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Nov 8, 2015

Weyerhaeuser to buy Plum Creek, creating $23 bln timber company

NEW YORK, Nov 8 (Reuters) – Weyerhaeuser Co will
purchase Plum Creek Timber Co Inc in a deal announced on
Sunday that the two companies said would create a $23 billion
timber, land and forest products company, the largest in the
United States.

The new company, which will keep the Weyerhaeuser name, will
manage more than 13 million acres of timberland that will allow
it to drive economies of scale and capitalize on the U.S.
housing recovery, the companies said.

Nov 7, 2015

Connecticut pension report to advise trimming return outlook

Nov 6 (Reuters) – A report expected next week on reforming
Connecticut’s state employee public pension system will
recommend cutting the annual expected rate of return by 1
percentage point to 7 percent, a lead researcher told Reuters on

The lower return forecast means the state may have to
contribute more money to the pension system. The report was
commissioned by Connecticut’s Office of Policy and Management
(OPM) and prepared by analysts at the Center for Retirement
Research (CRR) at Boston College.

Oct 26, 2015

World Series a positive for Mets bonds: Moody’s

NEW YORK (Reuters) – The New York Mets’ first appearance in baseball’s World Series since 2000 won’t just have fans cheering, it should also bring a smile to holders of the club’s bonds.

Competing for the Major League Baseball championship this year should generate excitement among fans next year too, helping the team fill its stadium, Citi Field, at home games. That will push up revenues, making more cash available to pay back the debt.

Oct 22, 2015

U.S. public pension funds slowly wake up to risk

NEW YORK (Reuters) – U.S. public pension funds are cutting investment return assumptions because of years of zero interest rate policies and changing how they manage risk to avoid a repeat of the damage caused by the financial crisis.

The growing recognition that short-term volatility can have a devastating impact on mature pension plans in the $4 trillion sector could herald a sea change in the way public funds invest in the future.

Oct 19, 2015

Connecticut governor calls for budget talks as deficit grows

NEW YORK, Oct 19 (Reuters) – Connecticut’s Governor Dannel
Malloy called for bipartisan budget talks on Monday as new
forecasts showed the state’s fiscal deficit widening to $120

Malloy called for “a real discussion – not just in the
Capitol, but across Connecticut – about how we balance our
budget this year” and said he may call a special legislative
session in coming months.

Oct 8, 2015

New York’s Cuomo says no closer to deal on MTA funding

NEW YORK (Reuters) – New York’s Governor Andrew Cuomo said on Thursday that he is no closer to an agreement with New York City over funding the city’s public transport system and that any contribution under $3 billion “short changes” users.

Officials from the state, city, and New York’s Metropolitan Transportation Authority (MTA), which runs the city’s subway and bus network, as well as suburban rail lines, have been wrangling for more than a year over who should pay for the system’s capital plan. The cost of the plan runs to nearly $30 billion through 2019.

Oct 6, 2015

Bill Ackman says short-term money driving market volatility

NEW YORK (Reuters) – William Ackman, head of hedge fund firm Pershing Square Capital Management, said on Tuesday that financial market volatility was being driven by short-term money without regard to long-term economic fundamentals and that Valeant Pharmaceuticals International Inc was the most undervalued stock among his top holdings.

“There is a huge amount of money that moves without regard to long-term economic fundamentals,” said Ackman at a Bloomberg investor conference in New York. Ackman added that the volatility was creating opportunities for long-term fundamental investors looking to pick up undervalued stocks.

Sep 30, 2015

SEC fines 22 municipal bond underwriting firms

By Lisa Lambert and Edward Krudy

(Reuters) – The U.S. Securities and Exchange Commission has
fined 22 municipal bond underwriting firms more than $4 million
for selling bonds with offering documents that contained false
statements or omissions, the securities regulator said on

The action relates to activities between 2010 and 2014 and
is part of the agency’s increased focus on the U.S. municipal
bond market, where disclosure and pricing practices are often
inconsistent and not monitored as actively as in other markets.

Sep 29, 2015

New York city mayor pushes pension funds to dump coal stocks

NEW YORK (Reuters) – New York City’s mayor Bill de Blasio has called on the city’s $160 billion public pension funds to dump their investments in coal companies and reconsider investments in other fossil fuels as he pushes a clean energy agenda for the city.

De Blasio’s comments on Tuesday are the latest in a growing chorus advocating cutting coal from public pension portfolios. His remarks come after California lawmakers passed a bill requiring the state’s pension funds to sell their investments in coal companies earlier this month.

Sep 2, 2015

Markets’ wild moves seen making U.S. public pension funds vulnerable

NEW YORK (Reuters) – Last week’s wild gyrations in global financial markets almost certainly exposed the vulnerability of U.S. state and local authority public pension funds which have piled into riskier assets in recent years, according to actuaries and other pension experts.

Based on data from the Federal Reserve, the funds are sitting on nearly $4 trillion in assets that are more than 70 percent exposed to equities and other riskier assets, such as commodities and hedge funds. And some states with massive pension funding deficits, such as Illinois, are likely most in danger of suffering big losses given their risk profiles.

    • About Edward

      "Ed Krudy leads a team covering the U.S. equity market from New York, where he has been since 2009. Prior to that he set up Thomson's new bureau in Budapest, where he initiated coverage of economic, political, market and company news."
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