BHP Billiton takes Potash bid to shareholdersBHP Billiton Chief Executive Officer Marius Kloppers flew to Chicago to deliver the letter containing his $40 billion offer to Potash Corp. of Saskatchewan Inc. CEO Bill Doyle. The reply was a blunt rejection. In explaining the Aug. 12 meeting on a conference call two days ago, Doyle, 60, said the "highly opportunistic" approach "grossly undervalues" the world's largest fertilizer producer. Kloppers took the $130-a-share offer direct to Potash Corp.'s shareholders, starting his second hostile takeover since 2008, when he failed to buy Rio Tinto Group.
BHP Billiton takes Potash bid to shareholders
Hedge-fund icon to call it a dayStanley Druckenmiller, the hedge-fund icon who boasts one of the best long-term trading records and the distinction of having made $1 billion for George Soros by forcing a devaluation of the British pound in 1992, is closing his firm after 30 years. Druckenmiller, 57, said he is tired of the stress of managing money for others and frustrated by his failure in the past three years to match returns that had averaged 30 percent annually since 1986. His Duquesne Capital Management, which has never had a losing year, is down 5 percent in 2010.
Refinancing applications shoot up 17%Mortgage refinance applications rose 17 percent from the previous week and lifted the percentage of refinancing as a part of the total mortgage market to its highest level since January 2009, according to the Mortgage Bankers Association. Total mortgage volume rose about 13 percent from the previous week, the group said Wednesday. The group also said that the average contract interest rate for 30-year fixed-rate mortgages increased to 4.60 percent from 4.57 percent.
Blackstone taking stake in General GrowthAsset manager Blackstone Group has agreed to invest about $500 million for shares in General Growth Properties Inc. once the shopping mall operator emerges from Chapter 11 bankruptcy protection. General Growth disclosed Blackstone's role in a regulatory filing Wednesday detailing an amended version of its proposed reorganization plan.
Mexico puts a tariff squeeze on U.S.Mexico Wednesday released a list of 99 U.S. products subject to higher tariffs to pressure Washington to lift a U.S. ban on Mexican cargo trucks. The tariffs range from 5 percent to 15 percent and apply to products including cheese, fruits, juices, wine, toilet paper and some pork products. The U.S. government has expressed disappointment in the measure announced Monday. The tariffs will affect about $2.5 billion worth of trade from 43 U.S. states.
This time, judge OKs Barclays settlementBarclays won a judge's approval Wednesday of its $298 million settlement with the government over dealings with nations including Sudan, Libya and Iran, a day after he delayed the accord. U.S. District Judge Emmet Sullivan in Washington Tuesday had requested more information about the settlement. London-based Barclays will pay $149 million each to the U.S. and New York state, according to a deferred-prosecution agreement filed this week. During an hourlong hearing, Sullivan criticized the accord for not going after individuals who perpetuated the crime, and for punishing shareholders.
Iceland to question ex-head of failed bankA broadcaster in Iceland has reported that the former chairman of the country's largest bank, which failed spectacularly in the early days of the world financial crisis, has returned to the island to face questions from prosecutors. Authorities issued an arrest warrant for Sigurdur Einarsson, who chaired Kaupthing when the bank imploded under the weight of its mammoth debts in the autumn of 2008. Icelandic national broadcaster RUV said Einarsson arrived in Iceland on Wednesday.
Airline blames volcanic ash for its lossScandinavian airline group SAS AB saw its losses narrow to 502 million kronor ($68 million) in the second quarter and said it would have swung back to profit if it weren't for the ash cloud from an Icelandic volcano.
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No fatalities have been reported among the 80 passengers and crew members on board, though 18 were injured.