ), U.S. Foodservice and ServiceMaster. The Firm is based in New York and London. www.cdr-inc.com . ABOUT JOHNSONDIVERSEY JohnsonDiversey Inc. is committed to a cleaner, healthier future. Its products, systems and expertise make food, drink and facilities safer and more hygienic for consumers and for building occupants. With sales into more than 175 countries, JohnsonDiversey is a leading global provider of commercial cleaning, sanitation and hygiene solutions. The company serves customers in the building management, lodging, food service, retail, health care, and food and beverage sectors. JohnsonDiversey is headquartered in Sturtevant, Wisconsin, USA. www.johnsondiversey.com . Photos/Multimedia Gallery Available: http://www.businesswire.com/cgi-bin/mmg.cgi?eid=6107574&lang=en MULTIMEDIA AVAILABLE: http://www.businesswire.com/cgi-bin/mmg.cgi?eid=6107574 Read more from the original source: JohnsonDiversey and Clayton, Dubilier & Rice Announce Closing of Equity Investment and Company Recapitalization (Business Wire)

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By Jeannine Aversa, The Associated Press WASHINGTON – The economy grew at a 2.8 per cent pace last quarter, as the recovery got off to a slower start than first thought. The Commerce Department’s new reading on gross domestic product wasn’t as energetic as the 3.5 per cent growth rate for the July-September period estimated just a month ago. The main factors behind the downgrade: consumers didn’t spend as much, commercial construction was weaker and the nation’s trade deficit was more of a drag on growth. Businesses also trimmed more of their stockpiles, another restraining factor. The new reading on GDP, which measures the value of all goods and services produced in the United States – from machinery to manicures – was a tad weaker than the 2.9 per cent growth rate economists surveyed by Thomson Reuters had expected. Still, the good news is that the economy finally started to grow again, after a record four straight losing quarters. The bad news is that the rebound, now and in the months ahead, probably will be lethargic. The worst recession since the 1930s is very likely over, but the economy’s return to good health will take time, Fed officials and economists say. Growth probably won’t be strong enough to quickly drive down the nation’s unemployment rate, currently at 10.2 per cent. It’s only the second time in the post-World War II period that unemployment has topped 10 per cent. Some economists think economic growth will slow to around a 2.5 per cent pace in the current quarter, although others say it could clock in at about 3 per cent if holiday sales are better than expected. Most say they think the economy will weaken again next year, with growth at a pace of around 1 per cent as the impact of the US$787 billion stimulus package fades and consumers keep tightening their belts under the strain of high unemployment and hard-to-get credit. Much of the economy’s return to growth last quarter reflected federal support for spending on homes and cars. But Tuesday’s report shows that some of that spending was a bit less robust than initially thought. Spending on homes and other residential projects soared at an annualized pace of 19.5 per cent last quarter, a little slower than the 23.4 per cent rate first estimated. Spending on big-ticket “durable” goods – including cars – jumped at a pace of 20.1 per cent, down from 22.3 per cent. Even with the downward revisions, it was notable that such spending grew, after falling in the previous quarter. In the third quarter, the popular Cash for Clunkers rebates and an $8,000 tax credit for first-time homebuyers juiced up sales of cars and homes. The clunkers program ended in August, but the tax credit has been extended and expanded beyond first-time buyers. What’s not clear is whether the recovery can continue after government supports are gone. If consumers clam up, the economy could tip back into recession. President Barack Obama recently cautioned that the economy could suffer a “double dip” downturn. Fed Chairman Ben Bernanke, however, says he doesn’t think that will happen. But last week the Fed chief did warn the recovery faces “important headwinds,” such as tight credit and a weak job market that will make consumers cautious in their spending. Those factors “likely will prevent the expansion from being as robust as we would hope,” Bernanke said. Tuesday’s report showed that overall consumer spending – a major shaper of national economic activity – grew at a pace of 2.9 per cent last quarter. That was down from a 3.4 per cent growth rate first estimated, but still marked the best showing since early 2007. On the business side, companies cut back spending on commercial construction – a weak spot in the economy – at 15.1 per cent annualized pace. That was deeper than the 9 per cent annualized cut back first estimated. Businesses also trimmed stockpiles of goods by $133.4 billion last quarter, slightly more than initially estimated. And the nation’s trade deficit ended up shaving 0.83 percentage point off GDP last quarter, more than first thought. Unlike past rebounds that were driven by the spending of everyday Americans, this one appears to hinge on spending by businesses, foreigners and – until it runs out – the government. In an encouraging note on that front, businesses after-tax profits grew at a 13.4 per cent pace last quarter, up from a 0.9 per cent pace in the prior period, Tuesday’s report showed. In 1980, businesses led an economic recovery. It quickly fizzled, and the economy fell into a severe recession in 1981 and 1982. The unemployment rate climbed to 10.8 per cent, the post-World War II high. The government makes three estimates of economic activity for any given quarter. Each is based on more complete data. Tuesday’s was the second reading of the third-quarter GDP data. The return of economic growth puts the White House in a delicate position: Obama wants to take credit for ending the recession, but unemployment is still causing pain and anxiety nationwide. Millions have yet to feel a benefit from the recovery in the form of a new job or even an easier time getting a simple loan. Even those with jobs are reluctant to go on a spending spree. The values of their homes and 401(k)s have not fully recovered. Some economists think the jobless rate could climb as high as 11 per cent by the middle of next year before making a slow descent. It could take at least four years for the unemployment rate to drop back down to more normal levels. “The best thing we can say about the labour market right now is that it may be getting worse more slowly,” Bernanke said last week. Against that backdrop, Obama said he’s weighing tax breaks that could encourage businesses to hire again. Original post: Economy grows at 2.8 per cent pace in 3rd quarter, rebound slower than first thought

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The WSJ is starting to “get it” when it comes to housing: Nearly 10.7 million households had negative equity in their homes in the third quarter, according to First American CoreLogic, a real-estate information company based in Santa Ana, Calif. …. Home prices have fallen so far that 5.3 million U.S. households are tied to mortgages that are at least 20% higher than their home’s value, the First American report said. More than 520,000 of these borrowers have received a notice of default, according to First American. …. Homeowners in Nevada, Arizona, Florida and California are more likely to be deeply under water, according to the analysis. In Nevada, for example, nearly 30% of borrowers owe 50% or more on their mortgage than their home is worth, said First American. More than 40% of borrowers who took out a mortgage in 2006 — when home prices peaked — are under water. Prices have dropped so much in some parts of the U.S. that some borrowers who took out loans more than five years ago owe more than their home’s value. This is the consequence of making loans that you have no reasonable expectation can and will be paid on the original terms. Folks, this is really quite simple when you distill it all down.  It comes down to the underlying free-market principle of sound lending: The check and balance for both borrowers and lenders against making or taking out bad loans – that is, loans that you will not be able to pay as agreed – is that both lender AND borrower will go bankrupt . The gross injustice in our nation today is that over the last twenty years we have increasingly forced borrowers who take out bad loans to not only go bankrupt but be unable to discharge their debt, so long as they are individuals .  The corporate bankrupt, however, maintain their “corporate veil” and thus can file Chapter 11 – or 7 – with impunity. This is the root of the problems in our economy.  It is the root cause of the credit bubble.  It is the root cause of the housing bubble and the ridiculously-pumped pulled-forward demand curve that is now inexorably collapsing, despite the protests of The Fed, Treasury and The Administration. We will not return to a balanced economy capable of organic growth so long as this imbalance exists.  We are precisely emulating the idiotic and in fact criminally-insane stupidity that was practiced in Japan when their property bubble imploded.  Desperate to protect the politically-connected banking interests that had become entrenched as a result of structural decisions within the Japanese Central Banking system the Japanese government knelt before the banking interests and allowed them to sweep their bad debt under the carpet. But that bad debt constrained lending and business activity, just as it has and is here.  This in turn prevented real economic expansion, just as it is here.  GDP growth was all government spending, but constrained in the ability to tax by weak consumption and pricing power, the government found itself on the business end of a debt ratio spiral – just as we are now here. The root cause in both cases is the concept of “primary dealers” – favored banks that in our case are the “agents” of The Federal Reserve and who deal with The Fed and Treasury in the market for federal debt. By creating these “Super Banks” the government and Fed have put the bank before the nation, and allowed themselves to be led around by the nose – literally.  What other explanation is there for UBS, for example, retaining its banking charter after admitting that it helped Americans intentionally evade taxes?  For Goldman being able to securitize and sell debt – without civil or even criminal consequence as documented in my November 20th Ticker relating to certain “subprime” loans?  For Citibank being bailed out from bankruptcy at least three times (and maybe four?) in the last 20 years? Let’s face reality folks – the “primary dealer” concept and implementation is nothing other than government capture.  It is a scam.  It is a device intended to profit a handful of ultra-large multinational firms at the direct expense of the American People – not just every day as they skim off their margin for “distributing” Treasury debt, but to an even larger degree whenever they decide to ignore the requirements of safe and sound lending and put the entire economy and indeed the government’s viability in jeopardy. This piece of embedded corruption provides cover for criminal conduct (felony tax evasion by American taxpayers) and knowingly unsound lending, with these firms confident that the US Taxpayer will be obligated to bail them out should there be trouble. But in this case the bailout has embedded structural trouble into the system, just as it did in Japan.  And let’s not kid ourselves – all we’ve done when it comes to housing is shift where the risk is. Recent analysis has shown that the FHA’s “AUS TOTAL” decision-making program (computer-based underwriting) has been intentionally calibrated to produce unsustainable loans.  Indeed, as I have documented FHA will provide an “approve” return on DTIs (when one includes the FHA “fudge factors”) as high as 49% of gross income.  This is clearly an unaffordable loan and is reflected in the current FHA delinquency and foreclosure rate which stands, at this point at more than one in five loans . The true ugliness here is that these stats are far worse than they first appear.  Why?  Because more than half of the FHA total loan portfolio has been originated in the last two years. Consider what this default ratio means given the portfolio composition, as there are only two possibilities – either the FHA is intentionally making loans that are defaulting quickly, within the first 24 months, or the older FHA loans are defaulting at an astronomical rate. FHA is less-than-forthcoming when it comes to testimony before Congress on this point, and apparently, Congress has buried its head in the sand as well.  Indeed, we have Congresspeople making statements that making dangerously-unsustainable loans is a “policy” intended to head off housing price declines. But does and will it?  Does giving someone a loan that will foreclose in a year or two actually head off housing declines?  Or does it simply bankrupt more Americans and defer the inevitable house price decline by a short period of time – a year or two at most, perhaps as little as a few months? If the latter then this sort of institutionalized rape of our citizens, this time under explicit Congressional authorization as a matter of “policy”, is in fact nothing more than yet another scam to allow those “primary dealers” (and others) to unload their deeply-underwater and compromised MBS into the government – where they will then detonate, forcing the taxpayer to bear a loss that should have been taken by those who lent money without a reasonable expectation of being paid back on the original terms.   Continue reading here: Housing: Yes, That Was (And Is) A Train Wreck

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(This guest post originally appeared at the author’s blog ) It’s easy for forecasters and amateur statisticians to draw future market conclusions based on select past performance.  At every twist and turn of the credit crisis investors have compared and contrasted the current recession with those of the past. In a recent research report Goldman Sachs goes into the many similarities between 2003 and 2009 and the potential for 2010 to mirror 2004.  Goldman notes: As the macro data flow has slowed to a trickle, the weight of the evidence still points to continued, but gradual, improvement. And beyond the data momentum, financial conditions remain supportive for equity risk generally, and for our tactical long positions as well.  2004 contained many similar challenges to what we face on the cusp of 2010: waning cyclical momentum, fiscal drag and exit policy fears. Based on these similar macro themes Goldman draws some conclusions as to how to play the potential 2010 outcome based on the performance of various asset classes in 2004: Clear direction emerges earlier in sectors and macro themes relative to the index. Cyclical sectors, and not defensives, were still the right places to be long in 2004, the energy sector was a clear relative outperformer from early in the year, and cyclical macro tilts such as Growth and CHICON ( China cyclicals relative to Consumer cyclicals ) break out on the upside from mid-2004. But in most cases, the overall returns over the year are in modest single digits with several intra-year ups and downs. If next year is anything like 2004 in this respect, then timing entries and exits nimbly will be as important as identifying the right places to be long and short. For those that remember, 2004 was an extraordinarily mundane year for equities following the excitement of 2003.  Volatility slowed to a trickle and equity returns were closer to the historical norm.  Goldman believes this, combined with a weaker economy, will make for a much more challenging investing environment: But in each case, the overall returns over the year are in modest single digits with several intra-year ups and downs. If next year is anything like 2004 in this respect, then timing entries and exits nimbly will be as important as identifying the right places to be long and short. And, with recent momentum at our backs, we do think that culling winners even at modest returns, may be in order. Of course, as I’ve often pointed out, it’s fairly foolish to based ones investment decisions based on one data point out of hundreds.  In my opinion, the current deleveraging process is unlike any recession the modern economic world has ever seen and that means the outcomes are unpredictable based on past data.  The challenges ahead of us are numerous and the differences between the business based recession of 2003 and the consumer based recession of 2009 are staggering.   But who am I to say that the almighty Goldman Sachs is wrong? Read more: Goldman: It’s 2004 All Over Again

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LONDON (AP) — World stock markets fell Tuesday following big gains on Monday, with China’s main index posting its biggest drop in three months after the country’s central bank warned commercial banks to control their lending. European shares tracked their Asian counterparts lower, with the FTSE 100 index of leading British shares down 15.92 points, or 0.3 percent, at 5,339.58 and Germany’s DAX 32.73 points, or 0.6 percent, lower at 5,768.75. The CAC-40 in France was 25.52 points, or 0.7 percent, lower at 3,787.65. On Monday, Europe’s main indexes closed over 2 percent higher amid further hopeful signs about the global economic recovery, particularly out of the U.S. Wall Street is also poised to open lower after Monday’s gains of over 1 percent. Dow futures were down 18 points, or 0.2 percent, at 10,404 while the broader Standard & Poor’s 500 futures fell 1.5 points, or 0.1 percent, to 1,102.30. “After a bumper start to the week, there’s perhaps no surprise to see a degree of profit taking in the short term although there still seems to be upward momentum in the market, confounding the pessimists at least for the time being,” said Ben Potter, research analyst at IG Markets. Financial stocks led the retreat in Europe after big gains on Monday, with Commerzbank AG down 2.5 percent, making it the biggest faller on the DAX. Deutsche Bank AG was also down just under 2 percent. Meanwhile, Switzerland’s UBS AG was down 2 percent. Sentiment towards the banks in Asia was dented by the warning from China’s central bank that commercial banks need to control their lending. As a result, China’s Shanghai index tumbled 115.14 points, or 3.5 percent, to 3,223.53 — its biggest retreat in three months — as investors fretted over the warning. The index had been up 11.4 percent so far this month. The warning comes ahead of the government’s annual economic planning meeting and could foreshadow more measures to reduce liquidity in the months ahead. In Britain, Lloyds Banking Group PLC shares rose even though it confirmed it is planning to raise a British record of 13.5 billion pounds ($22.3 billion) via a rights issue in order to shore up its capital position and not take part in the government’s Asset Protection Scheme. The rights issue has been priced at 37 pence, which is a 60 percent discount to Monday’s closing share price. Even so, Lloyds shares were up 1.4 percent at just below 93 pence a share. The retreat in Europe was cushioned somewhat by further encouraging economic data, which cemented market expectations that growth is picking during the fourth quarter. Germany’s Ifo Institute said business confidence rose for an eighth consecutive month in November to its highest level since August 2008, while the EU’s statistics office Eurostat reported that industrial orders in the 16 countries that use the euro rose by 1.5 percent in October, double market expectations. Attention later will focus on the second estimate of U.S. economic growth in the third quarter — analysts are expecting a downward revision from the preliminary estimate of annualized growth of 3.5 percent after softer than anticipated trade and retail sales data. Elsewhere in Asia, Hong Kong’s Hang Seng index slid 348.25, or 1.5 percent, to 22,423.14 on weakness in Chinese financial stocks. Bank of China slumped 4 percent. Japan’s Nikkei 225 stock average dropped 96.10, or 1 percent, to a fresh four-month low of 9,401.58. South Korea’s Kospi dropped 0.8 percent to 1,606.42 and Australia’s S&P/ASX 200 index declined 0.7 percent to 4,685 on losses in banks and miners. Markets in Singapore and Thailand also fell. Oil slipped to near $77 a barrel amid mixed signs about crude demand. Benchmark crude for January delivery was down 40 cents to $77.16 a barrel. The contract rose 9 cents to settle at $77.56 on Monday. In currencies, the dollar fell 0.3 percent to 88.68 yen while the euro dropped 0.2 percent to $1.4941. AP Business Writer Stephen Wright in Bangkok contributed to this report. See the rest here: Banks weigh on world markets after China warning (AP)

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MOSCOW and NEW YORK, Nov. 24 /PRNewswire-FirstCall/ – Open Joint Stock Company “Vimpel-Communications” (”VimpelCom” or the “Company”) (NYSE: VIP – News ), a leading international provider of telecommunications services operating in Russia, the Commonwealth of Independent States (CIS) and South-East Asia, today announced its financial and operating results for the quarter ended September 30, 2009. Third Quarter 2009 Highlights and Recent Developments Operational Mobile subscribers increased by 1.7 million versus 2Q09, reaching 65.4 million Successful launch of operations in Vietnam under Beeline brand Agreement signed to enter Laos mobile market 3G presence in all regions of Russia as of November 21, 2009 Financial Net operating revenues reached 71.3 billion Russian rubles, an increase of 3.3% versus 2Q09 OIBDA reached a record 36.0 billion rubles, an increase of 2.9% versus 2Q09 Continued strong consolidated fixed and mobile OIBDA margin of 50.4% Net income attributable to VimpelCom amounted to 13.5 billion rubles Other Interim dividend payment of 190.13 rubles per common share proposed by the Board of Directors Major shareholders agreed to combine their stakes in VimpelCom and Kyivstar in a new company Commenting on the performance of the Company, Boris Nemsic, Chief Executive Officer of VimpelCom, said, “During the third quarter we continued to demonstrate growth in challenging market conditions and delivered a record 71.3 billion rubles in revenues and 36.0 billion rubles in OIBDA with a consolidated fixed and mobile OIBDA margin of 50.4%. We are particularly pleased with the OIBDA performance which demonstrates our ability to increase revenues and control costs in the new economic environment. The number of active mobile subscribers reached 65.4 million, which is 13% more than we had a year ago. We serve 1.9 million fixed and mobile broadband subscribers, which makes us one of the largest broadband providers in Russia and the CIS. Stable operational cash flow strengthened our financial position. As of today, we have repaid more than $2 billion dollars of our debt and fully funded capital expenditures. We continue to optimize our debt portfolio with the non-ruble portion of our debt decreasing to 76% of our total debt, compared with 85% at the beginning of the year. On October 5th, 2009, Altimo and Telenor agreed to combine their interests in VimpelCom and Kyivstar, paving the way for the creation of one of the largest telecom operators in the emerging markets. Management of VimpelCom welcomes this transaction and believes that the transaction, when completed, will bring benefits to our shareholders, employees and customers.” Key Consolidated Financial and Operating Results* CONSOLIDATED OPERATIONS* (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ———————— —— —— —– —— —– Net operating revenues 71,338 68,933 3.5% 69,035 3.3% ———————- —— —— — —— — OIBDA 35,980 33,636 7.0% 34,958 2.9% —– —— —— — —— — OIBDA margin, % 50.4% 48.8% 50.6% ————— —- —- —- Operating income 22,299 21,568 3.4% 22,250 0.2% —————- —— —— — —— — Operating income margin, % 31.3% 31.3% 32.2% ————————– —- —- —- SG&A 18,760 18,167 3.3% 18,458 1.6% —- —— —— — —— — including Sales & Marketing Expenses 5,766 5,867 -1.7% 5,414 6.5% ——————- —– —– —- —– — including General & Administrative Costs 12,994 12,300 5.6% 13,044 -0.4% ——————— —— —— — —— —- SG&A percentage 26.3% 26.4% 26.7% ————— —- —- —- Net income attributable to VimpelCom 13,513 6,513 107.5% 22,599 -40.2% ————————– —— —– —– —— —– Net income attributable to VimpelCom per common share, basic (RUR) 266.83 128.68 446.43 ————————– —— —— —— Net income attributable to VimpelCom per ADS equivalent, basic (RUR) 13.34 6.43 22.32 ————————– —– —- —– Capital expenditures 3,842 16,799 -77.1% 5,027 -23.6% ——————– —– —— —– —– —– Mobile subscribers (’000) 65,358 57,758 13.2% 63,676 2.6% ————————- —— —— —- —— — Broadband subscribers*) (’000) 1,930 785 145.9% 1,739 11.0% ———————– —– — —– —– —- * See definitions in Attachment A. Y-o-y stands for 3Q09 vs. 3Q08 comparison while q-o-q stands for 3Q09 vs. 2Q09. Net operating revenues 3Q ‘09* Russia CIS SEA Eliminations Total (RUR, millions) —— — — ———— —– ————— Mobile business 51,502 9,221 74 -138 60,659 ————— —— —– — —- —— Fixed business 13,583 2,167 0 -608 15,142 ————– —— —– — —- —— Eliminations -3,874 -312 0 -277 -4,463 ———— —— —- — —- —— Total net operating revenue 61,211 11,076 74 -1,023 71,338 ————————— —— —— — —— —— * Due to the increasing integration between different parts of our business, we include inter-company transactions in the reported revenues of geographic and business segments and indicate the amount of inter-company eliminations within and between the segments. The quarterly net operating revenues increased by 3.5% year-on-year and 3.3% as compared with the previous quarter demonstrating the strength of our core business. Continued focus on operational efficiency helped us to maintain a strong consolidated fixed and mobile OIBDA margin of 50.4%. We continue to maintain solid operational cash flow, which provides a basis for further investment in the development of our business. We invested 3.8 billion rubles during the third quarter of 2009. Taking into consideration the further strengthening of the Russian ruble, we have recalculated our CAPEX guidance for 2009 and expect CAPEX to be in the range of 10%-12% of our 2009 annual revenue. During the third quarter we repaid $690 million of debt. Our net debt continued to decline from $6.3 billion at the end of the second quarter down to $5.5 billion at the end of the third quarter. Our quarterly net income attributable to VimpelCom amounted to 13.5 billion rubles, including a modest 0.7 billion ruble net foreign exchange gain due to the strengthening of the ruble. Russia – Financial and Operating Results RUSSIA (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ———————- —— —— —– —— —– Net operating revenues 61,211 58,816 4.1% 59,136 3.5% ———————- —— —— — —— — OIBDA 30,951 29,457 5.1% 30,279 2.2% —– —— —— — —— — OIBDA margin, % 50.6% 50.1% 51.2% ————— —- —- —- Operating income 20,724 20,112 3.0% 20,574 0.7% —————- —— —— — —— — Operating income margin, % 33.9% 34.2% 34.8% ———————— —- —- —- SG&A 15,644 15,191 3.0% 15,417 1.5% —- —— —— — —— — including Sales & Marketing Expenses 4,940 4,918 0.4% 4,726 4.5% ——————- —– —– — —– — including General & Administrative Costs 10,704 10,273 4.2% 10,691 0.1% ——————— —— —— — —— — SG&A percentage 25.6% 25.8% 26.1% ————— —- —- —- Net income attributable to VimpelCom 13,754 6,274 119.2% 21,835 -37.0% ———————– —— —– —– —— —– Our quarterly net operating revenues in Russia amounted to 61.2 billion rubles, growing 3.5% quarter-on-quarter. The quarterly net operating revenues in Russia grew 4.1% compared to the exceptionally strong third quarter of 2008, when we reported high revenues from roaming and handset sales. The total Russia fixed and mobile OIBDA increased 5.1% year-on-year and reached 30.9 billion rubles with a total fixed and mobile OIBDA margin of 50.6%. In the mobile segment our revenues increased by 4.2% quarter-on-quarter. Slight upward trends in usage coupled with a seasonal increase from roaming led to an increase in ARPU of 2.8%. Our fixed-line revenues increased by 4.4% quarter-on-quarter. A seasonal decline in the usage by business customers during the summer months was offset by increasing wholesale revenues, which grew by 13.3% quarter-on-quarter. The fixed-line OIBDA margin decreased quarter-on-quarter from 29.6% to 26.4%. As a result the quarterly fixed-line revenues were also impacted by the appreciation of the Russian ruble as part of our contracts in the business segment are denominated in US dollars and Euro. In the third quarter of 2009 the total number of residential broadband subscribers in Russia, including FTTB and mobile broadband, reached 1.8 million, a 140% increase year-on-year and a 10% increase quarter-on-quarter. RUSSIA REVENUES (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ——————————- —— —— —– —— —– Net operating revenues 61,211 58,816 4.1% 59,136 3.5% ———————- —— —— — —— — Mobile revenues 51,502 49,401 4.3% 49,410 4.2% ————— —— —— — —— — Fixed revenues 13,583 10,789 25.9% 13,007 4.4% ————– —— —— —- —— — Eliminations -3,874 -1,374 -3,281 ———— —— —— —— RUSSIA OIBDA DEVELOPMENT*) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q (RUR, millions) —— —— —– —— —– ————— OIBDA Total 30,951 29,457 5.1% 30,279 2.2% ———– —— —— — —— — Mobile OIBDA 27,360 26,772 2.2% 26,427 3.5% ———— —— —— — —— — Fixed OIBDA 3,591 2,685 33.7% 3,852 -6.8% ———– —– —– —- —– —- Total OIBDA margin, % 50.6% 50.1% 51.2% ——————— —- —- —- Mobile OIBDA margin, % 53.1% 54.2% 53.5% ———————- —- —- —- Fixed OIBDA margin, % 26.4% 24.9% 29.6% ——————— —- —- —- RUSSIA OPERATING DEVELOPMENT 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q —————————- —— —— —– —— —– Mobile subscribers (’000)**) 51,028 45,093 13.2% 49,971 2.1% —————————- —— —— —- —— — MOU, min 213.6 228.5 -6.5% 211.8 0.8% ——– —– —– —- —– — ARPU mobile, (RUR) 331.4 368.2 -10.0% 322.5 2.8% —————— —– —– —– —– — Broadband subscribers (’000) 1,833 764 139.9% 1,659 10.5% —————————- —– — —– —– —- * Please find information on respective operating income amounts in the supplementary file FinancialOperatingQ32009.xls on our website at http://www.vimpelcom.com/news/qrep.wbp . ** Starting with this quarterly report, we no longer provide information on subscriber market share. This is because different churn policies used by mobile service providers result in reported subscriber market share figures that could be misleading. CIS – Financial and Operating Results CIS OPERATIONS (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ——————– —— —— —– —— —– Net operating revenues 11,076 10,663 3.9% 10,668 3.8% ———————- —— —— — —— — OIBDA 5,322 4,232 25.8% 4,908 8.4% —– —– —– —- —– — OIBDA margin, % 48.0% 39.7% 46.0% ————— —- —- —- Operating income 2,056 1,509 36.2% 1,929 6.6% —————- —– —– —- —– — Operating income margin, % 18.6% 14.2% 18.1% ———————— —- —- —- SG&A 2,851 2,945 -3.2% 2,844 0.2% —- —– —– —- —– — including Sales & Marketing Expenses 748 949 -21.2% 633 18.2% ——————- — — —– — —- including General & Administrative Costs 2,103 1,996 5.4% 2,211 -4.9% ——————— —– —– — —– —- SG&A percentage 25.7% 27.6% 26.7% ————— —- —- —- Net income attributable to VimpelCom 86 323 -73.4% 841 -89.8% ———————– — — —– — —– Mobile subscribers (’000) 14,235 12,665 12.4% 13,626 4.5% ————————- —— —— —- —— — Broadband subscribers (’000) 97 21 361.9% 80 21.3% ——————— — — —– — —- The total quarterly revenues from the CIS markets increased year-on-year by 3.9% to 11.1 billion rubles. Our continued focus on cost control increased consolidated OIBDA margin for the CIS segment by 2 percentage points to a record high of 48.0%, a remarkable achievement in challenging market conditions. In the third quarter of 2009, we observed a good increase in subscriber numbers across all markets where we operate. Our subscriber base in the CIS reached 14.2 million active users, 12.4% more than a year ago. Net income attributable to VimpelCom in the CIS segment reached 86 million rubles in the third quarter, with a modest impact from the foreign exchange gain as compared with the second quarter of 2009. CIS Revenues Development KAZAKHSTAN (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ————————– —— —— —– —— —– Net operating revenues 5,387 4,815 11.9% 5,061 6.4% ———————- —– —– —- —– — Mobile 5,311 4,750 11.8% 4,988 6.5% —— —– —– —- —– — Fixed 211 146 44.5% 190 11.1% —– — — —- — —- Elimination -135 -81 -117 ———– —- — —- Net operating revenues (KZT, millions) 25,928 23,830 8.8% 23,679 9.5% —————————- —— —— — —— — UKRAINE (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ———————– —— —— —– —— —– Net operating revenues 1,773 2,283 -22.3% 1,645 7.8% ———————- —– —– —– —– — Mobile 1,066 1,653 -35.5% 956 11.5% —— —– —– —– — —- Fixed 879 787 11.7% 800 9.9% —– — — —- — — Elimination -172 -157 -111 ———– —- —- —- Net operating revenues (UAH, millions) 442 456 -3.1% 390 13.3% —————————- — — —- — —- ARMENIA (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ———————– —— —— —– —— —– Net operating revenues 1,611 1,667 -3.4% 1,584 1.7% ———————- —– —– —- —– — Mobile 637 764 -16.6% 634 0.5% —— — — —– — — Fixed 974 903 7.9% 950 2.5% —– — — — — — Elimination 0 0 0 ———– — — — Net operating revenues (AMD, millions) 19,167 20,786 -7.8% 18,253 5.0% —————————- —— —— —- —— — UZBEKISTAN (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ————————– —— —— —– —— —– Net operating revenues 1,568 1,416 10.7% 1,693 -7.4% ———————- —– —– —- —– —- Mobile 1,467 1,345 9.1% 1,594 -8.0% —— —– —– — —– —- Fixed 103 71 45.1% 100 3.0% —– — — —- — — Elimination -2 0 -1 ———– — — — Net operating revenues (US$, millions) 50 58 -13.8% 53 -5.7% —————————- — — —– — —- TAJIKISTAN (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ————————– —— —— —– —— —– Mobile net operating revenues 468 358 30.7% 461 1.5% —————————– — — —- — — Mobile net operating revenues (US$, millions) 14.9 14.8 0.7% 13.7 8.8% —————————– —- —- — —- — GEORGIA (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ———————– —— —— —– —— —– Mobile net operating revenues 279 131 113.0% 229 21.8% —————————– — — —– — —- Mobile net operating revenues (GEL, millions) 14.9 7.6 96.1% 11.8 26.3% —————————– —- — —- —- —- CIS (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ——————- —— —— —– —— —– Net operating revenues 11,076 10,663 3.9% 10,668 3.8% ———————- —— —— — —— — Mobile 9,221 8,999 2.5% 8,859 4.1% —— —– —– — —– — Fixed 2,167 1,907 13.6% 2,040 6.2% —– —– —– —- —– — Elimination -312 -243 -231 ———– —- —- —- CIS OIBDA Development* KAZAKHSTAN (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ————————– —— —— —– —— —– OIBDA total 3,187 2,573 23.9% 2,745 16.1% ———– —– —– —- —– —- Mobile 3,064 2,495 22.8% 2,643 15.9% —— —– —– —- —– —- Fixed 123 78 57.7% 102 20.6% —– — — —- — —- OIBDA margin, % 59.2% 53.4% 54.2% ————— —- —- —- UKRAINE (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ———————– —— —— —– —— —– OIBDA total 380 -40 n/a 322 18.0% ———– — — — — —- Mobile 140 -215 n/a 82 70.7% —— — —- — — —- Fixed 240 175 37.1% 240 0.0% —– — — —- — — OIBDA margin, % 21.4% n/a 19.6% ————— —- — —- ARMENIA (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ———————– —— —— —– —— —– OIBDA total 825 813 1.5% 799 3.3% ———– — — — — — Mobile 306 337 -9.2% 298 2.7% —— — — —- — — Fixed 519 476 9.0% 501 3.6% —– — — — — — OIBDA margin, % 51.2% 48.8% 50.4% ————— —- —- —- UZBEKISTAN (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ————————– —— —— —– —— —– OIBDA total 738 798 -7.5% 865 -14.7% ———– — — —- — —– Mobile 696 774 -10.1% 825 -15.6% —— — — —– — —– Fixed 42 24 75.0% 40 5.0% —– — — —- — — OIBDA margin, % 47.1% 56.4% 51.1% ————— —- —- —- TAJIKISTAN (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ————————– —— —— —– —— —– Mobile OIBDA 162 115 40.9% 173 -6.4% ———— — — —- — —- Mobile OIBDA margin, % 34.6% 32.1% 37.5% ———————- —- —- —- GEORGIA (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ———————– —— —— —– —— —– Mobile OIBDA 30 -27 n/a 4 650.0% ———— — — — — —– Mobile OIBDA margin, % 10.8% n/a 1.7% ———————- —- — — CIS (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ——————- —— —— —– —— —– OIBDA total 5,322 4,232 25.8% 4,908 8.4% ———– —– —– —- —– — Mobile 4,398 3,479 26.4% 4,025 9.3% —— —– —– —- —– — Fixed 924 753 22.7% 883 4.6% —– — — —- — — OIBDA margin, % 48.0% 39.7% 46.0% ————— —- —- —- * Please find information on respective operating income amounts in the supplementary file FinancialOperatingQ32009.xls on our website at http://www.vimpelcom.com/news/qrep.wbp. CIS Operating Highlights KAZAKHSTAN 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ———- —— —— —– —— —– Mobile subscribers*) (’000) 6,835 5,614 21.7% 6,635 3.0% ————————— —– —– —- —– — MOU, min 98.1 108.1 -9.3% 90.7 8.2% ——– —- —– —- —- — ARPU mobile, (RUR) 257.9 294.1 -12.3% 253.6 1.7% —————— —– —– —– —– — ARPU mobile, (KZT) 1,240.7 1,455.4 -14.8% 1,187.1 4.5% —————— ——- ——- —– ——- — Broadband subscribers (’000) 0.3 n/a 0.3 0.0% —————————- — — — — UKRAINE 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ——- —— —— —– —— —– Mobile subscribers*) (’000) 2,199 2,403 -8.5% 1,934 13.7% ————————— —– —– —- —– —- MOU, min 203.7 261.5 -22.1% 217.8 -6.5% ——– —– —– —– —– —- ARPU mobile, (RUR) 168.3 234.9 -28.4% 166.8 0.9% —————— —– —– —– —– — ARPU mobile, (UAH) 42.0 47.4 -11.4% 39.7 5.8% —————— —- —- —– —- — Broadband subscribers (’000) 70 16 337.5% 53 32.1% —————————- — — —– — —- ARMENIA 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ——- —— —— —– —— —– Mobile subscribers*) (’000) 502 784 -36.0% 486 3.3% ————————— — — —– — — MOU, min 269.0 139.9 92.3% 238.4 12.8% ——– —– —– —- —– —- ARPU mobile, (RUR) 429.7 336.9 27.5% 436.9 -1.6% —————— —– —– —- —– —- ARPU mobile, (AMD) 5,117.2 4,200.1 21.8% 5,034.7 1.6% —————— ——- ——- —- ——- — Broadband subscribers (’000) 18.1 5.4 235.2% 19.2 -5.7% —————————- —- — —– —- —- UZBEKISTAN 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ———- —— —— —– —— —– Mobile subscribers*) (’000) 3,652 3,148 16.0% 3,605 1.3% ————————— —– —– —- —– — MOU, min 409.3 298.5 37.1% 225.6 81.4% ——– —– —– —- —– —- ARPU mobile, (RUR) 140.7 157.5 -10.7% 150.6 -6.6% —————— —– —– —– —– —- ARPU mobile, (US$) 4.5 6.5 -30.8% 4.7 -4.3% —————— — — —– — —- Broadband subscribers (’000) 8.3 n/a 7.6 9.2% —————————- — — — — TAJIKISTAN 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ———- —— —— —– —— —– Mobile subscribers*) (’000) 706 527 34.0% 677 4.3% ————————— — — —- — — MOU, min 173.3 255.9 -32.3% 173.1 0.1% ——– —– —– —– —– — ARPU mobile, (RUR) 224.1 250.7 -10.6% 221.6 1.1% —————— —– —– —– —– — ARPU mobile, (US$) 7.2 10.4 -30.8% 6.9 4.3% —————— — —- —– — — GEORGIA 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ——- —— —— —– —— —– Mobile subscribers*) (’000) 341 189 80.4% 289 18.0% ————————— — — —- — —- MOU, min 129.3 109.8 17.8% 123.1 5.0% ——– —– —– —- —– — ARPU mobile, (RUR) 288.5 238.9 20.8% 283.6 1.7% —————— —– —– —- —– — ARPU mobile, (GEL) 15.4 14.0 10.0% 14.5 6.2% —————— —- —- —- —- — * Starting with this quarterly report, we no longer provide information on subscriber market share. This is because different churn policies used by mobile service providers result in reported subscriber market share figures that could be misleading. South-East Asia Cambodian operations have been actively developing since our launch in May 2009. As of the third quarter of 2009, our services are available in the 17 largest provinces reaching 42% of the country’s population. By the end of 2009, we plan to expand coverage to reach more than two thirds of the country’s population. According to the latest independent research Beeline brand awareness was ranked third among 9 mobile operators in Cambodia with brand awareness at 62% on a country-wide level and 98% in the capital. Two months after the network launch in Vietnam, our networks cover the capital and the two largest cities as well as the 8 most populated provinces. By the end of January 2010, we plan to cover more than 40 provinces of Vietnam with a population of about 41 million. Our distribution network in Vietnam was extended to more than 10,000 points of sales including traditional retail outlets and new channels like Branded Trade Counters. According to the latest independent research, in the three largest cities of Vietnam the Beeline brand has reached 80% awareness level among the 15-65 year-old audience. SEA*) (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ——————— —— —— —– —— —– Net operating revenues 74 0 n/a 28 164.3% ———————- — — — — —– OIBDA total -234 -4 n/a -174 n/a ———– —- — — —- — *) See definitions in Attachment A. For more information on financial and operating data for specific countries, please refer to the supplementary file FinancialOperatingQ32009.xls on our website at http://www.vimpelcom.com/news/qrep.wbp. The Company’s management will discuss its third quarter 2009 results during a conference call and slide presentation on November 24, 2009 at 6:30 pm Moscow time (10:30 am US ET). The call and slide presentation may be accessed via webcast at the following URL address http://www.vimpelcom.com . The conference call replay will be available through December 1, 2009. The slide presentation webcast will also be available for download on VimpelCom’s website http://www.vimpelcom.com . The VimpelCom Group consists of telecommunications operators providing voice and data services through a range of mobile, fixed and broadband technologies. The Group includes companies operating in Russia, Kazakhstan, Ukraine, Uzbekistan, Tajikistan, Georgia, Armenia, as well as Vietnam and Cambodia, in territories with a total population of about 340 million. VimpelCom was the first Russian company to list its shares on the New York Stock Exchange (”NYSE”). VimpelCom’s ADSs are listed on the NYSE under the symbol “VIP”. This press release contains “forward-looking statements”, as the phrase is defined in Section 27A of the Securities Act and Section 21E of the Exchange Act. These statements relate to the proposed combination with Kyivstar and its benefits, the Company’s 2009 capital expenditures and the Company’s development plans in Cambodia and Vietnam. These and other forward-looking statements are based on management’s best assessment of the Company’s strategic and financial position and of future market conditions and trends. These discussions involve risks and uncertainties. The actual outcome may differ materially from these statements as a result of continued volatility in the economies in the markets in which the Company operates, unforeseen developments from competition, governmental regulation of the telecommunications industries, general political uncertainties in the markets in which the Company operates and/or litigation with third parties. The actual outcome may also differ materially if the Company is unable to obtain all necessary corporate approvals relating to its business, if the Company is unable to successfully integrate newly-acquired businesses, including Golden Telecom, and other factors. There can be no assurance that such risks and uncertainties will not have a material adverse effect on the VimpelCom Group. Certain factors that could cause actual results to differ materially from those discussed in any forward-looking statements include the risks described in the Company’s Annual Report on Form 20-F for the year ended December 31, 2008 and other public filings made by the Company with the United States Securities and Exchange Commission, which risk factors are incorporated herein by reference. VimpelCom disclaims any obligation to update developments of these risk factors or to announce publicly any revision to any of the forward-looking statements contained in this release, or to make corrections to reflect future events or developments. IMPORTANT NOTICE: The proposed exchange offer described in this communication has not yet commenced, and the description of the proposed exchange offer contained in this communication is not an offer to buy or the solicitation of an offer to sell securities. If the proposed exchange offer is commenced, the Company expects that VimpelCom Ltd. will file with the SEC a registration statement and other related materials with respect to the proposed exchange offer, and the Company will file with the SEC a solicitation/recommendation statement on Schedule 14D-9 with respect to the proposed exchange offer. Investors and shareholders are urged to read the registration statement and other related materials, the solicitation/recommendation statement on Schedule 14D-9 and any amendments, exhibits or other applicable documents regarding the proposed exchange offer if and when they become available because they will contain important information. Those materials will be made available to the Company’s shareholders at no expense to them. In addition, all of those materials (and all other exchange offer documents filed with the SEC) will be made available at no charge on the SEC’s website at www.sec.gov . – Definitions and tables are attached – Attachment A: Definitions Mobile subscribers are those subscribers in the registered subscriber base who were a party to a revenue generating activity in the past three months and remain in the base at the end of the reported period, except for the subscriber base in Cambodia which is calculated on a one month basis. Such activities include all incoming and outgoing calls, subscriber fee accruals, debits related to service, outgoing SMS, MMS, data transmission and receipt sessions, but do not include incoming SMS and MMS sent by our Company or abandoned calls. Total number of mobile subscribers also includes subscribers using mobile internet service via USB modems. Each ADS represents 0.05 of one share of common stock. This ratio was established effective August 21, 2007. ARPU (Monthly Average Revenue per User), a non-U.S. GAAP financial measure, is calculated by dividing the Company’s service revenue during the relevant period, including roaming revenue and interconnect revenue, but excluding revenue from connection fees, sales of handsets and accessories and other non-service revenue, by the average number of the Company’s subscribers during the period and dividing by the number of months in that period. The Company believes that ARPU provides useful information to investors because it is an indicator of the performance of the Company’s business operations and assists management in budgeting. The Company also believes that ARPU provides management with useful information concerning usage and acceptance of the Company’s services. ARPU should not be viewed in isolation or an alternative to other figures reported under U.S. GAAP. Broadband subscribers are those subscribers in the registered subscriber base who were a party to a revenue generating activity in the past three months. Such activities include monthly internet access using FTTB, xDSL and WiFi technologies as well as mobile internet service via USB modems. CIS Geographic Segment for the purpose of VimpelCom reporting includes our operations in the following countries: Kazakhstan, Ukraine, Uzbekistan, Tajikistan, Armenia and Georgia Fixed-line subscriber is an authorized user of fixed-line communications services. General and administrative costs (G&A) include salaries and outsourcing costs, including related social contributions required by Russian law; stock price-based compensation expenses; repair and maintenance expenses; rent, including lease payments for base station sites; utilities; other miscellaneous expenses, such as insurance, operating taxes, license fees, and accounting, audit and legal fees. Households passed are households located within buildings, in which indoor installation of all the FTTB equipment necessary to install terminal residential equipment has been completed. Mobile services are wireless voice and data transmission services excluding WiFi. MOU (Monthly Average Minutes of Use per User) is calculated by dividing the total number of minutes of usage for incoming and outgoing calls during the relevant period (excluding guest roamers) by the average number of mobile subscribers during the period and dividing by the number of months in that period. OIBDA is a non-U.S. GAAP financial measure. OIBDA, previously referred to as EBITDA by the Company, is defined as operating income before depreciation, amortization and impairment loss. The Company believes that OIBDA provides useful information to investors because it is an indicator of the strength and performance of our business operations, including our ability to finance capital expenditures, acquisitions and other investments and our ability to incur and service debt. While depreciation, amortization and impairment loss are considered operating costs under U.S. GAAP, these expenses primarily represent the non-cash current period allocation of costs associated with long-lived assets acquired or constructed in prior periods. Our OIBDA calculations are commonly used as bases for some investors, analysts and credit rating agencies to evaluate and compare the periodic and future operating performance and value of companies within the telecommunications industry. OIBDA should not be considered in isolation as an alternative to net income attributable to VimpelCom, operating income or any other measure of performance under U.S. GAAP. OIBDA does not include our need to replace our capital equipment over time. Reconciliation of OIBDA to operating income, the most directly comparable U.S. GAAP financial measure, is presented below in the reconciliation tables section. OIBDA margin is OIBDA expressed as a percentage of net operating revenues. Reconciliation of OIBDA margin to operating income as a percentage of net operating revenues, the most directly comparable U.S. GAAP financial measure, is presented below in the reconciliation tables section. Prepaid subscribers are those subscribers who pay for their services in advance. Roaming revenues include both revenues from VimpelCom customers who roam outside of home country network and revenues from other wireless carriers for roaming by their customers on VimpelCom’s network. Sales and marketing costs (S&M) include marketing, advertising and dealer commissions expenses. Take-up rate for the FTTB network is calculated by dividing the number of FTTB subscribers by the total number of households passed. VAS (value added services) includes short messages (”SMS”), multimedia messages (”MMS”), caller number identification, call waiting, data transmission, mobile Internet, downloadable content and other services. Capital expenditures (Capex) – purchases of new equipment, new construction, upgrades, software, other long lived assets and related reasonable costs incurred prior to intended use of the non current asset, accounted at the earliest event of advance payment or delivery. Long-lived assets acquired in business combinations are not included in capital expenditures. SEA – VimpelCom operations in South-East Asia, which include operations in Cambodia and VimpelCom’s respective equity in net results of operations of the Company’s Vietnamese associate GTEL-Mobile JSC (”GTEL-Mobile”). Net debt is calculated as the sum of short-term debt and long-term debt minus cash and cash equivalents. Attachment B: VimpelCom financial statements Open Joint Stock Company “Vimpel-Communications” Unaudited Condensed Consolidated Statements of Income Three months ended Nine months ended September 30, September 30, 2009 2008 2009 2008 —- —- —- —- (In millions of Russian rubles, except share (ADS) amounts) Operating revenues: Service revenues 70,359 67,913 204,047 180,516 Sales of equipment and accessories 863 949 2,885 1,054 Other revenues 173 123 475 317 — — — — Total operating revenues 71,395 68,985 207,407 181,887 Revenue based tax (57) (52) (191) (132) — — —- —- Net operating revenues 71,338 68,933 207,216 181,755 Operating expenses: Service costs 15,306 15,916 44,460 40,462 Cost of equipment and accessories 886 921 2,841 1,016 Selling, general and administrative expenses 18,760 18,167 55,424 49,265 Depreciation 11,452 9,687 32,355 27,445 Amortization 2,229 2,381 6,934 6,399 Provision for doubtful accounts 406 293 1,387 1,172 — — —– —– Total operating expenses 49,039 47,365 143,401 125,759 —— —— ——- ——- Operating income 22,299 21,568 63,815 55,996 Other income and expenses: Interest income 242 436 1,342 1,376 Net foreign exchange gain/ (loss) 693 (8,269) (12,304) (3,173) Interest expense (4,914) (3,439) (14,074) (8,220) Equity in net gain/(loss) of associates 152 65 (862) 65 Other (expenses)/ income, net (105) (181) (290) (438) —- —- —- —- Total other income and expenses (3,932) (11,388) (26,188) (10,390) —— ——- ——- ——- Income before income taxes and noncontrolling interest 18,367 10,180 37,627 45,606 Income tax expense 4,809 3,359 10,127 12,326 —– —– —— —— Net income 13,558 6,821 27,500 33,280 Net income/(loss) attributable to the noncontrolling interest 45 308 (98) 1,071 — — — —– Net income attributable to VimpelCom 13,513 6,513 27,598 32,209 ====== ===== ====== ====== Basic EPS: Net income attributable to VimpelCom per common share 266.83 128.68 545.11 634.94 ====== ====== ====== ====== Weighted average common shares outstanding (thousand) 50,643 50,615 50,628 50,728 Net income attributable to VimpelCom per ADS equivalent 13.34 6.43 27.26 31.75 ===== ==== ===== ===== Diluted EPS: Net income attributable to VimpelCom per common share 261.01 128.68 525.36 634.94 ====== ====== ====== ====== Weighted average diluted shares (thousand) 51,771 50,615 52,532 50,728 Net income attributable to VimpelCom per ADS equivalent 13.05 6.43 26.27 31.75 ===== ==== ===== ===== Open Joint Stock Company “Vimpel-Communications” Unaudited Condensed Consolidated Balance Sheets September December 30, 31, 2009 2008 —- —- (In millions of Russian rubles, except share amounts) Assets Current assets: Cash and cash equivalents 75,902 26,873 Trade accounts receivable, net of allowance for doubtful accounts 13,341 13,974 Inventory 2,461 4,191 Deferred income taxes 2,104 2,432 Input value added tax 3,994 5,349 Due from related parties 8,509 4,942 Other current assets 5,924 12,941 —– —— Total current assets 112,235 70,702 Property and equipment, net 168,407 188,778 Telecommunications licenses, net 17,862 22,470 Goodwill 98,930 102,148 Other intangible assets, net 21,996 25,935 Software, net 12,584 16,134 Investments in associates 13,801 14,501 Other assets 22,707 21,314 —— —— Total assets 468,522 461,982 ======= ======= Liabilities and equity Current liabilities: Accounts payable 15,198 26,409 Due to employees 3,343 3,108 Due to related parties 502 142 Accrued liabilities 11,646 8,484 Taxes payable 10,476 4,471 Customer advances, net of VAT 9,302 12,492 Customer deposits 824 868 Short-term debt 74,516 56,093 —— —— Total current liabilities 125,807 112,067 Deferred income taxes 16,453 18,934 Long-term debt 168,293 191,963 Other non-current liabilities 5,266 3,608 Commitments, contingencies and uncertainties – - Equity: Convertible voting preferred stock (.005 rubles nominal value per share), 10,000,000 shares authorized; 6,426,600 shares issued and outstanding – - Common stock (.005 rubles nominal value per share), 90,000,000 shares authorized; 51,281,022 shares issued (December 31, 2008: 51,281,022); 50,683,660 shares outstanding (December 31, 2008: 50,617,408) 3 3 Additional paid-in capital 42,688 42,624 Retained earnings 115,194 87,599 Accumulated other comprehensive (loss)/income (5,105) 3,992 Treasury stock, at cost, 597,362 shares of common stock (December 31, 2008: 663,614) (5,692) (5,983) —— —— Total VimpelCom shareholders’ equity 147,088 128,235 Noncontrolling interest 5,615 7,175 —– —– Total equity 152,703 135,410 ——- ——- Total liabilities and equity 468,522 461,982 ======= ======= Open Joint Stock Company “Vimpel-Communications” Unaudited Condensed Consolidated Statements of Cash Flows Nine months ended September 30, 2009 2008 —- —- (In millions of Russian rubles) Operating activities Net cash provided by operating activities 88,998 62,117 Investing activities Purchases of property and equipment (15,699) (33,206) Purchases of intangible assets (435) (1,747) Purchases of software (4,180) (5,093) Acquisition of subsidiaries, net of cash acquired – (100,348) Late payment for investment in associate (389) – Exercise of escrow cash deposit – 4,856 Loan granted – (8,491) Short-term deposits – (2,368) Purchases of other assets, net (958) (1,578) —- —— Net cash used in investing activities (21,661) (147,975) Financing activities Proceeds from bank and other loans 38,920 130,718 Proceeds from sale of treasury stock – 608 Repayments of bank and other loans (54,817) (10,227) Payments of fees in respect of debt issues (1,671) (1,322) Net proceeds from employee stock options 171 – Purchase of noncontrolling interest in consolidated subsidiaries (14) (23,462) Payment of dividends to noncontrolling party (23) (14,240) Purchase of treasury stock – (2,751) — —— Net cash (used in)/provided by financing activities (17,434) 79,324 Effect of exchange rate changes on cash and cash equivalents (875) 259 —- — Net increase/(decrease) in cash and cash equivalents 49,029 (6,275) Cash and cash equivalents at beginning of period 26,873 24,637 —— —— Cash and cash equivalents at end of period 75,902 18,362 ====== ====== Supplemental cash flow information Cash paid during the period: Income tax 8,917 12,603 Interest 9,335 4,905 Non-cash activities: Equipment acquired under financing agreements 6 1,448 Accounts payable for equipment and other long-lived assets 3,856 7,495 Acquisitions : Fair value of assets acquired – 64,159 Fair value of noncontrolling interest acquired – 4,968 Difference between the amount paid and the fair value of net assets acquired – 85,062 Consideration for the acquisition of subsidiaries – (129,430) — ——– Change in fair value of liabilities assumed – 24,759 === ====== Attachment C: Reconciliation Tables (Unaudited) Reconciliation of Consolidated OIBDA (In millions of Russian rubles) OIBDA Consolidated Total 3Q ‘09 3Q ‘08 2Q ‘09 ———————— —— —— —— OIBDA 35,980 33,636 34,958 —– —— —— —— Depreciation (11,452) (9,687) (10,451) ———— ——- —— ——- Amortization (2,229) (2,381) (2,257) ———— —— —— —— Operating income 22,299 21,568 22,250 —————- —— —— —— Reconciliation of OIBDA Margin OIBDA Margin Consolidated Total 3Q ‘09 3Q ‘08 2Q ‘09 ——————————- —— —— —— OIBDA margin 50.4% 48.8% 50.6% ———— —- —- —- Less: Depreciation as a percentage of net operating revenues (16.0%) (14.0%) (15.1%) ———————————- ——- ——- ——- Less: Amortization as a percentage of net operating revenues (3.1%) (3.5%) (3.3%) ———————————- —— —— —— Operating income as a percentage of net operating revenues 31.3% 31.3% 32.2% ———————————– —- —- —- Attachment D: Capex Development CAPEX (RUR, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ——————— —— —— —– —— —– Total capex 3,842 16,799 -77.1% 5,027 -23.6% ———– —– —— —– —– —– Russia 2,827 12,224 -76.9% 3,440 -17.8% —— —– —— —– —– —– CIS 756 4,527 -83.3% 817 -7.5% — — —– —– — —- Kazakhstan 310 1,868 -83.4% 376 -17.6% ———- — —– —– — —– Ukraine 95 1,137 -91.6% 95 0.0% ——- — —– —– — — Armenia 48 462 -89.6% 12 300.0% ——- — — —– — —– Uzbekistan 207 688 -69.9% 241 -14.1% ———- — — —– — —– Tajikistan 16 156 -89.7% 24 -33.3% ———- — — —– — —– Georgia 80 216 -63.0% 69 15.9% ——- — — —– — —- SEA 258 9 2767% 761 -66.1% — — — —- — —– Attachment E: Key Financial Results in US Dollars (Convenience Translation) CONSOLIDATED OPERATIONS (US$, millions) 3Q ‘09 3Q ‘08 y-o-y 2Q ‘09 q-o-q ———————– —— —— —– —— —– Net operating revenues 2,277 2,843 -19.9% 2,143 6.3% ———————- —– —– —– —– — OIBDA 1,149 1,388 -17.2% 1,085 5.9% —– —– —– —– —– — OIBDA margin, % 50.5% 48.8% 50.6% ————— —- —- —- Operating income 712 890 -20.0% 691 3.0% —————- — — —– — — Operating income margin, % 31.3% 31.3% 32.2% ———————— —- —- —- SG&A 599 749 -20.0% 573 4.5% —- — — —– — — including Sales & Marketing Expenses 184 242 -24.0% 168 9.5% ——————- — — —– — — including General & Administrative Costs 415 507 -18.1% 405 2.5% ——————— — — —– — — SG&A percentage 26.3% 26.3% 26.7% ————— —- —- —- Net income attributable to VimpelCom 431 269 60.2% 702 -38.6% ———————– — — —- — —– Net income attributable to VimpelCom per common share, basic (US$) 8.52 5.31 13.86 ———————— —- —- —– Net income attributable to VimpelCom per ADS equivalent, basic (US$) 0.43 0.27 0.69 ———————— —- —- —- Capital expenditures 123 692.9 -82.2% 156.0 -21.2% ——————– — —– —– —– —– Attachment F: Average Rates of Functional Currencies to Ruble* Functional Currency/ 1 RUR 1Q ‘08 2Q ‘08 3Q ‘08 4Q ‘08 1Q ‘09 2Q ‘09 3Q ‘09 ————— —— —— —— —— —— —— —— Kazakhstan KZT 4.9690 5.1038 4.9540 4.4077 4.0948 4.6771 4.8200 ———- — —— —— —— —— —— —— —— Ukraine UAH 0.2081 0.2101 0.2003 0.2274 0.2281 0.2376 0.2496 ——- — —— —— —— —— —— —— —— Tajikistan USD 0.0412 0.0423 0.0412 0.0367 0.0295 0.0311 0.0319 ———- — —— —— —— —— —— —— —— Uzbekistan USD 0.0412 0.0423 0.0412 0.0367 0.0295 0.0311 0.0319 ———- — —— —— —— —— —— —— —— Armenia AMD 12.6926 13.0012 12.4664 11.2309 9.6090 11.5227 11.9095 ——- — ——- ——- ——- ——- —— ——- ——- Georgia GEL 0.0641 0.0612 0.0582 0.0568 0.0495 0.0515 0.0535 ——- — —— —— —— —— —— —— —— Cambodia USD 0.0311 0.0319 ——– — —— —— * Functional currencies in Tajikistan, Uzbekistan and Cambodia are US dollars. See the rest here: VimpelCom Announces Third Quarter 2009 Financial and Operating Results (PR Newswire)

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VimpelCom Announces Third Quarter 2009 Financial and Operating Results (PR Newswire)

It’s easy for forecasters and amateur statisticians to draw future market conclusions based on select past performance.  At every twist and turn of the credit crisis investors have compared and contrasted the current recession with those of the past. In a recent research report Goldman Sachs goes into the many similarities between 2003 and 2009 and the potential for 2010 to mirror 2004.  Goldman notes: As the macro data flow has slowed to a trickle, the weight of the evidence still points to continued, but gradual, improvement. And beyond the data momentum, financial conditions remain supportive for equity risk generally, and for our tactical long positions as well.  2004 contained many similar challenges to what we face on the cusp of 2010: waning cyclical momentum, fiscal drag and exit policy fears. Based on these similar macro themes Goldman draws some conclusions as to how to play the potential 2010 outcome based on the performance of various asset classes in 2004: Clear direction emerges earlier in sectors and macro themes relative to the index. Cyclical sectors, and not defensives, were still the right places to be long in 2004, the energy sector was a clear relative outperformer from early in the year, and cyclical macro tilts such as Growth and CHICON break out on the upside from mid-2004. But in most cases, the overall returns over the year are in modest single digits with several intra-year ups and downs. If next year is anything like 2004 in this respect, then timing entries and exits nimbly will be as important as identifying the right places to be long and short. For those that remember, 2004 was an extraordinarily mundane year for equities following the excitement of 2003.  Volatility slowed to a trickle and equity returns were closer to the historical norm.  Goldman believes this, combined with a weaker economy, will make for a much more challenging investing environment: But in each case, the overall returns over the year are in modest single digits with several intra-year ups and downs. If next year is anything like 2004 in this respect, then timing entries and exits nimbly will be as important as identifying the right places to be long and short. And, with recent momentum at our backs, we do think that culling winners even at modest returns, may be in order. Of course, as I’ve often pointed out, it’s fairly foolish to based ones investment decisions based on one data point out of hundreds.  In my opinion, the current deleveraging process is unlike any recession the modern economic world has ever seen and that means the outcomes are unpredictable based on past data.  The challenges ahead of us are numerous and the differences between the business based recession of 2003 and the consumer based recession of 2009 are staggering.   But who am I to say that the almighty Goldman Sachs is wrong? Visit link: LOOKING FORWARD TO 2010. OR IS IT 2004 ALL OVER AGAIN?

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NORWALK, Conn.–(BUSINESS WIRE)–GE Capital, the financial services segment of the General Electric Company (NYSE: GE – News ), today announced the appointment of Steve Sargent as president and CEO of GE Capital’s business operations in Asia Pacific. Sargent, 49, will oversee operations for GE Capital in Asia Pacific, which is headquartered in Tokyo, Japan. He is taking over the role formerly served by John Flannery, who has been promoted to run GE’s operations in India. Sargent is a 16-year GE veteran with over 30 years of global financial services experience. Currently he is serving as president and CEO of GE for Australia and New Zealand (ANZ) and president and CEO of GE Capital for Australia and New Zealand. Sargent will continue heading GE Capital   ANZ until a replacement is named and will remain national executive for GE ANZ along with his new Asia Pacific role. “Steve is an ideal match for this position,” Mike Neal, GE vice chairman and GE Capital president and CEO, said. “He knows the industry, region and GE Capital equally well. Throughout his career, Steve has developed strong customer relationships, built talented teams and found innovative ways to grow the business. In a very challenging 2008, he lead our GE Capital ANZ team to grow earnings double digits while reducing costs. He will bring this operational excellence to Asia Pacific, an important market for us. The fact that we have someone of Steve’s caliber ready to take on this new challenge is a testament to GE’s leadership development.” Prior to his current role, Sargent held a number of senior finance, sales and quality positions in GE Capital, including president and CEO of GE European Equipment Finance from 2000 to 2003. He is a graduate of Charles Sturt University in Australia. About GE Capital GE Capital offers consumers and businesses around the globe an array of financial products and services. GE (NYSE: GE – News ) is Imagination at Work – a diversified technology, media and financial services company focused on solving some of the world’s toughest problems. For more information, visit gecapital.com or follow company news via Twitter (@GECapitalNews). About GE GE (NYSE: GE – News ) is a diversified infrastructure, finance and media company taking on the world’s toughest challenges. From aircraft engines and power generation to financial services, medical imaging, and television programming, GE operates in more than 100 countries and employs about 300,000 people worldwide. For more information, visit the company’s Web site at www.ge.com . Follow this link: Steve Sargent Named President and CEO of GE Capital Asia Pacific (Business Wire)

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SAN JOSE, Calif.–(BUSINESS WIRE)– Brocade ® (NASDAQ: BRCD – News ) today reported financial results for its fourth fiscal quarter and full fiscal year ended October 31, 2009. Brocade’s quarterly revenues increased 31 percent year-over-year to $521.8 million and annual revenues increased 33 percent year-over-year to over $1.95 billion. “Fiscal 2009 was a transformational year as Brocade became one of only two end-to-end networking solutions providers in the industry,” said Michael Klayko, CEO of Brocade. “Brocade also delivered exceptionally strong year-over-year revenue growth and increased its account penetration in the Ethernet networking market while growing share in the storage networking market.” Klayko continued, “In addition, Q4 saw tremendous momentum as we exceeded the Street’s consensus non-GAAP EPS estimates for the seventeenth consecutive quarter, delivered the fastest sequential revenue growth of any large networking vendor, and generated strong cash flows. Looking at 2010, we expect to continue our momentum as we execute our strategy of delivering the highest levels of performance, quality, innovation and choice to the IT market.” Brocade management has posted prepared comments and slides on its Fiscal Q4 and 2009 results and Fiscal 2010 outlook at www.BRCD.com in addition to this press release. Brocade will host a live webcast conference call to answer questions from investors and analysts at 5:00 a.m. Pacific time on November 24. Questions may be also submitted in advance to ir@brocade.com . Other Q4 product, customer, and partner announcements are available at http://newsroom.brocade.com/ . Financial Highlights and Additional Financial Information Fiscal year 2009 revenue was $1,952.9 million, increasing 33% over fiscal year 2008. Q4 revenue was $521.8 million, increasing 31% year-over-year and 6% sequentially. Q4 total Storage Area Networking (SAN) port shipments were approximately 1.0 million. Q4 SAN Average Selling Price (ASP) declines were in the low single digits. Q4 effective GAAP tax rate was (24.9)%; non-GAAP effective tax-rate was 25.3%. Q4 Adjusted EBITDA was $130.6 million, increasing from $119.3 million in Q3. Q4 non-GAAP operating margin was 22.7%, increasing from 20.3% in Q3.       Q4 2009 Q3 2009 Q4 2008 Revenue $521.8 M $493.3 M $398.5 M GAAP net income (loss) $33.6 M $(21.0) M $35.6 M Non-GAAP net income $73.4 M $55.4 M $75.8 M GAAP EPS – diluted $0.07 ($0.05) $0.09 Non-GAAP EPS – diluted $0.15 $0.12 $0.20 Non-GAAP gross margin 59.5% 58.2% 64.1% Non-GAAP operating margin 22.7% 20.3% 26.2% Adjusted EBITDA (4) $130.6 M $119.3 M $142.1 M Cash provided by operations $155.3 M $16.6 M $168.6 M   Non-GAAP financial measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, GAAP results. A detailed reconciliation between GAAP and non-GAAP information is contained in the tables included herein.   As a % of total revenues Q4 2009 (3) Q3 2009 Q4 2008 OEM revenues 65% 63% 88% Channel/Direct revenues 35% 37% 12% 10% or greater customer revenues 46% 46% 65% Domestic revenues (1) 63% 64% 64% International revenues (1) 37% 36% 36% Data Storage Revenue 58% 58% 84% Ethernet Products Revenue 25% 24% 0% Stackable % of Ethernet Revenues (2) 30% 26% 28% Chassis % of Ethernet Revenues (2) 70% 74% 72% Enterprise % of Ethernet Revenues (2) 86% 83% 73% Service Providers % of Ethernet Revenues (2) 14% 17% 27% Global Services Revenue 17% 18% 16%   Q4 2009 Q3 2009 Q4 2008 Cash, cash equivalents and investments $338.9 M $249.9 M $820.1 M Deferred revenues $235.4 M $230.1 M $141.2 M Capital expenditures – non-campus related $ 16.7 M $ 20.0 M $ 13.9 M Capital expenditures – campus related $ 27.8 M $ 24.8 M $ 4.7 M Total debt, net of discount $1,085 M $1,139 M $1,225 M Days sales outstanding 52 days 56 days 36 days Employees at end of period 4,070 3,866 2,834   1) Based on Brocade estimates of adjustment for partners taking delivery of internationally bound shipments in the United States, end-user demand was 53% domestic and 47% international. 2) On an “As If” combined Brocade basis with respect to Q4 2008. 3) Q4 2009 is the third full quarter of combined operations post acquisition of Foundry. 4) EBITDA adjusted for non cash expenses and legal fees and recoveries related to indemnification obligations.   Non-GAAP Financial Measures This press release contains non-GAAP financial measures. In evaluating Brocade’s performance, management uses certain non-GAAP financial measures to supplement consolidated financial statements prepared under GAAP. Management believes that non-GAAP net income and other non-GAAP financial measures used in this press release allow management to gain a better understanding of Brocade’s comparative operating performance from period to period and to its competitors’ operating results. Management also believes these non-GAAP financial measures help indicate Brocade’s baseline performance before gains, losses or charges that are considered by management to be outside ongoing operating results. Accordingly, management uses these non-GAAP financial measures for planning and forecasting of future periods and in making decisions regarding operations performance and the allocation of resources. Management believes these non-GAAP financial measures, when read in conjunction with Brocade’s GAAP financials, provide useful information to investors by offering: the ability to make more meaningful period-to-period comparisons of Brocade’s ongoing operating results; the ability to better identify trends in Brocade’s underlying business and perform related trend analysis; a better understanding of how management plans and measures Brocade’s underlying business; and an easier way to compare Brocade’s most recent results of operations against investor and analyst financial models. Management excludes certain gains or losses and benefits or costs in determining non-GAAP net income that are the result of infrequent events or arise outside the ordinary course of our continuing operations. Management believes that it is appropriate to evaluate Brocade’s operating performance by excluding those items that are not indicative of ongoing operating results or limit comparability. Such items include: (i) legal fees and recoveries associated with indemnification obligations to former directors and officers and other related costs, net, (ii) provision for class action lawsuit, (iii) acquisition and integration costs (in connection with the Foundry acquisition), (iv) in-process research and development charges (in connection with the Foundry acquisition), (v) loss on sale of investments, and (vi) loss on impairment of portfolio investments. Management also excludes the following non-cash charges in determining non-GAAP net income: (i) stock-based compensation expense, (ii) amortization of purchased intangible assets, (iii) costs/benefits associated with restructuring costs and facilities lease losses, and (iv) goodwill and acquisition-related intangible assets impairment. Because of varying available valuation methodologies, subjective assumptions and the variety of award types, management believes that the exclusion of stock-based compensation allows for more accurate comparisons of our operating results to our peer companies. Management believes that the expense associated with the amortization of acquisition-related intangible assets is appropriate to be excluded because a significant portion of the purchase price for acquisitions may be allocated to intangible assets that have short lives and exclusion of the amortization expense allows comparisons of operating results that are consistent over time for Brocade’s newly acquired and long-held businesses. Management also believes that the expense associated with the goodwill and acquisition-related intangible assets impairment is appropriate to be excluded because we do not believe that this charge is indicative of future operating results and we believe that investors benefit from an understanding of our operating results without giving effect to it. Finally, management believes that it is appropriate to exclude the tax effects of the items noted above in order to present a more meaningful measure of non-GAAP net income. Limitations . These non-GAAP financial measures have limitations, however, because they do not include all items of income and expense that impact the Company. Management compensates for these limitations by also considering Brocade’s GAAP results. The non-GAAP financial measures that Brocade uses are not prepared in accordance with, and should not be considered an alternative to measurements required by GAAP, such as operating income, net income (loss) and net income (loss) per share, and should not be considered measurements of Brocade’s liquidity. The presentation of this additional information is not meant to be considered in isolation or as a substitute for the most directly comparable GAAP measures. In addition, these non-GAAP financial measures may not be comparable to similar measurements reported by other companies. Cautionary Statement This press release contains statements that are forward-looking in nature, including statements regarding Brocade’s market positioning and opportunities, including potential benefits of new or expanded partner relationships, and the integration of the Foundry acquisition. These statements are based on current expectations on the date of this press release and involve a number of risks and uncertainties which may cause actual results to differ significantly from such estimates. The risks include, but are not limited to, the effect of changes in IT spending levels, market competition and changes in the industry, Brocade’s ability to successfully introduce new products and services on a timely basis, and Brocade’s ability to manage its business effectively in a rapidly evolving market. Certain of these and other risks are set forth in more detail in “Item 1A. Risk Factors” in Brocade’s Quarterly Report on Form 10-Q for the fiscal quarter ended August 1, 2009. Brocade does not assume any obligation to update or revise any such forward-looking statements, whether as the result of new developments or otherwise. About Brocade Brocade ® (NASDAQ: BRCD – News ) develops extraordinary networking solutions that enable today’s complex, data-intensive businesses to optimize information connectivity and maximize the business value of their data. For more information, visit www.brocade.com . Brocade, the B-wing symbol, BigIron, DCX, Fabric OS, FastIron, IronPoint, IronShield, IronView, IronWare, JetCore, NetIron, SecureIron, ServerIron, StorageX and TurboIron are registered trademarks, and DCFM, Extraordinary Networks and SAN Health are trademarks of Brocade Communications Systems, Inc., in the United States and/or in other countries. All other brands, products or service names are or may be trademarks or service marks of, and are used to identify, products or services of their respective owners. © 2009 Brocade Communications Systems, Inc. All Rights Reserved.   BROCADE COMMUNICATIONS SYSTEMS, INC. GAAP CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except per share amounts) (unaudited)     Three Months Ended Twelve Months Ended October 31,   October 25, October 31,   October 25, 2009 2008 2009 2008   Net revenues Product $ 432,394 $ 335,403 $ 1,615,511 $ 1,230,737 Services   89,361     63,095     337,415     236,200   Total net revenues 521,755 398,498 1,952,926 1,466,937 Cost of revenues Product 203,442 114,374 739,354 459,850 Services   47,466     38,987     180,072     146,715   Total cost of revenues   250,908     153,361     919,426     606,565   Gross margin 270,847 245,137 1,033,500 860,372 Operating expenses: Research and development 95,346 70,867 354,809 255,571 Sales and marketing 103,451 71,112 385,155 274,311 General and administrative 22,209 14,912 84,962 58,172 Legal fees and recoveries associated with indemnification obligations and other related costs, net (14,612 ) 26,274 23,941 48,673 Provision for class action lawsuit — — — 160,000 Amortization of intangible assets 17,052 7,820 68,718 31,484 Acquisition and integration costs 333 682 5,127 682 Restructuring costs and facilities lease loss, net — 3,208 2,329 2,731 In-process research and development — — 26,900 — Goodwill and acquisition-related intangible assets impairment   —     —     53,306     —   Total operating expenses   223,779     194,875     1,005,247     831,624   Income from operations 47,068 50,262 28,253 28,748 Interest and other income/(expense), net 530 (796 ) (2,382 ) 26,867 Interest expense (20,681 ) (5,684 ) (91,281 ) (10,068 ) (Gain)/loss on sale of investments, net (27 ) 111 (602 ) (6,874 ) Loss on impairment of portfolio investments   —     (8,751 )   —     (8,751 ) Income/(loss) before provision/(benefit) for income taxes 26,890 35,142 (66,012 ) 29,922 Income tax provision/(benefit)   (6,707 )   (439 )   10,573     (137,148 ) Net income/(loss) $ 33,597   $ 35,581   $ (76,585 ) $ 167,070     Net income/(loss) per share – Basic $ 0.08   $ 0.10   $ (0.19 ) $ 0.45   Net income/(loss) per share – Diluted $ 0.07   $ 0.09   $ (0.19 ) $ 0.43   Shares used in per share calculation – Basic   425,530     371,845     398,948     375,303   Shares used in per share calculation – Diluted   492,174     389,477     398,948     394,703     BROCADE COMMUNICATIONS SYSTEMS, INC.     GAAP CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands) (unaudited)   October 31, October 25, 2009 2008 Assets Current assets: Cash and cash equivalents $ 334,193 $ 453,884 Short-term investments 4,678 152,741 Restricted cash   12,502     —   Total cash, cash equivalents, short-term investments and restricted cash 351,373 606,625 Accounts receivable, net 297,819 158,935 Inventories 72,152 21,362 Deferred tax assets 84,629 104,705 Prepaid expenses and other current assets   79,302     49,931   Total current assets 885,275 941,558   Long-term marketable equity securities — 177,380 Long-term investments — 36,120 Restricted cash — 1,075,079 Property and equipment, net 442,408 313,379 Goodwill 1,648,217 268,977 Intangible assets, net 470,872 220,567 Non-current deferred tax assets 185,713 227,795 Other assets   28,218     37,793   Total assets $ 3,660,703   $ 3,298,648     Liabilities and Stockholders’ Equity   Current liabilities: Accounts payable $ 181,249 $ 167,660 Accrued employee compensation 160,832 107,994 Deferred revenue 174,870 103,372 Current liabilities associated with facilities lease losses 10,769 13,422 Liability associated with class action lawsuit — 160,000 Revolving credit facility 14,050 — Current portion of long-term debt 38,822 43,606 Convertible subordinated debt 171,822 — Purchase commitments 17,011 17,332 Other accrued liabilities   88,252     88,472   Total current liabilities 857,677 701,858   Long-term debt, net of current portion 860,114 1,011,399 Non-current convertible subordinated debt — 169,660 Non-current liabilities associated with facilities lease losses 10,150 15,007 Non-current deferred revenue 60,575 37,869 Non-current income tax liability 92,276 67,497 Other non-current liabilities 15,114 13,118   Stockholders’ equity Common stock 1,872,482 1,393,299 Accumulated other comprehensive loss (5,920 ) (85,877 ) Accumulated deficit   (101,765 )   (25,182 ) Total stockholders’ equity   1,764,797     1,282,240   Total liabilities and stockholders’ equity $ 3,660,703   $ 3,298,648     BROCADE COMMUNICATIONS SYSTEMS, INC. GAAP CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS For the Three Months Ended October 31, 2009 and October 25, 2008 (in thousands) (unaudited)   Three Months Ended October 31,   October 25, 2009 2008 Cash flows from operating activities: Net income $ 33,597 $ 35,581 Adjustments to reconcile net income to net cash provided by operating activities: Excess tax benefit from employee stock plans (192 ) (13,641 ) Depreciation and amortization 51,486 30,533 Loss on disposal of property and equipment 110 1,853 Amortization of debt issuance costs 4,182 319 Net losses on investments and marketable equity securities 27 8,839 Provision for doubtful accounts receivable and sales allowances 3,148 1,700 Non-cash compensation expense 35,714 7,515 Capitalization of interest cost (2,737 ) (970 ) Non-cash facilities lease loss benefit — (105 ) Changes in assets and liabilities: Restricted cash (12,502 ) — Accounts receivable 821 13,386 Inventories (18,560 ) (6,993 ) Prepaid expenses and other assets (2,716 ) 44,232 Deferred tax assets 2,440 (48,296 ) Accounts payable 30,815 39,353 Accrued employee compensation 27,425 33,768 Deferred revenue 5,376 (7,486 ) Other accrued liabilities (118 ) 31,308 Liabilities associated with facilities lease losses   (3,004 )   (2,325 ) Net cash provided by operating activities   155,312     168,571     Cash flows from investing activities: Purchases of property and equipment (44,491 ) (18,603 ) Purchases of short-term investments (22 ) (2,053 ) Purchases of marketable equity securities — (248,431 ) Proceeds from maturities and sale of short-term investments 1,056 107,547 Purchases of non-marketable minority equity investments — (1,436 ) (Increase) decrease in restricted cash — (1,075,079 ) Cash paid in connection with pending acquisition of Foundry Networks, Inc.   —     (1,000 ) Net cash used in investing activities   (43,457 )   (1,239,055 )   Cash flows from financing activities: Payment of principal related to the term loan (57,881 ) — Common stock repurchases — — Excess tax benefit from employee stock plans 192 13,641 Proceeds from issuance of common stock, net 35,375 615 Proceeds from term loan   —     1,054,425   Net cash provided by (used in) financing activities   (22,314 )   1,068,681     Effect of exchange rate fluctuations on cash and cash equivalents   473     (3,712 )   Net increase (decrease) in cash and cash equivalents 90,014 (5,515 ) Cash and cash equivalents, beginning of period   244,179     459,399   Cash and cash equivalents, end of period $ 334,193   $ 453,884     BROCADE COMMUNICATIONS SYSTEMS, INC. GAAP CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS For the Twelve Months Ended October 31, 2009 and October 25, 2008 (in thousands) (unaudited)   Twelve Months Ended October 31,   October 25, 2009 2008 Cash flows from operating activities: Net income (loss) $ (76,585 ) $ 167,070 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Release of valuation allowance — (185,176 ) Excess tax benefit from employee stock plans 794 (16,146 ) Depreciation and amortization 196,573 120,178 Loss on disposal of property and equipment 1,478 3,181 Amortization of debt issuance costs 16,038 319 Net losses on investments and marketable equity securities 597 15,327 Provision for doubtful accounts receivable and sales allowances 12,681 6,614 Non-cash compensation expense 137,219 39,036 Capitalization of interest cost (9,093 ) (970 ) In-process research and development 26,900 — Non-cash facilities lease loss benefit (339 ) (582 ) Asset impairment charge 53,306 — Changes in assets and liabilities: Restricted cash (12,502 ) — Accounts receivable (74,965 ) 17,143 Inventories 25,338 (3,345 ) Prepaid expenses and other assets 4,213 25,200 Deferred tax assets 3,091 (58,104 ) Accounts payable (11,052 ) 40,550 Accrued employee compensation (28,685 ) 30,242 Deferred revenue 26,454 10,185 Other accrued liabilities (5,543 ) 77,311 Liabilities associated with facilities lease losses (10,394 ) (9,538 ) Liability associated with class action lawsuit   (160,000 )   160,000   Net cash provided by operating activities   115,524     438,495     Cash flows from investing activities: Purchases of property and equipment (162,770 ) (144,071 ) Purchases of short-term investments (138 ) (169,016 ) Purchases of marketable equity securities — (248,431 ) Proceeds from sale of marketable equity securities and equity investments — 9,926 Proceeds from maturities and sale of short-term investments 155,986 448,385 Purchases of non-marketable minority equity investments — (1,436 ) Purchases of long-term investments — (37,731 ) Proceeds from maturities and sale of long-term investments 30,173 22,483 (Increase) decrease in restricted cash 1,075,079 (1,075,079 ) Cash paid in connection with pending acquisition of Foundry Networks, Inc. — (1,000 ) Net cash paid in connection with acquisitions   (1,297,482 )   (43,554 ) Net cash used in investing activities   (199,152 )   (1,239,524 )   Cash flows from financing activities: Payment of senior underwriting fees related to the term loan (30,525 ) — Payment of principal related to the term loan (166,022 ) — Common stock repurchases — (168,293 ) Excess tax benefit from employee stock plans (794 ) 16,146 Proceeds from issuance of common stock, net 145,655 42,418 Proceeds from term loan — 1,054,425 Proceeds from revolving credit facility   14,050     —   Net cash provided by (used in) financing activities   (37,636 )   944,696     Effect of exchange rate fluctuations on cash and cash equivalents   1,573     (5,538 )   Net increase (decrease) in cash and cash equivalents (119,691 ) 138,129 Cash and cash equivalents, beginning of period   453,884     315,755   Cash and cash equivalents, end of period $ 334,193   $ 453,884     BROCADE COMMUNICATIONS SYSTEMS, INC. RECONCILIATION BETWEEN GAAP AND NON-GAAP NET INCOME (in thousands, except per share amounts) (unaudited)   Three Months Ended October 31,   October 25, 2009 2008   Net income on a GAAP basis $ 33,597 $ 35,581 Adjustments: Stock-based compensation expense included in cost of revenues 7,062 1,616 Amortization of intangible assets expense included in cost of revenues 17,898 8,780 Provision for certain pre-acquisition litigation 14,335 — Legal fees associated with certain pre-acquisition litigation   546     20   Total gross margin adjustments   39,841     10,416   Legal fees and recoveries associated with indemnification obligations and other related costs, net (14,612 ) 26,274 Stock-based compensation expense included in research and development 10,251 2,385 Stock-based compensation expense included in sales and marketing 12,934 2,325 Stock-based compensation expense included in general and administrative 5,468 1,189 Amortization of intangible assets expense included in operating expenses 17,052 7,820 Acquisition and integration costs 333 682 Restructuring costs and facilities lease loss benefit, net   —     3,208   Total operating expense adjustments   31,426     43,883   Total operating income adjustments 71,267 54,299 Loss on impairment of portfolio investments — 8,751 Acquisition-related financing charges — 4,736 Income tax effect of adjustments   (31,502 )   (27,602 ) Non-GAAP net income $ 73,362   $ 75,765   Non-GAAP net income per share – basic $ 0.17   $ 0.20   Non-GAAP net income per share – diluted $ 0.15   $ 0.20   Shares used in non-GAAP per share calculation – basic   425,530     371,845   Shares used in non-GAAP per share calculation – diluted   492,174     389,477     See explanation of non-GAAP information included herein.   BROCADE COMMUNICATIONS SYSTEMS, INC. RECONCILIATION BETWEEN GAAP AND NON-GAAP NET INCOME (LOSS) (in thousands, except per share amounts) (unaudited)   Twelve Months Ended October 31,   October 25, 2009 2008   Net income (loss) on a GAAP basis $ (76,585 ) $ 167,070 Adjustments: Stock-based compensation expense included in cost of revenues 25,654 9,117 Amortization of intangible assets expense included in cost of revenues 65,803 37,400 Provision for certain pre-acquisition litigation 14,335 — Legal fees associated with certain pre-acquisition litigation   546     2,339   Total gross margin adjustments   106,338     48,856   Legal fees and recoveries associated with indemnification obligations and other related costs, net 23,941 48,673 Provision for class action lawsuit — 160,000 Stock-based compensation expense included in research and development 40,365 10,324 Stock-based compensation expense included in sales and marketing 48,820 10,652 Stock-based compensation expense included in general and administrative 22,380 8,944 Amortization of intangible assets expense included in operating expenses 68,718 31,484 Acquisition and integration costs 5,127 682 Restructuring costs and facilities lease losses (benefits), net 2,329 2,731 In-process research and development 26,900 — Goodwill and acquisition-related intangible assets impairment   53,306     —   Total operating expense adjustments   291,886     273,490   Total operating income adjustments 398,224 322,346 Loss on sale of investments, net — 6,004 Loss on impairment of portfolio investments — 8,751 Acquisition-related financing charges 4,366 4,736 Income tax effect of adjustments   (86,586 )   (248,001 ) Non-GAAP net income $ 239,419   $ 260,906     Non-GAAP net income per share – basic $ 0.60   $ 0.70   Non-GAAP net income per share – diluted $ 0.53   $ 0.67   Shares used in non-GAAP per share calculation – basic   398,948     375,303   Shares used in non-GAAP per share calculation – diluted   454,293     394,703     See explanation of non-GAAP information included herein. Read more: Brocade Delivers Record Fiscal Q4 and 2009 Results With 33% Year-Over-Year Annual Revenue Growth (Business Wire)

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Brocade Delivers Record Fiscal Q4 and 2009 Results With 33% Year-Over-Year Annual Revenue Growth (Business Wire)

MILWAUKEE (AP) — Tyson Foods Inc. said it made strides in the meat business this year and predicts more improvements next year, but analysts worry the company’s all-important chicken business is lagging others in the industry. AP – In this photo made Wednesday, Oct. 28, 2009, a Tyson Foods, Inc., truck is parked at a food … {”s” : “pgpdq.pk,tsn”,”k” : “c10,l10,p20,t10″,”o” : “”,”j” : “”} The world’s largest meat producer, based in Springdale, Ark., said on Monday a hefty impairment charge in its beef business left it with a loss for the fourth quarter. But all of its business units, including chicken and pork, were profitable, when excluding the $560 million noncash charge. The company said it expects those profits to continue as an improving economy will lead to better demand next year. Consumers have been watching their money tightly in the recession, eating less expensive food and limiting trips out to restaurants. That has hurt Tyson’s business by pulling down prices for key items like chicken breast meat. The company did not issue guidance for 2010, other than saying it expected to see more progress. There are still issues, such as feed costs rising again — though not as high as records from summer 2008 — and fluctuating foreign currencies. “We have our beef, pork and prepared business where they should be, and we’re on our way to getting our chicken business there, too,” Donnie Smith, who was promoted to Chief Executive officer last week, told analysts on a conference call Monday. The company’s chicken business was hurt the most in the downturn, and last January it tapped former CEO Leland Tollett to restore the segment to growth. He was replaced last week by Smith, Tyson’s senior group vice president of poultry and prepared foods, a sign that the company thinks its chicken business has improved. But according to the latest numbers, the chicken business is performing worse than those of Tyson’s peers, said KeyBanc Capital Markets analyst Akshay Jagdale. Other companies in the industry — including Pilgrim’s Pride Corp, which filed for bankruptcy protection amid the downturn — have cut production, which bolsters prices and helps ensure profits. But Tyson only shed inventory and made no mention of chicken production cuts next year, Jagadale said. Chicken volumes were up 10.4 percent in the quarter. “They were very bullish about this fourth quarter just a few months ago and this ended up being a really bad quarter and their peers have had a very good quarter,” he said. Pilgrim’s Pride said Monday it earned $82.7 million in the fourth quarter, an improvement from a loss of $802 million last year. Its chicken sales volume fell 14 percent due to production cutbacks. Tyson lost $455 million, or $1.22 per share in the three months ended Oct. 3. That compares with a profit of $48 million, or 13 cents per share, a year ago. Tyson lowered the value of its beef segment with the $560 million noncash charge, saying its cost of capital has gone up. It is used to determine fair market value, so the company had to lower the segment’s worth. Tyson bought beef processor IBP Inc. for $3.2 billion in a cash and stock deal in 2001. Excluding the impairment charge of $1.50 per share, Tyson earned 28 cents per share. Sales rose slightly to $7.21 billion from $7.2 billion, with chicken sales up 11 percent to $2.64 billion from $2.38 billion. Excluding the charge, Tyson’s performance beat the expectations of analysts surveyed by Thomson Reuters, who forecast a profit of 26 cents per share on revenue of $6.88 billion. Shares of Tyson fell 19 cents, or 1.5 percent, to close at $12.88 Monday. For the year, Tyson lost $537 million, or $1.44 per share, compared with a profit of $86 million, or 24 cents per share, the year before, which included one less week. Adjusted earnings were 6 cents per share after removing the impairment charge. Annual sales dipped 1 percent to $26.7 billion from $26.86 billion. AP Business Writer Michelle Chapman contributed to this report from New York. Read more: Tyson Foods posts 4Q loss on beef charge (AP)

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LONDON (AFP) – Britain’s political leaders clashed Monday at a key business conference over how to fix rocketing public debt and spark economic recovery, with an election looming next year. Prime Minister Gordon Brown, main opposition Conservatives leader David Cameron and Liberal Democrat chief Nick Clegg laid out their plans at the Confederation of British Industry’s annual meeting. The CBI, the nation’s biggest employers’ organisation, used its latest annual conference to discuss how companies can best recover from Britain’s longest recession on record, calling for a “new era” of business. With an election due by June, which Brown’s Labour party appears set to lose to Cameron’s Tories, one of the biggest debates is how to fix soaring public finances that were hit by recession and the global financial crisis. Britain is the last major world power still mired in recession, after the eurozone, France, Germany, Japan and the United States all emerged from a steep global economic downturn. “The most important driver of deficit reduction over the period ahead will be the growth performance of our economy, and the speed with which we can get unemployment down,” Brown told business chiefs. “As we take measures to halve the (public) deficit over the next four years, we will continue to make the necessary investment in growth and skills.” Labour and the main opposition Conservatives are at loggerheads over the public spending cuts and taxation hikes needed to balance the books. Tory leader Cameron on Monday blasted the prime minister over the issues in a separate speech to CBI delegates. “Today there is a growing international and domestic consensus that urgent action (on repairing public finances) is vital to recovery,” Cameron said. “We are at the end of the longest and deepest recession since the war, we face the largest public deficit in our peacetime history, unemployment is at two and a half million,” he added. “We cannot go on like this.” Another crucial topic is when the British government should begin withdrawing stimulus measures that are designed to haul the nation out of its deep recession. Brown said that stopping economic stimulus measures was not the answer to the economy’s problems. “You cannot say you are going for growth and then in the next breath demand the withdrawal of the very measures essential to lock in the recovery and enable the growth to take place,” Brown told the CBI. “Choking off recovery by turning off the life support for our economies prematurely would be fatal to British jobs, British growth and British prosperity for years.” The prime minister also urged stronger trade links with emerging Asian economic giants China and India, as he announced an international investment conference to be held in London early next year. In reaction, CBI Director-General Richard Lambert said all three political leaders had argued that healthy public finances were crucial to restoring economic growth. “All three party leaders rightly addressed the need for a strategy for economic growth, and (the) importance in reducing the public sector deficit,” Lambert noted. He added: “Without growth, getting out of this fiscal hole will be very difficult indeed.” Britain’s recession, which began in the second quarter of 2008, is now officially the country’s longest since records began in 1955. The economy has contracted for six quarters in a row. The government has borrowed 86.9 billion pounds so far in the current financial year that began in April. Analysts warned that borrowing was likely to breach its 2009/2010 target of 175 billion pounds. Lambert said the business community would now switch its focus to finance minister Alistair Darling’s pre-budget report on December 9. John Cridland, deputy director-general, added that the CBI was calling for a “clear and robust plan” to bring public finances under control. “It’s a plan that business needs to see because it’s a plan that will inspire confidence,” he said, adding that the CBI wanted the government to balance the books two years earlier than it has planned. Lambert added that there were “huge uncertainties” about the British economic outlook. “There are uncertainties both in terms of the scale of the structural deficit — we don’t know what that is — and there are uncertainties about the pace of recovery going forward, which would make a huge difference to the fiscal outlook,” Lambert said. See original here: British leaders clash over public finances, recovery

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I am often accused of being a “Permabear” or “Doomer.” Nothing is further from the truth. I simply call things as I see them.  I did so with Musings before The Market Ticker began publication, I did so back in the 1990s when I ran MCSNet, and I still do. And let’s not kid ourselves – the economic news is simply not good.  Nor is it likely to get better. Take the leading economic indicators.  People point to the six-month improvement in the LEI as a sign of a “strong recovery.”  But the internals of that number are more sobering – unlike every other recession since the LEIs began being reported , the “real economy” subset of the LEIs is showing less than half of the “improvement” found in “bubble” components such as “stock prices.” The problem is the willful blindness to the real problem in the economy – that is, excessive debt. James Bullard of the St. Louis Fed, who came out this weekend in support of “more asset purchases”, underlined the reality: The Fed has been buying literally 90% of all of the new issue in Treasuries and MBS this year .  While their “Treasury” program was “only” $300 billion, the MBS program has allowed various people to exit their MBS position and swap into Treasuries – thereby papering over the near-complete destruction of interest in Fannie and Freddie paper. This morning I awoke to CNBC with Mr. Kroszner, former Fed Governor and University of Chicago Booth Business School nutball, “laud” the fact that an “independent” central bank had led to “better” inflation outcomes.  Really? I suppose if you don’t include in “inflation” the change in prices of things people actually need, you might be right.  You know, things like houses?  Food?  Gasoline?  Pharmaceuticals? Never mind that Bullard’s “speaking” over the weekend (and let’s remember, he’s a voting member starting next year!) had the clear effect of further torpedoing the dollar. A clear statement of intent to further debase the currency by purchasing MBS that under any reasonable read of Section 14 are unlawful for The Fed to buy , securities that are likely carrying huge unrealized losses yet will be purchased at intentionally-overinflated prices, is destructive to the currency.  This is what Fed secrecy has brought and continues to bring. The fact is that Krozner is forced to resort to flat-out lying to continue to defend the indefensible acts of his cronies (and indeed his own acts of the last few years at The Fed), which is what so-called “economists” and professors have been reduced to.  Government is complicit in these lies; indeed, they have every reason to do so, especially when it comes to so-called “inflation” numbers, as to do otherwise would be to make clear to everyone in the market exactly what sort of outrageous behavior (and the impact it has had on the economy) they have engaged in.  The CPI is insanely fraudulent by being laced through with “hedonic substitution” (when steak is too expensive they substitute hamburger, and call it “equivalent” since both are beef!) and willful refusal to include certain categories of expenditure at all (e.g. “owners equivalent rent” instead of actual house prices, when more than 60% of American families own a house!) A more accurate way to look at “inflation” is to look at the debt load that has been served up by our “independent” central bank.  And here you find the following chart, courtesy of The Fed’s own data: Notice the change .vs. GDP, and the increase as a percentage. As I have repeatedly pointed out, we are running between 8-9% growth in debt outstanding – on a compounded annual rate – since 1951. If this is “better inflation outcomes” I’d like to ask “what would be a worse inflation outcome?”  And don’t try to claim that the “anomaly” in the 1970s skews the data either – that would be a flat lie.  In fact, since 1990 to present the rate of change has been 7.90% and since 2000 8.49%. Let’s not kid ourselves.  The claim that “inflation has been low and controlled” is a flat lie.  GDP has consistently run 2-3% below debt levels since the 1950s and that “spread” has in fact been increasing in the last decade. This is what our Federal Reserve has brought us in terms of “monetary policy” and it is why we are in this mess. I know I have presented the above chart many times, but it will continue to be presented until people wake up and smell the damn coffee!  It is the policies of The Federal Reserve that have led to this mathematically-impossible circumstance. Secrecy breeds complicity and fraud, and nowhere is that more evident than at The Fed.  The NY Fed, for example, did funnel a huge amount of taxpayer money through AIG to foreign and domestic banks after, in secret, making known that it and Treasury would not allow AIG to fail, thereby destroying their negotiating position.   It was through secrecy that this was able to happen without the public raising a well-justified amount of hell at the time and now we are stuck with the consequences. The FDIC has taken a page out of The Fed’s “bamboozle ‘em by keeping ‘em in the dark” playbook, refusing to act to close banks until they are 20, 30, 40, even 50% underwater on asset prices.  How does this happen?  How do “bank examiners” not know that these “assets” are worth far less (or just plain worthless) than their book value?  There are only two possible explanations – willful blindness or outright idiocy. Neither is acceptable. Then there’s this – apparent FDIC refusal to disclose REO auction results!   It seems to me that a well-placed FOIA is in order, but is one really necessary?  The fact of the matter is that underlying asset prices are still collapsing in the real economy , as the ability to take on more debt to support the bubblelicious values of yesteryear simply does not exist.  The FDIC’s refusal to disclose is a raw attempt to prevent the market from realizing the truth – these so-called “assets” are deeply impaired (at best) and there are literally hundreds of banks and other institutions (including most especially The Fed!) that have securities “backed by” these assets that are worth far less than their alleged “face” value.  Recognition of this will set off another leg down in this crisis and the regulators and Washington DC folks know it.  They have spent over two years playing “extend and pretend” in the futile belief that valuations would recover by now – but they haven’t.  It is in fact mathematically impossible for them to do so as the net debt carrying capacity of the private sector has been exceeded. There are about $10 trillion worth of mortgages outstanding in this country (according to The Fed Z1); of that well over half is linked to Fannie and Freddie.  The actual underlying value of the homes linked to that debt was overinflated by roughly half during the years 2001-2007. Deutche Bank has estimated that more than half of all homes with mortgages will be “underwater” by the end of next year.  Hiding the reality of this calamity has become the mantra of the government and its agencies at this point – there is literally more than $1 trillion, and perhaps as much as $2 trillion, in additional residential real estate losses that are being hidden in the system right here and now, and The Government, either directly or via The Fed, is on the hook for the majority of it. The IMF warned this weekend that a second bailout would “threaten democracy”: Dominique Strauss-Kahn told the CBI annual conference of business leaders that another huge call on public finances by the financial services sector would not be tolerated by the “man in the street” and could even threaten democracy. “Most advanced economies will not accept any more [bailouts]…The political reaction will be very strong, putting some democracies at risk,” he told delegates. I hope you’re prepared for that, because our government has intentionally lied its way through this mess so far.  We have refused to force those who are holding paper at well above its actual value to recognize their losses (and indeed have made such a policy via accounting changes!), we have allowed The Fed to monetize $1.5 trillion dollars in bad paper (into which The Treasury immediately issued more debt in order to fund giveaways of various sorts, thereby instantly destroying any beneficial aspect that this program would have otherwise had), and we still have literal hundreds of trillions of “off exchange” derivatives with no accurate accounting of where the net exposure resides or in what amount it exists. Yes, the Stock Market has had a big rally.  So what?  Is the stock market the economy?  No.  Were Tulip Bulbs reflecting the underlying demand for tulips in Holland during the mania?  No.  Were tech stocks reflecting the underlying demand and business prospects for Internet-based businesses in 1999?  No.  Were stock prices in October of 2007 reflecting a strong fundamental outlook for the economy?  No.  Were housing prices, as Bernanke repeatedly asserted to the public and Congress, reflecting a “strong underlying demand for homes” in 2006 and 2007?  No. I continue to hear rumors of incipient disaster.  One of the latest, which has come at me from multiple sources, is that Moody’s intends to downgrade multiple states , as many as 20, within days or weeks.  This has been floating around in whispers for the last month.  Is this reality?  It damn well should be – California, New York, Michigan, Arizona, Nevada and Florida are all in serious fiscal trouble.  All built up public salaries and pensions, protected by state law or worse their state constitutions from cutbacks, along with unions willing to literally go to war to prevent reductions in expense.  Yet their funding base has and is collapsing – property taxes are going unpaid by banks and the government holding REOs, property valuations (and thus the tax base) are collapsing, business is in the tank destroying sales tax receipts, and those states that charge a personal and corporate income tax have seen those taxes collapse as well. California has what appears to be a $20 billion budget hole all on its own , and no prayer of being able to close it.  Between these states there are literal thousands of firefighters and police officers who have platinum-plated pension plans that are additionally double-dipping in some fashion, all of them “earning” six figures.  Universities that have gorged themselves on debt-fueled increases in tuition and fees running at a double-digit rate for more than a decade are now finding themselves trying to force students and their families to eat the outcome of their profligacy.  The local school district here in my town built a new addition on its elementary school – complete with tens of thousands of dollars in each classroom for “smart boards” and plasma televisions – the latter of which is used to display THE SCHOOL CLOCK for 90% of the instructional day.   Yes, you read that right – we have a school here that uses a $5,000 plasma television to replace a $10 clock.  We have so-called “health care reform” being pushed while the pharmaceutical companies have raised prices by nearly 10% in inflation-adjusted terms over the last 12 months and health insurance premiums have been rising at a double-digit rate annually for more than a decade.  The “support” for all of this has been one and only one thing – the ladling on of more debt throughout the system, and now that the private sector has reached its limit and is choking on it the government is trying to replace all of it with more borrowing of its own. This is the sort of rank stupidity that everyone thinks will be “ok” and it is literally everywhere through government and the mainstream media. This morning I woke up to see The Dollar trashed , down almost 1% overnight.  The expectation was that this would “pump” the stock market, and it did.  But does this matter if your dollars buy nothing? CNBS is full of bubble-heads that smile and make it all sound good.  Is this good? You have to love how destruction of a nation’s currency is cheered, with CNBS trying like hell to lead everyone into the stock market. The public is having none of it – retail simply is not “in” at this point, and the “boyz” are starting to recognize that they aren’t going to be.  Why should they? The “boyz” and “media” have lied to the public twice in the last ten years.  First in the 2000 wreck everything was a “buy” all the way down.  People had their hopes, dreams and retirement destroyed – all led by a bubblicious media that was telling you that it was “time to buy” because “stocks were selling at a tremendous discount.”  The orgasms on CNBC and elsewhere in 2001 and 2002, when there was still plenty of downside left, every time the market put in a good rally was clear, convincing – and outrageous. The “bull market” callers all showed up again on CNBS this summer – right around S&P 900.  Where were they at SPX 666? Indeed if you bought at 900 you’ve done well – for a while.  But who bought into the rally at 900?  Not retail.  This is all a trader’s market; the people have had it.  They’re tired of being lied to and no matter how far the pumpers push things by trading things back and forth the investors of the world have figured out the scam and are sitting on their hands.   Most of the “inflow” from Money Markets has gone not to stock but rather to bond funds .  The lesson?  You can screw people only so many times before they tired of it and simply leave you to play in your rigged casino - with yourself. Gold?  It hit $1172 this morning.  But bonds – especially the short end – are yielding zero .  That makes no sense, and one of them is wrong.  You don’t buy bonds that yield zero on the back of a currency devaluation exceeding 15% unless you expect both the dollar to rocket higher and the stock market to collapse. Gold, to a large degree, is being hyped based on Internet-circulated stories of “salted” bars filled with tungsten.  If true – if the so-called “Gold” at Ft. Knox and elsewhere turns out to be false then there is a nightmare about to unfold, and the dollar could easily collapse – especially if this subterfuge is traced to the US Government. But if this is false, then you’re witnessing one of the biggest scams and correlated frauds ever in the history of the markets – and the bond market will be proved correct. Whichever the case may be someone is going to be proved critically wrong in the coming days, weeks and months.  There are times for tremendous caution, and when asset prices are supported by secrecy and outright fraud the public would be well-advised to stay well away from exposure to those parts of the market that would lead to a 50% or greater loss in a near-straight line. Unfortunately, at present, this is essentially every asset class – except perhaps copper-coated lead. 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Turkeys All Around

By Pan Pylas, The Associated Press LONDON – World markets rose sharply Monday amid further hopeful signs about the economic recovery. Commodity stocks led the charge, particularly in London, after gold hit another record high amid renewed dollar weakness. European stocks tracked their Asian counterparts higher, with the FTSE 100 index of leading British shares up 88.99 points, or 1.7 per cent, at 5,340.40. Germany’s DAX rose 91.74 points, or 1.6 per cent, at 5,754.89 and the CAC-40 was 57.24 points, or 1.5 per cent, higher at 3,786.60. Wall Street was poised to open higher after a strong end to last week. Dow futures were up 91 points, or 0.9 per cent, at 10,394 while the broader Standard & Poor’s 500 futures rose 11.50 points, or 1.1 per cent, to 1,101.60. Sentiment in Europe was buoyed by data indicating that the economic recovery is gathering pace in the 16 countries that use the euro. The monthly composite purchasing managers index – a broad gauge of business activity in the manufacturing and services sector – rose to 53.7 in November from October’ 53. Any reading above 50 indicates expansion and the bigger the difference from 50 the greater the expansion – figures recently confirmed that the recession in the eurozone economy ended in the third quarter, though growth was a muted 0.3 per cent. “November’s rise suggests that the eurozone economy has gained a bit more momentum in Q4, but the recovery remains of the steady, rather than the spectacular, variety,” said Ben May, European economist at Capital Economics. Much of Monday’s activity centered on commodity stocks as the price of gold rose 1.7 per cent to a new record of $1,167.35 an ounce. Gold has garnered renewed support as the recent rally in the dollar ran out of steam after U.S. Federal Reserve official James Bullard said the central bank should continue to buy mortgage-backed securities after the March expiration date. Any suggestion that the Fed will maintain its extraordinary monetary policy measures for longer than previously anticipated heaps pressure on the dollar – by late morning London time, the euro was up 0.8 per cent at $1.4971. The falling dollar makes gold more attractive to international investors and as a result, commodity stocks were heavily in demand, particularly on London’s FTSE 100, where a number of resource companies are listed – near the top of the leaderboard were Eurasian Natural PLC, Xstrata PLC and Rio Tinto PLC. Attention later will focus on U.S. existing home sales figures for October. Analysts are hopeful the figures will not disappoint after a mixed series of housing data recently, and are forecast to have risen around 2.5 per cent to an annual rate of 5.7 million units. “The focus will be on the U.S. existing home sales data, with the expectation that the rate will come in at the fastest rate since July 2007, confirming the strength of the recovery,” said Richard Griffiths, senior equity trader at Spreadex. However, with Thursday’s Thanksgiving Day holiday approaching, there are doubts that stocks will be able to sustain their march ahead for too long – many analysts think investors will start taking profits on the rally at some point. “There’s still that lingering degree of caution as to whether stocks can continue to push much higher in general and with a relatively quiet few days ahead, combined with traders in the U.S. winding down for the Thanksgiving holiday, this issue is set to be played out yet again,” said Ben Potter, research analyst at IG Markets in Melbourne, Australia. Stock markets have rallied strongly since March’s lows as investors reined in their economic doomsday expectations to factor in a swifter than anticipated global economic rebound, but recent disappointing U.S. housing figures and mixed earnings from some of the country’s leading technology companies and retailers have dented the optimism. Many investors think stock valuations are now pricing in too rapid an economic recovery. There have been similar bouts of doubt since March, but most did not last long. Earlier, Hong Kong’s Hang Seng index gained 315.55, or 1.4 per cent, to 22,771.39 while South Korea’s Kospi fell 1.55, or 0.1 per cent, to 1,619.05. Elsewhere, Australia’s index gained 0.7 per cent and China’s Shanghai benchmark rose 0.9 per cent. Markets were lower in Indonesia, Malaysia, Thailand, New Zealand and the Philippines. Japan was closed for a public holiday. Meanwhile, oil prices rose as Iran started five days of air defense war games aimed at protecting its nuclear facilities from attack. Benchmark crude for January delivery was up 96 cents at $78.43 on the New York Mercantile Exchange. The contract lost 58 cents to settle at $77.47 on Friday. – AP Business Writer Kelly Olsen in Seoul, South Korea contributed to this report. Read more: World markets rally as gold hits new record high

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(Reuters) – U.S. stock index futures pointed to a higher open on Wall Street on Monday, with futures for the S&P 500, Dow Jones and Nasdaq 100 up 0.8 to 1 percent. Kraft Foods Inc may raise its offer for British chocolatier Cadbury Plc or offer more cash in its bid if rival takeover offers emerge, a source familiar with the situation said on Sunday. Cadbury shares were up 2 percent. Kraft took a 9.9 billion pound ($16.37 billion) hostile offer for Cadbury to shareholders two weeks ago. Most of the remaining large players in the global confectionery industry — U.S.-based Hershey Co , Italy’s Ferrero and Switzerland’s Nestle — are now weighing takeover bids themselves, according to Reuters sources and media reports. A group of U.S. business economists boosted their forecast for economic growth over the next year, but said the jobless rate will remain stubbornly high, a survey released on Monday showed. The National Association for Business Economists predicted real growth in gross domestic product for 2010 would be 2.9 percent, up from its October forecast for 2.6 percent growth. A senior U.S. Federal Reserve official said on Sunday the central bank should keep alive its mortgage-related assets purchase program beyond a planned end-date to give policymakers more flexibility as they seek to help the economy recover from a painful recession. Ciena Corp will buy Nortel Networks Corp’s optical networking and carrier ethernet business for $769 million after trumping Nokia Siemens Networks in a three-day auction, sources told Reuters on Sunday. Microsoft Corp has had talks with News Corp about a tie up, which would involve News Corp getting paid to take its news websites off Google Inc , a source familiar with the matter said on Sunday. Fertilizer maker Terra Industries Inc on Sunday rejected rival CF Industries Holdings Inc’s latest proposal to buy it, saying the new offer was at the same price as CF’s already-rejected proposal from November 1. Shares of Activision Blizzard Inc were inexpensive despite record sales of a video game and the company buying back nearly $300 million in stock in the third quarter, Barron’s said on Sunday. Commodity stocks will be in focus as crude prices rose more than 1 percent to top $78 a barrel after the U.S. dollar lost its footing and heightened tensions between key oil exporter Iran and Western nations raised speculation of a potential supply threat. Spot gold hit a record high and key base metals prices rose, supported by a weakness in the dollar. The day’s earnings calendar includes quarterly results from Campbell Soup and Hewlett-Packard , while on the macro front, the agenda includes the Chicago Fed National Activity Index for October, due at 1330 GMT (8:30 a.m. EST). The National Association of Realtors (NAR) releases existing home sales for October at 1500 GMT (10 a.m. EST). China’s annual economic growth will reach 10 percent this quarter and grow even faster in the first quarter of 2010, Yu Bin, a government researcher with the State Council Development Research Center said in remarks published on Monday. General Motors expects its China sales growth to drop dramatically in 2010 as the carmaker nears the end of a year of government stimulus-fueled growth in the world’s biggest car market, the head of the company’s China operations said on Monday. Health insurer Humana Inc is looking for acquisitions in complementary areas to adapt to changing healthcare need, its Chief Executive Mike McCallister told the Wall Street Journal in an interview. European equities rose, snapping a four-day losing streak, with firmer crude and metal prices boosting commodity shares. The pan-European FTSEurofirst 300 index of top shares was up 1.5 percent at 1,017.56 points. U.S. stocks fell for a third straight day on Friday as investors took weaker-than-expected results from computer maker Dell and homebuilder D.R. Horton as a further sign that the recovery would be anemic. The Dow Jones industrial average fell 14.28 points, or 0.14 percent, to 10,318.16. The Standard & Poor’s 500 Index dropped 3.52 points, or 0.32 percent, to 1,091.38. The Nasdaq Composite Index slipped 10.78 points, or 0.50 percent, to 2,146.04. (Reporting by Blaise Robinson; editing by John Stonestreet) The rest is here: Stock futures signal gains; eyes on Kraft

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LONDON, Nov 23 (Reuters) – Britain’s FTSE 100 .FTSE index is seen opening 32 to 34 points higher on Monday, on track to snap a four-session losing streak, bolstered by rising metals prices. Financial bookmakers expected the UK blue chip index to gain as much as 0.7 percent on opening, after it ended down 0.3 percent at 5,251.41 on Friday, the lowest close since Nov 10. The index is still up 52 percent from a March low. In the absence of any UK data on Monday, investors’ attention will be drawn across the Atlantic, with U.S. existing home sales data for October scheduled for release. According to a Reuters poll of 29 economists, sales of previously owned homes are expected to climb to a seasonally adjusted annual rate of 5.70 million, the fastest pace since 5.73 million units were sold in July 2007 and up from 5.57 million units in September. Later in the week, the focus will fall on the second estimate for UK GDP during the third-quarter period of 2009 — due on Wednesday. The initial estimate, released in October, showed Britain’s economy contracted unexpectedly in the third quarter of this year, by 0.4 percent quarter-on-quarter, squashing hopes of an end to the recession and instead making the current recession the longest on record. The leader of the opposition David Cameron and a senior government figure are expected to outline their economic plans at the CBI conference in London on Monday. Pascal Lamy, director general of the World Trade Organisation, told the Sunday Telegraph that the British government could face trade sanctions if it is found guilty of protectionism as a result of the bank bail out. [ID:nGEE5AL0E5] * GLOBAL MARKETS-Gold at record; resource plays boost stocks [ID:nSP471682] * US STOCKS-Wall St dips as investors fret about recovery [ID:nN20241386] * FOREX-Dollar turns tail as gold climbs to record [ID:nSYD322692] * U.S. Treasuries rise on economic recovery worries [ID:nHKG293886] * Oil tops $78 amid fresh Iran tensions [ID:nSYD484303] * Gold strikes record on inflation, economic worries [ID:nSP479528] * Copper defies slower China imports, focus on weak dlr [ID:nSP532811] UK stocks to watch on Monday: CADBURY ( CBRY.L ) U.S. chocolate maker Hershey ( HSY.N ) is considering launching a bid of at least $17 billion for the British chocolatier as it seeks to trump a hostile offer by Kraft Foods Inc ( KFT.N ), a source familiar with the matter said on Friday. [ID:nN20243737] Swiss food giant Nestle ( NESN.VX ) may consider a bid for Cadbury to challenge a hostile 9.9 billion pound bid by Kraft Foods and a potential move by Hershey, Bloomberg reported on Sunday. [ID:nGEE5AL091] Cadbury would prefer a merger with Hershey rather than Kraft Foods, the British company’s chairman Roger Carr told the Sunday Telegraph. [ID:nGEE5AL0C4] Kraft Foods may raise its offer for Cadbury or offer more cash in its bid if rival takeover offers emerge, a source familiar with the situation said on Sunday. [ID:nN22239812] RIO TINTO ( RIO.L ) The miner Rio Tinto expects to receive at least $741 million from the floatation of its U.S. coal-mining unit, Cloud Peak Energy Inc ( CLD.N ), on the New York Stock Exchange, Rio said on Monday. [ID:nSYU009063] BHP BILLITON ( BLT.L ) The miner said on Sunday it had reached a wage deal with the union of workers who have mounted a 41-day strike at its Spence deposit in Chile, and was now waiting for miners to vote on it. [ID:nN22224140] BRITISH AIRWAYS ( BAY.L ) The airline’s chief executive Willie Walsh has warned cabin crew that he will not compromise on cost-cutting measures ahead of a strike next month, he told the Financial Times in an interview. [ID:nN22197934] ROYAL BANK OF SCOTLAND ( RBS.L ) The bank will sell $7 billion of debt in a two-part sale with the guarantee of the UK government, IFR reported. [ID:nN20239012] LLOYDS BANKING GROUP ( LLOY.L ) Lloyds Banking Group is expected to announce the terms of its 13.5 billion pound cash call on investors this week, said the Observer. BARCLAYS ( BARC.L ) Barclays has restarted talks to sell its three billion pound private equity arm, said the Mail on Sunday. ROYAL DUTCH SHELL ( RDSa.L ) The oil major is in talks to buy 10 percent of India’s Essar Oil ( ESRO.BO ) as part of a deal where it would sell three European refineries to the Indian firm, the Economic Times reported on Saturday, citing people with knowledge of the plans. [ID:nBOM416496] BAE SYSTEMS ( BAES.L ) BAE Systems said on Sunday it won a 3.4 million pound ($5.1 million) contract to develop next generation warships for the Royal Navy. BLACKS LEISURE ( BSLA.L ) Creditors of Blacks Leisure will meet on Monday to try to agree a company voluntary agreement (CVA) to save the British outdoor goods company from administration, the British Property Federation said on Sunday. [ID:nGEE5AL0FO] ITV ( ITV.L ) The new chairman of ITV, Archie Norman, is likely to change ITV2, ITV3 and ITV4 to a subscription model shortly after he assumes the position in January, reported the Mail on Sunday. NATIONAL EXPRESS ( NEX.L ) Phil White has been approached by National Express ( NEX.L ) shareholders about returning to run the firm, said the Sunday Times. COMPASS ( CPG.L ) The reporting of Compass’s full-year results this week will be boosted by the announcement of a 100 million contract with Lloyds Banking Group, said the Sunday Times. MITIE GROUP ( MTO.L ) The maintenance specialist posts first-half results. NORTHUMBRIAN WATER GROUP ( NWG.L ) The utility posts first-half results. HYDER CONSULTING ( HYC.L ) The infrastructure design consultancy posts first-half results. PHOENIX IT ( PHIT.L ) The computer services group posts first-half results. RM ( RM.L ) The educational software and services provider posts full-year results. PROVENTEC ( PPROV.L ) The steam cleaning and coatings technologies firm posts first-half results. TODAY’S UK PAPERS > Financial Times [PRESS/FT] > Other business headlines [PRESS/GB] (Reporting by Tricia Wright) ((tricia.wright1@thomsonreuters.com; +44 207 542 8114; Reuters Messaging: tricia.wright1.reuters.com@reuters.net)) © Thomson Reuters 2009 All rights reserved See the rest here: UK Stocks — Factors to watch on Nov 23 (at Reuters)

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LONDON (Reuters) – Cadbury Plc would prefer a merger with U.S. chocolate maker Hershey Co rather than Kraft Foods Inc, the British company’s chairman Roger Carr told the Sunday Telegraph newspaper. However, he said both U.S. groups would fail if they cannot finance generous bids, the paper reported. Hershey is considering launching a bid of at least $17 billion for Cadbury as it seeks to trump a hostile $16.5 billion offer by Kraft, a source familiar with the matter said on Friday. “Clearly, whilst some potential offerors are more aligned with our business model than others, it is the value of the offer rather than the source of the offer that is our priority,” Carr told the Sunday Telegraph. Cadbury shares closed at 800.5 pence on Friday, valuing the company at about 11 billion pounds ($16.5 billion). In recent notes, analysts have said Cadbury is worth about 850-900 pence a share. “We’re focused on delivering value to shareholders as a standalone pure-play confectioner,” a Cadbury spokesman said on Sunday. “We have always said that we would give proper consideration to any serious offer that delivers full value for the company. Unless and until we find ourselves in that situation we have nothing to comment upon.” (Reporting by Julie Crust ; editing by Jon Loades-Carter) ($1=.6645 Pound) © Thomson Reuters 2009 All rights reserved Go here to see the original: Cadbury prefers merger with Hershey over Kraft: report

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By Steve Rennie, The Canadian Press OTTAWA – The Canadian Wheat Board, apparently for no reason, shared “sensitive information” about farmers with companies that handle grain, says a newly released document. An internal audit completed last year says the wheat board couldn’t explain why it sent farmers’ “confidential personal financial data” to the taxman and so-called handling agents. “The CWB has been sending confidential personal financial data to Canada Revenue Agency (CRA) and other organizations for an unidentified period of time,” says the audit. “There does not appear to be any known requirement for the CWB to be sending any individual permit data to third parties. During the course of our review, through numerous inquiries, we were unable to determine why this sensitive information is being sent out. “It appears to be a task that is done as ‘it has always been done’ but no one was able to provide us with the exact reason, if there is one.” But the wheat board says it actually stopped sending information to the revenue agency two years before the audit was done. Farmers must obtain permit books each year to do business with the wheat board. Permit books contain farmers’ social insurance numbers, business numbers, delivery logs, contract details and other information. But the internal audit, dated June 2008, found the wheat board gave out some of that information too freely. “The CWB is sharing personal producer information and details of the business that they conduct with the CWB to third parties. Although the CWB Act requires that we collect this information (SINs) there does not seem to be anything that requires us to send out any such information,” the document says. “The CWB collects a lot of personal data on producers and we need to be cautious that we are not releasing information unnecessarily and or without producer consent.” The Canadian Press obtained the document, prepared by the wheat board’s corporate audit services team, under the Access to Information Act. But the agency now questions the findings of its own auditors. The wheat board gives farmers’ information only to companies it does business with, a spokesman said. That information relates to land farmers hold, their deliveries and other account information. “They are not receiving the SINs,” spokesman John Lyons said. “They are receiving basic account information to accept deliveries from a farmer.” He stressed no privacy rules were violated. The wheat board also says the report does not find or allege any mishandling of farmers’ information. “The audit didn’t find any breach of any privacy provisions or any mishandling of information,” Lyons said. “What it was focused on was trying to establish a document trail around some of the purposes of the information.” But Lyons did not clarify why the auditors took issue with such allegedly non-sensitive information being shared. “That’s what we’re having trouble understanding as well,” he said. The wheat board’s top auditor, Barry Horan, told The Canadian Press that anything related to personal information gets his team’s attention. “Personal information is something that … we’re concerned with,” said Horan, director of corporate audit services. “Just in general, because it’s personal information. So when we see it, we’ve always got our antenna up just to make sure it’s well protected. It’s personal (but it) doesn’t mean it’s highly sensitive.” The audit recommended there be a “clear documentation trail” around what information is shared with third parties, and why it is being sent. It also recommended the wheat board withhold farmers’ personal information from the Canada Revenue Agency or other organizations unless there’s a good reason to do so. Lyons said the wheat board stopped sending any information to the revenue agency in 2006. But it wasn’t clear why the audit, done two years later, said the wheat board was still sharing information with the federal tax agency. “That, I believe, was a miscommunication,” Horan said. “We were advised that that information was being sent to CRA because it had been done for years and years, and people we were talking to did not realize it had stopped being sent.” In the audit, the wheat board’s management responded that the “other organizations” identified in the review are handling agents – of which there are dozens – that need farmers’ personal information to issue permits, contracts and take deliveries. The handling agents must sign agreements spelling out how they are allowed to use the farmers’ personal information, and what they must do if the information is compromised. The head of the National Farmers Union says while he’s not overly troubled by his personal information going out to third parties, the wheat board should have a valid reason for sharing it. “If there’s no good reason to do it, I would urge the wheat board to stop doing it,” union president Stewart Wells said. “But I’m not concerned that some (grain) elevator company … has that information.” Controlled by western Canadian farmers, the Canadian Wheat Board is the world’s largest marketing agency for wheat and barley. The Winnipeg-based organization sells grain to more than 70 countries and returns all sales revenue, less marketing costs, to Prairie farmers. Go here to see the original: Wheat board couldn’t explain to auditor why producers’ ‘personal data’ sent to companies: document

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Germany’s new finance minister has echoed Chinese warnings about the growing threat of fresh global asset price bubbles, fuelled by low US interest rates and a weak dollar… Speaking at a banking conference in Frankfurt on Friday, Mr Schäuble said it would be “naive” to assume the next asset price bubble would take the same guise as the last. He said: “More likely today is a scenario in which excess liquidity globally creates a new [sort of] asset market bubble.” He added: “That low interest rate currencies such as the US dollar are increasingly being used as a basis for currency carry trades should give pause for thought. If there was a sudden reversal in this business, markets would be threatened with enormous turbulence, including in foreign exchange markets.” Read the whole thing > The rest is here: Germany: The U.S. Is Blowing Another Gigantic Global Asset Bubble

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DALLAS, Nov. 20 /PRNewswire-FirstCall/ — Blockbuster Inc. (NYSE: BBI – News , BBI.B – News ), a leading global provider of media entertainment, today announced its Board of Directors has authorized a combination of its shares of Class A Common Stock and Class B Common Stock into a single class of shares of common stock. Blockbuster’s dual class capital structure was originally established in connection with Blockbuster’s prior ownership by Viacom. Blockbuster believes that elimination of the dual class capital structure will improve the liquidity of its common stock and end confusion regarding the differences between the two classes of common stock. The combination will be subject to obtaining the requisite stockholder approvals at Blockbuster’s annual stockholders meeting in 2010 and will not take effect until such approvals are obtained. Blockbuster’s Board of Directors may explore additional alternatives with respect to its capital structure if necessary to cure the price condition deficiency. In addition, on Nov. 17, 2009 the Company was notified by the New York Stock Exchange (”NYSE”) that it is not currently in compliance with the NYSE’s continued listing standard that requires the average closing price of the Company’s common stock be no less than $1.00 per share over a consecutive 30 trading-day period. Under NYSE rules, the Company has six months from the date of the notice to bring its share price and average price back to or above $1.00. During this time the Company’s common stock will continue to be listed and traded on the NYSE, subject to compliance with other NYSE continued listing requirements. If the Company has not cured the price condition deficiency by the end of the cure period, its common stock would be subject to delisting by the NYSE. In accordance with NYSE rules, Blockbuster will notify the NYSE within 10 business days from the receipt of the notice of its intent to cure the price condition deficiency. About Blockbuster Inc. Blockbuster Inc. is a leading global provider of rental and retail movie and game entertainment. The Company provides its customers with convenient access to media entertainment anywhere and any way they want it – whether in-store, by-mail, through vending and kiosks or digital download. With a highly recognized brand name and a library of over 125,000 movie and game titles, Blockbuster leverages its multi-channel presence to further build upon its leadership position in the media entertainment industry and to best serve the two million daily global customers and over 50 million annual global customers. The Company may be accessed worldwide at www.blockbuster.com . Forward Looking Statements This release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements may also be included from time to time in our other public filings, press releases, our website and oral and written presentations by management. Specific forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts and include, without limitation, words such as “may,” “will,” “expects,” “believes,” “anticipates,” “plans,” “estimates,” “projects,” “predicts,” “targets,” “seeks,” “could,” “intends,” “foresees” or the negative of such terms or other variations on such terms or comparable terminology. These forward-looking statements are based on management’s current intent, belief, expectations, estimates and projections. These statements are not guarantees of future performance and involve risks, uncertainties, assumptions and other factors that are difficult to predict. Therefore, actual results may vary materially from what is expressed in or indicated by the forward-looking statements. The risk factors set forth under “Item 1A. Risk Factors” in our Annual Reports on Form 10-K and other matters discussed from time to time in our filings with the Securities and Exchange Commission, including the “Disclosure Regarding Forward-Looking Information” and “Risk Factors” sections of our Quarterly Reports on Form 10-Q, among others, could affect future results, causing these results to differ materially from those expressed in our forward-looking statements. These risks and uncertainties include the Company’s ability to achieve and maintain a share price and average price at or above $1.00 per share of its common stock by the expiration of the six-month period, the Company’s failure to continue to satisfy the NYSE’s other qualitative and quantitative listing standards for continued listing, the NYSE’s right to take more immediate action in the event that the stock trades at levels that are viewed as “abnormally low” on a sustained basis or based on other qualitative factors, and the approval by the Company’s stockholders of the combination of the Class A Common Stock and Class B Common Stock. In the event that the risks disclosed in our public filings and those discussed above cause results to differ materially from those expressed in our forward-looking statements, our business, financial condition, results of operations or liquidity could be materially adversely affected and investors in our securities could lose part or all of their investments. Accordingly, our investors are cautioned not to place undue reliance on these forward-looking statements because, while we believe the assumptions on which the forward-looking statements are based are reasonable, there can be no assurance that these forward-looking statements will prove to be accurate. Further, the forward-looking statements included in this release and those included from time to time in our other public filings, press releases, our website and oral and written presentations by management are only made as of the respective dates thereof. We undertake no obligation to update publicly any forward-looking statement in this release or in other documents, our website or oral statements for any reason, even if new information becomes available or other events occur in the future. Rule 14a-12 Legend Blockbuster and its directors and officers may be deemed to be participants in the solicitation of proxies from Blockbuster stockholders in connection with the proposal to combine the Class A Common Stock and Class B Common Stock. Information about Blockbuster’s directors and executive officers and their ownership of Blockbuster stock is set forth in the proxy statement for Blockbuster’s 2009 Annual Meeting of Stockholders. Investors can obtain more information when the proxy statement relating to stockholder approval of the combination of the Class A Common Stock and Class B Common Stock becomes available. This proxy statement, and any other documents filed by Blockbuster with the SEC, may be obtained free of charge at the SEC web site at www.sec.gov . Investors should read the proxy statement carefully, when it becomes available, before making any voting decision because it will contain important information. Originally posted here: Blockbuster Announces Plans to Combine Class A Common Stock and Class B Common Stock; Company Notified by NYSE of Non-Compliance with Continued…

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Nov. 30 is the ceremonial kickoff to the online holiday shopping season this year. That’s Cyber Monday. {”s” : “amzn,bks,ebay,meli,sfly,tgt,wmt”,”k” : “c10,l10,p20,t10″,”o” : “”,”j” : “”} The term was coined by Shop.org in 2005 after the retail group noticed a spike in online retail purchases on the Monday after Black Friday — the day after Thanksgiving, long considered the holiday kickoff for brick-and-mortar retailers. Cyber Monday isn’t the busiest online shopping day of the year (Tuesday, Dec. 9, and Monday, Dec. 15, were the two biggest days last holiday season), but that hasn’t stopped Internet retailers from putting a festive wrap around that day, with special promotions and some deep discounts. But the uncertain economy is making it tough for market trackers, analysts, industry executives and economists to predict how online holiday sales will perform this year. With unemployment at a 26-year high of 10.2% and employers showing little willingness to hire, consumers have clipped spending. U.S. e-commerce sales in the third quarter fell 2% to $29.6 billion compared with the same quarter in 2008. And sales fell 1% from the second quarter. But the worst of the downtrend may be over, Gian Fulgoni, chairman of research firm ComScore, said in a conference call with reporters this month, when he talked about the state of the U.S. online retail economy. “We’re seeing clear signs that we’ve hit the bottom,” Fulgoni said, though he added that there was “still no positive growth.” Companies that base their business on Internet e-commerce have spent the year cutting costs, improving their sites with better features for shopping and offering other perks designed to lure more buyers. As of Friday, the Internet e-commerce group ranked No. 14 among IBD’s 197 Industry Groups, up from No. 140 eight weeks ago. 1. Business Internet e-commerce involves the buying and selling of goods and services online. It comes in three basic forms: business to business, business to consumer and consumer to consumer. B2B is the largest category by far, but the two consumer-related sectors have grown rapidly in recent years as Internet access has become more widespread and more households have subscribed to high-speed broadband access. Mobile commerce, fueled by growth in smart phones — cell phones that provide access to the Internet — has provided an emerging platform for transactions. E-commerce companies sell all manner of goods and services online, from marbles to Mercedes. Consumers are served through retail Web sites that generally focus on selection, price and convenience. Traditional retailers such as Wal-Mart (NYSE: WMT – News ), Target (NYSE: TGT – News ) and Barnes & Noble (NYSE: BKS – News ) have quickly expanded their online operations. But online-only seller Amazon.com (NasdaqGS: AMZN – News ), with 2008 revenue of $19.2 billion, is the world’s No. 1 online retailer. EBay (NasdaqGS: EBAY – News ), with 2008 sales of $8.5 billion, leads the online auction field by a large margin. Argentina-based MercadoLibre (NasdaqGS: MELI – News ) is the eBay equivalent in Latin America, having posted double- or triple-digit revenue growth for 17 straight quarters. Others in the e-commerce sector include niche businesses. For example, Shutterfly (NasdaqGS: SFLY – News ) provides photo management and printing services. Name Of The Game: Improve operating efficiencies in order to offer the lowest prices possible while offering consumers efficient search features, a wide selection of products and convenience. 2. Market In 2008, U.S. online sales rose 6% to $130 billion, excluding travel, compared with a 2.8% increase for retail sales overall. In the five previous years, however, annual online sales had risen by an average of 25%, according to ComScore. For the first three quarters of this year, sales fell 1% to $91 billion, a further reflection of the global economic slowdown. The trend may be turning. While year-over-year sales for each month from May to August fell, September was even, ComScore says, suggesting that things may have hit bottom. (October figures aren’t available yet.) “It’s a positive sign,” Fulgoni said. It’s also encouraging, he says, that e-commerce continues to attract more buyers. Fulgoni says about 20% more people now shop online than did a year ago. On the other hand, people are spending less. In the third quarter, consumers spent about 18% less than in the year-ago period. Still, total sales fell only 2% because more people are shopping online. “That’s the good news, that more people are shopping online,” Fulgoni said. A report released this month by the Organization for Economic Cooperation and Development says the percentage of adults buying goods and services online globally rose to 35% in 2008 from 27% in 2004. 3. Climate A survey of 1,200 consumers presented by eBillme.com determined that U.S. consumers on average expect to spend $281 online during the fourth quarter, up 24% from the third quarter but down 18% from fourth-quarter 2008. The survey was conducted by Javelin Strategy & Research. It’s the first time in a year that Javelin’s quarterly poll showed a sequential increase in spending plans, which “shows some visible signs of improvement in the online retail sector,” Javelin said. Forrester Research expects U.S. online retail sales to reach $44.7 billion in November and December, up 8% from a year ago. Despite the lingering effects of the global financial crisis, the online space remains the retail industry’s growth engine, says Forrester analyst Sucharita Mulpuru. “While the rest of the retail world is slightly positive or negative, the online retail segment is growing much faster and taking share at the expense of others,” Mulpuru said. Consumer attitudes about online shopping and services have steadily improved over the years. Today, 61% say they can find products online that they can’t find elsewhere, up from 55% in 2007, according to a Forrester survey in August of 4,723 online users. And 52% say they prefer to shop online because it’s easier to compare products and features, up from 42% in 2007. Also, 94% of those who bought products and services online in the past three months plan to do so again this holiday season, Forrester says. In a bid to pull in more shoppers, free shipping will abound this holiday season. According to a study of 70 online retailers by BIGresearch taken Sept. 14 to Oct. 6, 80% of online retailers will offer free shipping, though some of the free shipping will require a minimum purchase or be offered only for certain items. 4. Technology E-commerce companies are constantly upgrading their technology to operate more efficiently and improve the shopping experience. Many are adding Web 2.0 technologies that enable greater interaction with customers. According to BIGresearch, more than half of U.S. e-tailers say they have set up or improved Facebook and/or Twitter pages this year, while 66% have set up or enhanced blogs. Mulpuru says the use of social networking services by Internet retailers is largely experimental at this time and has yet to show a return on investment, but she says it still has an upside. “It’s about listening to the customer and providing feedback, not always about making a sale in the near term,” she said. Ben Schachter, an analyst at Broadpoint 13Tech who recently took a look at job postings at Amazon and eBay, said in a research report that Amazon is investing heavily in digital initiatives such as the Kindle e-reader. Amazon is also focusing on video-on-demand and digital distribution of video games, music and software. And the company is “clearly continuing a long term strategy to build out its payment capabilities,” Schachter wrote. With eBay, he says it’s clear the company is continuing to extend its PayPal payment platform into new markets, including social networks. EBay is also hiring to build up its capabilities on mobile platforms. 5. Outlook Online retailers are compensating for the economy by making operational changes to protect profits, according to Shop.org. More than 40% have scaled back inventory. Forrester says retailers are also watching their inventory, hoping to avoid last year’s unbridled discounting. According to ComScore’s survey, half of U.S. consumers expect to spend less this holiday season. “Retailers will need to reach into their marketing toolboxes this season to find ways to provide value to consumers and incentivize spending,” Fulgoni said. Upside: The number of people going online to shop keeps growing, and consumers have expressed strong satisfaction with convenience and pricing. Risks: The economy. Also, large retailers like Wal-Mart and Target will continue to compete aggressively, which could fuel heavy discounts and price wars over the holiday season. Try out IBD Investing Tools absolutely FREE with a 2-Week FREE trial of investors.com. Read the original here: E-Com Set To Ring Up Sales (Investor’s Business Daily)

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Call it Amazon Marketplace envy. Wal-Mart (NYSE: WMT – News ) and Sears (NasdaqGS: SHLD – News ) recently created their own marketplaces — places on their Web sites that link to other online sellers. They hope that adding other retailers to their Web sites will help boost traffic and sales and help them become more competitive with Amazon.com (NasdaqGS: AMZN – News ), the Web’s leading retailer, as the Christmas shopping season unfolds. “They are trying to follow the Amazon model,” said Graham Jones, PriceGrabber’s vice president of merchant accounts. Comparison-shopping site Price-Grabber is another type of rival to the marketplaces of Amazon, Wal-Mart and Sears, since the idea for all these companies is to be the link to third-party sellers. PriceGrabber et al. get commissions on any such sales. “We’ve been doing this for 10 years and getting better at it every year,” Jones said, “so I don’t view (Sears and Wal-Mart) as a threat at this point.” Amazon’s marketplace has become a diamond in the rough for the company, some observers say. While the company doesn’t break out its marketplace sales, third-party items accounted for 31% of Amazon’s total unit sales last quarter, the same percentage as in the year-earlier quarter. The company also says the number of seller accounts — retailers that sell products on Amazon.com — rose 24% from the year-earlier quarter to 1.8 million. Amazon Fulfillment Tripled In its latest earnings release, Amazon said items shipped on behalf of third-party sellers that use its fulfillment service more than tripled compared with the year-earlier quarter. Wal-Mart and Sears have noted the success of Amazon Marketplace and are trying their best to copy it, says Sucharita Mulpuru, an analyst for Forrester Research. “They are looking to grow their share of the Web,” she said. It’s also relatively cheap and easy to do, says Mulpuru and Fiona Dias, executive vice president of strategy and marketing for GSI Commerce, which sells e-commerce and related services to companies. “They don’t have to have the inventory and many times they don’t have to do any of the fulfillment,” Dias said. “Basically, they put up a photo of an item and somebody else does all of the work and they charge retailers a pretty hefty commission to have the privilege of being in that marketplace.” Sears lists its commissions at 7% to 20% of a sale, and Amazon’s is in the same ballpark. Wal-Mart’s commissions couldn’t be determined. Sellers do this because they want to be where the buyers are, and the Amazons, Searses and Wal-Marts of the world attract the buyers, much like shopping malls use anchor tenants to attract shoppers. Wal-Mart so far lists three retailers in its marketplace: eBags, which sells bags and luggage items; CSN Stores, a retailer of home, apparel and related goods; and Pro Team, which sells licensed sports products. Ravi Jariwala, spokesman for Walmart.com, declined to provide many details about Walmart Marketplace. In an e-mail, Jariwala said the goal is to create a better shopping experience for consumers. “It’s to provide more selection and convenience to our customers,” he said. “Our focus is always on our customers, and by adding nearly 1 million new items we give them even more reasons to shop Walmart.com.” Levels Of Service He wouldn’t say how many third-party sellers Wal-Mart hopes or expects to host on its site. Sears is equally tight-lipped about its marketplace, which is in a beta test. Sears offers third-party sellers the option of three levels of service. Sears can handle entire transactions, or sellers can handle fulfillment and/or the order taking. Sears Marketplace is about giving more choices to online shoppers, says Sears spokesman Tom Aiello. “Customers wanted to be able to go to Sears.com and have a greater selection of products at their disposal,” he said. “When they come to the site, they don’t want to be turned away because we don’t carry what they are looking for.” Amazon ranked as the top retail site in the U.S. in October with nearly 70 million visitors, up 16% from a year ago, says comScore, a research firm. Wal-Mart ranked No. 3 at 31.8 million visitors, down 4%. Sears.com came No. 9, but rose 54% to nearly 14,000 unique visitors. For sellers, Amazon works, says Eric Best, chief executive of Mercent, which helps companies sell online. In the third quarter, 40 of Mercent’s largest clients increased their sales on Amazon by 70% compared with the year-earlier quarter, he says. “All you have to do is look at Amazon’s success to understand why Wal-Mart is getting into this business and Sears as well,” he said. But Amazon has far more traffic than Wal-Mart or Sears. And Amazon is one of the few big online-only sellers. Some retailers aren’t comfortable sharing any sales and customer information with rivals, says PriceGrabber’s Jones. “It’s really early, but I’m not convinced that Wal-Mart is going to get the thousands of stores (to sign up),” he said. Try out IBD Investing Tools absolutely FREE with a 2-Week FREE trial of investors.com. Original post: Wal-Mart And Sears Pulling An Amazon In The Marketplace (Investor’s Business Daily)

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NEW YORK (AP) — Moody’s Investors Service said Friday that it downgraded ratings for Sprint Nextel Corp. because it is taking longer than expected to stanch a deterioration in its profit. Moody’s downgraded the wireless service company’s corporate family and probability of default ratings further into speculative, or junk, territory, to “Ba2″ from “Ba1,” saying that Sprint’s leverage “is likely to deteriorate before stabilizing at much weaker levels than previously expected.” The rating service said the downgrade shows the issues Sprint still faces in stabilizing its postpaid wireless service business, in spite of improvements in customer service, as competition grows increasingly fierce and industry growth slows. Sprint of Overland Park, Kan., reported in October that its third-quarter loss widened as it lost a net 545,000 wireless subscribers, 801,000 of them postpaid customers who sign annual contracts and tend to spend more than monthly prepaid customers. Moody’s noted that Sprint’s prepaid business is doing well, but this business is not as profitable as the subscription business. The ratings service thinks Sprint’s earnings will be under pressure until it can cut down on postpaid customer losses. Moody’s, which holds a “Negative” outlook for Sprint’s ratings, also kept its “Baa2″ rating for the company’s bank credit facility and the “Ba2″ rating for Nextel Communications’ debt. Moody’s also reiterated its “SGL-1″ speculative grade liquidity rating for Sprint. Approximately $23 billion of debt is affected. Shares of Sprint Nextel shed 2 cents to $3.74 in after-hours trading, after losing 9 cents to $3.76 during the regular session. Read the original: Moody’s downgrades Sprint rating (AP)

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BOSTON (AP) — JPMorgan Chase & Co. said Friday it is dropping a clause from its credit card contracts that required disputes with customers to be handled through binding arbitration, a move that could lead to consumers filing class-action and other lawsuits. A spokesman for the New York-based bank’s Chase Card Services unit confirmed the change after a law firm that sued banks over arbitration clauses announced a tentative settlement with JPMorgan Chase. Chase decided to stop sending credit-card disputes to arbitration in July, and now is removing the arbitration clause, spokesman Paul Hartwick said. Banks say arbitration is less costly for everyone than lawsuits. They also argue that banks’ increased legal costs would in turn be passed on to consumers. But consumer groups have criticized arbitration as tilted in favor of banks. Hartwick said Chase believes its policy change “is the right thing for our customers and our business, and reflects our commitment to clearer and simpler communication with our customers.” Earlier Friday, the Philadelphia-based firm Berger & Montague announced in a news release that it had reached a tentative settlement with Chase partially resolving a four-year-old lawsuit in federal court in New York City. The complaint argued that Chase and other banks conspired to require their card customers to resolve disputes in arbitration, including debt collections. Chase’s policy change comes three months after another major card issuer, Bank of America Corp., said it would stop requiring that disputes with its card holders and banking and lending customers be settled through arbitration. Many consumers are unaware that card agreements typically include a clause that waives a card holder’s right to sue. Lenders instead use arbitration to go after delinquent accounts, and consumers can employ arbitrators to fight disputes with their banks. The American Association for Justice — formerly known as the Association of Trial Lawyers of America — hailed Chase’s move. Consumers “previously had no recourse because of rigged forced arbitration proceedings,” the group’s president, Anthony Tarricone, said in a statement. The Obama administration has proposed to ban arbitration clauses from credit card agreements as part of a wider push for consumer protections. If a judge approves the settlement with JPMorgan Chase, the company’s move to drop the arbitration clause from card contracts would be made formal in court. Berger & Montague said the settlement would require the bank to drop the clause for at least three and a half years beginning in January. Chase also would “immediately cease enforcing its existing arbitration clauses against its cardholders,” the law firm said. Chase, which has denied all allegations of wrongdoing, would also agree not to conspire with other card companies on arbitration issues, according to the law firm. The settlement would not release claims against other banks that are defendants in the lawsuit, a class-action brought on behalf of cardholders. Shares of Chase fell 9 cents to close at $42.46. Continue reading here: Chase drops arbitration from card contracts (AP)

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* US T-bill rates dip below zero for first time since Dec * Dollar Libor at new low, other market rates fall * Abundant liquidity, dovish central bankers support (Adds trader quote, recasts; changes dateline; previous London) By Chris Reese NEW YORK, Nov 20 (Reuters) – Yields on short-dated Treasury bills pushed below zero on Friday as investors clamored for low-risk investments in bets that central banks will hold interest rates at ultra-low levels for a long time. Dollar interbank lending rates hit a new low as an abundance of liquidity and dovish central banker comments also eroded short-term market rates. Even as policy makers begin to talk about exit strategies from extraordinary measures put in place during the depth of the financial crisis, investors expect policy rates around the globe will stay low well into next year. “People are getting out of risk, getting into Treasuries for the year-end, everybody is parking money,” said James Combias, head of government bond trading at Mizuho Securities USA in New York, adding that the Federal Reserve is expected to hold interest rates near zero for the foreseeable future. Demand for U.S. Treasury bills maturing in January 2010 pushed their yields below zero for the first time since late December when the financial crisis worsened in the aftermath of the Lehman Brothers collapse. Two-year Treasury note yields US2YT=RR also held close to the lowest since December, which in turn represented the lowest levels on record. “Flow information suggests central banks buying T-bills and short-term Treasury cash even at very low yield as cash is abundant,” said BNP Paribas rate strategist Alessandro Tentori. Calyon rate strategist David Keeble said year-end factors were also at play as banks tidied up balance sheets to present the best possible view of their business at the end of the year. “It’s a little bit of window dressing, to do with needing liquidity on the balance sheet. You liquidate some securities and buy something low-risk like Treasuries so you get a bit of a squeeze,” he said. Three-month dollar Libor rates USD3MFSR= fell to 0.26219 percent [ID:nLK442537]. Eurodollar interest rate futures EDM0EDU0 — a measure of interest rate expectations — have been climbing steadily since late October, reaching contract highs and implying lower rates, on the back of dovish central bank comments. SLOWLY, SLOWLY TO THE EXIT European Central Bank officials have also stressed that while they are heading for the exit, the withdrawal of special measures to provide liquidity to the banking sector and in turn boost the economy, will be gradual. But recent comments appear to warn banks against becoming too reliant on ECB funds. ECB President Jean-Claude Trichet warned on Friday that market participants needed to be aware that the size of support measures was unprecedented and any measures which posed a threat to stability would be undone “promptly and unequivocally.” And ahead of the bank’s next, and likely final, tender of one-year funds in December, Executive Board member Lorenzo Bini Smaghi late on Thursday urged national authorities to address over-reliance on cheap, unlimited ECB funds by some banks. The Greek central bank this week did just that, advising banks to show restraint in borrowing 12-month ECB funds. Banks currently have 595 billion euros of longer-term ECB money, over 85 percent of which is in 12-month funds, and there is around 60 billion euros of excess cash in the system, most of which is being parked back at the central bank overnight. Three-month Euribor rates EUR3MFSR= edged down to 0.67313 percent. (Additional reporting by Kirsten Donovan in London and Burton Frierson in New York) (Editing by Theodore d’Afflisio) © Thomson Reuters 2009 All rights reserved Go here to see the original: MONEY MARKETS-U.S. Treasury bill rates dip below zero (at Reuters)

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Acquired by Becton, Dickinson and Co., HandyLab Marks Third Successful Exit for Country’s First Student-Led Venture Fund ANN ARBOR, Mich., Nov. 20 /PRNewswire/ — The Wolverine Venture Fund (WVF), part of the University of Michigan’s Samuel Zell & Robert H. Lurie Institute for Entrepreneurial Studies at the Ross School of Business, today announced a record-setting $2 million return on its strategic venture capital investments in HandyLab. An Ann Arbor-based developer and manufacturer of molecular diagnostic products, HandyLab entered into an agreement earlier this fall to be acquired by BD (Becton, Dickinson and Company) (NYSE: BDX – News ). The transaction closed on Nov. 19, handing Michigan business students their third successful portfolio-company exit since the fund’s inception in 1998. HandyLab was added to the WVF portfolio in 2000 when the fund participated in the company’s Series A round. Between 2000 and 2005, WVF invested $350,000 over six rounds and, upon exit, earned a six-fold, cash-on-cash return. Approximately 100 Ross students participated in the fund’s investment activities over that time span. Overall, HandyLab raised a total of $47 million in seed and early-stage equity financing from a pool of investors, including Ann Arbor, Michigan-based EDF Ventures, who helped found the company and provided the seed capital, as well as Ardesta and Arboretum Ventures. Tom Porter, director of the Ross School’s Frankel Commercial Fund and former general partner at EDF Ventures, and Mike Partsch, who served his Kauffman fellowship at EDF under Porter’s mentorship from 1998 to 2000, were key players in the formation of HandyLab nine years ago. They negotiated an exclusive licensing deal with the University, and partnered with two U-M chemical-engineering doctoral students, Kalyan “Handy” Handique and Sundaresh Brahmasandra, to co-found the company in June 2000. Porter saw the start-up venture as a prime investment candidate for the WVF and contacted Tim Petersen who was then the Zell Lurie Institute’s managing director. “In many ways, this was a ‘normal’ WVF investment,” says Petersen. “It involved exciting new technology from the University, two friendly venture-capital funds, EDF Ventures and Ardesta, and two University doctoral students with the right amount of interest and commitment to the company and to being entrepreneurs. It was a tremendous experience for students, who had an opportunity to watch the company’s evolution, track its progress and make investment decisions over time that yielded great results.” Petersen is now managing director of Arboretum Ventures, which became an investor in HandyLab in 2004. Mary Campbell, a founding WVF advisory board member and founding member and managing director of EDF Ventures, says that investing in HandyLab fit hand-in-glove with the mission of the Wolverine Venture Fund. “It was an opportunity to reap financial rewards that would continue to fund the WVF,” she explains. “It also enabled students to deepen their knowledge and advance their understanding of venture capital and entrepreneurship.” Campbell has served on HandyLab’s board of directors since 2004. The Zell Lurie Institute oversees WVF, which teaches first- and second-year MBA candidates the fundamentals of the venture capital business by allowing them to make actual investments in early-stage companies under faculty and advisor supervision and to earn venture rates of return. Emerging high-potential companies, such as HandyLab, receive investment dollars from the WVF at critical times during their seed and early-stage phases. In addition, students provide input by developing and revising business plans, conducting market and product research and writing case studies. “Our students have an opportunity to work with company founders and co-investors from established venture funds in making critical judgments about whether to invest and re-invest,” said Thomas C. Kinnear, executive director of the Zell Lurie Institute and Wolverine Venture Fund Director. “The greatest benefit is that students get practical experience by using real money to make real investments in real companies in real time.” Adam Orlov, MBA ‘01, served as student chair of the WVF during the fall 2000 term and prior to fall term began due diligence on HandyLab and oversaw the student team assigned to vetting HandyLab. He says his experience on the fund has proven valuable over the long term. “We learned valuable skills, such as sourcing deals, conducting due diligence, valuing opportunities and gauging what investors are looking for,” Orlov remarks. “It was a prestigious experience to have within the U-M business community and presented an educational opportunity to work with full-time, professional venture-capital investors.” Orlov put his investment know-how to work when he formed Chicago-based Hill Partners with three Ross classmates in 2002. Today, he is a managing member of Anthem Capital. This is not the first “home run” for the $3.5 million WVF. Students also directed WVF’s investment of $250,000 over four rounds in IntraLase, an ophthalmic medical-device company, which became the first firm in the fund’s portfolio to go public. In 2004, the WVF sold its shares in the initial offering, returning over $1 million in proceeds and effectively expanding the overall size of the fund to $3.5 million. Prior to that, WVF achieved their first investment milestone when portfolio company Versity.com was acquired in 1999. “Combined, the IntraLase IPO and HandyLab exit have returned more than all of the capital invested in the Fund,” Kinnear explained. “Had WVF been a ‘limited partnership’ fund as opposed to an ‘evergreen’ fund, and were able to look at the return rate of vintage 1998 venture capital funds, we would have returns comparable to well-run venture capital funds, which is another significant differentiator for WVF compared to other student-led venture funds.” Over its 11-year history, WVF has invested in more than 18 companies across a wide range of innovative industries, and currently manages an active portfolio of thirteen companies. About the Samuel Zell & Robert H. Lurie Institute for Entrepreneurial Studies / Center for Venture Capital & Private Equity Finance The Institute and its Center for Venture Capital and Private Equity Finance bring together a potent mix of knowledge, experience and opportunities from the front lines of entrepreneurship and alternative investments. The student learning experience is further enhanced through internships, entrepreneurial clubs and organization and events that serve to provide viable networks and engage the business community. The School’s two student-led investment funds, with over $3M in management, immerse students in the business assessment and investment process. Members of the Advisory Board include Samuel Zell, Chairman of Equity Group Investments; Michael Hallman, former COO of Microsoft Corporation; and Eugene Applebaum, Founder of Arbor Drugs, Inc. For more information, visit the Institute at www.zli.bus.umich.edu . Link: University of Michigan Wolverine Venture Fund Achieves Record $2 Million Return on HandyLab Acquisition (PR Newswire)

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BERKELEY HEIGHTS, N.J.–(BUSINESS WIRE)–Genta Incorporated (OTCBB: GETA.OB – News ) announced preliminary results that show a high objective response rate in a pilot study of patients with advanced melanoma that incorporates the Company’s lead oncology product, Genasense ® (oblimersen sodium) Injection, administered for the first time as a 1-hour high-dose intravenous (IV) infusion. The data were featured this week in a presentation at the annual World Meeting of Interdisciplinary Melanoma/Skin Cancer Centers in Berlin, Germany. Based on preclinical evidence of synergy, this study combined Genasense with temozolomide (Temodar ® ; Schering Plough, Inc.), the most commonly used anticancer drug for melanoma, and Abraxane ® (paclitaxel protein-bound particles for injectable suspension [albumen bound]; Abraxis Bioscience, Inc.). Previous results using a standard dose and schedule of Genasense (i.e., approximately 500 mg infused over 24 hours daily for 7 days) suggested this investigational combination was associated with clinical activity and good tolerability in 18 patients. In the new schedule, Genasense was administered with the same chemotherapy as a brief IV infusion over 1-hour twice per week for 4 consecutive weeks at a dose of 900 mg. This schedule compresses approximately 48 hours of standard dosing into a brief 1-hour infusion. To date, 10 patients with Stage IV metastatic melanoma have been accrued to this ongoing trial. Three patients achieved confirmed partial responses after the first 2 treatment cycles with current durations lasting from 24 to 40 weeks. One patient has maintained stable disease that has lasted 16 weeks, two patients have progressed, and four patients are too early to evaluate, having received only a single cycle. Only one episode (i.e., Grade 3 neutropenia) of any Grade 3-4 adverse event has been observed. “With a preliminary disease control rate (defined as complete or partial responses plus stable disease lasting at least 3 months) of 67%, we view these data as very promising,” said Dr. Loretta M. Itri, Genta’s President, Pharmaceutical Development. “Temozolomide is the active metabolite of dacarbazine that has been used in our Phase 3 trial in patients with advanced melanoma. I am pleased to confirm that Genta will continue the Phase 3, randomized, double-blind AGENDA trial in order to determine overall survival in that study. Finally, taxanes are being increasingly used in patients with metastatic melanoma. We intend to initiate a Phase 2 study of our proprietary oral taxane, tesetaxel, in advanced melanoma. We hope our comprehensive approach with these new medicines may improve the management of this devastating disease.” About the AGENDA trial in advanced melanoma Genta has completed enrollment into AGENDA, a Phase 3, randomized, double-blind, placebo-controlled trial of Genasense in patients with advanced melanoma. Initial results did not show statistically significant differences in overall response or progression-free survival. The endpoints of durable response (complete or partial response lasting ≥ 6 months) and overall survival are too early to evaluate. An analysis for futility has been conducted for the survival endpoint, and the trial has passed that analysis. The Company has announced it plans to continue to follow patients on AGENDA in order to determine this endpoint. About the World Meeting of Interdisciplinary Melanoma/Skin Cancer Centers This international conference is organized annually by the European Association of Dermatologic Oncology (EADO), which is a co-leader of the AGENDA trial. The meeting offers melanoma clinicians and researchers from multidisciplinary melanoma/skin cancer centers an opportunity to interact, establish collaborations, and set an agenda for the further evolution of melanoma care and research. Genta is a Co-Sponsor of the EADO meeting. About Melanoma Malignant melanoma is the most deadly form of skin cancer. The incidence of this disease is increasing by approximately 4% annually in the U.S. Melanoma is the number one cause of cancer death in women aged 25 to 29. More information about melanoma can be accessed at the Melanoma Research Foundation: http://www.melanoma.org . About Genasense Genasense inhibits production of Bcl-2, a protein made by cancer cells that is thought to block chemotherapy-induced apoptosis (programmed cell death). By reducing the amount of Bcl-2 in cancer cells, Genasense may enhance the effectiveness of current anticancer treatment. Genta has pursued a broad clinical development program with Genasense evaluating its potential to treat various forms of cancer. About Genta Genta Incorporated is a biopharmaceutical company with a diversified product portfolio that is focused on delivering innovative products for the treatment of patients with cancer. Two major programs anchor the Company’s research platform : DNA/RNA-based Medicines and Small Molecules. Genasense® (oblimersen sodium) Injection is the Company’s lead compound from its DNA/RNA Medicines program. Genasense is being developed as an agent that may enhance the effectiveness of current anticancer therapy. The leading drug in Genta’s Small Molecule program is Ganite® (gallium nitrate injection) , which the Company is exclusively marketing in the U.S. for treatment of symptomatic patients with cancer related hypercalcemia that is resistant to hydration. The Company has developed oral formulations of the active ingredient in Ganite, which have completed preliminary clinical trials, as a potential treatment for diseases associated with accelerated bone loss. The Company is developing tesetaxel , a novel, orally absorbed, semi-synthetic taxane that is in the same class of drugs as paclitaxel and docetaxel. Genta intends to evaluate the clinical activity of tesetaxel in a range of human cancers. Ganite and Genasense are available on a “ named-patient ” basis in countries outside the United States. For more information about Genta, please visit our website at: www.genta.com . Safe Harbor This press release may contain forward-looking statements with respect to business conducted by Genta Incorporated. By their nature, forward-looking statements and forecasts involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the future. Such forward-looking statements include those that express plan, anticipation, intent, contingency, goals, targets, or future developments and/or otherwise are not statements of historical fact. The words “potentially”, “anticipate”, “could”, “calls for”, and similar expressions also identify forward-looking statements. The Company does not undertake to update any forward-looking statements. Factors that could affect actual results include, without limitation, risks associated with: the Company’s ability to obtain necessary regulatory approval for its product candidates from regulatory agencies, such as the U.S. Food and Drug Administration and the European Medicines Agency; the safety and efficacy of the Company’s products or product candidates; the commencement and completion of any clinical trials; the Company’s assessment of its clinical trials; the Company’s ability to develop, manufacture, license, or sell its products or product candidates; the Company’s ability to enter into and successfully execute any license and collaborative agreements; the adequacy of the Company’s capital resources and cash flow projections, the Company’s ability to obtain sufficient financing to maintain the Company’s planned operations, the Company’s ability to obtain sufficient financing to fund the AGENDA trial, or the Company’s risk of bankruptcy; the adequacy of the Company’s patents and proprietary rights; the impact of litigation that has been brought against the Company; and the other risks described under Certain Risks and Uncertainties Related to the Company’s Business, as contained in the Company’s Annual Report on Form 10-K and Quarterly Report on Form 10-Q. There are a number of factors that could cause actual results and developments to differ materially. For a discussion of those risks and uncertainties, please see the Company’s Annual Report on Form 10-K for 2008 and its most recent quarterly report on Form 10-Q. Follow this link: Genasense® Given as High-Dose IV Infusion with Chemotherapy Shows Promising Activity in Advanced Melanoma (Business Wire)

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CHICAGO (AP) — Oprah Winfrey was set to announce Friday that her powerhouse daytime television show, the foundation of a multibillion-dollar media empire with legions of fans, will end its run in 2011 after 25 seasons on the air. AP – FILE – In this Sept. 9, 2004 file photo, talk show host Oprah Winfrey sits atop a Pontiac … {”s” : “cbs,disca”,”k” : “c10,l10,p20,t10″,”o” : “”,”j” : “”} Winfrey planned to announce the final date for “The Oprah Winfrey Show” during a live broadcast, according to her production company, Harpo Productions Inc. Once a local Chicago morning program, the production evolved into television’s top-rated talk show for more than two decades, airing in 145 countries worldwide and watched by an estimated 42 million viewers a week in the U.S. alone. “Oprah Winfrey is in a category of her own,” said Robert Thompson, professor of television and popular culture at Syracuse University. “This is a great American story and like any great American story it’s supersized.” A Harpo spokeswoman declined to comment Thursday on Winfrey’s future plans except to say that “The Oprah Winfrey Show,” which has seen ratings slip 7 percent from a year ago, will not move to cable television. Winfrey, 55, is widely expected to start up a new talk show on OWN: The Oprah Winfrey Network, a much-delayed joint venture with Discovery Communications Inc. that is expected to debut in 2011. OWN is to replace the Discovery Health Channel and will debut in some 74 million homes. An OWN spokeswoman declined comment Thursday. CBS Television Distribution, which distributes “The Oprah Winfrey Show” to more than 200 U.S. markets, held out hope it could continue doing business with Winfrey, perhaps producing a new show out of its studios in Los Angeles. “We know that anything she turns her hand to will be a great success,” the unit of CBS Corp. said in a statement. “We look forward to working with her for the next several years, and hopefully afterwards as well.” Winfrey’s 24th season opened this year with a bang, as she drew more than 20,000 fans to Chicago’s Magnificent Mile for a block party with the Black Eyed Peas. She followed with a series of blockbuster interviews — Mike Tyson and Evander Holyfield, exclusives with singer Whitney Houston and ESPN’s Erin Andrews, and just this week, former Alaska governor, GOP vice presidential candidate Sarah Palin. As a newcomer, “The Oprah Winfrey Show” chipped away at talk king Phil Donahue’s dominance. Later, turned to inspiration. The show covered ranged from interviews with the world’s celebrities to an honest discussion about Winfrey’s weight struggles. “As the show evolved, it really kind of dressed up the neighborhood of the daytime talk show,” Thompson said. In 1986, pianist-showman Liberace gave his final TV interview to Winfrey, just six weeks before he died. In a 1993 prime-time special, Michael Jackson revealed he suffered from a skin condition that produces depigmentation. Tom Cruise enthusiastically declared his affection for the much-younger Katie Holmes on the program in 2005 — and jumped on the couch to prove it. In 2004, Winfrey unveiled her most famous giveaway, when nearly 300 members of the studio audience opened a gift box to find the keys to a new car inside. The stunt became a classic show moment as much for Winfrey’s reaction — “You get a car! You get a car! You get a car! Everybody gets a car!” — as its $7 million price tag. The show also became a launching pad for Oprah’s Book Club, which then launched best-sellers. The titles ranged from “Song of Solomon” and “Paradise” by Toni Morrison to Wally Lamb’s “She’s Come Undone” and Elie Wiesel’s “Night.” For others, the selection backfired. “A Million Little Pieces” exploded in sales after Winfrey chose the James Frey memoir in fall 2005. Soon after, it was revealed as a fabricated tale of addiction and recovery, and Winfrey later chewed out Frey on her show. “I call her ‘Queen of the New Consciousness’ because she did so many things to change lives, the books that she promoted,” said hip-hop mogul Russell Simmons. The loss of “The Oprah Winfrey Show” would be a blow to CBS Corp., which earns a percentage of hefty licensing fees from TV stations that use it — largely ABC affiliates. CBS Chief Executive Leslie Moonves told analysts two weeks ago that the contract with the show runs through most of 2011 and “if there’s a negative impact, it wouldn’t hit us until ‘12.” “Oprah’s been a force of media and there’s really no person you can look to out there who you could say, `That’s the heir apparent,’” said Larry Gerbrandt, an analyst for Media Valuation Partners in Los Angeles. Gerbrandt noted many stations build their schedules around Winfrey’s show. “It’s a big loss, but not as huge as it would have been 10 years ago,” he said. “However, it still commands the biggest audience and ABC station competitors are licking their chops.” Talk of the show’s end often has accompanied Winfrey’s contract negotiations. Before signing her current contract in 2004, she talked about quitting after the 2005-2006 season. As far back as 1995, she called continuing “a difficult and important decision.” Winfrey started her broadcasting career in Nashville, Tenn., and Baltimore, Md., before relocating to Chicago in 1984 to host WLS-TV’s morning talk show “A.M. Chicago” — which became “The Oprah Winfrey Show” one year later. She set up Harpo the following year and her talk show went into syndication. Powered by the show’s staggering success, Winfrey built a media empire. Harpo Studios produces shows hosted by Dr. Phil McGraw and celebrity chef Rachael Ray. O, The Oprah Magazine was the nation’s 7th most popular magazine in the first half of 2009. “I came from nothing,” Winfrey wrote in the 1998 book “Journey to Beloved.” “No power. No money. Not even my thoughts were my own. I had no free will. No voice. Now, I have the freedom, power, and will to speak to millions every day — having come from nowhere.” Earlier this year, Forbes scored Winfrey’s net worth at $2.7 billion. AP Business Writer Ryan Nakashima contributed to this report from Los Angeles. The Oprah Winfrey Show: http://www.oprah.com/index See the original post here: End of an era: Oprah ending show after 25 years (AP)

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SEATTLE, Nov. 20 /PRNewswire-FirstCall/ — Cell Therapeutics, Inc. (CTI) (Nasdaq and MTA: CTIC) announced today that the Ninth Circuit Court of Appeals reversed a U.S. District Court order and ruled that CTI should be allowed to pursue all of its claims against The Lash Group, sending the case back to the District Court for trial. CTI filed a complaint against The Lash Group, CTI’s former third-party reimbursement consultant for CTI’s product TRISENOX, in 2007 seeking $22.8 million in damages for expenses already incurred related to the investigation, defense and a settlement of claims by the U.S. government concerning Medicare reimbursement for TRISENOX and other business losses. In 2007, CTI settled the claims by the U.S. government without admitting liability and filed a lawsuit including claims that The Lash Group had breached its contractual obligations to CTI as related to its services, as well as an obligation to indemnify the company for damages related to the settlement. CTI sold TRISENOX in 2005 to Cephalon, Inc. About Cell Therapeutics, Inc. Headquartered in Seattle, CTI is a biopharmaceutical company committed to developing an integrated portfolio of oncology products aimed at making cancer more treatable. For additional information, please visit www.CellTherapeutics.com . Sign up for email alerts and get RSS feeds at our Web site, http://www.CellTherapeutics.com/investors_alert This press release includes forward-looking statements that involve a number of risks and uncertainties, the outcome of which could materially and/or adversely affect actual future results and the trading price of the securities of CTI. Specifically, the risks and uncertainties include risks associated with preclinical and clinical developments in the biopharmaceutical industry in general and the possibility that CTI may not be successful in obtaining a judgment for damages and that The Lash Group may appeal any award given, CTI’s ability to continue to raise capital as needed to fund its operations, competitive factors, technological developments, costs of developing, producing and selling pixantrone, and the risk factors listed or described from time to time in CTI’s filings with the Securities and Exchange Commission including, without limitation, CTI’s most recent filings on Forms 10-K, 10-Q and 8-K. Except as may be required by law, CTI does not intend to update or alter its forward-looking statements whether as a result of new information, future events, or otherwise. Media Contact: Investors Contact: Dan Eramian Ed Bell T: 206.272.4343 T: 206.272.4345 C: 206.854.1200 Lindsey Jesch Logan F: 206.272.4434 T: 206.272.4347 E: deramian@ctiseattle.com F: 206.272.4434 www.celltherapeutics.com/press_room E: invest@ctiseattle.com www.celltherapeutics.com/investors See the article here: Cell Therapeutics Wins Federal Appeal to Pursue $22.8 Million Claim Against The Lash Group (PR Newswire)

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(Adds details on AP size, Bloomberg cuts) By Robert MacMillan NEW YORK, Nov 19 (Reuters) – BusinessWeek will lay off up to 130 workers, about a third of its staff as Bloomberg LP prepares to take over the magazine from McGraw-Hill Companies Inc ( MHP.N ), two sources at the magazine said on Thursday. News of the job cuts comes on the same day The Associated Press said it is laying off 90 news department workers, or about 3 percent of its worldwide news staff, and capped a grim week for journalists whose jobs at many U.S. news outlets have been drying up in recent years. Bloomberg and McGraw executives told many BusinessWeek workers on Thursday and earlier this week that they would lose their jobs once Bloomberg buys the magazine. Employees there are getting a severance package that includes two weeks of pay for every year they worked at the magazine, said a third source at the magazine who insisted on anonymity to avoid violating a nondisclosure agreement that McGraw attached to the severance package. Workers there this week got telephone calls telling them to go to meeting rooms for individual appointments. If Bloomberg staffers greeted them, they kept their jobs, the source said. McGraw staffers in the room meant that they are being fired, the source said. A Bloomberg spokeswoman said the 130 number was inaccurate, but declined to comment further. A McGraw-Hill spokesman was not immediately available for comment. Many workers at the magazine, as well as media experts, expected Bloomberg to cut jobs before taking over. Bloomberg executives said in interviews with Reuters and other media outlets last month that their goal was to not gut BusinessWeek. All day long on Thursday, BusinessWeek staffers reported on Twitter that they had lost their jobs. Many were columnists and writers with decades of service at the magazine and names well known to business news readers. Among them are media reporter Jon Fine, technology columnist Steve Wildstrom and senior correspondent Rob Hof. “I don’t quite believe it myself, but I’m leaving BusinessWeek after 21+ years,” Hof wrote on his Twitter feed. Other workers in BusinessWeek’s video and Web editorial departments learned they would lose their jobs too, the sources told Reuters. Bloomberg is buying BusinessWeek for between $2 million and $5 million, the magazine has reported. The news and financial information provider wants to expand its reach into mainstream news and beyond its financial computer terminal clients. The privately held company competes with Thomson Reuters Corp ( TRI.TO )( TRI.N ) in providing news and data. The AP, meanwhile, has been trying to retain its newspaper members who help pay for the nonprofit news cooperative. Many of its clients have been coping with severe advertising declines and also have been laying off workers.  Continued… The rest is here: UPDATE 1-BusinessWeek lays off up to 130 workers, AP cuts 90

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NEW YORK (AP) — AOL LLC, an Internet company struggling to adapt to an advertising-driven economy, is looking to shed as much as 36 percent of its work force as it prepares to spin off from Time Warner Inc. next month. AP – FILE – In this May 12, 2008 file photo, the AOL Running Man logo decorates a coffee mug … Major job cuts had been expected, but the magnitude hadn’t been known until Thursday. AOL, which now employs 6,900 workers, is asking for 2,500 volunteers to accept buyouts. If it falls short, it plans layoffs to reach a payroll cut of up to 2,300 positions, a third of its current total. AOL hopes to trim annual costs by about $300 million. The job cuts still need approval from the new AOL board and come on top of about 100 layoffs on Nov. 10. AOL spokeswoman Tricia Primrose would not say where the new cuts would occur or what positions they would involve. The company is based in New York but also has major operations in Northern Virginia. The voluntary offer is open to all employees from Dec. 4 though Dec. 11, Primrose said. Tim Armstrong, the company’s CEO, is also forgoing a bonus this year. The layoffs and the impending spinoff cap one of the most disastrous marriages in U.S. corporate history. After being acquired by AOL in 2001, at the height of the dot-com boom, Time Warner said this week it will spin AOL off as a separate company on Dec. 9. AOL’s legacy dial-up Internet access business has been fading for many years, and the company already had shed thousands of jobs as it pared down to focus more on producing content to garner advertising revenue. In 2004, AOL had 20,000 employees, nearly triple the current total. But AOL had staggered in those efforts, even before the recession drove the advertising market into a slump. It named one of Google Inc.’s advertising chiefs, Tim Armstrong, as chief executive this year to revive the business. Armstrong has spent his first months at AOL visiting its employees around the world and scrutinizing its products to figure out where the company might shine. The decision to shed so many workers shows the company is sticking to the strategy laid out by CEO Tim Armstrong earlier this year, Primrose said, which means focusing around AOL’s advertising, content, communications and local content businesses. Still, is not clear what AOL will slash if it doesn’t get the number of volunteers it seeks. AOL’s operations still make money, but that profit has been falling. Nonetheless, AOL does have a few bright spots, including the popular tech blog Engadget and the celebrity Web site TMZ.com. TMZ, a joint venture with another Time Warner unit, Telepictures Productions, is often credited with being the first to report major developments including Michael Jackson’s death. Time Warner has said that AOL will take about $200 million in charges for severance and other costs related to the restructuring. Shares in Time Warner fell 88 cents, or 2.7 percent, to $31.94 in midday trading Thursday. Follow this link: AOL offers buyouts to 2,500, a third of work force (AP)

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ADA, Okla., Nov. 19 /PRNewswire-FirstCall/ — Pre-Paid Legal Services, Inc. (NYSE: PPD – News ) announced that on November 18, 2009, we received a proposed draft complaint from the Federal Trade Commission (”FTC”) seeking permanent injunctive relief, disgorgement of proceeds and other relief, including costs, relating to our Identity Theft Shield and Affirmative Defense Response System (”ADRS”) Program. The proposed draft complaint alleges our ADRS program and related materials violate Section 5(a) of the FTC Act regarding asserted misleading representations, express or implied. The proposed draft complaint also names Harland Stonecipher, our Chief Executive Officer, and Mark Brown, our Chief Marketing Officer, as defendants. We previously received a Civil Investigative Demand from the FTC on March 23, 2007 on the ADRS program. We have made voluntary revisions to the marketing materials originally provided to the FTC in 2007 and 2009. The FTC may decide to commence federal court proceedings with this proposed draft complaint. The ultimate outcome of the matter is not determinable but we will vigorously defend our interests in this matter. About Us – We believe our products are one of a kind, life events legal service plans. Our plans provide for legal service benefits provided through a network of independent law firms across the U.S. and Canada, and include unlimited attorney consultation, will preparation, traffic violation defense, automobile-related criminal charges defense, letter writing, document preparation and review and a general trial defense benefit. We have an identity theft restoration product we think is also one of a kind due to the combination of our identity theft restoration partner and our provider law firms. More information about our products and us can be found at our homepage at www.prepaidlegal.com . Forward-Looking Statements Statements in this press release, other than purely historical information, regarding our future plans and objectives and expected operating results, dividends and share repurchases and statements of the assumptions underlying such statements, constitute forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934. The forward-looking statements contained herein are based on certain assumptions that may not be correct. They are subject to risks and uncertainties incident to our business that could cause actual results to differ materially from those described in the forward-looking statements. These risks and uncertainties are described in the reports and statements filed by us with the Securities and Exchange Commission, including (among others) those listed in our Form 10-K, Form 10-Q and Form 8-K, and include the risks that our membership persistency or renewal rates may decline, that we may not be able to continue to grow our memberships and earnings, that we are dependent on the continued active participation of our principal executive officer, that pending or future litigation may have a material adverse effect on us if resolved unfavorably to us, that we may have compromises of our information security, that during an economic downturn in the economy consumer purchases of discretionary items may be affected which could materially harm our sales, retention rates, profitability and financial condition, that we could be adversely affected by regulatory developments, that competition could adversely affect us, that we are substantially dependent on our marketing force, that our stock price may be affected by short sellers, that we have been unable to increase our employee group membership sales and that our active premium in force is not indicative of future revenue as a result of changes in active memberships from cancellations and additional membership sales. Please refer to pages 15 – 17 of our 2008 Form 10-K and pages 7 and 8 of our September 30, 2009 Form 10-Q for a more complete description of these risks. We undertake no duty to update any of the forward-looking statements in this release. Read more: Pre-Paid Legal Services Announces FTC Developments (PR Newswire)

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By The Canadian Press TORONTO – Priszm Income Fund (TSX: QSR-UN.TO ) announced Thursday it has suspended its monthly distribution to unitholders in an efforts to increase its cash position. Priszm, which operates and franchises KFC, Taco Bell and Pizza Hut restaurants in Canada, said it needed cash to fund capital programs required by franchise renewals with Yum! Restaurants International. It said it would also use the cash to strengthen its balance sheet and fuel future growth. “The decision to modify our capital allocation has been made to ensure that our cash reserves allow us to make necessary capital investments in our restaurants to continue to improve our customers’ experience and fuel further growth in our business,” said John Bitove, Priszm’s executive chairman. Bitove added that Priszm had returned more than $155 million to unitholders sine its launch in 2003. He said the fund’s trustees will continue to assess the status of distribution in the coming years as long-term capital commitments are quantified, re-financing options become available and an optimal corporate structure is developed to reflect income trust legislation taking effect in 2011. Priszm holds a 60 per cent interest in Priszm Limited Partnership, which owns and operates more than 400 quick service restaurants across Canada. Its units closed at $1.23 Wednesday on the Toronto Stock Exchange. Read the original: Priszm suspends monthly distribution in efforts to increase cash position

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LONDON (AFP) – Britain’s public finances worsened by a record amount in October, official data showed on Thursday, one day after Prime Minister Gordon Brown pledged legislation to halt the damage. Britain’s public sector net borrowing requirement — the Labour government’s preferred measure of public finances — hit 11.4 billion pounds (12.8 billion euros, 19.0 billion dollars) in October, a record high for the month. That compared with a deficit of only 100 million pounds one year earlier in October 2008, the Office for National Statistics (ONS) added in a statement. With Britain’s general election due by June, the dire state of public finances has become a key battleground, with Labour and the opposition Conservatives at loggerheads over public spending cuts and taxation hikes needed to balance the books. Brown had Wednesday revealed that he would seek a new law to compel the government to halve the public deficit within four years. October is meanwhile traditionally a good month for public finances owing to the collection of business taxation revenues. However, the country’s longest recession on record has sapped taxation revenues and ramped up government spending on unemployment benefits and economic stimulus measures. Britain has borrowed 86.9 billion pounds in the financial year that began in April, according to the ONS. Analysts on Thursday warned that borrowing was highly likely to breach the government’s 2009/2010 target of 175 billion pounds, forcing Britain’s finance minister, Chancellor of the Exchequer Alistair Darling to lift his forecast. “The October public finance figures are dismal, making very depressing reading for the chancellor,” said IHS Global Insight economist Howard Archer. He added that they also highlight “the need for the government to spell out in more detail how it aims to rein in the public finances over the next few years.” Darling may reveal such details when delivering a preliminary annual budget report on December 9. Economist Douglas McWilliams at the Centre for Economics and Business Research consultancy said public borrowing for the year was “likely to exceed the chancellor’s forecast of 175 billion pounds by over 20 billion pounds. “Our current best estimate for the deficit for 2009/2010 is 193 billion pounds. This month the rise in the deficit has been caused both by revenue shortfalls and by rising spending,” he added. Elsewhere on Thursday, official data showed retail sales jumped by 3.4 percent in October from the same month in 2008 — the sharpest year-on-year rise for 17 months — as shoppers appeared to shrug off the recession. On a monthly basis they rose by 0.4 percent in October compared with September, the ONS announced. Sales were driven by rising demand for clothing and footwear amid brighter weather, the school half-term holidays and Halloween. “October’s retail sales figures confirm that high street spending is still holding up reasonably strongly in the face of some pretty adverse conditions for consumers,” said Jonathan Loynes, economist at Capital Economics. But he also warned: “With household debt still very high, unemployment set to rise a lot further and a fiscal squeeze looming, the outlook for consumers is hardly rosy.” Britain has yet to follow the eurozone, France, Germany, Japan and the United States out of recession. Labour, which has been in power since 1997, looks set to suffer a heavy defeat to the main opposition Conservatives in next year’s election, according to recent opinion polls. UK Office for National Statistics Link: British public finances worsen in blow for PM

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In a bid to become more efficient, the health insurer Aetna Inc. (NYSE: AET – News ) announced on Wednesday its intention to shed a total of 1,250 jobs or about 3.5% of its total workforce by the first quarter of 2010. Management intends to do so in two phases, by slashing 625 jobs now and the remaining early next year.  {”s” : “aet,aiz,ci,unh,wlp”,”k” : “c10,l10,p20,t10″,”o” : “”,”j” : “”} The company expects to record after-tax restructuring charges of $40 million in fourth quarter 2009. Last December, the company cut 1,000 jobs, which was 3% of its total workforce. The company plans to slash majority of the jobs at its headquarters in Connecticut .  Aetna with a total head count of 35,500 is eliminating jobs to cope with the difficult economic environment and potential impact that the health care reform might cast on its health insurance business. Elimination of excess workforce will help streamline the business by optimizing staffing level, thereby maintaining efficiency.  During the third quarter of 2009, Aetna earned $326.2 million, or 73 cents per share. That represents an increase from $277.3 million, or 58 cents per share, in the same quarter last year. Membership has slumped through out the health insurance sector as employers have cut jobs, reducing the number of people covered by employer-sponsored plans.  Aetna rivals UnitedHealth Group Inc. (NYSE: UNH – News ) and WellPoint Inc. (NYSE: WLP – News ) both recently saw enrollment declines in the third quarter. Last week, Assurant Health, a division of Assurant Inc. (NYSE: AIZ – News ) announced that it has slashed 94 jobs. Earlier during the year, peers Cigna Corp (NYSE: CI – News ) cut 1,100 jobs and Wellpoint Inc. eliminated nearly 1,500 jobs. AETNA INC NEW (AET): Read the Full Research Report ASSURANT INC (AIZ): Read the Full Research Report WELLPOINT INC (WLP): Read the Full Research Report Zacks Investment Research     More: Aetna Axes Jobs (Zacks.com)

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DEERFIELD, Ill.–(BUSINESS WIRE)–CF Industries Holdings, Inc. (NYSE: CF – News ) today issued the following statement regarding the results of Agrium Inc.’s (TSX: AGU – News ) (NYSE: AGU – News ) tender offer for all of the outstanding shares of CF Industries. CF Industries does not believe that the tender results reflect stockholder support for the terms of Agrium’s offer. In fact, CF Industries has heard from its stockholders that there is very little support for the terms of Agrium’s offer. The tender result does not change the fact that Agrium’s offer is far from compelling. Morgan Stanley and Rothschild are acting as financial advisors and Skadden, Arps, Slate, Meagher & Flom LLP is acting as legal counsel to CF Industries. About CF Industries CF Industries Holdings, Inc., headquartered in Deerfield, Illinois, is the holding company for the operations of CF Industries, Inc. CF Industries, Inc. is a major producer and distributor of nitrogen and phosphate fertilizer products. CF Industries operates world-scale nitrogen fertilizer plants in Donaldsonville, Louisiana and Medicine Hat, Alberta, Canada; conducts phosphate mining and manufacturing operations in Central Florida; and distributes fertilizer products through a system of terminals, warehouses, and associated transportation equipment located primarily in the Midwestern United States. The company also owns a 50 percent interest in KEYTRADE AG, a global fertilizer trading organization headquartered near Zurich, Switzerland. Additional information on CF Industries is found on the company’s website at www.cfindustries.com . Additional Information This press release is neither an offer to purchase nor the solicitation of an offer to sell any securities. CF Industries Holdings, Inc. (“CF Industries”) previously filed a Solicitation/Recommendation Statement on Schedule 14D-9 (as amended, the “Solicitation/Recommendation Statement”) with the Securities and Exchange Commission (the “SEC”) with respect to the exchange offer commenced by Agrium Inc. INVESTORS AND SECURITY HOLDERS OF CF INDUSTRIES ARE URGED TO READ THE SOLICITATION/RECOMMENDATION STATEMENT AND OTHER RELEVANT MATERIALS AS THEY BECOME AVAILABLE, BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. Investors and security holders may obtain free copies of any documents filed by CF Industries with the SEC through the web site maintained by the SEC at www.sec.gov . Free copies of any such documents can also be obtained by calling Innisfree M&A Incorporated toll-free at (877) 456-3507. Safe Harbor Statement Certain statements contained in this press release may constitute “forward-looking statements.” All statements in this press release, other than those relating to historical information or current condition, are forward-looking statements. These forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from such statements. Risks and uncertainties include: the relatively expensive and volatile cost of North American natural gas; the cyclical nature of our business and the agricultural sector; changes in global fertilizer supply and demand and its impact on the selling price of our products; the nature of our products as global commodities; intense global competition in the consolidating markets in which we operate; conditions in the U.S. agricultural industry; weather conditions; our inability to accurately predict seasonal demand for our products; the concentration of our sales with certain large customers; the impact of changing market conditions on our forward pricing program; the reliance of our operations on a limited number of key facilities; the significant risks and hazards against which we may not be fully insured; reliance on third party transportation providers; unanticipated adverse consequences related to the expansion of our business; our inability to expand our business, including the significant resources that could be required; potential liabilities and expenditures related to environmental and health and safety laws and regulations; our inability to obtain or maintain required permits and governmental approvals or to meet financial assurance requirements; acts of terrorism; difficulties in securing the supply and delivery of raw materials we use and increases in their costs; losses on our investments in securities; loss of key members of management and professional staff; the international credit crisis and global recession; credit losses from counterparties to our natural gas swap contracts due to the credit and economic crisis; and the other risks and uncertainties included from time to time in our filings with the SEC. Except as required by law, we undertake no obligation to update or revise any forward-looking statements. Continue reading here: CF Industries Comments on Agrium Tender Offer Results (Business Wire)

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LONDON (AP) — World stocks fell Thursday and Wall Street was expected to open lower amid mounting doubts about the pace of the global economic recovery and ahead of more earnings reports from U.S. retailers. In Europe, the FTSE 100 index of leading British shares was down 33.35 points, or 0.6 percent, to 5,308.78 while Germany’s DAX fell 47.92 points, or 0.8 percent, to 5,739.69. The CAC-40 in France was 22.27 points, or 0.6 percent, lower at 3,805.89. Wall Street was also poised to open lower — Dow futures were 44 points, or 0.4 percent, lower at 10,360 while the broader Standard & Poor’s 500 futures fell 6.8 points, or 0.6 percent, at 1,101.70. Stock markets have rallied strongly since March’s lows as investors reined in their economic doomsday expectations to factor in a swifter than anticipated global economic rebound, but recent disappointing U.S. housing figures and mixed earnings from some of the country’s leading retailers have dented some of the optimism. Many investors think stock valuations are now pricing in too rapid an economic recovery. “Negative outlooks from the U.S. software sector and unexpectedly disappointing home stats brought worries about the pace of recovery back to the table,” said Richard Griffiths, senior equity trader at Spreadex. The state of household spending in the U.S. is key for recovery — it accounts for around 70 percent of the nation’s economy. Further insights will be looked for in results later from Gap Inc. and Sears Holdings Corp. “Investors will be particularly interested in the sector in the run-up to the festive season; retailers will soon be finding out whether consumers are willing to reach for their credit cards or whether post-recessionary fears will prevail,” said David Jones, chief market strategist at IG Index. The markets brushed aside the latest more rosy economic forecasts from the Paris-based Organization for Economic Cooperation and Development, even though it more than doubled its estimate for 2010 growth in its 30 member countries — which include the U.S., Japan and Germany — to 1.9 percent and raised its 2011 forecast to 2.5 percent. “Neither of these figures is exceptional which underpins the delicate nature of the present economic recovery,” said Jane Foley, research director at Forex.com. Earlier, Japan’s Nikkei 225 stock average lost 127.33 points, or 1.3 percent, to 9,549.47 — its seventh straight day of decline as investors succumbed to jitters about a possible glut of new bank shares after Mitsubishi UFJ announced plans to raise capital. The bank’s shares fell 3.7 percent. Elsewhere, Hong Kong’s Hang Seng fell 197.17 points, or 0.9 percent, to 22,643.16, while Taiwan’s benchmark shed 0.1 percent and Indonesia’s market was 0.6 percent lower. Other markets fared better: South Korea’s Kospi added 1 percent to lead the region and China’s Shanghai index rose 0.5 percent. In Singapore, shares were up 0.6 percent after the city-state reported a second straight quarter of growth as manufacturing and service sectors helped it surface from a deep recession. The economy was seen expanding between 3 percent and 5 percent next year, the government said. Oil prices hovered above $79 a barrel, with benchmark crude for December delivery down 60 cents to $78.98 a barrel. Gold prices eased after a strong run saw it top $1,150 per ounce for the first time ever — they were down $5.10 an ounce, or 0.5 percent, to $1,136.10. Meanwhile, the dollar fell 0.5 percent to 88.91 but was up against the euro, which was trading 0.7 percent higher at $1.4862. AP Business Writer Jeremiah Marquez in Hong Kong contributed to this report. More: World stocks lower amid valuation concerns (AP)

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HOFFMAN ESTATES, Ill., Nov. 19 /PRNewswire-FirstCall/ — Sears Holdings Corporation (”Holdings,” “we,” “us,” “our” or the “Company”) (Nasdaq: SHLD – News ) today reported its results for the third quarter of 2009. In summary, we reported: A net loss attributable to Holdings’ shareholders for the quarter of $127 million ($1.09 per diluted share) as compared to a net loss attributable to Holdings’ shareholders of $146 million ($1.16 per diluted share) in the third quarter of 2008; Excluding significant items, a net loss attributable to Holdings’ shareholders for the quarter of $0.81 per diluted share as compared to a net loss attributable to Holdings’ shareholders of $0.90 per diluted share in the third quarter of 2008; Improvement in domestic Adjusted EBITDA of $14 million for the third quarter of 2009 and $128 million for the first nine months of 2009 as compared to the prior year periods; An increase in comparable store sales at Kmart of 0.5% as compared to the same quarter in 2008; An increase in our gross margin rate of 40 basis points to 27.2% for the third quarter of 2009 as compared to the same quarter in 2008; A $101 million reduction in selling and administrative expenses, adjusted for significant items discussed below, during the third quarter of fiscal 2009 as compared to the same quarter in 2008; Continued progress in improving our balance sheet, as cash balances increased to $1.5 billion from $1.2 billion last year, while our total debt was reduced by $678 million (to $3.8 billion) and domestic letters of credit were reduced by $194 million (to $803 million) from prior year levels; and A reduction in usage of our revolving line of credit by $837 million as compared to November 1, 2008, resulting in total unused borrowing capacity of $2 billion at October 31, 2009. “We saw some encouraging signs of progress in the third quarter. Comparable store sales increased at Kmart and the decline in sales at Sears moderated during the quarter. Additionally, we increased margin rates and reduced selling and administrative expenses by $101 million,” said W. Bruce Johnson, Sears Holdings’ interim chief executive officer and president. “As we approach this important selling season, we are focused on executing our holiday strategy and meeting our customers’ needs.” Third Quarter Revenues and Comparable Store Sales Total revenues decreased $470 million to $10.2 billion for the 13 weeks ended October 31, 2009, as compared to total revenues of $10.7 billion for the 13 weeks ended November 1, 2008. The decrease was primarily due to lower comparable store sales and 56 fewer Kmart and Sears full-line stores, partially offset by an increase of $42 million due to the impact of foreign currency exchange rates. Domestic comparable store sales declined 2.3% in the aggregate for the quarter, and included an increase at Kmart of 0.5%, offset by a decline at Sears Domestic of 4.6%. The Kmart quarterly increase in comparable store sales was primarily driven by the toys and home categories, as well as the impact of assuming the operations of its footwear business from a third party effective January 2009. Declines in sales for the quarter at Sears Domestic include decreases in the home appliance, lawn & garden, tools and home electronics categories, although sales in the home appliance category declined to a lesser degree as compared to previous quarters this year. Operating Loss Holdings’ operating loss was $106 million for the 13 weeks ended October 31, 2009, as compared to an operating loss of $202 million for the 13 weeks ended November 1, 2008. Our operating loss for the third quarter of 2009 includes expenses of $54 million related to domestic pension plans and store closings and severance. Our operating loss for the third quarter of 2008 included a charge of $101 million related to costs associated with store closings and severance, as well as asset impairments, of which $76 million were non-cash items. Excluding these items, our operating loss decreased $49 million and was primarily the result of reductions in selling and administrative expenses, partially offset by lower gross margin dollars given lower overall sales. For the quarter, we generated $2.8 billion in gross margin as compared to $2.9 billion in the third quarter last year. The total decline in gross margin dollars of $88 million (adjusted for $5 million and $10 million of markdowns recorded in connection with store closings in the third quarters of 2009 and 2008, respectively) was mitigated by an increase of $14 million related to the impact of foreign currency exchange rates on gross margin at Sears Canada. While gross margin dollars declined, we increased our gross margin rate to 27.2% in the third quarter of 2009 as compared to the third quarter of 2008. The increase in our gross margin rate was a result of an increase in gross margin rate of 50 basis points at both Sears Domestic and Kmart, as well as an increase of 30 basis points at Sears Canada. Increases in our gross margin rate are mainly due to improved inventory management, which resulted in lower markdowns taken on spring and summer apparel and home merchandise, as well as improvement in margins for home appliances. The improvement in our operating results was mainly a result of reductions in selling and administrative expenses of $101 million (adjusted for significant items). Selling and administrative expenses include an increase of $10 million related to the impact of foreign currency exchange rates at Sears Canada and declined mainly as a result of a $31 million reduction in payroll and benefits expense, a $24 million reduction in insurance expense, as well as reductions in various other expense categories. Significant Items A number of significant items affected our third quarter results in fiscal 2009 and 2008. Excluding these items, the net loss attributable to Holdings’ shareholders for the third quarter of fiscal 2009 would have been $94 million ($0.81 loss per diluted share) as compared to a net loss attributable to Holdings’ shareholders of $114 million ($0.90 loss per diluted share) in the third quarter of 2008. Our fiscal 2009 and 2008 third quarter per-share results were impacted by the effects of our share repurchase program (as discussed below), as well as other significant items, including: charges for costs associated with store closings and severance of $10 million ($6 million after tax or $0.05 per diluted share) in the third quarter of 2009 and $25 million ($15 million after tax or $0.12 per diluted share) in the third quarter of 2008; domestic pension plan expense in the third quarter of 2009 of $44 million ($28 million after tax or $0.24 per diluted share); mark-to-market gains on Sears Canada hedge transactions of $2 million ($1 million after tax and noncontrolling interest or $0.01 per diluted share) in the third quarter of 2009 and $67 million ($29 million after tax and noncontrolling interest or $0.23 per diluted share) in the third quarter of 2008; and a charge of $76 million ($46 million after tax or $0.37 per diluted share) related to costs associated with asset impairments recorded in the third quarter of 2008. Costs incurred for store closings and severance include charges related to our third quarter 2009 decision to close seven underperforming stores and our third quarter 2008 decision to close 14 underperforming stores. We expect to record an additional charge of approximately $5 million during the fourth quarter of 2009 as the stores we decided to close in the second quarter of 2009 complete operations. Similar to our previous store closings, we expect that these will be additive to earnings given that the closure of these stores eliminates negative cash flows incurred from their operations, and will generate cash from the liquidation of inventory and from other proceeds. The list of stores closed can be found at www.searsmedia.com . We continue to evaluate our business in an effort to improve the operating results of the Company. As we noted in our first quarter 2009 earnings release, the Company has a legacy pension obligation for past service performed by Kmart and Sears, Roebuck and Co. associates. The annual pension expense included in our financial statements related to these legacy domestic pension plans was relatively minimal in recent years. However, due to the severe decline in the capital markets that occurred in the latter part of 2008 our domestic pension expense will increase by approximately $170 million for the fiscal year 2009. As a result, we present pension expense as a significant item affecting earnings and as a separate line item in our Adjusted EBITDA reconciliation to promote operating performance comparability. We expect domestic pension plan expense in the fourth quarter of 2009 to remain consistent with the first three quarters. Financial Position We had cash balances of $1.5 billion at October 31, 2009 (of which $505 million was domestic and $1 billion was at Sears Canada) as compared to $1.2 billion at November 1, 2008 and $1.3 billion at January 31, 2009. The October 31, 2009, November 1, 2008 and January 31, 2009 cash balances excluded $12 million, $94 million and $38 million, respectively, on deposit with The Reserve Primary Fund, a money market fund that has temporarily suspended withdrawals while it liquidates its holdings to generate cash to distribute. Such amounts have been reclassified to the prepaid expenses and other current assets line within our Condensed Consolidated Balance Sheets. Significant uses of our cash during the first three quarters of 2009 include $358 million for share repurchases, contributions to our pension and post-retirement benefit plans of $167 million, capital expenditures of $221 million and debt issuance costs of $81 million. These amounts were offset by short-term borrowings. Merchandise inventories were $10.8 billion at October 31, 2009 as compared to $11.4 billion at November 1, 2008. Domestic inventory levels declined from $10.5 billion at November 1, 2008 to $9.9 billion at October 31, 2009 due to improved inventory management. Inventory levels at Sears Canada decreased $28 million ($140 million on a Canadian dollar basis), primarily due to improved inventory management. Total debt (consisting of short-term borrowings, long-term debt and capital lease obligations) at October 31, 2009 was $3.8 billion, as compared to $4.5 billion at November 1, 2008. The decrease in outstanding debt includes a reduction in domestic long-term debt and capital lease obligations of $381 million. Long-term debt of the parent (which excludes the debt of our Sears Canada ($279 million) and Orchard Supply Hardware ($296 million) subsidiaries, which is non-recourse to the parent) is less than $1 billion, with no significant required repayments until 2011. Total short-term borrowings at October 31, 2009 of $1.6 billion were $322 million lower than our level of borrowings at November 1, 2008 of $1.9 billion. As we enter the holiday selling season, our short-term borrowings reflect amounts borrowed to support increased levels of inventory at the end of the third quarter. In addition to decreasing our total amount of short-term borrowings in the third quarter of 2009, we also altered the mix of our funding to include more borrowings in the commercial paper market. “During the third quarter, we saw heightened interest in our commercial paper, leading us to increase our outstanding commercial paper balance to $337 million,” said Mike Collins, senior vice-president and chief financial officer. “The increased level of commercial paper not only reduced our borrowing costs, but also contributed to a greater amount of availability under our revolving line of credit. Overall, our liquidity initiatives enabled us to reduce usage under our revolver by $837 million as compared to the third quarter of 2008.” Share Repurchase During the 13- and 39- week periods ended October 31, 2009, we repurchased approximately 3.5 million and 6.2 million common shares at a total cost of $224 million and $358 million, respectively, under our share repurchase program. Our repurchases for the 13- and 39- week periods ended October 31, 2009 were made at average prices of $64.30 and $58.05 per share, respectively. As of October 31, 2009, we had remaining authorization to repurchase $147 million of common shares under the share repurchase program. The share repurchases may be implemented using a variety of methods, which may include open market purchases, privately negotiated transactions, block trades, accelerated share repurchase transactions, the purchase of call options, the sale of put options or otherwise, or by any combination of such methods. Timing will be dependent on prevailing market conditions, alternative uses of capital and other factors. Adjusted EBITDA For purposes of evaluating operating performance, we use an Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (”Adjusted EBITDA”) measurement computed as operating income (loss) appearing on the statements of operations excluding depreciation and amortization and gains/(losses) on sales of assets. In addition, it is adjusted to exclude certain significant gains/(losses). Adjusted EBITDA is used by management to evaluate the operating performance of our businesses for comparable periods. Adjusted EBITDA should not be used by investors or other third parties as the sole basis for formulating investment decisions as it excludes a number of important cash and non-cash recurring items. Management compensates for this limitation by using GAAP financial measures as well in managing our businesses. While Adjusted EBITDA is a non-GAAP measurement, management believes that it is an important indicator of operating performance because: EBITDA excludes the effects of financing and investing activities by eliminating the effects of interest and depreciation costs; Management considers gains/(losses) on the sale of assets to result from investing decisions rather than ongoing operations; and Other significant items, while periodically affecting our results, may vary significantly from period to period and have a disproportionate effect in a given period, which affects the comparability of results. Adjusted EBITDA was determined as follows: 13 Weeks Ended 39 Weeks Ended ————– ————– October 31, November 1, October 31, November 1, 2009 2008 2009 2008 ———– ———– ———– ———– Operating loss per statement of operations $(106) $(202) $(36) $(23) Plus depreciation and amortization 224 250 678 745 Less gain on sales of assets (11) (1) (70) (39) — — — — Before excluded items 107 47 572 683 Non-cash asset impairment — 76 — 76 Legal matter reserve — – — (62) Domestic pension expense 44 — 128 — Closed store reserve and severance 10 25 88 25 — – — – Adjusted EBITDA as defined $161 $148 $788 $722 ==== ==== ==== ==== % to revenues 1.6% 1.4% 2.6% 2.2% Adjusted EBITDA for our segments are as follows: 13 Weeks Ended ———————————————– Adjusted EBITDA % To Revenues ———————– ——————— October 31, November 1, October 31, November 1, 2009 2008 2009 2008 ———————– ——————— Kmart $(39) $(38) (1.1%) (1.1%) Sears Domestic 86 71 1.6% 1.2% Sears Canada (1) 114 115 9.4% 8.8% —- —- —- —- Total Adjusted EBITDA $161 $148 1.6% 1.4% ==== ==== ==== ==== (1) Third quarter 2009 Adjusted EBITDA in Canadian dollars was $122 million as compared to $127 million for the prior year, as the average exchange rate for the quarter increased from .9082 to .9308. 39 Weeks Ended ———————————————– Adjusted EBITDA % To Revenues ———————– ——————— October 31, November 1, October 31, November 1, 2009 2008 2009 2008 ———————– ——————— Kmart $23 $28 0.2% 0.2% Sears Domestic 512 379 3.1% 2.1% Sears Canada (1) 253 315 7.9% 8.0% —- —- —- —- Total Adjusted EBITDA $788 $722 2.6% 2.2% ==== ==== ==== ==== (1) The first three quarters of 2009 Adjusted EBITDA in Canadian dollars was $290 million as compared to $327 million for the prior year, as the average exchange rate for the first three quarters declined from .9634 to .8735. Quarterly Report on Form 10-Q For a detailed discussion of the Company’s financial results, please see the Company’s Quarterly Report on Form 10-Q, which will be filed with the Securities and Exchange Commission and posted to the Company’s website at http://www.searsholdings.com on or about November 19, 2009. Forward-Looking Statements Results are preliminary and unaudited. This press release contains forward-looking statements about our expectations for fiscal year 2009. Forward-looking statements are subject to risks and uncertainties that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by these forward-looking statements. Such statements are based upon the current beliefs and expectations of our management and are subject to significant risks and uncertainties. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: our ability to offer merchandise and services that our customers want, including our proprietary brand products; our ability to successfully implement initiatives to improve inventory management and other capabilities; competitive conditions in the retail and related services industries; worldwide economic conditions and business uncertainty, the availability of consumer and commercial credit, changes in consumer confidence, tastes, preferences and spending, and changes in vendor relationships; the impact of seasonal buying patterns, including seasonal fluctuations due to weather conditions, which are difficult to forecast with certainty; our dependence on sources outside the United States for significant amounts of our merchandise; our extensive reliance on computer systems to process transactions, summarize results and manage our business; our reliance on third parties to provide us with services in connection with the administration of certain aspects of our business; impairment charges for goodwill and intangible assets or fixed-asset impairment for long-lived assets; our ability to attract, motivate and retain key executives and other associates; and the outcome of pending and/or future legal proceedings, including product liability claims and bankruptcy claims, including proceedings with respect to which the parties have reached a preliminary settlement. We intend the forward-looking statements to speak only as of the time made and do not undertake to update or revise them as more information becomes available. About Sears Holdings Corporation Sears Holdings Corporation is the nation’s fourth largest broadline retailer with approximately 3,900 full-line and specialty retail stores in the United States and Canada. Sears Holdings is the leading home appliance retailer as well as a leader in tools, lawn and garden, home electronics and automotive repair and maintenance. Key proprietary brands include Kenmore, Craftsman and DieHard, and a broad apparel offering, including such well-known labels as Lands’ End, Jaclyn Smith and Joe Boxer, as well as the Apostrophe and Covington brands. It also has the Country Living collection, which is offered exclusively by Sears and Kmart. We are the nation’s largest provider of home services, with more than 12 million service calls made annually. Sears Holdings Corporation operates through its subsidiaries, including Sears, Roebuck and Co. and Kmart Corporation. For more information, visit Sears Holdings’ website at www.searsholdings.com . Sears Holdings Corporation Condensed Consolidated Statements of Operations (Unaudited) Amounts are Preliminary and Subject to Change 13 Weeks Ended 39 Weeks Ended ———————— ———————— millions, except per share data October 31, November 1, October 31, November 1, 2009 2008 2009 2008 —- —- —- —- REVENUES Merchandise sales and services $10,190 $10,660 $30,796 $33,490 ——- ——- ——- ——- COSTS AND EXPENSES Cost of sales, buying and occupancy 7,419 7,806 22,357 24,491 Gross margin dollars 2,771 2,854 8,439 8,999 Gross margin rate 27.2% 26.8% 27.4% 26.9% Selling and administrative 2,664 2,731 7,867 8,240 Selling and administrative expense as a percentage of total revenues 26.1% 25.6% 25.5% 24.6% Depreciation and amortization 224 250 678 745 Impairment charges – 76 – 76 Gain on sales of assets (11) (1) (70) (39) — — — — Total costs and expenses 10,296 10,862 30,832 33,513 —— —— —— —— Operating loss (106) (202) (36) (23) Interest expense (72) (71) (194) (202) Interest and investment income 5 9 24 40 Other income (loss) (5) 80 (52) 78 — – — — Loss before income taxes (178) (184) (258) (107) Income tax benefit 66 73 94 45 — — — — Net loss (112) (111) (164) (62) Income attributable to noncontrolling interest (15) (35) (31) (75) — — — — NET LOSS ATTRIBUTABLE TO HOLDINGS’ SHAREHOLDERS $(127) $(146) $(195) $(137) ===== ===== ===== ===== LOSS PER COMMON SHARE ATTRIBUTABLE TO HOLDINGS’ SHAREHOLDERS Diluted loss per share $(1.09) $(1.16) $(1.64) $(1.07) Diluted weighted average common shares outstanding 116.9 125.5 119.2 128.5 Sears Holdings Corporation Condensed Consolidated Balance Sheets Amounts are Preliminary and Subject to Change (Unaudited) ———————– millions October 31, November 1, January 31, 2009 2008 2009 —- —- —- ASSETS Current assets Cash and cash equivalents $1,468 $1,172 $1,173 Restricted cash 59 – 124 Receivables 844 1,195 839 Merchandise inventories 10,805 11,364 8,795 Prepaid expenses and other current assets 395 616 485 — — — Total current assets 13,571 14,347 11,416 Property and equipment, net 7,758 8,265 8,091 Goodwill 1,392 1,658 1,392 Trade names and other intangible assets 3,225 3,302 3,283 Other assets 1,229 382 1,160 —– — —– TOTAL ASSETS $27,175 $27,954 $25,342 ======= ======= ======= LIABILITIES Current liabilities Short-term borrowings $1,603 $1,925 $442 Current portion of long-term debt and capitalized lease obligations 369 381 345 Merchandise payables 4,495 4,414 3,006 Unearned revenues 1,016 1,074 1,069 Accrued expenses and other current liabilities 3,783 3,880 3,650 —– —– —– Total current liabilities 11,266 11,674 8,512 Long-term debt and capitalized lease obligations 1,831 2,175 2,132 Pension and post-retirement benefits 2,001 1,014 2,057 Other long-term liabilities 2,752 2,915 2,942 —– —– —– Total Liabilities 17,850 17,778 15,643 —— —— —— Total Equity 9,325 10,176 9,699 —– —— —– TOTAL LIABILITIES AND EQUITY $27,175 $27,954 $25,342 ======= ======= ======= Total common shares outstanding 115.6 124.9 122.0 Sears Holdings Corporation Segment Results (Unaudited) Amounts are Preliminary and Subject to Change 13 Weeks Ended October 31, 2009 —————————————— millions, except for number Sears Sears Sears of stores Kmart Domestic Canada Holdings ——- ——— ——- ——— Merchandise sales and services $3,476 $5,507 $1,207 $10,190 —— —— —— ——- Cost of sales, buying and occupancy 2,690 3,914 815 7,419 Gross margin dollars 786 1,593 392 2,771 Gross margin rate 22.6% 28.9% 32.5% 27.2% Selling and administrative 830 1,556 278 2,664 Selling and administrative expense as a percentage of total revenues 23.9% 28.3% 23.0% 26.1% Depreciation and amortization 37 162 25 224 Gain on sales of assets (9) (2) – (11) — — — — Total costs and expenses 3,548 5,630 1,118 10,296 —– —– —– —— Operating income (loss) $(72) $(123) $89 $(106) ==== ===== === ===== Number of: Kmart Stores 1,343 – - 1,343 Full-Line Stores – 912 122 1,034 Specialty Stores – 1,268 269 1,537 — —– — —– Total Stores 1,343 2,180 391 3,914 ===== ===== === ===== 13 Weeks Ended November 1, 2008 —————————————— millions, except for number Sears Sears Sears of stores Kmart Domestic Canada Holdings ——- ——— —— ——— Merchandise sales and services $3,532 $5,827 $1,301 $10,660 —— —— —— ——- Cost of sales, buying and occupancy 2,753 4,171 882 7,806 Gross margin dollars 779 1,656 419 2,854 Gross margin rate 22.1% 28.4% 32.2% 26.8% Selling and administrative 828 1,599 304 2,731 Selling and administrative expense as a percentage of total revenues 23.4% 27.4% 23.4% 25.6% Depreciation and amortization 34 186 30 250 Impairment charges 20 56 – 76 (Gain) loss on sales of assets – (2) 1 (1) — — — — Total costs and expenses 3,635 6,010 1,217 10,862 —– —– —– —— Operating income (loss) $(103) $(183) $84 $(202) ===== ===== === ===== Number of: Kmart Stores 1,378 – - 1,378 Full-Line Stores – 933 122 1,055 Specialty Stores – 1,198 263 1,461 — —– — —– Total Stores 1,378 2,131 385 3,894 ===== ===== === ===== 39 Weeks Ended October 31, 2009 —————————————— millions, except for number Sears Sears Sears of stores Kmart Domestic Canada Holdings ——- ——— ——- ——— Merchandise sales and services $10,825 $16,780 $3,191 $30,796 ——- ——- —— ——- Cost of sales, buying and occupancy 8,352 11,821 2,184 22,357 Gross margin dollars 2,473 4,959 1,007 8,439 Gross margin rate 22.8% 29.6% 31.6% 27.4% Selling and administrative 2,489 4,616 762 7,867 Selling and administrative expense as a percentage of total revenues 23.0% 27.5% 23.9% 25.5% Depreciation and amortization 109 495 74 678 Gain on sales of assets (19) (6) (45) (70) — — — — Total costs and expenses 10,931 16,926 2,975 30,832 —— —— —– —— Operating income (loss) $(106) $(146) $216 $(36) ===== ===== ==== ==== Number of: Kmart Stores 1,343 – - 1,343 Full-Line Stores – 912 122 1,034 Specialty Stores – 1,268 269 1,537 — —– — —– Total Stores 1,343 2,180 391 3,914 ===== ===== === ===== 39 Weeks Ended November 1, 2008 —————————————– millions, except for number Sears Sears Sears of stores Kmart Domestic Canada Holdings ——- ——— —— ——— Merchandise sales and services $11,270 $18,294 $3,926 $33,490 ——- ——- —— ——- Cost of sales, buying and occupancy 8,706 13,090 2,695 24,491 Gross margin dollars 2,564 5,204 1,231 8,999 Gross margin rate 22.8% 28.4% 31.4% 26.9% Selling and administrative 2,547 4,777 916 8,240 Selling and administrative expense as a percentage of total revenues 22.6% 26.1% 23.3% 24.6% Depreciation and amortization 101 550 94 745 Impairment charges 20 56 – 76 Gain on sales of assets (2) (6) (31) (39) — — — — Total costs and expenses 11,372 18,467 3,674 33,513 —— —— —– —— Operating income (loss) $(102) $(173) $252 $(23) ===== ===== ==== ==== Number of: Kmart Stores 1,378 – - 1,378 Full-Line Stores – 933 122 1,055 Specialty Stores – 1,198 263 1,461 — —– — —– Total Stores 1,378 2,131 385 3,894 ===== ===== === ===== Sears Holdings Corporation Adjusted EBITDA Amounts are Preliminary and Subject to Change 13 Weeks Ended —————————————– October 31, 2009 —————————————– Sears Sears Sears millions Kmart Domestic Canada Holdings —– ——— ——- ——— Operating income (loss) per statement of operations $(72) $(123) $89 $(106) Plus depreciation and amortization 37 162 25 224 Less (gain) loss on sales of assets (9) (2) – (11) — — — — Before excluded items (44) 37 114 107 Domestic pension expense – 44 – 44 Closed store reserve and severance 5 5 – 10 — — — — Adjusted EBITDA as defined $(39) $86 $114 $161 ==== === ==== ==== % to revenues -1.1% 1.6% 9.4% 1.6% 13 Weeks Ended —————————————– November 1, 2008 —————————————– Sears Sears Sears millions Kmart Domestic Canada Holdings —– ——— ——- ——— Operating income (loss) per statement of operations $(103) $(183) $84 $(202) Plus depreciation and amortization 34 186 30 250 Less (gain) loss on sales of assets – (2) 1 (1) — — — — Before excluded items (69) 1 115 47 Non-cash asset impairment 20 56 – 76 Closed store reserve and severance 11 14 – 25 — — — — Adjusted EBITDA as defined $(38) $71 $115 $148 ==== === ==== ==== % to revenues -1.1% 1.2% 8.8% 1.4% 39 Weeks Ended —————————————– October 31, 2009 —————————————– Sears Sears Sears millions Kmart Domestic Canada Holdings —– ——— ——- ——— Operating income (loss) per statement of operations $(106) $(146) $216 $(36) Plus depreciation and amortization 109 495 74 678 Less gain on sales of assets (19) (6) (45) (70) — — — — Before excluded items (16) 343 245 572 Domestic pension expense – 128 – 128 Closed store reserve and severance 39 41 8 88 — — — — Adjusted EBITDA as defined $23 $512 $253 $788 === ==== ==== ==== % to revenues 0.2% 3.1% 7.9% 2.6% 39 Weeks Ended —————————————– November 1, 2008 —————————————– Sears Sears Sears millions Kmart Domestic Canada Holdings —– ——— ——- ——— Operating income (loss) per statement of operations $(102) $(173) $252 $(23) Plus depreciation and amortization 101 550 94 745 Less gain on sales of assets (2) (6) (31) (39) — — — — Before excluded items (3) 371 315 683 Non-cash asset impairment 20 56 – 76 Legal matter reserve – (62) – (62) Closed store reserve and severance 11 14 – 25 — — — — Adjusted EBITDA as defined $28 $379 $315 $722 === ==== ==== ==== % to revenues 0.2% 2.1% 8.0% 2.2% Visit link: Sears Holdings Reports Third Quarter Results (PR Newswire)

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Sears Holdings Reports Third Quarter Results (PR Newswire)