Boone & Kurtz Contemporary Business Weekly Updates » Financing Management (p590)

U.S. Stocks Rally a Third Week on Earnings, Economic Data

Brahm Canzer — Mon, 20 Dec 2010 10:03:15 +0000

Description: U.S. stocks rose for a third week, sending the Standard & Poor’s 500 Index to a two-year high, as stronger-than-estimated data on retail sales, manufacturing and housing boosted confidence in the economic recovery.

Source: Businessweek.com

Date: 12/18/2010

Link: http://www.businessweek.com/news/2010-12-18/u-s-stocks-rally-a-third-week-on-earnings-economic-data.html

Questions for discussion:

Summarize the highlights of this report.
Why has the stock market performed well recently?
Do you think the stock markets will continue their recent trends into 2011?

Three Reason’s Facebook’s Revenue Surge Is Even Better Than It Looks

Brahm Canzer — Mon, 20 Dec 2010 10:02:42 +0000

Description: If TIME Magazine didn’t tell you already, 2010 was the year of Facebook, but not just because its founder, Mark Zuckerberg, had a newsworthy year, no matter how you slice it.

Source: BNET.com

Date: 12/17/2010

Link: http://www.bnet.com/blog/new-media/three-reason-8217s-facebook-8217s-revenue-surge-is-even-better-than-it-looks/6874?tag=mantle_skin;content

Questions for discussion:

Summarize the opinions expressed in this interview.
Do you think the Facebook phenomena and dominance in social media will endure?
How else can Facebook generate revenue other than the ways it does so, currently?

What’s a Quiet Guy Doing on Real Estate’s A-List?

Brahm Canzer — Mon, 20 Dec 2010 10:01:40 +0000

Description: WHEN General Growth Properties buckled under a mountain of debt and filed for bankruptcy last year, deal watchers assumed that Simon Properties, the nation’s largest mall owner, would swoop in and buy it. So many people were stunned when Brookfield Asset Management, a lesser-known company that is based in Toronto, beat out Simon last May and snagged a major ownership stake.

Source: NYTimes.com

Date: 12/18/2010

Link: http://www.nytimes.com/2010/12/19/business/19brook.html?ref=business

Questions for discussion:

Summarize the growth history of the firm.
How has the recent financial crisis helped some firms grow while others falter?
What strategic lessons are there to learn from this report?

A drive through ‘foreclosure row’

Brahm Canzer — Mon, 13 Dec 2010 09:05:51 +0000

A drive through ‘foreclosure row’

Description: A local realtor gives a tour of the Southern California planned community whose streets are marked by foreclosures and short sales.

Source: CNNMoney.com ñ video report

Date: 12/07/2010

Cat ñTags: 1, 6: Economic Challenges Facing Contemporary Business (p66), The Financial System (p558), Financing Management (p590)

Link: http://money.cnn.com/video/pf/2010/12/06/pf_ladera_ranch_devon_hocker.cnnmoney/

Questions for discussion: Explain the reasons given for the collapse of real estate prices in this report? How do you think this crash in prices is going to affect companies that build homes and future buyers? Do you think consumer psychology toward home ownership has been permanently affected by this event? How would you expect buyers to look at home ownership in the future

Description: A local realtor gives a tour of the Southern California planned community whose streets are marked by foreclosures and short sales.

Source: CNNMoney.com ñ video report

Date: 12/07/2010

Link: http://money.cnn.com/video/pf/2010/12/06/pf_ladera_ranch_devon_hocker.cnnmoney/

Questions for discussion:

Explain the reasons given for the collapse of real estate prices?
How do you think this crash in prices is going to affect companies that build homes and future buyers?
Do you think consumer psychology toward home ownership has been permanently affected by this event?
How would you expect buyers to look at home ownership in the future?

Tax cuts: More money in your pocket

Brahm Canzer — Mon, 13 Dec 2010 09:04:35 +0000

Tax cuts: More money in your pocket

Description: With the extension of the Bush tax cuts, a payroll tax holiday will put 2% of many workers’ annual paycheck back in their pockets.

Source: CNNMoney.com ñ video report

Date: 12/07/2010

Cat ñTags: 1, 6: Economic Challenges Facing Contemporary Business (p66), The Financial System (p558), Financing Management (p590)

Link: http://money.cnn.com/video/news/2010/12/07/n_tax_cuts_tax_bill.cnnmoney/

Questions for discussion: Summarize the basic points presented in this report? What impact do you think these decisions will have on the economy and any businesses in particular? How should investors be expected to respond?

Description: With the extension of the Bush tax cuts, a payroll tax holiday will put 2% of many workers’ annual paycheck back in their pockets.

Source: CNNMoney.com ñ video report

Date: 12/07/2010

Link: http://money.cnn.com/video/news/2010/12/07/n_tax_cuts_tax_bill.cnnmoney/

Questions for discussion:

Summarize the basic points presented in this report?
What impact do you think these decisions will have on the economy and any businesses in particular?
How should investors be expected to respond?

Tax Package Will Aid Nearly All, Especially Highest Earners

Brahm Canzer — Mon, 13 Dec 2010 09:01:13 +0000

Description:The deal to extend the Bush-era tax cuts for two years includes a bevy of additional credits and deductions that will reduce the burden on nearly all households.

Source: NYTimes.com

Date: 12/07/2010

Link: http://www.nytimes.com/2010/12/08/us/politics/08impact.html?ref=business

Questions for discussion:

Summarize the basic agreement that was reached for taxes.
What are the basic arguments over who should pay and how much?
How will the tax cuts affect the economy?

Seattle stadiums greener than grass

Brahm Canzer — Mon, 06 Dec 2010 10:05:33 +0000

Description: Qwest Field and the ShoWare Center are two of the most energy efficient stadiums in sports. See how they do it.

Source: CNNMoney.com – video report

Date: 12/03/2010

Link: http://money.cnn.com/video/news/2010/12/02/n_green_seattle_sports.cnnmoney/

Questions for discussion:

Is the effort to “go green” paying these businesses back more than the money saved in operating expenses?
Why is this socially responsible behavior?
Is this a good way to educate the broader society?
What other socially responsible behaviors could be developed by these businesses?

Groupon reportedly spurns Google’s billions

Brahm Canzer — Mon, 06 Dec 2010 10:04:09 +0000

Description: Groupon Inc. has walked away from a Google Inc. acquisition offer worth as much as $6 billion, according to reports late Friday, appearing to set the stage for a Groupon IPO as soon as next year.

Source: Marketwatch.com – video report

Date: 12/04/2010

Link: http://www.marketwatch.com/story/groupon-reportedly-spurns-google-merger-2010-12-04

Questions for discussion:

Do you think Groupon is overvalued in this proposed deal?
How would you evaluate Groupon’s fair value from an acquisitions point of view?
Why would the acquisition affect the value of Google shares?

Macy’s: They’re buying; we’re hiring

Brahm Canzer — Mon, 29 Nov 2010 10:05:06 +0000

Description: CEO Terry Lundgren says Macy’s has taken on extra staff to cope with holiday demand and expects to create permanent positions as well.

Source: CNNMoney.com – video report

Date: 11/26/2010

Link: http://money.cnn.com/video/news/2010/11/26/n_co_macys.cnnmoney/

Questions for discussion:

How well is Macy’s shopping season going so far?
Why is the business activity at Macy indicative of economic activity in general?
How is employment in the economy related to the success at retailers like Macy’s?
Do you share the optimism that the results at Macy’s suggest?

Investors cheer GM debut

Brahm Canzer — Mon, 22 Nov 2010 10:05:02 +0000

Description: The automaker’s stock debuted at $35 a share, a 6% premium from the offering price, raising investor hope that GM will become a Wall Street darling.

Source: CNNMoney.com – video report

Date: 11/18/2010

Link: http://money.cnn.com/video/markets/2010/11/18/mkts_gm_ipo.cnnmoney/

Questions for discussion:

Was the government’s decision to re-finance GM a good choice financially and socially speaking?
Do you think the government will recover all of its original $50 billion investment?
Would you be an investor in GM today?