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I am sure we will never know, but it helps knowing this pig is worth so much, IMO.
SEC Issues New Rules to Protect Investors Against Naked Short Selling Abuses
FOR IMMEDIATE RELEASE
2008-204
Washington, D.C., Sept. 17, 2008 — The Securities and Exchange Commission today took several coordinated actions to strengthen investor protections against “naked” short selling. The Commission’s actions will apply to the securities of all public companies, including all companies in the financial sector. The actions are effective at 12:01 a.m. ET on Thursday, Sept. 18, 2008.
“These several actions today make it crystal clear that the SEC has zero tolerance for abusive naked short selling,” said SEC Chairman Christopher Cox. “The Enforcement Division, the Office of Compliance Inspections and Examinations, and the Division of Trading and Markets will now have these weapons in their arsenal in their continuing battle to stop unlawful manipulation.”
In an ordinary short sale, the short seller borrows a stock and sells it, with the understanding that the loan must be repaid by buying the stock in the market (hopefully at a lower price). But in an abusive naked short transaction, the seller doesn't actually borrow the stock, and fails to deliver it to the buyer. For this reason, naked shorting can allow manipulators to force prices down far lower than would be possible in legitimate short-selling conditions.
Today’s Commission actions, which are the result of formal rulemaking under the Administrative Procedure Act, go beyond its previously issued emergency order, which was limited to the securities of financial firms with access to the Federal Reserve’s Primary Dealer Credit Facility. Because the agency's exercise of its emergency authority is limited to 30 days, the previous order under Section 12(k)(2) of the Securities Exchange Act of 1934 expired on Aug. 12, 2008.
The Commission’s actions were as follows:
Hard T+3 Close-Out Requirement; Penalties for Violation Include Prohibition of Further Short Sales, Mandatory Pre-Borrow
The Commission adopted, on an interim final basis, a new rule requiring that short sellers and their broker-dealers deliver securities by the close of business on the settlement date (three days after the sale transaction date, or T+3) and imposing penalties for failure to do so.
If a short sale violates this close out requirement, then any broker-dealer acting on the short seller’s behalf will be prohibited from further short sales in the same security unless the shares are not only located but also pre-borrowed. The prohibition on the broker-dealer’s activity applies not only to short sales for the particular naked short seller, but to all short sales for any customer.
Although the rule will be effective immediately, the Commission is seeking comment during a period of 30 days on all aspects of the rule. The Commission expects to follow further rulemaking procedures at the expiration of the comment period.
Exception for Market Makers from Short Selling Close-Out Provisions in Reg SHO Repealed
The Commission approved a final rule to eliminate the options market maker exception from the close-out requirement of Rule 203(b)(3) in Regulation SHO. This rule change also becomes effective five days after publication in the Federal Register.
As a result, options market makers will be treated in the same way as all other market participants, and required to abide by the hard T+3 closeout requirements that effectively ban naked short selling.
Rule 10b-21 Short Selling Anti-Fraud Rule
The Commission adopted Rule 10b-21, which expressly targets fraudulent short selling transactions. The new rule covers short sellers who deceive broker-dealers or any other market participants. Specifically, the new rule makes clear that those who lie about their intention or ability to deliver securities in time for settlement are violating the law when they fail to deliver. This new rule is effective immediately.
# # #
http://www.sec.gov/news/press/2008/2008-204.htm
SEC Issues New Rules to Protect Investors Against Naked Short Selling Abuses
FOR IMMEDIATE RELEASE
2008-204
Washington, D.C., Sept. 17, 2008 — The Securities and Exchange Commission today took several coordinated actions to strengthen investor protections against “naked” short selling. The Commission’s actions will apply to the securities of all public companies, including all companies in the financial sector. The actions are effective at 12:01 a.m. ET on Thursday, Sept. 18, 2008.
“These several actions today make it crystal clear that the SEC has zero tolerance for abusive naked short selling,” said SEC Chairman Christopher Cox. “The Enforcement Division, the Office of Compliance Inspections and Examinations, and the Division of Trading and Markets will now have these weapons in their arsenal in their continuing battle to stop unlawful manipulation.”
In an ordinary short sale, the short seller borrows a stock and sells it, with the understanding that the loan must be repaid by buying the stock in the market (hopefully at a lower price). But in an abusive naked short transaction, the seller doesn't actually borrow the stock, and fails to deliver it to the buyer. For this reason, naked shorting can allow manipulators to force prices down far lower than would be possible in legitimate short-selling conditions.
Today’s Commission actions, which are the result of formal rulemaking under the Administrative Procedure Act, go beyond its previously issued emergency order, which was limited to the securities of financial firms with access to the Federal Reserve’s Primary Dealer Credit Facility. Because the agency's exercise of its emergency authority is limited to 30 days, the previous order under Section 12(k)(2) of the Securities Exchange Act of 1934 expired on Aug. 12, 2008.
The Commission’s actions were as follows:
Hard T+3 Close-Out Requirement; Penalties for Violation Include Prohibition of Further Short Sales, Mandatory Pre-Borrow
The Commission adopted, on an interim final basis, a new rule requiring that short sellers and their broker-dealers deliver securities by the close of business on the settlement date (three days after the sale transaction date, or T+3) and imposing penalties for failure to do so.
If a short sale violates this close out requirement, then any broker-dealer acting on the short seller’s behalf will be prohibited from further short sales in the same security unless the shares are not only located but also pre-borrowed. The prohibition on the broker-dealer’s activity applies not only to short sales for the particular naked short seller, but to all short sales for any customer.
Although the rule will be effective immediately, the Commission is seeking comment during a period of 30 days on all aspects of the rule. The Commission expects to follow further rulemaking procedures at the expiration of the comment period.
Exception for Market Makers from Short Selling Close-Out Provisions in Reg SHO Repealed
The Commission approved a final rule to eliminate the options market maker exception from the close-out requirement of Rule 203(b)(3) in Regulation SHO. This rule change also becomes effective five days after publication in the Federal Register.
As a result, options market makers will be treated in the same way as all other market participants, and required to abide by the hard T+3 closeout requirements that effectively ban naked short selling.
Rule 10b-21 Short Selling Anti-Fraud Rule
The Commission adopted Rule 10b-21, which expressly targets fraudulent short selling transactions. The new rule covers short sellers who deceive broker-dealers or any other market participants. Specifically, the new rule makes clear that those who lie about their intention or ability to deliver securities in time for settlement are violating the law when they fail to deliver. This new rule is effective immediately.
# # #
http://www.sec.gov/news/press/2008/2008-204.htm
SEC Issues New Rules to Protect Investors Against Naked Short Selling Abuses
FOR IMMEDIATE RELEASE
2008-204
Washington, D.C., Sept. 17, 2008 — The Securities and Exchange Commission today took several coordinated actions to strengthen investor protections against “naked” short selling. The Commission’s actions will apply to the securities of all public companies, including all companies in the financial sector. The actions are effective at 12:01 a.m. ET on Thursday, Sept. 18, 2008.
“These several actions today make it crystal clear that the SEC has zero tolerance for abusive naked short selling,” said SEC Chairman Christopher Cox. “The Enforcement Division, the Office of Compliance Inspections and Examinations, and the Division of Trading and Markets will now have these weapons in their arsenal in their continuing battle to stop unlawful manipulation.”
In an ordinary short sale, the short seller borrows a stock and sells it, with the understanding that the loan must be repaid by buying the stock in the market (hopefully at a lower price). But in an abusive naked short transaction, the seller doesn't actually borrow the stock, and fails to deliver it to the buyer. For this reason, naked shorting can allow manipulators to force prices down far lower than would be possible in legitimate short-selling conditions.
Today’s Commission actions, which are the result of formal rulemaking under the Administrative Procedure Act, go beyond its previously issued emergency order, which was limited to the securities of financial firms with access to the Federal Reserve’s Primary Dealer Credit Facility. Because the agency's exercise of its emergency authority is limited to 30 days, the previous order under Section 12(k)(2) of the Securities Exchange Act of 1934 expired on Aug. 12, 2008.
The Commission’s actions were as follows:
Hard T+3 Close-Out Requirement; Penalties for Violation Include Prohibition of Further Short Sales, Mandatory Pre-Borrow
The Commission adopted, on an interim final basis, a new rule requiring that short sellers and their broker-dealers deliver securities by the close of business on the settlement date (three days after the sale transaction date, or T+3) and imposing penalties for failure to do so.
If a short sale violates this close out requirement, then any broker-dealer acting on the short seller’s behalf will be prohibited from further short sales in the same security unless the shares are not only located but also pre-borrowed. The prohibition on the broker-dealer’s activity applies not only to short sales for the particular naked short seller, but to all short sales for any customer.
Although the rule will be effective immediately, the Commission is seeking comment during a period of 30 days on all aspects of the rule. The Commission expects to follow further rulemaking procedures at the expiration of the comment period.
Exception for Market Makers from Short Selling Close-Out Provisions in Reg SHO Repealed
The Commission approved a final rule to eliminate the options market maker exception from the close-out requirement of Rule 203(b)(3) in Regulation SHO. This rule change also becomes effective five days after publication in the Federal Register.
As a result, options market makers will be treated in the same way as all other market participants, and required to abide by the hard T+3 closeout requirements that effectively ban naked short selling.
Rule 10b-21 Short Selling Anti-Fraud Rule
The Commission adopted Rule 10b-21, which expressly targets fraudulent short selling transactions. The new rule covers short sellers who deceive broker-dealers or any other market participants. Specifically, the new rule makes clear that those who lie about their intention or ability to deliver securities in time for settlement are violating the law when they fail to deliver. This new rule is effective immediately.
# # #
http://www.sec.gov/news/press/2008/2008-204.htm
Exactly, imagine what would happen to the economy without 30 yr mortgages? IMO, FNM/FRE are a vital part of the economy especially for the 'hypothetical' middle class.
...Fannie and Freddie own or guarantee about $5 trillion of the nation's outstanding mortgages, roughly half the nation's total...
Posted by: wallgrekk1 Date: Monday, September 15, 2008 1:36:52 PM
In reply to: None Post # of 2326
huge news out! SEC stops short selling on FRE!
AP
SEC plans measures against short-selling
Monday September 15, 1:28 pm ET
By Marcy Gordon, AP Business Writer
SEC planning measures to rein in aggressive short-selling partly blamed for Lehman's demise
WASHINGTON (AP) -- With Wall Street engulfed in crisis, the Securities and Exchange Commission is planning measures to rein in aggressive forms of short-selling that were blamed in part for the demise of Lehman Brothers and which some fear could be turned against other vulnerable companies.
ADVERTISEMENT
During emergency meetings between federal officials and investment bank executives over the weekend, SEC Chairman Christopher Cox indicated to the bankers that the agency plans in a few days to impose new protections against abusive "naked" short-selling, a person familiar with the matter said Monday.
The person spoke on condition of anonymity because the SEC actions haven't yet been officially announced.
The measures likely would include removing an exception for market makers in options on stocks from rules restricting naked short-selling, and a tightening of anti-fraud rules related to that activity, according to the person familiar with the matter.
Those two measures could be put in place administratively by quick approval of the SEC commissioners. Another change, reducing from 13 to five the number of days that short-sellers would have to deliver stocks after an initial failure to do so, would require a public meeting and formal vote to propose it as a new rule.
Short sellers bet that a stock's price will fall so that they can profit from it. They borrow shares of the stock and sell them. If the price drops, they buy cheaper actual shares to cover the borrowed ones, pocketing the difference.
Naked short-selling occurs when sellers don't even borrow the shares before selling them, and then look to cover positions immediately after the sale.
Some investors contend that naked short-selling, if left unchecked, would have given hedge funds and other aggressive short sellers an unfair advantage to move on to other attack victims after Lehman Brothers Holdings Inc. Merrill Lynch & Co. -- being bought by Bank of America Corp. in a $50 billion shotgun deal -- or giant insurer American International Group Inc., which reportedly appealed to the Federal Reserve for emergency funding, were likely targets.
New York Gov. David Paterson said Monday that AIG will be allowed to use $20 billion in assets held by its subsidiaries to provide cash needed for the company to stay in business. Paterson asked state insurance regulators to essentially allow AIG to provide a bridge loan to itself.
The investors have clamored for the SEC to institute another emergency order similar to its ban from mid-July to mid-August against naked short-selling of the stocks of mortgage finance companies Fannie Mae and Freddie Mac, and 17 large investment banks -- including Lehman and Merrill.
The SEC's temporary order required short sellers to actually borrow shares before selling them. By law, it could not be extended beyond Aug. 12.
Cox has said the order helped prevent potential "distort and short" manipulation of stocks, which occurs when rumors and misinformation are used to drive down the price of a stock that has been sold short.
Hedge fund manager Kass cuts back on positions 09/15 01:26 PM
BOSTON, Sept 15 (Reuters) - Hedge fund manager Douglas Kass, who won big by betting against ailing mortgage finance companies Fannie Mae (FNM:$0.6299,$-0.1101,-14.88%) and Freddie Mac (FRE:$0.4090,$-0.0510,-11.09%) in recent months, said he has cut back on his positions.
"It is a dangerous time for the longs and for the shorts," said Kass, who heads hedge fund Seabreeze Partners Management.
"This is a time to watch and not a time to play," he told Reuters just hours after Wall Street's landscape was dramatically reshaped as Lehman Brothers Holdings Inc (LEH:$0.2227,$-3.4273,-93.90%) filed for bankruptcy and Merrill Lynch & Co Inc (MER:$19.58,00$2.53,0014.84%) agreed to a takeover by Bank of America (BAC:$27.13,00$-6.61,00-19.59%) .
Kass said he has cut back positions throughout his portfolio, declining to be more specific. A week ago he said he was still short Fannie and Freddie.
"It is time to move into cash," said Kass, one of just a handful of hedge fund managers who speak about short positions.
Kass, who makes money for his investors by betting against the future of certain companies through short selling, would not discuss his fund's performance, but someone familiar with returns said Kass was up roughly 25 percent at the start of last week.
That stands in sharp contrast to the average hedge fund, which has lost about 5 percent this year, according to data from Hedge Fund Research.
Financial shares are off 32 percent this year, as measured by the 66-share Standard & Poor's Financial Index <.GSPF>.
Thanks to his savvy call on Fannie and Freddie, Kass is being called an industry icon whose name is linked with a company's downfall the way hedge fund manager Jim Chanos is linked with Enron, for example. (Reporting by Svea Herbst-Bayliss; editing by John Wallace)
Hedge fund manager Kass cuts back on positions 09/15 01:26 PM
BOSTON, Sept 15 (Reuters) - Hedge fund manager Douglas Kass, who won big by betting against ailing mortgage finance companies Fannie Mae (FNM:$0.6299,$-0.1101,-14.88%) and Freddie Mac (FRE:$0.4090,$-0.0510,-11.09%) in recent months, said he has cut back on his positions.
"It is a dangerous time for the longs and for the shorts," said Kass, who heads hedge fund Seabreeze Partners Management.
"This is a time to watch and not a time to play," he told Reuters just hours after Wall Street's landscape was dramatically reshaped as Lehman Brothers Holdings Inc (LEH:$0.2227,$-3.4273,-93.90%) filed for bankruptcy and Merrill Lynch & Co Inc (MER:$19.58,00$2.53,0014.84%) agreed to a takeover by Bank of America (BAC:$27.13,00$-6.61,00-19.59%) .
Kass said he has cut back positions throughout his portfolio, declining to be more specific. A week ago he said he was still short Fannie and Freddie.
"It is time to move into cash," said Kass, one of just a handful of hedge fund managers who speak about short positions.
Kass, who makes money for his investors by betting against the future of certain companies through short selling, would not discuss his fund's performance, but someone familiar with returns said Kass was up roughly 25 percent at the start of last week.
That stands in sharp contrast to the average hedge fund, which has lost about 5 percent this year, according to data from Hedge Fund Research.
Financial shares are off 32 percent this year, as measured by the 66-share Standard & Poor's Financial Index <.GSPF>.
Thanks to his savvy call on Fannie and Freddie, Kass is being called an industry icon whose name is linked with a company's downfall the way hedge fund manager Jim Chanos is linked with Enron, for example. (Reporting by Svea Herbst-Bayliss; editing by John Wallace)
Good analogy...
Democrats urge Fannie, Freddie halt foreclosures
09/11 02:38 PM
WASHINGTON, Sept 11 (Reuters) - U.S. Senate Democrats on Thursday urged Fannie Mae (FNM:$0.7794,$0.0394,5.32%) and Freddie Mac (FRE:$0.61,00$-0.05,00-7.58%) to halt all pending foreclosure proceedings on mortgages they hold for at least 90 days.
In a letter to the mortgage finance companies and their regulator, Federal Housing Finance Agency Director James Lockhart, four members of the Senate Banking Committee said the loan modifications could help both homeowners and the companies. The U.S. government took both troubled companies into conservatorship over the weekend.
The senators also asked the companies to revisit their policies and practices governing modifications involving mortgage-backed securities issued by the agencies.
The letter was sent by Charles Schumer of New York, Robert Menendez of New Jersey, Sherrod Brown of Ohio, and Robert Casey of Pennsylvania.
"As you are well aware, the housing crisis continues to devastate too many American families," the senators wrote.
The Federal Deposit Insurance Corp found that a foreclosed mortgage pays 30 cents on the dollar in the current environment while a modified mortgage pays nearly 90 cents, the senators said.
"Clearly, modifying at-risk mortgages maximizes the value of these assets," they said.
The FDIC took control of IndyMac <IDMC.PK> on July 11 and is modifying troubled mortgages held by the California lender in a bid to make the assets more attractive to potential buyers.
The federal insurer said it hoped to send about 29,000 mortgage modification proposals. The modified loans will be available to most borrowers with a first mortgage either owned by, or securitized and serviced by, IndyMac, the FDIC said.
The modifications will be available to borrowers who are seriously delinquent or in default, and apply only to a borrower's primary residence. Modified loans will be permanently capped at an interest rate of about 6.5 percent, the FDIC said. (Reporting by John Poirier; Editing by Leslie Adler)
Democrats urge Fannie, Freddie halt foreclosures
09/11 02:38 PM
WASHINGTON, Sept 11 (Reuters) - U.S. Senate Democrats on Thursday urged Fannie Mae (FNM:$0.7794,$0.0394,5.32%) and Freddie Mac (FRE:$0.61,00$-0.05,00-7.58%) to halt all pending foreclosure proceedings on mortgages they hold for at least 90 days.
In a letter to the mortgage finance companies and their regulator, Federal Housing Finance Agency Director James Lockhart, four members of the Senate Banking Committee said the loan modifications could help both homeowners and the companies. The U.S. government took both troubled companies into conservatorship over the weekend.
The senators also asked the companies to revisit their policies and practices governing modifications involving mortgage-backed securities issued by the agencies.
The letter was sent by Charles Schumer of New York, Robert Menendez of New Jersey, Sherrod Brown of Ohio, and Robert Casey of Pennsylvania.
"As you are well aware, the housing crisis continues to devastate too many American families," the senators wrote.
The Federal Deposit Insurance Corp found that a foreclosed mortgage pays 30 cents on the dollar in the current environment while a modified mortgage pays nearly 90 cents, the senators said.
"Clearly, modifying at-risk mortgages maximizes the value of these assets," they said.
The FDIC took control of IndyMac <IDMC.PK> on July 11 and is modifying troubled mortgages held by the California lender in a bid to make the assets more attractive to potential buyers.
The federal insurer said it hoped to send about 29,000 mortgage modification proposals. The modified loans will be available to most borrowers with a first mortgage either owned by, or securitized and serviced by, IndyMac, the FDIC said.
The modifications will be available to borrowers who are seriously delinquent or in default, and apply only to a borrower's primary residence. Modified loans will be permanently capped at an interest rate of about 6.5 percent, the FDIC said. (Reporting by John Poirier; Editing by Leslie Adler)
I am sorry if I am speaking over your head...
Maybe you need to read my posts again, you are giving me attitude for some reason, and I am agreeing with you...there is value. We are talking about over half the mortgages in America.
Yep, and the guys making the rules are going to line up and take their licks with the rest of us? I think not. Also, they had to know everybody was holding a bag starting monday, they just wanted to create a brand new set of bagholders?
Makes no sense to keep trading if there is no longer any value or future, IMO. This last weekend would have been the time to cancel those shares. Never let them trade again. As we know that didn't happen.
Many members on both sides of the aisle own positions in FRE/FMN common shares. They have been pretty quiet about addressing the fate of common shares, for good reason, IMO. The last thing either side needs is to be accussed of a conflict of interest. One thing that sticks out in my memory when all this came about this past weekend was somebody from treasury saying that investors must be disciplined during this time. One thing I keep asking myself since monday is, "Why is this still trading?". The government makes the rules, and given this unprecedented action, as well as other unprecedented actions (ie.-temporarily banning short selling on both GSE's a few months ago) I wouldn't bet against them. The media glare is still on this. The powers that be like to make their money in dark corners with nobody watching. It will happen, these guys don't lose, IMO.
Many members on both sides of the aisle own positions in FRE/FMN common shares. They have been pretty quiet about addressing the fate of common shares, for good reason, IMO. The last thing either side needs is to be accussed of a conflict of interest. One thing that sticks out in my memory when all this came about this past weekend was somebody from treasury saying that investors must be disciplined during this time. One thing I keep asking myself since monday is, "Why is this still trading?". The government makes the rules, and given this unprecedented action, as well as other unprecedented actions (ie.-temporarily banning short selling on both GSE's a few months ago) I wouldn't bet against them. The media glare is still on this. The powers that be like to make their money in dark corners with nobody watching. It will happen, these guys don't lose, IMO.
Fannie, Freddie Shares Routed TO NYSE Arca
09/11 12:32 PM
NEW YORK (Dow Jones)--The New York Stock Exchange said early Thursday trading in Fannie Mae (FNM:$0.7348,$-0.0052,-0.70%) and Freddie Mac (FRE:$0.619400,$-0.040600,-6.15%) have moved off the floor of the exchange.
With the government's seizure of the two mortgage giants over the weekend, shareholders of the two government sponsored enterprises took the move as a sign to sell. At the end of trading Monday, both stocks had market capitalizations below $800 million, with Fannie closing at 73 cents and Freddie at 88 cents.
Traditionally, once a stock falls below $1.05, it is moved to the electronic platform, such as NYSE Arca, and can only return to the exchange after being traded above $1.10 for an entire day. Earlier this week, the exchange said it decided not to relocate trading of the shares because it expected heavy trading volume and order from investors. But that exemption faded Thursday, with Fannie recently at 73 cents and Freddie trading at 63 cents.
"Effective immediately, consistent with the guidelines under the NYSE Sub- penny Trading Rule, orders in Fannie Mae (FNM:$0.7348,$-0.0052,-0.70%) and Freddie Mac (FRE:$0.619400,$-0.040600,-6.15%) common will be routed to NYSE Arca with NYSE Arca pricing applied," the exchange said in a statement.
The NYSE added that both companies, as well as their preferred shares, continue to be listed on the New York Stock Exchange.
-By Geoffrey Rogow; Dow Jones Newswires; 201-938-5360; geoffrey.rogow@ dowjones.com
Fannie, Freddie Shares Routed TO NYSE Arca
09/11 12:32 PM
NEW YORK (Dow Jones)--The New York Stock Exchange said early Thursday trading in Fannie Mae (FNM:$0.7348,$-0.0052,-0.70%) and Freddie Mac (FRE:$0.619400,$-0.040600,-6.15%) have moved off the floor of the exchange.
With the government's seizure of the two mortgage giants over the weekend, shareholders of the two government sponsored enterprises took the move as a sign to sell. At the end of trading Monday, both stocks had market capitalizations below $800 million, with Fannie closing at 73 cents and Freddie at 88 cents.
Traditionally, once a stock falls below $1.05, it is moved to the electronic platform, such as NYSE Arca, and can only return to the exchange after being traded above $1.10 for an entire day. Earlier this week, the exchange said it decided not to relocate trading of the shares because it expected heavy trading volume and order from investors. But that exemption faded Thursday, with Fannie recently at 73 cents and Freddie trading at 63 cents.
"Effective immediately, consistent with the guidelines under the NYSE Sub- penny Trading Rule, orders in Fannie Mae (FNM:$0.7348,$-0.0052,-0.70%) and Freddie Mac (FRE:$0.619400,$-0.040600,-6.15%) common will be routed to NYSE Arca with NYSE Arca pricing applied," the exchange said in a statement.
The NYSE added that both companies, as well as their preferred shares, continue to be listed on the New York Stock Exchange.
-By Geoffrey Rogow; Dow Jones Newswires; 201-938-5360; geoffrey.rogow@ dowjones.com
The data reflect short
trades with a settlement date of Aug. 29, 2008.
Short Stocks: Bets continue to build against some financials 09/10 08:51 PM
NEW YORK, Sept 10 (Reuters) - Short interest increased for
some financial stocks in late August, according to reports
released on Wednesday by the New York Stock Exchange and the
Nasdaq.
The following stocks, including financial stocks and
others, saw increased interest from short sellers, who bet that
a certain stock's price will fall. The data reflect short
trades with a settlement date of Aug. 29, 2008.
For full story please see [ID:nN10523201]. For factboxes,
please see [ID:nN10464393] and [ID:n10453445].
WASHINGTON MUTUAL (WM:$2.09,00$-0.23,00-9.91%)
Short interest rose 12.93 percent in Washington Mutual (WM:$2.09,00$-0.23,00-9.91%) .
This week, the bank replaced its chief executive and was put
under special regulatory supervision, after major losses from
mortgages.
About 382.4 million of Washington Mutual's (WM:$2.09,00$-0.23,00-9.91%) shares were held
short, or 22.4 percent of its total shares outstanding.
FREDDIE MAC (FRE:$0.625,0$-0.035,0-5.30%) FANNIE MAE (FNM:$0.6999,$-0.0401,-5.42%)
Short interest rose 33.6 percent in Freddie Mac (FRE:$0.625,0$-0.035,0-5.30%) , and 29.21
percent in Fannie Mae (FNM:$0.6999,$-0.0401,-5.42%) .
Both government sponsored enterprises were taken over this
week by the U.S. Treasury.
About 158.5 million of Freddie Mac's (FRE:$0.625,0$-0.035,0-5.30%) shares were held
short, or 24.5 percent of its total shares outstanding, while
about 182.7 million of Fannie Mae's (FNM:$0.6999,$-0.0401,-5.42%) shares were held short, or
17 percent of its total shares outstanding.
THORNBURG MORTGAGE INC (TMA:$0.3931,$-0.0269,-6.40%)
Short interest rose 54.68 percent in Thornburg Mortgage (TMA:$0.3931,$-0.0269,-6.40%) .
In late August, the specialist in large home loans said its
survival remained in doubt following additional margin calls,
but was on track to complete a restructuring and avoid
collapse. Early on Tuesday Thornburg announce a further
extension of an exchange offer.
About 33 million shares of Thornburg Mortgage (TMA:$0.3931,$-0.0269,-6.40%) were held
short, or 8.5 percent of its total shares outstanding.
TIME WARNER INC (TWX:$14.505,0$-0.345,0-2.32%)
Short interest rose 25.2 percent in Time Warner (TWX:$14.505,0$-0.345,0-2.32%) .
Time Warner (TWX:$14.505,0$-0.345,0-2.32%) said on Wednesday it sees advertising softening
for AOL (TWX:$14.505,0$-0.345,0-2.32%) and its publishing business, but remaining strong on
its cable unit.
About 56 million shares of Time Warner (TWX:$14.505,0$-0.345,0-2.32%) were held short, or
1.6 percent of its total shares outstanding.
IAC/INTERACTIVECORP (IACID:$16.81,00$-0.30,00-1.75%)
Short interest rose 84.03 percent in IAC/InterActiveCorp (IACID:$16.81,00$-0.30,00-1.75%) .
In late August, Bernstein cut the company's stock price
target to $20 from $25. On August 21, it completed its split
into five publicly-traded companies.
About 5.7 million shares of IAC/InterActiveCorp (IACID:$16.81,00$-0.30,00-1.75%) were held
short, or 4 percent of its total shares outstanding.
NVIDIA CORP (NVDA:$10.40,00$-0.42,00-3.88%)
Short interest in Nvidia rose 109.78 percent.
The graphics chip maker posted revenue that fell short of
expectations in August and is facing intense competition from
rivals Advanced Micro Devices Inc (AMD:$5.76,00$-0.02,00-0.35%) and Intel Corp (INTC:$19.98,00$-0.18,00-0.89%) .
About 47.2 million shares of Nvidia were held short, or 8.5
percent of its total shares outstanding.
INFOSYS TECHNOLOGIES LTD (INFY:$37.94,00$-1.25,00-3.19%)
Short interest in Infosys rose 32 percent.
India's second-largest software services exporter last
month agreed to buy Britain'sAxon Group (AXNGF:$10.9500,$0.0000,0.00%) <AXO.L>
About 15 million shares of Infosys were held short, or 2.7
percent of its total shares outstanding.
TEMPUR-PEDIC INTERNATIONAL INC (TPX:$11.9200,$-0.5800,-4.64%)
Short interest in Tempur-Pedic International Inc rose 30.78
percent.
The mattress maker and its competitors have been struggling
with softer sales as cash-strapped customers cut down on
big-ticket items.
About 44.4 million shares of Tempur-Pedic were held short,
or 59.4 percent of its total shares outstanding.
ANADARKO PETROLEUM CORP (APC:$55.3900,$0.5600,1.02%)
Short interest in Anadarko rose 85.43 percent.
Anadarko, which has a capacity to produce 150,000 barrels
of oil equivalent per day from its Gulf of Mexico facilities,
said this week it expects to shut all of its oil and natural
gas production there in advance of Hurricane Ike.
About 16 million shares of Anadarko were held short, or 3.4
percent of its total shares outstanding.
(Reporting by Phil Wahba; editing by Carol Bishopric)
Short Stocks: Bets continue to build against some financials 09/10 08:51 PM
NEW YORK, Sept 10 (Reuters) - Short interest increased for
some financial stocks in late August, according to reports
released on Wednesday by the New York Stock Exchange and the
Nasdaq.
The following stocks, including financial stocks and
others, saw increased interest from short sellers, who bet that
a certain stock's price will fall. The data reflect short
trades with a settlement date of Aug. 29, 2008.
For full story please see [ID:nN10523201]. For factboxes,
please see [ID:nN10464393] and [ID:n10453445].
WASHINGTON MUTUAL (WM:$2.09,00$-0.23,00-9.91%)
Short interest rose 12.93 percent in Washington Mutual (WM:$2.09,00$-0.23,00-9.91%) .
This week, the bank replaced its chief executive and was put
under special regulatory supervision, after major losses from
mortgages.
About 382.4 million of Washington Mutual's (WM:$2.09,00$-0.23,00-9.91%) shares were held
short, or 22.4 percent of its total shares outstanding.
FREDDIE MAC (FRE:$0.625,0$-0.035,0-5.30%) FANNIE MAE (FNM:$0.6999,$-0.0401,-5.42%)
Short interest rose 33.6 percent in Freddie Mac (FRE:$0.625,0$-0.035,0-5.30%) , and 29.21
percent in Fannie Mae (FNM:$0.6999,$-0.0401,-5.42%) .
Both government sponsored enterprises were taken over this
week by the U.S. Treasury.
About 158.5 million of Freddie Mac's (FRE:$0.625,0$-0.035,0-5.30%) shares were held
short, or 24.5 percent of its total shares outstanding, while
about 182.7 million of Fannie Mae's (FNM:$0.6999,$-0.0401,-5.42%) shares were held short, or
17 percent of its total shares outstanding.
THORNBURG MORTGAGE INC (TMA:$0.3931,$-0.0269,-6.40%)
Short interest rose 54.68 percent in Thornburg Mortgage (TMA:$0.3931,$-0.0269,-6.40%) .
In late August, the specialist in large home loans said its
survival remained in doubt following additional margin calls,
but was on track to complete a restructuring and avoid
collapse. Early on Tuesday Thornburg announce a further
extension of an exchange offer.
About 33 million shares of Thornburg Mortgage (TMA:$0.3931,$-0.0269,-6.40%) were held
short, or 8.5 percent of its total shares outstanding.
TIME WARNER INC (TWX:$14.505,0$-0.345,0-2.32%)
Short interest rose 25.2 percent in Time Warner (TWX:$14.505,0$-0.345,0-2.32%) .
Time Warner (TWX:$14.505,0$-0.345,0-2.32%) said on Wednesday it sees advertising softening
for AOL (TWX:$14.505,0$-0.345,0-2.32%) and its publishing business, but remaining strong on
its cable unit.
About 56 million shares of Time Warner (TWX:$14.505,0$-0.345,0-2.32%) were held short, or
1.6 percent of its total shares outstanding.
IAC/INTERACTIVECORP (IACID:$16.81,00$-0.30,00-1.75%)
Short interest rose 84.03 percent in IAC/InterActiveCorp (IACID:$16.81,00$-0.30,00-1.75%) .
In late August, Bernstein cut the company's stock price
target to $20 from $25. On August 21, it completed its split
into five publicly-traded companies.
About 5.7 million shares of IAC/InterActiveCorp (IACID:$16.81,00$-0.30,00-1.75%) were held
short, or 4 percent of its total shares outstanding.
NVIDIA CORP (NVDA:$10.40,00$-0.42,00-3.88%)
Short interest in Nvidia rose 109.78 percent.
The graphics chip maker posted revenue that fell short of
expectations in August and is facing intense competition from
rivals Advanced Micro Devices Inc (AMD:$5.76,00$-0.02,00-0.35%) and Intel Corp (INTC:$19.98,00$-0.18,00-0.89%) .
About 47.2 million shares of Nvidia were held short, or 8.5
percent of its total shares outstanding.
INFOSYS TECHNOLOGIES LTD (INFY:$37.94,00$-1.25,00-3.19%)
Short interest in Infosys rose 32 percent.
India's second-largest software services exporter last
month agreed to buy Britain'sAxon Group (AXNGF:$10.9500,$0.0000,0.00%) <AXO.L>
About 15 million shares of Infosys were held short, or 2.7
percent of its total shares outstanding.
TEMPUR-PEDIC INTERNATIONAL INC (TPX:$11.9200,$-0.5800,-4.64%)
Short interest in Tempur-Pedic International Inc rose 30.78
percent.
The mattress maker and its competitors have been struggling
with softer sales as cash-strapped customers cut down on
big-ticket items.
About 44.4 million shares of Tempur-Pedic were held short,
or 59.4 percent of its total shares outstanding.
ANADARKO PETROLEUM CORP (APC:$55.3900,$0.5600,1.02%)
Short interest in Anadarko rose 85.43 percent.
Anadarko, which has a capacity to produce 150,000 barrels
of oil equivalent per day from its Gulf of Mexico facilities,
said this week it expects to shut all of its oil and natural
gas production there in advance of Hurricane Ike.
About 16 million shares of Anadarko were held short, or 3.4
percent of its total shares outstanding.
(Reporting by Phil Wahba; editing by Carol Bishopric)
Bummer, somebody else from that crowd died recently as well. I should have posted it, and I don't want to guess the name in case my guess is wrong. That is how rumors get started, lol.
No, I have been in and out of this a few times, I dont believe in holding on to these POS's forever, if I can help it. Not like others, such as yourself.
Thanks, glad to see you have a sense of humor.
Saw this and thought of you...
This one is trading weird...manipulation, IMO.
Added some today.......
Not many companies have the luxury of knowing that the moment they can produce their widgets the widgets are sold. That is why this industry, as well as this particular biodiesel venture intrigues me.
Not if you dont have funding. That could make the wait real long. Hasn't this been what it is all about to begin with? It is the clincher and vital ingredient, IMO.
i ain't no prosecutor...
So does that mean you ARE a prosecutor?
From 10Q 2 weeks ago...
Plan of Operation
We continue promoting and marketing the Pipeline Posse product line, a recognized name in the world of surf and action sports. Our intent remains the manufacturing, selling and distributing of our own lines of surf wear and to promote this and other lines of goods in appropriate trade journals and other media as they are developed, expanded and distributed. Our first full length movie (surf video) – “Pipeline Posse – Project One” is now for sale in surf shops nationwide as well as available on the website: pipelineposse.com. Ads have been placed in major surf publications as well as on selected internet websites and the video trailers are available for viewing in our website video section. Private label business is beginning to return in spite of the continuing competition with aggressively marketed inexpensive overseas manufacturing. We continue to advocate the value of “Made in the USA” products and this is having some effect on new business as well as the return of previous customers. Our unique ability to respond to client needs for fast delivery also adds to our value as a domestic producer of quality goods. Should we be able to perpetuate and expand this trend we will add to our existing staff to support expansion and growth of both our private label business and entertainment business now that the writer’s strike has ended and remain cautiously optimistic on both issues.
Private Labeling
Domestic headwear suppliers have been drastically reduced as a result of increased lower pieced imports. Suppliers remaining in this business each have their own niche in the market place. Few remain in California and our customer base is increasing somewhat with this reduced competition. There are U.S. suppliers located in the Midwest and on the East Coast. They seldom manufacture for our market and deal mainly in the golf, major league baseball and ad specialty-type businesses.
Overseas suppliers are a different situation. They can produce a cap at a fraction of the price we can and we are constantly in competition with them. They can copy all that we create, but if they are asked to create on their own, they may fall short, as our industry is constantly changing by way of fabrics, styles, and method of decorating. Overseas suppliers are in the business of mass production for export. Our current customers use overseas suppliers for some of their "bread and butter" styles but tend to use U.S. suppliers for the more cutting edge products. However, overseas manufacturers require considerably more time in creating new products because of their inability to provide face-to-face contact with designers and domestic customers. They also require greater lead times for shipping and cannot make changes overnight (literally) when required. The logistics also may not allow them to be immediately aware of developing trends, forecasting them, and then developing an appropriate finished product instantly.
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At present, the youth oriented "action sports" lifestyle-clothing market (surf/skate/snow) is led by labels such as "Quiksilver" of Huntington Beach, California, representing in excess of $1 billion in annual sales. Also, "O'Neill Sportswear", "Rip Curl", "Lost", "Billabong", "Volcom", and numerous other Orange County, California-based clothing companies service this market and can be considered competition for our new brands. We believe that teens and young adults are looking for something new and trendy to identify with, purchase, and wear.
Although we believe we now have the experience and resources to take advantage of and fulfill the needs of this market and we have already made significant steps towards doing so, the youth, active and sports apparel industry is highly competitive, with many of our competitors having greater name recognition and resources than we do. Many of our competitors are well established, have longer-standing relationships with customers and suppliers, greater name recognition and greater financial, technical and marketing resources. As a result, these competitors may be able to respond more quickly and effectively than we can to new or changing opportunities or customer requirements. Existing or future competitors may develop or offer products that provide price, service, number or other advantages over those we intend to offer. If we fail to compete successfully against current or future competitors with respect to these or other factors, our business, financial condition, and results of operations may be materially and adversely affected.
We currently have no market share data available for competition in these areas. We work on each job through personal contacts and are frequently the only company contacted for the particular project.
We do not depend on any one or a few major customers.
Patents, Trademarks, Franchises, Concessions, Royalty Agreements, or Labor Contracts
We recently applied to the USTPO for the trademark “Pipeline Posse” in several categories. Each of our applications is active and currently under review for approval by the USPTO examiners We will continue to assess the need for any copyright, trademark or patent applications on an ongoing basis.
Film Wardrobe & Entertainment Related Business
Film wardrobe and related business remains slow as productions continue to be produced outside the United States. This holds true for nearly all of the major studios as well as independent filmmakers, causing the majority of the local costume houses to downsize.
To counter this trend and help regain our lost dollar volume in this area we will continue our existing strategy of marketing directly to movie and television productions before they begin filming locally and send units out of town on location. Our strategy of dealing directly with producers, wardrobe personnel, and talent is beginning to pay off with recent orders from major films such as “Superman Returns” and the recently released “American Gangster” starring Denzel Washington and Russell Crowe.
Corporate Sales
While corporate clients currently account for less than fifteen percent (15%) of our business, we continue to focus on growing this area of our business over the next year with the addition of in-house salespeople. Also, the addition of new silk screening equipment has given us the capability to accept and produce large orders of promotional t-shirts and related items for corporate programs through outside sales and advertising organizations. Our salespeople are now attempting to solicit business to our existing client base via telephone and Internet as well as to potential new customers through the same means as well as through print advertising via mailing and placement in trade publications. We are committed to making this new division profitable and more qualified labor has been retained to operate the new equipment as needed. Second and third manufacturing shifts can be added as growth requires. We have assigned two in-house clerical persons to service new inquiries and added accounts, as well as order finished goods for embellishment and shipping. Current production capacity is adequate to handle the anticipated increased volume. No other major capital expenditures are anticipated at this time.
Development of new Product Lines
We have identified and developed an opportunity to export the California life style to the rest of America and to the worldwide markets in general. Started as an idea born in San Clemente, California, home of the premier surfing beaches in the world, we have created a number of California Driven brands of products.
Under the California Driven umbrella, several lines are being developed with specific target markets in mind. Currently, several California Driven products are being developed by us but they do not represent any significant amount of our current overall revenue. The California Driven brand lines are being developed as an expansion into our own line of products to market and sell.
--------------------------------------------------------------------------------
The first identified brand line is Pipeline Posse™. Three trademarks have been applied for and are under active review for approval by the USPTO. We have completed initial design of a line of surf wear under the Pipeline Posse™ logo and have manufactured lifestyle oriented goods to begin a sales and marketing campaign. The exclusive rights for Pipeline Posse™ were acquired on August 15, 2005 from Braden Dias of Hawaii. Mr. Dias is a world renowned surfer and is under agreement with us to represent Pipeline Posse as a professional athlete in the development of Surf and Sportswear lines. In addition to Mr. Dias, several additional professional Hawaiian surfers are currently under agreement to represent the project and 3 support people have been hired, both in Hawaii and California. Clothing design is being aggressively developed by both in-house personnel and professional independent contractors experienced in product development for the Action Sports Industry.
Contact with our target market has been initially established in several major surf publications through personal interviews with our athletes as well as editorials on The Pipeline Posse itself. Print and on-line advertising campaigns have commenced in both industry related magazines and websites. We have also published and activated PIPELINEPOSSE.COM, our website which features up to date information on the athletes, activities, photo and video galleries, an active news blog, related action sports links, and a fully developed online store. The secure site and shopping capability has been recently activated to accept credit cards and offer shipment of merchandise worldwide. A multi- faceted major advertising and marketing campaign is being budgeted and developed for 2008 and professional sales organizations are being interviewed and considered for representation and distribution of the brand both domestically and worldwide.
Additional Action Sport related brands are being considered and are in various stages of development in regard to trademarks, competition, market potential, and strategy and cost. Target dates for launch have not been yet established.
Aren't you just doing the same thing with that post, that you are accusing him or her of?
Nice to see. This one had me worried for a sec...
Unfathomable. I cant believe it. This sure changes my thoughts in regards to the whole court case BS. Bad...
I am waiting until the ask comes down to 1 to put in a bid at 1. I know if we keep posting negativity it can happen. You guys rock!
Looks like they have maxed out their available bandwidth...
It is better than zero, which is what showed up in my account(since the 'E') and others accounts, until there was finally a transaction. So, yes 10 sucks, but it is better than zero, lol.