Healthcare Reforms Keep 2.5 Million Young Adults C...

U.S. healthcare reforms under the Affordable Care Act supported and authorized by President Barack Obama in 2010 keeps young adults insured. The biggest U.S. health reform in 50 years aims to make medical insurance available to over 30 million Americans. In September, the law has allowed children through age 26 to join or remain covered under their parents’ health coverage. This announcement made on Wednesday means...

Pincus Holds Dominant While Using Zynga IPO to Adv...

Mark Pincus, along with his bulldog Zinga and 20 more guys, regularly played soccer at San Francisco’s Golden Gate Park for years. Now, Pincus is the CEO of online games developer Zynga Inc. whose shares in an IPO this week on the Nasdaq stock exchange were valued at $9 billion. Pincus, described to be a control freak, retains company control even after it goes public. Special shares class allows him 37% voting power even...

Investors See Huge Mortgage Mess Mending Cost

Doubleline Capital Management portfolio manager Vincent Fiorillo said it will take at least $100 billion to put an end to litigations against banks with faulty mortgages or restrain the state attorney general from filing lawsuits. This amount is four times the $25 billion settlement amount involved in ongoing talks to settle mortgage issues. Fiorillo said the idea of big settlement allows a clean start. A member of the...

Sprints Offers $1.6 Billion Help to Clearwire

Clearwire Corp’s liquidity crisis has prompted an offer of $1.6 billion help over the next 4 years from Sprint Nextel Corp, the 3rd U.S. mobile provider. It sent bankruptcy-risk Clearwire shares up by 14%. Part of the deal was an extension of Sprint’s Clearwire network use and possibly an equity combination and payment of Clearwire debt interest of $237 million due December 1. The majority of Clearwire is Sprint-owned and...

AMR Corporation Making a Way around Bankruptcy

On Tuesday, American Airlines parent company joined those that filed for Chapter 11 bankruptcy. High fuel prices, over $800 million labor costs and competitors winning the airline’s business travelers over caused its defeat. Despite the filed bankruptcy with a cash stockpile of $4.1 billion, the company said buying new aircraft from Boeing and Airbus is still feasible. It may resurface as a tough contender by 2012’s end...

BP CEO Dudley Pressured Anew by Failed Deal

In October, BP’s CEO Bob Dudley said it could increase its dividend in February to recover from the Gulf of Mexico oil spill. However, his planned sale of $7 billion stake in an Argentinean unit failed as supposed buyer Bridas (co-owned by China’s CNOOC) terminated the talks. This is Dudley’s second failed multi-billion dollar deal and investors now question if he can indeed make a turnaround for the group. On Monday,...

Protesters Dispersed by Oakland Police with Use of...

Lingering Oakland protesters were dispersed by police on Thursday with tear gas to prevent the expansion of the protesters’ foothold. What the police called an unlawful assembly was a generally peaceful rally by demonstrators against economic inequality and police brutality. They said the financial system is only for the benefit of corporations and the rich. Over 200 officers who wore gas masks fired volleys of tear gas at...

Rising U.S. Deflation, a Dreadful Scenario

Deflation may be unlikely amidst a declining job market considering the recent growth recovery. The Federal Reserve is also expected to ward it off just in case but investors and economists believe the risk is real. This is a reason for this: prices of goods continue to rise and unemployment is seen to be near twice its pre-recession level by 2012. Merrill Lynch economist Joshua Dennerlin said everything points to deflation...