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AbitibiBowater investigates power generation in Thunder Bay
May 7, 2010 | In Financial News | 12 feedbacks »
Follow the quasi-logic -- equity of 51 million dollars -- if they can afford to do (from NOL's or other), they can afford to pay us.
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With $51 million, AbitibiBowater believes it could produce more than 60% of its own power at its Thunder Bay, Ontario mill by installing a condensing turbine, associated generator and cooling tower to support existing electricity generation.
AbitibiBowater said in a open house meeting this week, concerning the project, that they are in the process of applying for funding from senior levels of government to help offset some of the costs.
To get the project off the ground, the company first has to go through a screening process, fine tune their capital costs, get government approval, and exit bankruptcy protection.
More links on Naked Short Selling
http://www.atlanticfreepress.com/news/1/13074-the-short-selling-of-the-american-dream-stock-shock-.html
http://messages.finance.yahoo.com/Stocks_%28A_to_Z%29/Stocks_G/threadview?m=tm&bn=8089&tid=664727&mid=664727&tof=57&frt=2
The SEC is in a "massive cover-up mode" imo, but the truth is getting played out everywhere now.
ABWTQ - Dylan Ratigan nails it again.
2nd video with Option Monster founder Dr. J. is quite telling. My guess is that both Pete and Jon J. must have been hurt recently by the Wall Street "insurance fraud / CDS schemes" that they are now speaking out about it.
I am personally convinced that wrt the 600 trillion dollar "worldwide" Credit Default Swaps and Derivative market that it needs to be completely unwound.
On ABWTQ -- I think we should be thinking formal injunction on their business. Force the top guys and the B of D to get lawyers, as well as their Accounting Firms. This will force them all on our side in order to keep them out of jail. I want e-mails.
Audit The Fed -- we will see it. I predict.
I think the Press in both the United States and in Canada will continue to play a huge part in the schemes that are now used for Corporate Raiding (asset theft).
Note that I have also discovered two other companies where the Bond Prices in the Morning seem to be manipulated manually. No co-incidence -- impossible.
I am hopeful that the ABWTQ Union Voting results will be out this week.
Re: Newsprint Prices -- obviously a direct coorelation between a higher USD and higher NewsPrint Prices.
Re: Lumber -- more and more competitors and analysts are coming out with REVISED UPWARD Pricing Adjustments for the period 2010 to 2020.
Cap & Trade -- more and more is being published and the expectations that Abitibi's forestry assets will dwarf anything that is lost in Newsprint over the coming decades.
http://www.msnbc.msn.com/id/31510813/ns/msnbc_tv-the_dylan_ratigan_show/#37000909
http://www.msnbc.msn.com/id/31510813/ns/msnbc_tv-the_dylan_ratigan_show/#37026025
Lumber -- over 2000 homes
and structures damaged in Tennessee. Not a lot of mention in the news this week.
when the lumber market turns, it will turn fast.
ABWTQ and Prem Watsa
Not sure whether this information will mean much, but I noticed that PremWatsa filed a Form 4 last night for Sandridge Energy.
I think he owns some preferred "convertible" stock on this one -- 2014 date.
Apparently Sandridge has been a huge disappointment. May be there is a pattern here, especially if he is using CDS as a way to mitigate his risk.
Ususally, if something works well once, these guys try it again. So, if there is a pattern with ABWTQ, our lawyer should be able to exploit it, along with info posted yesterday about " the expectations of re-payment" from the 2008 $400 million dollar loan.
Mffais Data for ABWTQ
Can anyone share the new symbol. The old data used to be under ABH -- link has gone astray. Directory does not provide Abitibi.
Thanks.
Newsprint Prices
Should continue to rise in USD terms, as the USDX rises. Good for Abitibi (27 lbs).
Should be wellover $600 by next Tuesday's report.
That said, if the Cdn dollar does not rise relatiove to the USD, then the cost of their US denominated debt (on Canadian Abitibi assets) rises -- also interest accrudes higher.
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Again, here is where you have dumb management, where a Shareholder Meeting be called -- through a legal Petition to the BK Court -- Let's just vote them out (imcompetance) and take away their salaries, retroactively.
Who are these guys really working for. A zoo of animals could do a better job of "organizing" a company -- (imo).
After today's Market Mess:
There should be a lot of "fresh" articles tomorrow on High Frequency Trading and Illegal Naked Shorting.
All that will assist in us in getting an EC.
Because of the CKRM Diamonds situation, my guess is that the two individuals that Liz and Henry spoke too have been given their orders to "cover-up" or "confuse" the situation on ABWTQ.
In my opinion, only a Court Order from the BK to order a Full Investigation on ABY, BOW, ABH and ABWTQ going back to April 2004 will save us on this issue.
Enjoy the following reading:
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Secret Software and Naked Short Selling used on Wall Street
Secret Software & Naked Short Selling
We need NSS arrests – not Insider Trading arrests
It is November 5th, 2009 at high noon and the SEC is all over the news about another arrest. They are all on stage giving this big press conference on 14 arrests for Insider Trading connected to the Galleon Group investigation. Is it Insider Trading? The Government wanted the world to believe this caused the financial meltdown on Wall Street. Three weeks earlier the SEC made the first arrest for Insider Trading involving Raj Rajaratnam and 5 other people on Wall Street.
It is my opinion that the Government and the SEC is involved in a cover up to try and make people think that it was insider trading that caused the crisis of 2008. Let the truth be known. The news media, along with Goldman Sachs and many other Wall Street companies and people of power are all involved in the biggest cover up in the history of the United States. It involves greed to the fullest extend. The SEC is responsible, under the leadership of Christopher Cox in July 2007, the Securities Exchange Commission abolished the Up Tick rule. The elimination of the Up Tick rule created a wave of corruption that grew out of control, based on Naked Short Selling and the use of secret software and super fast computers.
Insider trading has played a role in the financial crisis, yet the story not being told by the news media is the arrest of a Goldman Sachs employee who tried to steal Goldman Sachs secret software. This arrest came over the July 4th Holiday week-end and was aired briefly on a Saturday night on TV and then came Monday July 6th, 2009 and the story disapeared. A few weeks later Goldman Sachs reported its FY 2009 2nd QT earnings ( April – May -June ) and Goldman Sachs made over $100 million dollars a day in 46 of the 64 trading days for that quarter. How could this be possible after a 17 month recession. Wall Street changed two major Laws. The first being the use of decimal places (2001 )instead of fraction. Years later and after they lobbied for the removal of the Up Tick rule ( 2007 ) the secret software was designed and in place ready to go into full operation now that Wall Street was allowed to naked short sell millions upon millions of shares that Goldman Sachs and other hedge funds didn’t even own and failed to deliver. Their greed took over, who wouldn’t , when Goldman Sachs was making over $100 million a day in trading. They destroyed companies like Sirius XM radio and overstock.com and many others. Then they began naked shorting the banking industry and attacking each other.
This is the truth that the news media, corporate Amercia, the SEC, the Government, Goldman Sachs, Hank Paulson and the many others that were in power have not told the American people and the world. Now, as I write this letter, they are now trying to con the world into thinking it was insider trading that caused 95% of the middle class workers to lose 20% – 60 % of their investments and 401K’s.
In the end the Entire story will be told and I hope I get my chance to tell it. Check the facts. There was an arrest of that Goldman Sachs employee in July 2009. Why was it covered up? Where are the arrests for Naked Short Selling and Goldman Sachs use of their secret software that stole the wealth off investors all across the country. It will go down as the biggest scandal in history.
I give you permission to re-print this letter. Please follow up and investigate. This story needs to be told. Please contact me. It is exactly what is taken place.
Richard Keane
www.twitter.com/stockshockmovie
www.SiriusNews.com
December 5th, 2009 | Tags: money never sleeps, naked short selling, sirius, stocks, wall street | Category: Uncategorized | 1,872 comments
Stock Shock – The Short Selling of the American Dream
Wall Street Scandal Stock Shock: The Short-Selling of the American Dream
Decimal Place Trading caused the recession of 2008
My name is Richard, and I am the narrator for the movie Stock Shock, directed by Sandra Mohr. The movie was made in June of 2009, just as the full-blown recession of 2008 was coming to an end. This recession was caused by the manipulation of stock prices on Wall Street through naked short-selling, flash trading, high-frequency trading, secret software, super-fast computers and what I feel was the main cause of this corruption: “Decimal Place Trading.” As I write this article today, much of this corruption is now slowly coming out through social media outlets such as Twitter and Facebook, along with bloggers on the internet, Yahoo bulletin boards, and, of course, Stock Shock. But the news media is also to blame for what has taken place in this country — including the near-collapse of Wall Street and the banking industry.
There are many things to point fingers at or place the blame on, and I can think of a few off-hand that I would like to cover — the first being Wall Street’s regulation changes. I am no expert — I am not even a writer — but decided to tell this story since the business news media was not telling it. These Wall Street regulation changes contributed to the aforementioned problems in many ways, with the first being the removal of fractions in stock pricing. On January 29, 2001, the New York Stock Exchange, or NYSE, went to four-decimal-place trading. On March 12, 2001, the National Association of Securities Dealers Automated Quotation, or NASDAQ, followed suit. This new rule had the best of intentions as we headed toward the computer and digital world, but over time it was manipulated and companies like Goldman Sachs figured out how to take advantage of the new system. I am not sure how it happened, whether it was lobbied for years or what — but along came the biggest mistake of all with the elimination of the uptick rule in July of 2007. This rule had been implemented after the great depression, and had been in place since 1938. How could the Securities and Exchange Commission, or SEC, abolish a rule that had been in place for close to 70 years, and had worked? Put these two changes together, and you get a simple equation: greed plus corruption equals recession.
Facts have also surfaced on this over the past few weeks on the internet — you can do a Google search and see for yourself. Also, reports have been released on the web that Goldman Sachs made over 100 million dollars per day in 46 out of 64 trading days in Fiscal Year 2009, second quarter (April, May and June). Let me say that again. They made over 100 million dollars per day, and are still doing it as I write this letter today. But the question remains, how did they do it? There has been no report of this by any of the news media. How can this be? This corruption is 100 times the gravity of the Bernie Madoff story, and yet there has been no coverage by CNBC or Bloomberg News. Why? Goldman Sachs, upon Wall Street transitioning to fractions and the abolishment of the uptick rule, designed secret software and used this software to gain an advantage on every potential investor. They did so by manipulating the stock price to make people pay more money by adjusting the stock price up and down in decimal places, making profits on each and every trade, while these investors had no idea what was taking place. Basically, Goldman Sachs became a Las Vegas poker dealer in New York City on Wall Street, turning profits on every trade with their super-fast computers and software. Profits in the milliseconds works out to be over $100 million per day. Now that’s a lot of trades — and it is still going on today.
Stock Shock has revealed many of these scams, yet they have only been reported by social media networks like Twitter and Yahoo, along with some great bloggers and websites, such as satwaves.com. The national media, meanwhile, has turned a blind eye. I have discussed with Stock Shock’s director that the bigger crime here — aside from the essentially stolen 20 to 60 percent of people’s retirement money and individual investments — is the action of the news media — or shall I say, their non-action.
The movie has gotten the attention of Senator Ted Kaufman and Senator Chuck Schumer, which has subsequently lead to new SEC rules for flash trading — effective September 1, 2009 –and more discussions on reinstating the uptick rule by year’s end.
Here is my take on why the news media has been silent. Stock Shock is about the technology of the future; namely Sirius XM Radio — a satellite radio service. The news media is fearful of the success of this company as future technology expands to cell phones. Basically, when Apple came out with the iPhone in July of 2008, Sirius XM Radio and XM Radio merged companies — also in July of 2008. It was the start of the “walking computers” via cell phones with increased functionality that will only improve and expand in time as they upgrade and bring the news to the people instantly. As I write this letter, it hits me. The Federal Communications Commission, or FCC, delayed the merger of Sirius and XM for 18 months — six months prior to uptick rule elimination in January of 2007. Was the abolishment of the uptick rule established at this time because of these new technologies merging, which would eventually create the new news media years down the road? With people using these cell phones — which contain a multitude of media capabilities — to videotape news as well as to link videos to YouTube and link photos, could this be the reason why all of a sudden the uptick rule was abolished? And what followed right after — the most shorted stock on Wall Street — was Sirius XM Radio. Not only was Goldman Sachs using its advantages to take investors’ money away slowly like Las Vegas poker dealers — Goldman Sachs was also paying millions to CNBC. Was it paid protection to keep quiet? The news media wanted this powerful, newly-merged company, called Sirius XM Radio, Inc., destroyed. To that end, both the news media and the corrupt individuals on Wall Street ganged up on Sirius XM Radio in an attempt to bankrupt the company through negative and, at times false, news media reporting — all while Goldman Sachs naked-shorted Sirius XM Radio’s stock in the millions of shares.
Thanks to the movie Stock Shock and Sirius XM Radio’s faithful investors, they fought back and today, the truth is slowly coming out each and every day — what the news media is still doing and how Goldman Sachs is still manipulating trades in decimal places. But Sirius XM Radio has survived the onslaught of attacks in the press and on Wall Street, not to mention CNBC’s non-reporting of the many positive stories that have unfolded with Sirius XM Radio since the release of Stock Shock.
In the end, the truth will prevail over the business news, CNBC, and Goldman Sachs. We will expose their role in the failed attempt to bankrupt Sirius XM Radio through Hollywood. There are four movies being released on this topic:
1. Stock Shock: The Short-Selling of the American Dream – Director Sandra Mohr
2. Money Never Sleeps – Director Oliver Stone
3. Capitalism: A Love Story – Director Michael Moore
4. Monopoly — Director Ridley Scott
Go figure. Wow, the times have changed. But Hollywood will tell the truth about how the recession of 2008 took place, since the business news failed to tell the American people and investors of the world about the corruption on Wall Street involving decimal place trading and manipulation. They failed to tell the world because both had their own hidden agendas — as the news media wanted Sirius XM Radio bankrupt, and Wall Street wanted the Sirius investors’ money.
Now, for some facts about the news media…
CNBC:
Did you know that General Electric, or GE, owns CNBC, as well as NBC and MSNBC? Did you know that MS stands for Microsoft, as GE and Microsoft own MSNBC? They also own Meet the Press, The Today Show and others.
CNN:
Did you know that CNN is owned by AOL/Time Warner and that they own 33 magazines, including Time and Fortune?
FOX:
Rupert Murdoch owns News Corp, which owns Fox News and their many networks across the country. News Corp also owns 132 newspapers, including the New York Post and the London Times, along with 25 different magazines.
Also, it seems ironic that these newspapers are in trouble financially, as has been reported over the past months — especially the Boston Globe’s problems and how the New York Times owns this well-known but, of late, troubled publication. I do not know who owns the Wall Street Journal, Motley Fools, but I do know that Jim Cramer of CNBC’s “Mad Money” is part-owner of thestreet.com, which has written numerous false articles about Sirius XM Radio. How is he allowed to do that while also bashing Sirius XM Radio on “Mad Money“? Did you see Jim Cramer bashing Sirius XM Radio last night ( August 24th, 2009 ) on Mad Money.
How could any one of these once powerful news media companies fail to cover the story of naked short-selling or decimal place trading? The recent news about naked short-selling and flash trading, along with high-frequency trading, have only been in the news since word came out on Wall Street about Stock Shock. Only then have these stories of corruption on Wall Street come out within the past few weeks and months, but to this day there has still been no talk of the decimal place trading — and the national news media have yet to mention the movie. All of these news media companies and TV stations are hoping that Goldman Sachs can still succeed at trying to bankrupt Sirius XM Radio through manipulation in decimal places; hence not one single word of this on any one of the networks listed above — not one word. But the Cash for Clunkers program has been all over the news for the past month — who do you think will benefit from all of the new cars sold? Yes…Sirius XM Radio will be included in just about every new car sold, not to mention in all of the cell phones of the future. CNBC had at least 100 hours of coverage for the Cash for Clunkers program, yet not one mention of Sirius XM Radio — the company that, ironically, stands to gain the most for all these new car sales.
Goldman Sachs’ manipulation of stock prices with Sirius XM Radio and many other stocks continues today. Goldman Sachs tried to ruin the banking industry using the same exact means — naked short-selling — until the SEC finally stepped in. Their original plan back in July of 2007 to ruin Sirius XM Radio led to more greed by Goldman Sachs and Wall Street as they took the Sirius XM Radio attack plan and used it against the banking industry, while their greed almost ruined our great country. When they are making over 100 million dollars per day by manipulating stock prices in decimal places, I guess they will do anything, and stop at nothing — including putting this country into a recession. That, my friends, is greed — total and complete greed.
Goldman Sachs’ advantage will be diminished with the new changes coming on Wall Street, but which national media company is going to tell the entire truth to the world? Is it going to be Hollywood, or is the national media finally going to be forced to reveal what really happened?
The bottom line is this: the truth will prevail in the end, and Stock Shock will unveil the whole story — the real story — to the world. You can take that to the bank.
Richard Keane, narrator – Stock Shock
ABWTQ (Equity) Goldman and Fairfax
Just catching up from yesterday.
I may able to post the "market summary" for lumber a little later. Because "cash" is trading much higher than futures, most people expect a run into expiry (no limint on May futures).
As far as the company's POR (Framework only). Don't get too excited, yet. The Union still votes until May 10th. ABWTQ needs to show no preferencial treatment, so the Union votes their way. They need labor costs down to compete better with world markets in the new globalized economy. True.
But -- yesterday there was buying.
And if you think that as big as Goldman is that they would let Fairfax take the company from "the market" that easy, it would be wishful thinking.
Fairfax is a bug in the dirt to Goldman (look at the way Fairfax shares were naked shorted over the years).
The sharks and vultures are circling -- I think that it may take another period of time, but look at the SSCCQ.pk shares, back up to $0.30 yesterday on a falling market.
And the ABWTQ bonds still trade at par, but are being manipulated manually. And we the shareholders have the proof.
Dave1234 and Ergodoc
Unfortunately I will be gone for the remainder of the day.
Note: this morning's opening bond prices were kind of interesting
1. Par
2. Discounted (36, 20, 36, 20 ....... then 20)
3. Then changed to (37, 21, 37, 21 ....... then 21)
You may wish to check out what happended in the Patheon situation (pnhnf , PTI.TO) as far as the NY hedge fund (backed by Goldman -- I think) that had a convertible price much higher than the share price. Go to stockhouse for details. Situation is quite similar (naked shorts there too).
Don't forget that Wayzata owns huge amounts of Tembec and now they own a big chunk of Dynegy -- acording to one published report.
Re: Domtar -- reverse split from last year -- share price rise 7-fold and now share buy-back and dividend. Looks like ABWTQ could have the same plan if shareholders are eliminated.
Get the Chicago lawyer that I mentioned before. And apply for the EC -- then tell them to combine forces with the legal team of SSCCQ.pk.
No legal team would refuse this case with Cap & Trade coming -- they can make themselves about 100 million off of ABWTQ if they know what they are doing.
Think "injunction".
Fairfax made some interesting comments
on Torstar's PROPOSAL to bid for the CanWest Newspaper Assets.
It makes sense from a Supply Chain Management. From the Producer to the End-User. Same strategy was used successfully in Canada's Natural Gas Patch with EnCana and others holding both the Upstream and Downstream assets (nat. gas and power generation) and then selling some propietary production directly to the end-user (hedged on their own book) for Profit.
It would also not surprise me if Prem Watsa says, I will buy Abitibi, but I want Tembec too -- so they are not competing for market share.
Hence why the Abitibi Bonds are still trading at Par or very close (even as of this morning) -- then the games by someone -- that knows.
Apparently Tembec is just days from receiving the 100 million on their sale of the French Pulp Mills and like I said last night, when asked in their conference call about re-financing -- they said it was complicated.
Abitib has value -- we all know it -- get a lawyer. And put in a bid for $0.03 from all shareholders (subject to financing) and have the expiry date January 1, 2015.
News on New Securities Regulator for Canada
POR News Release may have been timed in advance of this.
Back to Flaherty: National securities regulator is coming
Flaherty: National securities regulator is coming
May 04, 2010
Madhavi Acharya-Tom Yew
Finance Minister Jim Flaherty said he is close to completing a draft bill on a new national securities watchdog.
“Our government is moving to a national securities regulator,” Flaherty said. “Legislation will be ready within a matter of days. I look forward to tabling it within a matter of weeks.”
He made the comments to reporters just prior to a dinner speech at an economics conference in Cambridge on Monday.
Flaherty said he has also committed to seeking an opinion from the Supreme Court of Canada on whether Ottawa has the constitutional power to enact such legislation over objections from some provinces.
Previous federal governments have talked about the need for national securities regulator, to replace the current patchwork of 13 provincial and territorial regulators.
This is the closest the idea has come to fruition.
Alberta and Quebec have been the hold-out provinces, expressing reservations that a national regulator, likely headquartered in Ontario, would not understand the intricacies of regional companies and markets. They also argue that Ottawa has no jurisdiction over stock market regulation.
The latest expert panel to study the subject came up with a proposal that would allow a national system to proceed even if some provinces opt out.
In the federal budget, Flaherty pledged to have the draft bill tabled in parliament this spring, and that the Canadian Securities Transition Office would deliver an organizational and administrative transition plan during the summer.
Flaherty said that the alleged fraud committed by Goldman Sachs Inc. is a good example of why a national securities regulator is needed.
Authorities in Britain and Germany have reported that they will investigate whether the U.S. charges against Goldman also apply in their countries. Flaherty is unable to do the same in Canada.
“This is one of the challenges that I have in the Canadian situation. Securities regulators now are provincial and so it’s a provincial responsibility.”
Still, he said he would be surprised if the Ontario Securities Commission “was not engaged” in the subject.
Regulators in Quebec are steadfastly opposed.
The head of Quebec’s financial regulator said last week that the plan threatens the province’s economic development.
Jean St-Gelais, chief executive of the Autorité des marchés financiers, expressed concern that a national commission would focus decision-making authority in one major centre and shift high finance activities away from Quebec, draining away the province’s financial talent.
“We cannot afford to lose the decision-making authority we have in matters pertaining to financial regulation. We cannot give others the green light to determine Québec’s needs in financial sector regulation and oversight,” St-Gelais said in a speech to the Board of Trade of Metropolitan Montreal.
“Ontario has grasped the importance of a regulator as a drawing card for the financial community of Toronto. If it’s so important for Ontario, why would it be any less so for Quebec?”
St-Gelais called on members of Quebec’s financial sector to mobilize against Ottawa’s plan.
Before the legislation is tabled, it will be referred to the Supreme Court for an opinion on the constitutional authority of the federal government to legislate security regulation.
Canada is the only one industrialized country without a national regulator. Flaherty has called Canada’s current system “an embarrassment internationally.”
With files from the Star’s wire services
My own take on this (imo)!
Just checking in and saw the news. Been a rough week for me personally, too.
1. Filing represents only a Framework -- still lots of time to make a difference. Need a lawyer and a formal strategy.
2. To me, this looks like a last ditch attempt by the mm's to obtain shares -- maybe bid at $0.03 and take out all the stops -- who knows. Look at the ABWTQ charts (daily and weekly).
3. Prem Watsa (via Fairfax) bid for CanWest Newspaper assets is a telling story. More will appear in the news. But, maybe Fairfax will have left some info to grab on to.
4. Tembec (a major competitor -- Michel Dumas -- CFO -- has said publically that the market has been rigged -- he believes). Currency and Pulp and Paper. When asked what Tembec was going to do the the proceeds of the sale of the French Mills, they were very vague. When asked about the refinancing of their LT debt, Lopez said that it was a main priority, but he laughed and said it was complicated. Let's get serious, how complicated can it really be to renew $300 balloon payment with liquidity at 165 million and prices for their products (other than newspringt hitting major highs.
5. SSCCQ.pk and IP -- rumors surrounding a takeover -- bonds shy high.
6. Now we know why at 8:55 am every moring all the ABWTQ Bonds have been trading at PAR -- they knew that all of the BH would be paid in full. Well how did they know that last summer. And why is it that every morning at 9:00 am, we see the Bonds go back to the discounted level.
7. My previous post from two weeks ago regarding a comment that I had seen on the GS yahoo bd. related to the gaming of the Paper Plants and the Power Plants (IPP's).
8. Dynegy and Calpine -- two companies along with ABWTQ that would benefit from new EPA legislation. Dynegy -- trying to do a major reverse split. Everyone in his brother trying to sell short. AKA -- Domtar -- last summer when the stock (after the reverse split) went up seven-fold. Calpine -- just bought new poer plants and has yet to finance that purchase. Dynegy Annual Meeting is May 10th -- same day that the ABWTQ Unions are to finish their voting.
9. If everyone keeps their LIMIT SELL ORDERS ON at $25 -- then who knows what can happen.
10. Lumber may still have another couple of trading days to fall (Futures), then hopefully rise into Expiration. Producers are not selling -- expecting a rise. Not sure where cash prices were today -- see article below. April ABWTQ earnings may be the last final "poor" month of earnings -- ever.
11. See also links for Hogs, Cattle, And ELECTRICITY (Futures) -- PJM.
12. Hire a lawyer (work with the SSCC guys if you need to -- get ready to file a motion with the court on the EC. I suspect that Fairfax will leave us crumbs. And don't be afraid to have a law firm from Chicago file "injunctions" over the summer. Patterson cannot shread everything. There is a lot of stuff we need to see. If you don't give up and hire legal team and combine them with other stuff -- you might get a lot more than you ever dreamed by extending this well into 2011.
http://news.tradingcharts.com/futures/0/2/139155920.html
http://futures.tradingcharts.com/chart/JM/A0
http://news.tradingcharts.com/futures/5/9/139166395.html
http://futures.tradingcharts.com/chart/HE/50
If you need to look at the charts for all of the futures months. You guys have to see the "PICTURE". If the past 5 years has been a manipulation to steal, then "on average", things always revert to the mean.
Ergodoc -- read your note on the discussion with the SEC -- please elaborate. Explantion makes sense if "shorting", but illegal naked shorting and being on the list for nine months (see Sunday's rant by me). I don;t follow their explantion.
I have made contact with an individual that worked for a securities broker -- she knows what the other side of an illegal NS looks like. She is still under contact, but will sing, sing, sing, when her contract is finished.
More on Naked Shorting (from tonight)
From another board - enjoy.
http://messages.finance.yahoo.com/Stocks_%28A_to_Z%29/Stocks_G/threadview?m=tm&bn=8089&tid=650780&mid=650780&tof=73&frt=2
Did lumber, cotton, pork, cattle, electricity and others rise by 5-fold like copper, gold, crude, natural gas -- the answer is no.
From my standpoint, I can see every trade that goes through on every stock (if I wish) -- if it goes to 4 decimal points, its from a mm or a broker-dealer.
Big manipulation from quantitative trading programs (imho).
Too many stocks move up or down simultaneously at the same time during the day -- you know it when you see it.
Should be discussed with the SEC.
Ergodoc - Upcoming SEC Meeting / Conversation
I'm going to be out most of this week (family emergency).
I posted this link before -- not sure if you have it. Article below, as well may be of some interest.
http://www.nyse.com/regulation/memberorganizations/Threshold_Securities.shtml?date=20071105
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Recall that GS Analysts had higher "price targets" on ABH stock price than other analysts, even after credit rating agency downgrades.
Recall that GS was advising ABWTQ on Finacial Matters (ie. Conflict of Interest).
Recall that GS also bet against many clients or had their hedge funds bet against many clients through a wide range of derviatives including CDS (Naked or True) and Naked Shorting.
Note that the SEC may have different data showing than what we have been witnessing.
Recall imbalances under ABY and BOW as at the Merger date.
As well, as under ABH and ABWTQ.
I think all we want is an investigation. According to IRROC (formerly Market Regulation Services in Canada), they have been informed twice that there was a problem and asked to investigate. Apparently, there was an investigation into the trading of certain Abitibi bonds back in 2005 / early 2006, but the investigation was dropped (don't know the reason).
IRROC referred me to both the SEC and FINRA, where my requests fell onto deaf ears. Note significant evidence under Calpine for naked shorts, as well as the above links (and article below).
The Pension Issue aside (which by the way the Canadian Finance Minister is supposed to be speaking on Tuesday about Pension Reform -- keep an eye out for summary info), I do think that your excellent persistence is opening some doors that previously could not be opened.
CDS = crooked insurance scheme (insurance fraud), combine that Naked Shorting in terms of being able to steal a company's assets (formerly known as Corporate Raiding and you have the worst case of theft one can imagine.
Use GS info posted this weekend. What do yoiu think Buffet is going to say -- I'm selling my position. No -- you will read about his sales later.
Recall my post from two weekends ago if what was said about GS manipulating Paper Plants (Paper Companies) and IPP's (Independent Power Producers / Electricity (Calpine, Dynegy, RRI, MIR -- in advance of Cap & Trade, then there is a lot of evidence out there and the need for a Formal Investigation.
Another Example: Cost of keeping Cattle Herds, Poultry Producers, Pork -- Cost of Fertilizer, Grains -- if Producers are never able to pass through their "higher costs" to the end-user, then you essentially have seven or eight BK Industries. Focus on the Soft Commodities with the SEC.
Is our World suddenly not hungry anymore -- then why is the U.S. still giving major money to the under-developed countries to buy food. Why not have given them some of the over-supply of the above Soft Commodities?
And Paper? Now GS calling for a Super-Cycle. Tembec Conference Call Last week -- sees ST lumber Price drop but not by that much over the next two years.
Just trying to get some points across now, because of my being away this week. Also, Bonds -- And the new Peak Cycle Prices for for Lumber Futures in 2012 - 2014 (according to Tembec) of 825 to 830.
Good Luck.
-----------------------
Loan investors accuse Goldman Sachs of naked shorting
Submitted by cpowell on Fri, 2008-11-21 05:27. Section: Daily Dispatches
By Pierre Paulden and Caroline Salas
Bloomberg News
Monday, November 17, 2008
http://www.bloomberg.com/apps/news?pid=20601009&sid=as3PwfEfBlhk
NEW YORK -- Investors in the $591 billion high-yield, high-risk loan market are accusing Goldman Sachs Group Inc. of naked short selling to profit from record price declines.
At least two fund managers complained verbally to officials of the Loan Syndications and Trading Association, saying they believe Goldman helped drive down prices by using the technique, according to people with knowledge of the objections. New York-based Goldman is acting against its clients by trying to profit at their expense, the investors said.
A $171 billion drop in the value of the loans in the past year is pitting banks against investing clients on assets once considered so safe they typically traded at par. The drop exposed flaws in an unregulated market where trades can take from several days to months to settle and banks may have information unavailable to investors. In a naked-short transaction, a firm would sell debt it didn't already own, betting the price will fall before it purchases the loan and delivers it to the buyer.
"The LSTA is closely monitoring issues of naked short selling," Alicia Sansone, head of communications, marketing and education at the New York-based industry association, said in an e-mail.
The group, comprising banks and money management firms that trade the debt, plans to tighten rules to ensure transactions are settled more quickly and prices reported accurately, Sansone said. She wouldn't elaborate or discuss the claims against Goldman.
... 'Different Causes'
"Increased volatility in the secondary market has been broadly documented and loan portfolio managers have suffered negative returns since July 2007," Michael DuVally, a spokesman for Goldman, said in a statement.
"Investors are understandably focused on the many different causes of this volatility, but Goldman Sachs' trading positions should not be one of them," he said, declining to comment on whether the firm was short-selling loans.
Goldman rose to the fourth-largest U.S. originator of leveraged loans last year from eighth in 2005, according to data compiled by Bloomberg. The firm helped arrange financing for First Data’s purchase by Kohlberg Kravis Roberts & Co. as well as the $32 billion acquisition of First Energy Holdings Corp., formerly known as TXU Corp. by KKR and TPG Inc.
... Most Aggressive
The bank was seen as the most aggressive in recent months in selling loans at prices below other dealers' offers and taking longer than the LSTA’s recommended seven days to settle the deals, according to the investors complaining to the trade group.
There's no rule preventing naked short selling of loans. The U.S. Securities and Exchange Commission this year banned the practice for 19 stocks including Lehman Brothers Holdings Inc. and Fannie Mae and Freddie Mac from July 21 to Aug. 12 as share prices plunged. New York-based Lehman, once the fourth-biggest securities firm, eventually went bankrupt and Fannie and Freddie, the two largest mortgage-finance providers, were brought under government conservatorship.
The slump in loan prices during the global seizure in credit markets is causing particular disruption in the loan market because the debt typically trades close to 100 cents on the dollar. Prices never were below 90 cents until February this year. By October they had fallen to a record low of 71 cents, according to data compiled by Standard & Poor's. The decline, which S&P said equated to losses of about $171 billion, helped drive the complaints from fund managers.
... 'Shell-Shocked'
"Investors are shell-shocked" by the decline, said Christopher Garman, chief executive officer of debt-research firm Garman Research LLC in Orinda, California. "In many ways they're all but wiped out."
Because prices were so stable, short sales of loans were unheard of until now, Elliot Ganz, general counsel of the LSTA, said at the group’s annual conference in New York last month.
"No one ever shorted loans," Ganz said. "Prices never went down."
High-yield, or leveraged, loans are given to companies with below-investment grade ratings, or less than Baa3 at Moody's Investors Service and under BBB- at S&P. Banks typically form a group to arrange the financing. They then find other investors to take pieces of the debt, helping spread the risk.
Those loan parts can trade through private negotiations between banks and hedge funds or mutual funds. One of the lenders involved in the initial deal remains the so-called agent bank, which keeps track of who owns what piece. Unlike bonds and stocks, the debt doesn’t trade on an exchange and has no central clearinghouse.
... Agent Banks
When a loan changes hands, the agent bank must sign off on the transaction, meaning it knows exactly who is buying and who is selling. The rest of the market is in the dark. Getting an agent to sign off, also can delay settlement.
"An agent will have a bird's-eye view of who owns what and when," said John Jay, a senior analyst at Aite Group LLC, a research firm that specializes in technology and regulatory issues in Boston. "They have information that no one else has."
Conflicts within the syndicated loan market have escalated since the credit crisis began. Banks, stuck with more than $230 billion of loans they’d promised to fund leveraged buyouts, tried to renege on some agreements and others broke ranks with the typical banking syndicate.
Bain Capital LLC and Thomas H. Lee Partners LP, the Boston-based buyout firms that bought Clear Channel Communications Inc. sued banks including Citigroup Inc. and Deutsche Bank AG, in March accusing them of refusing to fund the acquisition. The banks countersued, claiming they were acting in good faith. The parties reached a settlement in May allowing the purchase to proceed at a lower price.
... Tensions Increase
Tensions have also increased between investors that buy debt from banks. As banks ratcheted back credit and loan prices fell, fund managers that use borrowed money to buy loans have been forced to offload assets, further eroding prices and sparking more waves of selling.
Black Diamond Capital Management LLC, a Connecticut-based manager, filed a lawsuit last month against Barclays Plc, the U.K.'s second-largest bank, over derivative agreements tied to leveraged loans. Black Diamond is demanding the lender return $302 million.
The lawsuit is "without merit" and Barclays will fight it, Brandon Ashcraft, a spokesman for the bank in New York, said in an e-mailed statement.
Loans aren't securities and are not governed by laws covering trading in bonds and stocks. While LSTA standards say a loan should settle within seven days of the trade, there's no law governing the timing.
The average trade of a loan to a company not classified as distressed took 19 days to settle in the second quarter, according to LSTA data.
... Three Days
In the bond market, the standard settlement time is three days following the trade. In a bond short sale, a trader acquires debt by borrowing the security in a deal known as a repurchase contract. The two sides specify how long the bond will be borrowed with the right to renew the pact. Because loans can't be borrowed through such agreements, any short seller would have to go naked.
While the LSTA doesn't track the amount of loans currently unsettled, at least 700 trades made by Lehman Brothers Holdings Inc. before it filed for bankruptcy hadn't cleared, Ganz told last month’s conference.
... Emergency Meeting
The strains over settlement prompted LSTA president Bram Smith to call an emergency board meeting on Oct. 20, people with knowledge of the session say. The complaints of Goldman's trading methods were also discussed, said the people, who declined to be named because the talks were private.
Among those on the call was Lisa Opoku Busumbru, chief operating officer for loan trading at Goldman and a board member of the LSTA. Opoku Busumbru denied on the call that New York-based Goldman was short-selling loans, the people said.
Trading in the market is so opaque that it would be impossible to tell if a firm was short-selling, Jay Katz, managing director of Storm Networks LLC, a New York-based technology company launched in October with backing from Bank of America Corp. Credit Suisse Group AG and Morgan Stanley that helps settle loan trades within three days. A trade could be delayed for many reasons including not owning the debt, he said.
... Heightened Concerns
While the delay in settlement had been an administrative issue for years, the tumbling loan prices and heightened concerns about creditworthiness of borrowers, banks and hedge funds have made it pernicious, said Ian Sandler, an executive director at Morgan Stanley and a board member of the LSTA.
A buyer or seller, or even the borrowing company, could go bankrupt in the time it takes for the loan to change hands, causing losses for the firm on the other side of the trade, Sandler said.
"Delayed settlement is a real concern because you have to worry about the loan deteriorating and the failure of the counterparty until the trade is completed," said Sandler. He wouldn't discuss the claims against Goldman or the emergency board meeting. "There is a tremendous amount of open trades currently in the loan market."
Goldman has previously butted heads with investors, who are also clients through borrowing or advisory agreements.
In the early 1990s, the firm created the $783 million Water Street Corporate Recovery Fund to buy controlling stakes in the debt of financially distressed businesses. It was shut a year later when its negotiations upset clients such as Fidelity Investments and Tonka Toys.
While other banks are reining in capital, Goldman raised $10.5 billion last month for a fund run by Thomas Connolly in New York to make loans to high-yield companies.
The firm may write down its leveraged-loan portfolio by $1.3 billion in the quarter, Guy Moszkowski, an analyst at Merrill Lynch & Co., estimated last week.
Mattydog - as a follow-up to my previous
It sure looks like the SEC / Dep't of Justice "criminal case" against GS is true.
We might very well see a big hedge unwind tomorrow.
At least right now, it looks like the CDS Market is going to self-destruct" as positions are being unwound or wound-up (your choice).
No matter what, I am holding to the end.
And, for those that are forced out on the downside (margin calls) -- all the best and thank you for your support.
Mattydog -- Thanks
Received your message -- want to think about everything over the weekend and monitor some boards for additional information.
Re: SSCCQ.pk -- talk is that there might be some sort of settlement on equity. I would hope that these lawyers don't agree to warrants, because of what happened during the Calpine Case. WS just manipulated the warrants / share price (for exercise) until they expired worthless.
Probably a good place to start is with the lawyers representing the two hedge funds in the SSCCQ case.
That said, I really do think you need to make introductions with legal firms in Chicago. I also think that you need a true alliance with Mr. Harvey and Mr. Patterson and the Fairfax board members.
There are many strategies -- of course all "cooked up by a kid who used to work in the mail room".
In the short-term, the vote by the Unions (not to be completed until May 10th) really sets the stage for what you can do legally.
And on the NFL and Labr. issue -- it looks like the Corporation will eventually win.
--------------------------
From tonight's news -- unless rumor, it appears that the SEC is going to move "criminally" against GS -- I'd like to see some of the write-ups this weekend. I look for a quick settlement -- you know the kind -- we pay big money, but accept no fault or wrongdoing.
Maybe some CDS and NShorts issues will be raised in the SEC attacks -- which would assist us.
If it is ok to steal, then we could simply apply to the Trustee (through a formal motion that upon his cancelling the existing common shares that we(the shareholders) get to sell 500 gazillion million "naked" short shares (just like wall street did), so that we can get all of our money back and avoid paying capital gains.
It could work you know -- all cooked up by a kid who used to work in the mail room.
Re: Fairfax Results Conference Call
This may be of interest to us to the extent that they discuss either their direct relationship with ABWTQ or the Communications and Print Media Industries.
FAIRFAX News Release
TSX Stock Symbol: (FFH and FFH.U)
TORONTO, April 16, 2010
FAIRFAX ANNOUNCES CONFERENCE CALL
Fairfax Financial Holdings Limited (TSX:FFH and FFH.U) will hold a conference call at 8:30 a.m. Eastern Time on Friday, April 30, 2010 to discuss its 2010 first quarter results which will be announced after the close of markets on Thursday, April 29 and will be available at that time on its website www.fairfax.ca. The call, consisting of a presentation by the company followed by a question period, may be accessed at (800) 857-9641 (Canada and U.S.) or 1 (517) 308-9408 (International) with the passcode “Fairfax”.
A replay of the call will be available from shortly after the termination of the call until 5:00 p.m. Eastern Time on Friday, May 14, 2010. The replay may be accessed at (866) 501-0086 (Canada and U.S.) or 1 (203) 369-1815 (International).
Fairfax Financial Holdings Limited is a financial services holding company which, through its subsidiaries, is engaged in property and casualty insurance and reinsurance and investment management.
-30-
For further information contact: Greg Taylor, Chief Financial Officer, at (416) 367-4941
Media Contact
Paul Rivett, Chief Legal Officer, at (416) 367-4941
ABWTQ - Future Valuation of Lumber Assets
Re: the close trading and industry relationship between ABWTQ and Tembec.
In terms of future valuation, it looks like Tembec is seeing the 2012 to 2014 years in their industry (in particular lumber) as being phenominal for earnings.
I will write-up my thought after others have had a chance to review -- but here is a short-summary.
1. On the supply side, the Pine Beetle mess will have eliminated a lot of the valuable West. Canadian Supply. Therefore, price increase.
2. On the demand side, U.S. Housing demand will re-rebound back to more normal levels (ie. not depressed).
3. On the demand side, lumber vs. lumber competition on "export" demand to India and China (and other areas of Asia -- BC Coast) -- which will continue from 2010 through 2014.
On Newsprint -- prices stable (worst is over for this year. Next year may require further capacity closures.
See below:
A recording of the conference call can be accessed after 6:00 p.m. (EDT) on April 28, 2010;
Via recorded telephone call until midnight May 7, 2010 at 1-800-408-3053 and by entering the password 5453703#.
Buyout Possibility?
With so many 5% owners, I would think that the chances would be fair.
Fairfax / Prem Watsa
Steelhead Master?
The new Form 3 guys (Far East)
And me -- subject to financing, of course.
With so many people interested, how can there not be equity (in advance of tomorrow's hearing).
ikimota -- would you kindly
post the opening bond prices on ABWTQ.pk (yahoo). There is a guy say zero equity -- maybe he will think twice.
thanks.
Opening Bond Prices - FINRA
Looks like equity to me
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Corporate Bond Search Results Monday, April 26, 2010
Ratings Last Sale
Include in
Watchlist Bond Symbol Issuer Name Coupon Maturity Callable Moody's S&P Fitch Price Yield
BOW.GB BOWATER INCORPORATED 9.00 08/01/2009 No NR NR C 100.000 -
ABY.GB ABITIBI CONSOLIDATED INCORPORATED 7.88 08/01/2009 Yes NR NR C 99.882 -
BOW.GK BOWATER INCORPORATED 4.32 03/15/2010 Yes NR NR C 100.000 -
ABY.GH ABITIBI CONSOLIDATED INCORPORATED 8.55 08/01/2010 Yes NR NR C 99.781 -
ABY.GN ABITIBI CONSOLIDATED COMPANY OF CANADA 7.75 06/15/2011 Yes NR NR C - -
ABY.GO ABITIBI CONSOLIDATED COMPANY OF CANADA 4.82 06/15/2011 Yes NR NR C - -
BOW.GA BOWATER CANADA FINANCE CORPORATION 7.95 11/15/2011 Yes NR NR C - -
BOW.GD BOWATER INCORPORATED 9.50 10/15/2012 No NR NR C 99.636 -
BOW.GJ BOWATER INCORPORATED 6.50 06/15/2013 Yes NR NR C - -
ABY.GK ABITIBI CONSOLIDATED COMPANY OF CANADA 6.00 06/20/2013 Yes NR NR C 99.259 -
ABY.GP ABITIBI CONSOLIDATED COMPANY OF CANADA 8.38 04/01/2015 Yes NR NR C 100.000 -
ABY.GD ABITIBI CONSOLIDATED INCORPORATED 7.40 04/01/2018 No NR NR C 99.287 -
BOW.GC BOWATER INCORPORATED 9.38 12/15/2021 No NR NR C 99.250 -
ABY.GE ABITIBI CONSOLIDATED INCORPORATED 7.50 04/01/2028 No NR NR C 99.184 -
ABY.GF ABITIBI CONSOLIDATED INCORPORATED 8.50 08/01/2029 Yes NR NR C 99.449 -
ABY.GI ABITIBI CONSOLIDATED INCORPORATED 8.85 08/01/2030 Yes NR NR C 99.983 -
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Probably a lot of mm's trying
to keep the price down before Tuesday's Hearing.
Hence the reason that lumber futures are down strong today.
All you have to do is keep the limit sell orders in at $25 or $1.00 or whatever and it will be harder and harder for them.
The argument tomorrow -- if the price is $0.50 per share -- there is obviously equity.
ABWTQ (Mutual and Pension Funds)
For all mutual and pension funds that lost money on this stock, ask the Trustee for a Formal Investigation into trading on both sides of the border.
ABY, BOW, ABH and ABWTQ
See below:
http://www.msnbc.msn.com/id/31510813/ns/msnbc_tv-the_dylan_ratigan_show/#36640024
ABWTQ (E-mails show Goldman boasting)
On July 25, 2007 -- if this was the start of the big short, it would explain all future illegal Fails to Deliver for ABY, BOW and ABH and ABWTQ.
imo, in light of all the new evidence coming to play, the Trustee should see this as a benefit to all shareholders and vote for an EC.
--------------
E-mails show Goldman boasting as meltdown unfolds
By DAN STRUMPF, AP Business Writer Dan Strumpf, Ap Business Writer
Sat Apr 24, 3:31 pm ET
.NEW YORK – E-mails released Saturday morning show top executives at Goldman Sachs Group Inc. boasting about the money the firm was making as the national housing market collapsed in 2007.
The e-mails suggest Goldman benefited from its bets that securities backed by subprime mortgages would lose value.
"Of course we didn't dodge the mortgage mess," CEO Lloyd Blankfein wrote in an e-mail dated Nov. 18, 2007, according to the e-mails released Saturday by the Senate's Permanent Subcommittee on Investigations. "We lost money, then made more than we lost because of shorts."
Goldman restated its position Saturday that it did not reap huge profit from bets against the market.
Short positions are bets that the market will go down. As the housing bubble burst, Goldman and a few powerful hedge funds took short positions on the market. Many of those bets required other investors to bet the market would rise.
When the market went bust, people with short positions cleaned up.
"We were just smaller in the toxic products," Goldman's president, Gary Cohn, writes back to Blankfein that same Sunday evening.
Critics say their bets added fuel to the financial crisis.
One of those bets is at the heart of civil fraud charges the Securities and Exchange Commission filed against Goldman this month.
The SEC alleges Goldman misled two investors who bought a complex mortgage-related product that was crafted in part by Paulson & Co., a New York hedge fund led by billionaire John Paulson. The hedge fund manager was betting the product would fail.
The agency says Goldman didn't disclose Paulson's role in creating the deal or his negative bet to the investors, IKB Deutsche Industriebank AG, a German bank, and ACA Management LLC, a U.S. bond insurance company.
Separately Saturday, Goldman released a series of e-mails from Fabrice Tourre, the trader at the heart of the SEC charges. In them, Tourre jokes about selling investments to "widows and orphans" when he already expects the market to go bust.
He writes in an e-mail dated March 7, 2007, that Dan Sparks, leader of Goldman's U.S. subprime business, said the business "is totally dead, and the poor little subprime borrowers will not last so long!!!"
That April, he joked about the bonds the SEC charges he misled clients about.
"I've managed to sell a few abacus bonds to widows and orphans that I ran into at the airport, apparently these Belgians adore" the complex investments, Tourre wrote.
The e-mails are in a mixture of French and English, and are to a woman with whom Tourre appeared to be romantically involved. Goldman provided translations.
The same e-mails were excerpted in the SEC's complaint against Goldman, but the full context was not reported previously.
The subcommittee, whose probe is not connected with the SEC's, has been investigating the causes of the financial crisis for 18 months. Its fourth and final hearing Tuesday will include testimony from Blankfein and Fabrice Tourre, a trader named in the SEC case.
Goldman has denied wrongdoing and says it will fight the charges. In a statement Saturday, spokesman Lucas Van Praag said the bank lost $1.2 billion in the residential mortgage market during 2007 and 2008.
"As a firm, we obviously could not have been significantly net short since we lost money in a declining housing market," Van Praag said in a statement. He said the Senate panel "cherry-picked" four e-mail threads out of 20 million pages Goldman provided.
Van Praag is one of the handful of top executives who contributed to the e-mails the Senate committee released Saturday.
Blankfein's comment about Goldman making more than it lost was a response to an e-mail from Van Praag in which Van Praag discussed a forthcoming New York Times article about the firm. It would show "how we dodged the mortgage mess," Van Praag explained.
In one, Goldman Chief Financial Officer David Viniar says that in one day the firm made more than $50 million on bets that the housing market would collapse, according to a statement from Levin's office.
Viniar, also scheduled to testify Tuesday, summed up the position of investors who had not bet against the market:
"Tells you what might be happening to people who don't have the big short," Viniar writes in the message dated July 25, 2007.
The e-mails were released by subcommittee chair Sen. Carl Levin, D-Mich. In a statement, Levin called banks like Goldman "self-interested promoters of risky and complicated financial schemes that helped trigger the crisis."
Goldman said in its 2009 annual report that its short positions sought to offset its long positions in the mortgage market and did not generate large profits. Through 2006, Goldman "generally was long in exposure" in the mortgage-backed securities market, according to the report, and after taking losses on those securities in 2006 it reduced its exposure.
"Although Goldman Sachs held various positions in residential mortgage-related products in 2007, our short positions were not 'a bet against our clients,'" according to the report.
___
AP business writers Daniel Wagner in Washington and Stevenson Jacobs in New York contributed to this report.
Thanks ergodoc.
I just read your note to ne. I had not read it earlier. Overall, I think it is still really good news.
Maybe the volume purchasers on Thurs. and Friday know more about the "end outcome" than we do. So for right now, I am just hanging on.
The share price increase and the Bond Price increase are seemingly good for arguing that there is equity.
For me, it's the naked shorts issue as of the merger date and prior to that I keep coming back to.
If the share price stays high -- you can try to get additional financing (or re-finance). If 870 million was stolen by Wall Street, then a lot of that money can be used top psy down the 2009 summer debts. Credit Rating downgrades (everyone working in collusion to bet against housing related).
More on Carl Levin and others to follow with their Tuesday hearing. imo, the investigation into GS activities is just getting started.
Not sure about the Tuesday Batlle
I do think positive. But many should not get discouraged or disappointed if decisions are on an EC are postposed for a short period of time on Tuesday.
More information is coming to light on the "Betting Against the Mortgage Market" all the time (see article below).
With the purchase by Far East (my bet is still a Goldman Subs -- name change from one of their existing corps, since 2009) -- I suspect others will be filing soon.
The volume on Thursday and Friday surprises me -- I wish some of the longs at $0.10 to $0.20 could have really seen what is going on and hung in there a little longer.
I really think that there is going to be a take-out on this one, especially if the betting on the mortgage market was so far reaching as to include anything related to housing (Supply Chain Management).
----------------------
Carl Levin Releases New Goldman "Big Short" Related Emails, More Fab Fab Emails Emerge
Submitted by Tyler Durden on 04/24/2010 11:17 -0500
Capital MarketsChris DoddCollateralized Debt ObligationsCorruptionCredit Rating AgenciesDavid ViniarGoldman SachsHousing MarketLloyd BlankfeinMain StreetRating AgenciesWashington Mutual
Carl Levin's Senate Permanent Subcommittee on Investigations released several internal emails that indicate that Goldman, well duh, was actively shorting the mortgage market. Um, we all already knew that. Although what is relevant is that this once again bolsters the case for the Volcker Rule - as Levin points out: “Investment banks such as Goldman Sachs were not simply market-makers, they were self-interested promoters of risky and complicated financial schemes that helped trigger the crisis.” In other words, Goldman's traditional defense that all it does is match buyers and sellers while holding some "inventory" is blown out of the window. And this will be magnified substantially during the April 27th grilling of Blankfein (and Tourre). On the other hand didn't the president himself, with great aplomb, say that the Volcker rule is coming thus causing the February correction? So whatever happened to the presidential decree being followed true? Oh yeah, it stopped at the Chris Dodd barrier of corruption which only filters through whatever his Wall Street superiors allow him to.
Separately, the Washington Post released a new batch of Fab Fab emails, which are certain not to get him any fans among the Main Street population.
In one Jan. 27, 2007, e-mail, Tourre suggests he knew he was creating risky securities that were likely to not succeed. "Not feeling too guilty about this, the real purpose of my job is to make capital markets more efficient . . . amazing how good I am in convincing myself!!!"
In March 7, 2007, e-mail, Tourre refers to Dan Sparks, head of Goldman's mortgage business: The "US subprime business situation is that it is not too brilliant. . . . According to Sparks, that business is totally dead, and the poor little subprime borrowers will not last so long!"
Just over a month later, Tourre sold an investment to clients who wanted to bet the housing market would continue to rise.
In a subsequent e-mail, Tourre wrote that he sold the investment "to widows and orphans that I ran into at the airport."
Again, nothing surprising there, but we are wondering if he stole the whole bit about making markets more efficient from the HFT playbook. Too bad Fab didn't realize he was also providing gobs of extra market liquidity in the process.
From the Levin press release:
“They bundled toxic mortgages into complex financial instruments, got the credit rating agencies to label them as AAA securities, and sold them to investors, magnifying and spreading risk throughout the financial system, and all too often betting against the instruments they sold and profiting at the expense of their clients.” The 2009 Goldman Sachs annual report stated that the firm “did not generate enormous net revenues by betting against residential related products.” Levin said, “These e-mails show that, in fact, Goldman made a lot of money by betting against the mortgage market.”
The four exhibits released today are Goldman Sachs internal e-mails that address practices involving residential mortgage-backed securities and collateralized debt obligations (CDOs), financial instruments that were key in the financial crisis.
In a third e-mail, Goldman employees discussed the ups and downs of securities that were underwritten and sold by Goldman and tied to mortgages issued by Washington Mutual Bank's subprime lender, Long Beach Mortgage Company. Reporting the “wipeout” of one Long Beach security and the “imminent” collapse of another as “bad news” that would cost the firm $2.5 million, a Goldman Sachs employee then reported the “good news” – that the failure would bring the firm $5 million from a bet it had placed against the very securities it had assembled and sold.
In a fourth e-mail, a Goldman Sachs manager reacted to news that the credit rating agencies had downgraded $32 billion in mortgage related securities – causing losses for many investors – by noting that Goldman had bet against them: “Sounds like we will make some serious money.” His colleague responded: “Yes we are well positioned.”
Goldman Sachs Chairman and Chief Executive Officer Lloyd Blankfein and other current and former company personnel are scheduled to testify at Tuesday's hearing.
In one of the e-mails released today, Mr. Blankfein stated that the firm came out ahead in the mortgage crisis by taking short positions. In an e-mail exchange with other top Goldman Sachs executives, Mr. Blankfein wrote: “Of course we didn't dodge the mortgage mess. We lost money, then made more than we lost because of shorts.”
In a second e-mail, Goldman Sachs Chief Financial Officer David Viniar, who also will testify on Tuesday, responded to a report on the firm's trading activities, showing that – in one day - the firm netted over $50 million by taking short positions that increased in valued as the mortgage market cratered. Mr. Viniar wrote: “Tells you what might be happening to people who don't have the big short.” Levin said: “There it is, in their own words: Goldman Sachs taking ‘the big short’ against the mortgage market.”
Post #2 on Far East Inv. & Services
Re: Hull Trading Asia Limited and GS (see below).
Maybe someone will be able to tie it in to GS
The Parties: March 2009
.Archon Group Deutschland GmbH
Archon Group (France)
Archon Group Gestion
Archon Group Italia S.r.l.
Archon Group, L.P.
Archon International, Inc.
Aso 1 (Mauritius) Limited
Beijing Gao Hua Securities Company Limited
Delmora Bank GmbH
Epoch Securities, Inc.
Fleet Trade & Transport Limited
Goldman Sachs (AO) L.L.C.
Goldman Sachs (Asia) Finance
Goldman Sachs (Asia) L.L.C.
Goldman Sachs (Asia Pacific) L.L.C.
Goldman Sachs (Asia) Securities Limited
Goldman Sachs Bank (Europe) PLC
Goldman Sachs (Cayman) Trust, Limited
Goldman Sachs (China) L.L.C.
Goldman Sachs (España), S.A.
Goldman Sachs (India) L.L.C.
Goldman Sachs (India) Private Limited
Goldman Sachs (Japan) Ltd.
Goldman Sachs (Singapore) Pte.
Goldman Sachs Argentina L.L.C.
Goldman Sachs Asset Management International
Goldman Sachs Canada Inc.
Goldman Sachs Capital Markets, L.P.
Goldman Sachs Credit Partners L.P.
Goldman Sachs Europe
Goldman Sachs Europe Limited
Goldman Sachs Execution & Clearing, L.P. (formerly Spear, Leeds & Kellogg L.P.)
Goldman Sachs Financial Markets, L.P.
Goldman Sachs Foreign Exchange (Singapore) Pte.
Goldman Sachs Management (Ireland) Limited (formerly Goldman Sachs Fund
Management (Ireland) Limited
Goldman Sachs Funds Management, L.P.
Goldman Sachs Futures (Asia) Limited
Goldman Sachs Futures Pte Ltd
Goldman Sachs Global Services I Limited
Goldman Sachs Global Services II Limited
Goldman Sachs Hedge Fund Strategies LLC (formerly Goldman Sachs Princeton LLC)
Goldman Sachs (India) Securities Private Limited
Goldman Sachs Insurance Agency, Inc
Goldman Sachs International
Goldman Sachs International Sucursal en España
Goldman Sachs International Bank
Goldman Sachs Investment Management GmbH
Goldman Sachs Investments (Mauritius) I Limited
Goldman Sachs Luxembourg S.à.r.l.
Goldman Sachs Mitsui Marine Derivative Products, L. P.
Goldman Sachs (Monaco) S.A.M.
Goldman Sachs Paris Inc. et Cie
Goldman Sachs Private Bank Limited
Goldman Sachs Property Management
Goldman Sachs Risk Advisors, L.P. (formerly GS Risk Advisors L.P.)
Goldman Sachs Risk Brokers, Inc.
Goldman Sachs Risk Services L.L.C.
Goldman Sachs Services (B.V.I.) Limited
Goldman Sachs Services Private Limited
Goldman Sachs Services Limited
Goldman Sachs SGR S.P.A.
Goldman Sachs Trading and Clearing Services (Netherlands) B.V. (formerly J. Aron & Company
Netherlands B.V.)
Goldman, Sachs & Co.
Goldman, Sachs & Co. Bank
Goldman, Sachs & Co. OHG
Goldman, Sachs & Companhia
Goldman, Sachs & Co. Wertpapier Gmbh
GS Epoch Partners, Inc.
GS European Opportunities Investment Fund B.V.
Hull Trading GmbH
Hull Trading Asia Limited
Hull Transaction Services, L.L C.
J. Aron & Company
J. Aron & Company (Singapore) Pte
J. Aron & Company (U.K.)
Kreta Acquisitions Ltd.
Kreta Immobilien GmbH
Kypris Acquisitions Ltd.
Kypris Immobilien GmbH
Matterhorn Acquisitions Ltd
Matterhorn Immobilien GmbH
Minerva L.P.
Minato Debt Collection K.K.
Money Partners Financial Company Limited
OOO Goldman Sachs
Poseidon Acquisitions, Ltd.
Poseidon Immobilien GmbH
P T Goldman Sachs Indonesia
Restamove Ireland Limited
SANA Acquisitions, Ltd.
S.G.C. S.r.l. Societá Gestione Crediti
SLK-Hull Derivatives LLC
Societa Acquisizione E Rifananziamento Crediti S.P.A.
Spear, Leeds & Kellogg (Singapore) Pte Ltd.
Spear, Leeds & Kellogg Specialists LLC
The Goldman Sachs Group, Inc.
The Goldman Sachs Trust Company
The Goldman Sachs Trust Company, N.A.
The Hull Group, L.L.C.
YAL Immobilien GmbH
Yellow Acquisitions Ltd.
Far East Investment & Services Limited
Can anyone find any information on them.
Almost sounds like one of Goldman Sachs' Hedge Funds.
The only things I could find related to GS were
Goldman Sachs Holdings (Hong Kong) Limited
State of Jurisdiction: Hong Kong
Goldman Sachs (Hong Kong) Company Limited
State of Jurisdiction: Hong Kong
Hull Trading Asia Limited
State of Jurisdiction: Hong Kong
NB under Hull Trading Asia, there are a whole lot of companies listed -- maybe one recently changed name to Far East.
2,974,676 is an odd lot of shares to own. Why not 2,900,000 or 3,000,000 shares.
Prem Watsa may have to make a
move sooner rather than later (if he wants control).
The well laid plans of mice and men
Have now been put into upheaval.
Nice Article, but
Don't look for too much sympathy from Judge Liftland. He handled the Calpine Case and showed a total disregard for shareholders.
It was all Wall Street -- running the show there.
Never mind that over 50% of that stock was illegally naked shorted or that the New Board of Directors and Management granted themselves huge pay raises and bonuses for exiting BK.
Maybe someone can tell me why Current Management and The Board of Directors for ABWTQ are still being employed.
imo, the Trustee should bounce these guys out on their ears.
All I would ask is that
For short-term traders that have combined your shares with the Board Group -- if you decide to sell and take your profits, then please advise the Board, so that we can still have a current total of shares that is represented.
You all deserve the very best, when you decide to take your money.
I only wish I could have been that wise, so as to buy equity at $0.09 through $0.15.
For me, well I was not too bright in the Purchasing Department. First in and Last Out (if ever).
Congrats to those with better foresight than I.
And again Thank You to Dav, L and H for all of their effots. imo, their persistance should too be rewarded.
----------------
Remember that the higher the Canadian dollar goes the easier it is to re-finance the exiting U.S. Denominated Debt., back into Canadian dollars for the Abibiti assets.
NB: for every commodity rise, there will eventually be a commodity fall, so take note of both Pulp and Lumber. EPA Rule changes expected by the end of April or Early May.
Re: ABWTQ's Advisor GS
Dylan Ratigan nails it again with respect to CDS (Insurance Fraud) and the alike.
Betting against their own clients.
http://www.msnbc.msn.com/id/31510813/ns/msnbc_tv-the_dylan_ratigan_show/#36604057
http://www.msnbc.msn.com/id/31510813/ns/msnbc_tv-the_dylan_ratigan_show/#36606904
http://www.msnbc.msn.com/id/31510813/ns/msnbc_tv-the_dylan_ratigan_show/#36573107
In a nutshell, if I can, over time (through derivative hedges -- CFTC Rule Changes, The Enron Loophole, naked credit default swaps, naked shorting for common shares by using DTC shares etc)
Influence the Cdn / US Currency Exchange Rate, Influence Pulp Prices (now GS calling for a super-cycle -- what -- no it cannot be -- we are using less paper now than at any other time), influence lumber prices, influence bond prices through my buds at the rating agencies -- you can do anything whith the price of a stock.
Lumber -- Now over $300 (come-on, get real, imo, should not be that high, right, no new houses being built -- glut everywhere).
Well maybe lumber should have gone to $700, when Crude was $140.
And maybe Pulp should have gone to $1,500 when Gold went to $1200 per ounce.
And now, Electricity (about to sky-rocket and other soft commodities). Well may electricity Prices should have been a lot higher so companies like Dynegy and Calpine could benefit.
---------------
Remember last week I posted something on the manipulation of Power Planats and Paper Plants -- from the GS Board.
Isn't this a lovely world?
GS as an advisor to Abitibi-Bowater
http://www.streetinsider.com/SEC+Filings/Form++8-K++++++++GOLDMAN+SACHS+GROUP+INC+++For%3A+Apr+16/5538305.html
Attached is a link to the GS 8K SEC filing from Friday related to Abacus and Moodys.
About 3/4 of the way down, it outlines the basic strategy of a CDS.
Does anyone have handy the dates at which the Credit Agencies (specifically Moodys) downgraded ABY, BOW and ABH. Dates are crucial -- anked shorts for common shares and naked credit default swaps (premiums) are all related.
Let's assume that CDS deals did not vary that much from the one outlined on Friday.
imo, The Trustee is nuts to allow any BH (naked or other direct, as applicable) to receive any part of a restructured ABWTQ, if the 8-K filing by GS is true.
Specifically, what was the date that GS was hired as an advisor by ABY, BOW and ABH. And when was their contract with ABWTQ Terminated (late 2009 or 2010).
Look at the 8-K filing -- it tells you everything about the nature of CDS.
---------------------
Looks like we the shareholders can now file our own civil charges. And win.
Re: ABWTQ and Fairfax
Thanks for the most recent SEC posting for ABWTQ. Note the reference to Fairfax.
I think this is called "getting information out" as a precursor to something happening in May (likely after the EPA Changes are announced).
I will try to re-post info from a previous SEC filing that suggested that ABWTQ had expected that Fairfax would convert its shares.
Looks like a bid is coming (maybe for both ABWTQ and Tembec). It makes sense.
Fairfax debt (other than DIP) is unsecured. In the past Faifax has used CDS to manage other investment positions.
Maybe in light of the GS News, Fairfax is afraid of just what might come out.
ABWTQ Bonds = Surpression of Price Each Day
ABWTQ (most bonds are either at par or close to it each day. And would you believe that two of the NRTLQ are being manipulated in the same way.
Cannot see the data for SSCCQ, but I suspect the same is going on, there too.
Big manipulation each morning on the ABWTQ Bonds. You guys should just start work early enough to witness.
------------------
I suspect that GS is going to be working overtime this weekend to settle the mess that they are in. The Big Fear is the Class Action Lawsuits stemming from this SEC Charge.
AIG unwinding derivatives (CDS deals with GS) last week should have been the first clue to this. The second is the PULP SUPER CYCLE. If GS just had allowed pulp and other secondary commodities to rise as much as oil and gold (and not partake in the CDS Casino), ABWTQ would never have entered BK (two years ago). Well maybe someday in the future, they would have, but not when they did (imo).
Question for Duane Owens
Now that the SEC is formally charging GS for their role in the CDO Market (11:00 am News Conference),
is ABWTQ (The Management and the Board of Directors and The Trustee and the Judge) going to stand up and call for an investigation of the Illegal Naked Shorts on ABY, BOW, ABH going back to 2004.
It's my understanding that D. Owens was a Senior Finance guy that was demoted to Investor Relations.
Let's see if we can get an answer this time. The guy has personally been aware of the Naked Short problem since 2008.
Extension Request and Lumber
What the extension means to me -- buy more time and hope for a buyout offer.
At some point, cash reserves will allow entire DIP to be paid back.
Lumber futures up for now another few points. Today's move is probably a "ketch-up" or "catch-up" to crude.
Lots of shorts need to still cover lumber -- Hedgers are very long -- and heading into summer, it looks like the commercials are screwed.
Market needs a breather -- so who knows.