Description:  The former head of American International Group Inc is urging a closer look at the actions of Goldman Sachs Group Inc, claiming the investment bank contributed to the insurer’s near-collapse, the Wall Street Journal reported on Saturday.

Source: Reuters.com

Date: 01/09/2010

Link: http://www.reuters.com/article/idUSTRE6081IB20100109

Questions for discussion:

• What is your view of this exchange between parties to the financial collapse?
• Where do you believe the blame lies? Explain your answer.

Description: London’s investment banks are luring back traders and analysts they lost to brokerage firms during the credit crisis, compensating for lower bonuses by as much as doubling base salaries.

Source: Bloomberg.com

Date: 01/08/2010

Link: http://www.bloomberg.com/apps/news?pid=20601109&sid=aCYBE_nDS.Ys

Questions for discussion: 

• What does the article suggest to you about the financial services industry’s dealings with compensation?
• Do you think it is a correct approach? Explain your thinking.

Description: Google CEO Eric Schmidt said in September that the search leader will buy up to one company a month in 2010. Here’s a look at some of the leading contenders.

Source: CNNMoney.com

Date: 01/02/2010

Link:  http://money.cnn.com/galleries/2009/technology/0912/gallery.google_acquisitions/index.html

Questions for discussion:

• Do you agree or disagree with the assessments made favouring these acquisitions? Explain your thinking.
• Are there alternative acquisitions that you think are superior? Explain your choices.
• In general terms, is the acquisition route a good way for Google to go? Explain your thinking.

Description:  Kraft Foods (KFT.N) is preparing to sweeten its hostile 10 billion pound ($15.9 billion) takeover bid for British confectionery maker Cadbury (CBRY.L), reported the Sunday Times.

Source: Reuters.com

Date: 01/03/2010

Link: http://www.reuters.com/article/idUSLDE60207X20100103

Questions for discussion:

• Do you believe the bid is overpriced? Explain your thinking.
• How would you assess the bidding process thus far and how high do you think the price can go for Cadbury? Explain your answer.

Description: The U.S. stock market is wrapping up what is likely to be its worst decade ever. In nearly 200 years of recorded stock-market history, no calendar decade has seen such a dismal performance as the 2000s.

Source: WSJ.com

Date: 12/20/2009

Link: http://online.wsj.com/article/SB10001424052748704786204574607993448916718.html?mod=WSJ_hp_mostpop_read

Questions for discussion: 

Summarize the highlights of the story.

• Do you think dividends will regain their earlier growth patterns? Explain your answer.
• How do you think stocks will perform over the next ten years? Explain your answer.
• Which stock sectors do you think will outperform the averages?
• Which stock sectors do you think will perform less than the averages?

Description: Kenneth Feinberg limits pay to 500,000 for hundreds of employees at AIG, General Motors, Citigroup and GMAC.

Source: CNNMoney.com

Date: 12/11/2009

Link:  http://money.cnn.com/2009/12/11/news/companies/feinberg_compensation/index.htm

Questions for discussion:

• What are the arguments put forward that favour limiting the pay of executives at these firms?
• Do you agree with these arguments?
• What are possible consequences of this approach?
• Do you believe this represents micro-managing by government? Explain your thinking.