Barclays and UBS escaped $930 mln and $3.4 bln of trust-busting fines for exposing Libor cartels. It’s compensation for taking the reputational hit of settling early with other regulators. When the saga is done, the balance of financial pain may be in the whistleblowers’ favour.
Investors’ patience with the UK’s largest supermarket operator is justifiably wearing thin. There’s a desperate shortage of the kind of good news needed to rebuild confidence. But while the turnaround is coming at a painfully slow pace, there’s no obviously better alternative.
The Australian shopping mall giant is separating its international and local assets in a cash-and-share deal. The cleaner structure may allow Westfield to command a higher valuation like its U.S. peers. To lure new investors, it might need an overseas listing.
Court approval of Motown’s filing may force bondholders, insurers and pensioners to share restructuring pain. The ruling also confirms bankruptcy as a credible choice for even the biggest cities. That could give shaky municipalities a needed kick to get their finances in order.
The Italian fashion house is sizing up outside investors and reckons it can triple in value in 3 years. There is real potential, because Versace is so far behind industry trends. But a big price tag for a skimpy stake alongside a powerful family? That’s a hard look to pull off.
Larry Summers has warned of long-term stasis in rich nations. If the former U.S. Treasury Secretary is right, emerging markets will need to invest more to end the savings glut causing the malaise. But that means confronting an old puzzle: why hasn’t capitalism solved the problem?
The online retailer expects airborne deliveries just a few years hence. It’s a striking vision, but it seems as overly optimistic as investors’ expectations of the company overall. Amazon’s market value has ballooned to $180 bln despite big profits always hovering in the future.