"Merkel continued to impress the world with her cool leadership at two
back-to-back summits, and stuck to her principles, getting G8 leaders to agree
to significant cuts in carbon emissions, among other things," Forbes
Friday, August 31, 2007
Under the Bush proposal, which FHA officials said would take effect
immediately, an estimated 60,000 homeowners who have fallen behind on payments because their mortgages have reset would be able to refinance with FHA-insured loans. That marks a significant change because FHA does not now insure refinanced loans from borrowers who are currently delinquent.
I love "ARE YOU READY?" and all the other SEC football idiosyncrasies,I actually got a chance to see that Sweet Home Alabama sung at Bryant-Denny Stadium. It was one of the greatest football related experiences you could have. You could really feel like you were in the cathedral of football praying with the flock.
too, because they come from the same kind of passion: Mississippi State's
cowbells, the Vol Navy, an Arkansas fan using the Freedom of Information Act,
the way the crowd sings along to "Sweet Home Alabama" on a warm Southern
Saturday at Bryant-Denny Stadium. In Birmingham, they love the gov'nah, indeed. Me, too, even if I don't know a single thing about him. That's what football can do. It can even make me love Steve Spurrier. That rat bastard, I love him
Thursday, August 30, 2007
Research in Motion (nasdaq: RIMM - news - people ) also had a good day. Shares of the BlackBerry maker rose .9%, amid chatter that software giant Microsoft (nasdaq: MSFT - news - people ) wanted to buy the company. Microsoft may be angling to muscle rival Google (nasdaq: GOOG - news - people ) out of the mobile phone software market.There has been talk of Google possibly getting into the mobile phone business with a Google branded phone. Maybe MSFT is going to try to head them off at the pass and really shake some things up. I think this would be a very canny move by MSFT to get away from the desktop/laptop field and become the king of mobile computing.
Also it would be nice to concentrate the Blackberry and Windows Server 2003 all into one easier to handle source. Also MSFT would get the patents to push e-mailing so they can do all sorts of crazy stuff with newer versions of Exchange Server going forward.
This would also get MSFT into the handset business so they would be able to compete head to head with Nokia, Motorola, Samsung etc. If they tried to compete from scratch they would probably fall on their head. Instead they would be buying millions of users who are already using the Blackberry service who would be unlikely to switch to Palm or the Motorola Q. They will by buying a leader in the field and not some also-ran like Palm.
I think if they complete the deal (it would cost like $46 billion and MSFT has $12 billion in cash) it will really make MSFTs stock hum since they will be buying a true growth business. It is the kind of deal that would reshape their company. It would be a little like how Apple went from Mac to IPod to IPhone in the consumer realm. Instead MSFT will be doing from Windows XP, to Windows Mobile, to Microsoft Blackberry in the corporate realm. It would suck to get a virus on your Blackberry though.
The $764 million in net income fell sharply from the $1.4 billion lastThis means things might get alot worse before they start getting better. The bad part is that quite a few adjustable rate mortgages still have the adjust in the coming months. The age of the "House Flipping Wanna-be Robert Kiyosaki" are long gone.
The company's chief financial officer blamed a rise in mortgage
defaults for the lower earnings. Costs related to current and future failed
loans rocketed 433 percent from a year earlier to $336 million, and rose 74
percent from the first quarter.
Rising loan failures have not yet set off alarms about the quality
of the company's assets, said Jim Vogel, who tracks the company for FTN
Financial in Memphis, Tennessee.
The Toronto telecom equipment supplier is considering aThe stock is also trading in the mid-10's so this would be quite a nice bid if they do the deal. However Nokia and Siemens were thinking of jumping in for $16-$17 a share on the deal last month so the spread dropped a little. Some options players think a deal is eminent because they bought about 16000 At or Near the money calls from the Sept. through the Dec. series. Almost no puts traded today as well.
cash-and-stock offer for Tellabs, according to a source familiar with the
discussion. A takeover price of $14 to $15 a share from Nortel was reported
Thursday by Light Reading, a networking industry publication.
H&R Block is negotiating with Cerberus to waive some closingCerberus seriously doesn't want to start racking up big losses just to get their hands on that Option One mortgage servicing business. It looks more and more like the sub prime loans that people have made are like a hot potato that no one wants at any cost. I'm still thinking that the tax payer will end up taking to loss to prevent massive foreclosures.
requirements and close before a December 31 deadline, but said there is "no
assurance" any transaction will occur.
Losses at Option One contributed to an overall loss of $302.6
million, or 93 cents per share, for the fiscal first quarter that ended July 31.
That is up from a loss of $131.4 million, or 41 cents per share, a year
Virginia Tech officials could have saved lives if they had quicklyBut right in the report it says this:
warned the campus that two students had been shot to death and a killer was on
the loose, a panel that investigated the attacks said Thursday.
But the panel also concluded that a lockdown of the 131 buildings onThey thought the killer left the campus (which he did to mail the package to the news media) so officials thought they were in the clear. They had no idea that he would come back, chain a door and start killing people. They were in a no-win situation. If they locked down the campus over a domestic dispute then there might have been chaos. So they tried to warn people as best they could and it came too late to save people. Even if most people heard there was a shooting in the dorms they still would have gone to class because it was so close to finals and people needed to review and get ready.
campus would not have been feasible. And while the first message sent by the
university could have gone out at least an hour earlier and been more specific,
Cho likely still would have found more people to kill, it said.
"There does not seem to be a plausible scenario of a university
response to the double homicide that could have prevented the tragedy of
considerable magnitude on April 16," the report said. "Cho had started on a
mission of fulfilling a fantasy of revenge."
Even if they locked down the campus, Cho still would have shot up the dorms instead of those classrooms. He was a loaded weapon ready to go off. Nothing save killing him could have stopped him from shooting up the campus.
About the only thing they could have done is recognized that this guy was mentally ill and took steps to send him put into a mental institution or something. Even this tract was pinched off by privacy laws that prevented Va Tech from getting mental health records of a minor child (which he was when he had some of these thoughts.) Also you can't make this out to be a failure as well:
The university's counseling center failed to give Cho the support heWhat does the Counselling Center have to do? Get an armed guard to escort him to the clinic? They can refer him all they want but they can't force anyone to go to counselling.
needed despite the warnings, including his referral to the center in 2005
because of bizarre behavior and concerns he was suicidal, the panel said. It
blamed a lack of resources, misinterpretation of privacy laws and passivity.
Some of the things that could have prevented Cho from killing those people could have been a better upbringing, less racially motivated bullying in high school, or maybe getting a girlfriend. I think if he had a girlfriend to understand him, reign in his behavior, listen to him bitch, and provide something for him to live for this tragedy might have been prevented.
I still think he killed that first girl, Emily Hilscher because he had a crush on her but was too weak and scared to make it known. So his weakness and fear manifested in violence that he used to make him feel strong and in control again.
The FBI was called in to remove the substances, which were discoveredBut I thought the Iraqi's didn't have any WMDs according to Hans Blix? You would figure that the UN would want to destroy WWI choking agents that turns water your respiratory tract into hydrochloric acid. It sounds like nasty stuff and it shouldn't be in some UN storage facility.
last Friday and included phosgene, an older generation chemical warfare agent,
taken in 1996 by inspectors from a former Iraqi chemical weapons plant at Al
Muthanna, the inspectors said in a statement.
Phosgene was used extensively during World War I as a choking agent,
according to the U.S. Centers for Disease Control.
Wednesday, August 29, 2007
Where would I recommend looking to invest instead? I think thatI really agree with Cadbury Schweppes since they are a very strong competitor in the European market. They have alos sold off their non-core European assets and they now own Dr. Pepper, Snapple and the 7-UP brands. They are also rumored to be circling Hershey's for a potential buyout. That would make CSG a true juggernaut in the chocolate space. Whatever happens to the subprime market people are still going to eat chocolate and drink soda.
companies selling consumer staples with strong international footprints are a
good idea, as they provide both a defensive bent and upside potential. The
defensive bent comes from the recession-resistant nature of the products these
companies make: spirits in the case of Diageo (NYSE:DEO - News), confectionary
at Cadbury Schweppes (NYSE:CSG - News), chips and drinks at PepsiCo (NYSE:PEP - News), and soup and food products from Campbell Soup (NYSE:CPB - News), as well as a vast array of consumer products from Procter & Gamble (NYSE:PG - News). These are good stocks for uncertain times and are also good long-term investments, given the secular growth trends we see in a number of foreign markets.
Tuesday, August 28, 2007
Mr. Mozilo has ridden this remarkable wave to immense riches, thanks to
generous annual stock option grants. Rarely a buyer of Countrywide shares — he
has not bought a share since 1987, according to Securities and Exchange
Commission filings — he has been a huge seller in recent years. Since the
company listed its shares on the New York Stock Exchange in 1984, he has reaped $406 million selling Countrywide stock.
As the subprime mortgage debacle began to unfold this year, Mr.
Mozilo’s selling accelerated. Filings show that he made $129 million from stock
sales during the last 12 months, or almost one-third of the entire amount he has
reaped over the last 23 years. He still holds 1.4 million shares in Countrywide,
a 0.24 percent stake that is worth $29.4 million.
Monday, August 27, 2007
He is also pro-NATO security for Afgainstan but is still against the Iraq war. That seems like a position that is held by 70%+ of the American people as well. He also opposes Russia going totalitarian and using their oil as a weapon. He is also against the Chinese trying to control the flow of raw materials from Africa. The French are traditionally an African advocate and it is time they flexed their diplomatic muscles to help out there.
I also like how he has ties to the Arab leaders in the Middle East while also supporting Israel. I think the French more then anyone else could get a deal in the Palestinian/Israeli conflict. They don't have colonial ties to the area (Britian,) or secretly wants Israel destroyed (other Arab states,) or is too close an ally with Israel (America.) They really have nothing to gain on either side from brokering an acceptable political deal. They could be a true impartial arbiter that could bring UN pressure to bear and keep the US at arms length.
Finally this would be an interesting opportunity as well:
Closer to home, Sarkozy reiterated his proposal for a "MediterraneanThe faster France could tie their former Muslim colonies to themselves and push them away from extremist rhetoric the better it will be for the War on Terror. Perhaps France can do with North Africa what the US tried to do with Iraq. Create a pro-West democratic government that isn't a hotbed of Terror and actually prospers. Perhaps France's role as the "Diplomatic Superpower" will be built upon more then just naked self interest and anti-Americanism.
Union" to bridge the divide between Europe and North Africa. The idea echoes a
concept dear to Chirac, who called for a "dialogue of cultures" to counteract
the forces of extremism.
Apart from the president, there were few Republican expressions ofThe last thing the Republicans need is to have lots of ethics questions hanging over their heads. The better to cut all ties with the Bushies so that the Dems don't get a chance to run against Bush instead of the real GOP contender. Before too long we are going to see Romney or someone denounce Bush in a public forum.
regret following the departure of the nation's first Hispanic attorney general,
a man once hailed as the embodiment of the American Dream.
"Our country needs a credible, effective attorney general who can
work with Congress on critical issues," said Sen. John Sununu of New Hampshire,
who last March was the first GOP lawmaker to call on Gonzales to step down.
"Alberto Gonzales' resignation will finally allow a new attorney general to take
on this task."
I'm sure the education here in the U.S. should help the U.S. especially for the U.S. Americans. I wonder why she kept going to the South Africa well over and over though? Maybe she read (or was told) something about South Africa having either junk schools or schools as good as the U.S. Now this is a classic freeze-up that will probably be talked about for years. It is cringe inducing and shows why people have such fear of public speaking as well.
Question: "Recent polls have shown a fifth of Americans can't locate
the U.S. on a world map. Why do you think this is?"
Lauren Caitlin Upton: "I personally believe... that U.S. Americans are
unable to do so... because... "Uh... some people out there in our nation don't
"And... uh... I believe that our education, like such as in South
Africa and... uh... the Iraq, everywhere, like, such as..."And I believe that they should...
"Our education over here in the U.S. should help the U.S... uh..."Or,
should help South Africa and should help the Iraq and the Asian countries... "So we will be able to build up our future... for our [children]."
Miss Teen USA host Mario Lopez: "Thank you very much, South
Friday, August 24, 2007
I see the top bond guru in the world returned a three year average of
3.83% in his "Total Return" Fund. One could have parked money in a money market fund, CDs, a bank, or short term treasuries and done better than that. Digging deeper I see the top five holdings of the Total Return Fund are as
1) Fannie Mae (FNM)
2) Fannie Mae
3) Fannie Mae
4) Fannie Mae
5) Fannie Mae
So it would certainly be nice for Bill Gross if "W" was the "Decider" and opened up his wallet.
Thursday, August 23, 2007
When Justine Ezarik, a video blogger in Pittsburgh, saw that a box from AT&TThis bill is itemized Kilobyte by Kilobyte. So this resulted in massive piles of paper that AT&T will have to eat the cost of shipping for. AT&T had to pay $7.10 just to get this bill to her.
had been delivered to her doorstep a couple of weeks ago, she thought that
perhaps she had been sent a complimentary accessory for her new iPhone. Instead, she found a 300-page, double-sided, excruciatingly well itemized bill.
Wasn't there someone in corporate that said "should we send out a 300 page bill in a box for $7.10 to this customer?" Wasn't there some VP that said lets send out summaries and keep the itemized bills online and we'll save a few bucks? A 300 page bill seems like something that would be red flagged for special handling in their automated billing system. There had to be someone at AT&T that called the shipping company and placed 300 pages worth of paper put into a box and sent it out. It was a failure of controls, fallbacks, and thought by upper management. It really speaks ill of AT&T since the rampup of the IPhone was a pretty long process and wasn't just a rush job on short time.
This kind of screwup also makes AT&T look even worse since this is a failure in handling perhaps one of their most lucrative exclusive contracts. It also makes Apple look like crap because they love to push how green their company is. Yeah, they are so green that tons of extra trees were cut down just so they can show page after page of 2KB for $0.00. I guess this is case in point of the danger of providing exclusive contracts.
• Iraq's neighbors will continue to focus on improving their leverage
in Iraq, expecting the U.S. and its allies to leave. "Assistance to armed
groups, especially from Iran, exacerbates the violence inside Iraq," the report
said. Since January, there is mounting evidence of Iran's support for Shiite
militants, including highly lethal explosive devices.
• Syria has cracked down on al-Qaida networks inside its borders
because they threaten Damascus' security. However, Syria is increasing the range of groups it supports in Iraq to bolster its influence there. And it still
allows roughly 50 to 80 foreign fighters a month to travel into neighboring
• Saudi Arabia and other Sunni states have not supported the
al-Maliki government, but they haven't provided arms or other support to Sunni
fighters, choosing instead to stay on the sidelines.
So Iraq will be the next Arab land grab and influence rush when the Americans pull out? Iran has the most to gain by supporting Shiites and hopefully being able to create a client state out of Southern Iraq. A failed Iraqi state and Iranian influence might lead to a Saudi Arabia/Iran war sometime in the future depending on who holds what. You know which side the US is going to be on. I can see the Saudis beefing up their military in the next few years.
Also that part about Syria keeping Al-Quida out so that the terrorists can't destabilize their government may be in interesting gambit to play in the future. Maybe some behind the scenes reaching out by Europe could get Syria to back away from Iran and come into the anti-terror fold. The sooner we break up the pro-terror powers the better we can frame the War on Terror as Al-Quida against the Arab Leaders and not Al-Quida against the West.
Confusing? It should be. Turns out that Ric and Sue's marriage is onI wonder if having an online wife will actually be grounds for divorce in this case. I think that spending 14 hours on weekends on a game would be a better grounds in my opinion. This "gaming widow" effect will get worse the larger and more mainstream things like World of Warcraft and other MMOPRGs become.
the rocks. She contends that he spends more time online in Second Life, a
virtual universe currently home to 30 million players, with his online wife. Sue
spends her days in front of the television, while Ric is in the other room
running a virtual night club and consorting with his online wife, sometimes for
as long as 14 hours at a time on weekends.
Shares of GameStop gained $4.74, or 10.9%, to $48.16, after the companyThe stock was up from $38.98 when I started to take a look at it to $47.45 today. A nice 20% paper gain in 5 days. The stock still seems pretty well poised for more gains in the next few quarters due to that lineup of cool new games I talked about. The stock is priced to perfection at a 44 PE though This tidbit could be a key to further margin expansion as well:
announced second-quarter earnings that grew 581.3%, to $21.8 million, or 14
cents per share, from $3.2 million, or 2 cents per share, a year ago. Analysts
polled by Thomson Financial expected earnings per share of 9 cents for the
period ending August 4.
Used video game sales continued to be incredibly lucrative for GameStop.I think GameStop should try to expand its Used Game reach by starting an online market to buy and sell used games. They could start an Ebay store or even do something with their website where you will be able to buy used and sell used games online. The buyer will then pay a shipping cost or pick it up at one of their stores for free. The seller, on the other hand, would drop off the game at a nearby GameStop (where they might buy some additional product) then their account will be credited.
Like other game retailers, GameStop allows customers to trade in old games at a
steep discount for new games. GameStop then marks up the trade-ins and sells
them at a handsome margin.
GameStop earned $173.2 million on used game sales at a gross profit percent of 48.5%. That towered over the gross profit percentage earned by new game hardware and software sales, which were 7.3% and 20.3%, respectively.
Of course they won't offer any first run games for sale for a certain period of time to prevent the used market from eroding their current game market. I think this move would expand their reach and allow them to corner the market in used games. This segment really doesn't have any credible competitors that could challenge GameStop once they got rolling. I don't see Best Buy stocking rows of used games and buying games from the gamer in need of cash.
I have to say that any business where you can charge like $10-$15 for a used game and turn around and sell that same game for $25-$30 is great for gamers and GameStop alike. The gamer gets games at a discount and an outlet in which to get rid of games that they have already passed. While GameStop gets to pocket the spread. It is a win-win
"Write some checks, bail 'em out, prevent a destructive housingPart of me doesn't want to see millions of foreclosures but sometimes people need to wake up and understand what they were signing up for when it comes to Adjustable Rate mortgages.
deflation that (Fed Chairman) Ben Bernanke is unable to do. After all 'W',
you're 'the Decider,' aren't you?" Gross wrote.
Adjustable rates mean they might adjust in the future. People should have realized that interest rates will eventually go up.
Plus some of these home owners bought more house then they can afford to reach that Bling-bling Cribs lifestyle then it makes things even worse. This is why there needs to be a mandatory financial literacy classes given in high school. The government shouldn't always have to backstop people who have made bad decisions.
Wednesday, August 22, 2007
The Chicago Colts score in every inning to demolish Louisville 36-7
while setting the NL record for runs scored. Chicago amasses 32 hits good for 51
bases with Barry McCormick hitting 4 singles‚ a triple‚ and a HR in an ML
record-tying 8 at bats. Tying another league record set by an earlier Chicago
club‚ 6 players score 4 runs each with McCormick and Jimmy Ryan each scoring 5 runs. Winning pitcher Nixey Callahan is 5-for-7‚ the first of three times he'll collect 5 hits in a game (May 18‚ 1902; May 8‚ 1903, a record for a pitcher. Chick
Fraser starts for Louisville‚ but gives way in the 3rd to Jim Jones, who makes his major league debut with his team down 14-0. Only 9 runs are earned as Louisville kicks in with 9 errors. Jones will make one other pitching appearance, in 1901, but will play as an outfielder that year and next.
Pigeon droppings contain ammonia and acids, said chemist NealThey needed to put those little spikes on the bridge so that these little vermin don't land on the bridge and rust the supports with their crap. It would be a sad deal to die because of pigeon poop.
Langerman, an officer with the health and safety division of the American
Chemical Society. If the dung isn't washed away, it dries out and turns into a
concentrated salt. When water gets in and combines with the salt and ammonia, it creates small electrochemical reactions that rust the steel underneath.
"Every time you get a little bit of moisture there, you wind up
having a little bit of electrochemistry occurring and you wind up with
corrosion," said Langerman. "Over a long term, it might in fact cause structural
A coalition of conservative groups, including the Family Research Council and Concerned Women for America, has filed a lawsuit in federal court in Washington seeking to reverse the FDA ruling. The groups contend that the FDA acted unwisely under political pressure and lacked authority to approve the same drug for both over-the-counter and prescription-only distribution based on the user's age.
"Barr may be making a healthy profit, but women are paying the price," said Wendy Wright, president of Concerned Women for America, who believes Plan B is less effective that its backers assert.
So since the thing is less than 100% effective the FDA should ban it? These groups want to stop someone from taking a pill that may prevent them from having an abortion in the future. So in a way this pill will "save the unborn" as these groups advocate.
I guess their view is that since pregnency begins at the moment of conception then any type of birth control is bad. I know this is the Catholic view but a pill that will prevent someone from having to have an abortion should be viewed as a good thing. That is why I have a hard time with the religious right since they always seem so against things that may actually help mankind like Stem Cells and in this case the morning after pill.
Tuesday, August 21, 2007
"The fundamentals of the U.S. economy are strong," Bush said. "TheSo the fundamental question is that the fundamentals are strong? What if the new view on decreased liquidity is shifting the fundamentals? I mean there have been 87,962 job cuts so far this year caused by this mortgage mess. The days of people using their home as piggy banks to buy stupid stuff are over as well. Now people are having a hard time getting a mortgage even if they have decent credit. If tightening credit moves to the credit card market things will be even worse I think.
fundamental question, 'Is there enough liquidity in our system?' And the answer
is `Yes, there is,'" the president declared.
In any case it seems that the Dems want to make the mortgage mess the governments mess as well.
On Capitol Hill, some Democrats would like to see mortgage giants
Fannie Mae and Freddie Mac -- which are recovering from accounting scandals --
play a larger role in the mortgage market. Some would like to see the two
mortgage companies buy "jumbo" mortgages of more than $417,000.
others, like Dodd, would like to see investment caps relaxed on the companies'
investments. The administration, however, opposes that idea.
One in four adults say they read no books at all in the past year,You have to add this to how busy people are nowadays. If you don't have time to take a vacation then you probably don't have a lot of time to sit down and read. I also think that when people take work home with them via Blackberry, GoToMyPC etc. their reading suffers as well.
according to an Associated Press-Ipsos poll released Tuesday. Of those who did
read, women and seniors were most avid, and religious works and popular fiction
were the top choices.
Monday, August 20, 2007
Capital One said it will shut down GreenPoint Mortgage and eliminate
most of the jobs by the end of year. The McLean, Va.-based company will close 31
GreenPoint locations in 19 states and "cease residential mortgage origination"
effective immediately but said it will honor commitments to customers with
locked rates who have loans already in the pipeline.
Senior Katie O'Hara, 22, said WVU is No. 1 because "no matter what kindThey missed describing the the part where Katie double-fisted some Jager shots and collapsed in a stupor under the bar stool.
of party you want it's here — bars, fraternities, house parties. ... If you want
to take shots all night, there's a bar; no matter what you want to do, it's
Still, O'Hara said her friends "know how to manage their time. TheyIt is kind of sad when their students aren't partying they aren't studying either. I guess when West Virgina students aren't partying they are simply recovering from or getting ready for the next party. I think Budweiser or Diageo PLC needs to subsidise some of this schools tuition in order to give something back to the school that uses their products so well.
know when to party and when not to," which wouldn't explain the school's No.
1 ranking in the category of Their Students (Almost) Never
Friday, August 17, 2007
The Fed cut the discount rate by a half percentage-point to 5.75Right now they have tried everything in the arsenal except for dropping the fed funds rate. I think if they did that outside of their normal FED meeting it might panic the market. It would be an admission that they were to break the glass and hit the "Big Red Button." I wonder what this is doing to the liquidity of that Asset Backed Paper market?
percent but left the federal funds rate -- its main economic policy lever --
unchanged at 5.25 percent.
However, it said it stood ready to act to keep the U.S. economy on
an even keel, giving an immediate boost to beleaguered stock markets.
In any case it seems the FED is now the backstop if anything goes wrong in the markets. If the Hedge Funds are leveraging 6x to get maximum returns and their black box goes haywire then the FED will be there to ride in on that white horse. I think they saw what would go down if the Hedge Funds had to really sell assets to cover redemptions. I still think they may not have averted the "Big One" depending on how this mortgage thing works its way through the markets. I still think cash is the way to go until we get more
Mitch Katz, a spokesman for the FTC, says the agency is now asking aThey should close the deal over the weekend in an emergency meeting or they might have to fight the FTC all the way to the Supreme Court. It is almost as if the FTC thinks when this deal closes Whole Foods will own all the organic fruit orchards in the US. Maybe the Whole Foods CEO kicked the FTC Chairman's dog or something.
Washington, D.C., district court for a temporary injunction on the deal, pending
its appeal. Whole Foods and Wild Oats have agreed to hold off on any proceedings
to close the deal Monday at noon.
The FTC should know full well that almost every supermarket has an Organic section nowadays. Whole Foods needs the merger to protect their market share from the Safeways and the Krogers of the world. I guess they should have called their merger deal "Project Fluffy Bunny" instead of "Project Goldmine."
Thursday, August 16, 2007
I think this will be small potatoes because the game hasn't been delayed indefinitely or anything like that. When it comes out it will be a shoe-in for the top game of the first quarter of 2008. I would expect that quite a few gift cards will be hoarded to plunk down on this game.
In the meantime there will be a pile of category killers coming out for the different platforms. First of all we have Madden 2008 which will be a huge seller if the past games are any indication. The last game sold 6 million copies and now the installed base for the PS3, Xbox360, and the Wii are much bigger then last year.
Then we have Bioshock on August 21st. I have read quite a bit about this game and from what I see it is going to be big. It has lots of customisable game play and tries to stretch the limits of the Xbox 360. Also the visuals are stunning and it looks like the kind of game that you may have bought your Xbox360 to play. Then we have Halo 3 coming out on September 25th so the Xbox360 will have lots of great games in the near future. Halo 3 will be huge and it will sell millions of copies no matter what.
Then we have Assassin's Creed coming out September 1 for the PS3. If this game lives up to the hype it will be one of the reasons why people will buy a PS3. From what I have seen the graphics are outstanding and it used the PS3 graphics and processor as much as possible. It may be the kind of game that actually makes people buy a PS3.
Another top seller will be Guitar Hero 3: Legends of Rock which comes out on October 29th. The Guitar Hero series has been a huge success and this new one will probably do as well or better then the other versions have for Activision. Also EA will bring out Rock Band in November hot on the heels of GH3. If Rock Hero is a big seller for EA (it sure looks that way,) they will have a get a nice margin bump from selling the guitar, mike, and drum add-on peripherals. These babies will raise the average selling price of each copy of the game and bring in a pretty good windfall for EA in the 4th Quarter.
In any case, each one of these games will be great for GameStop since gaming is one of the more recession proof entertainments out there. It seems that GameStop has doubled in that past few months since people are looking at the stock as a way to play the console switchover without having to bid on the higher risk gaming stocks. If they can keep same store sales up and people keep buying games like crazy GameStop will look cheap at $38 a share.
The AP revealed some of the information that was released before theThe first thing does seem like it was pretty logical seeing as they are acquiring the company to increase their organic food footprint. You would think that they want nothing more then to bring all of the people that used to shop at Wild Oats into their stores.
error was fixed, including the "Project Goldmine" strategy -- Whole Foods'
hypothesis that acquiring Wild Oats would result in 80% to 90% of Wild Oats'
customers coming into its fold and ultimately increasing Whole Foods' revenues
in related stores by 85% to 90%. The information also revealed that Whole Foods
is attempting to make arrangements with suppliers to drive up costs for Wal-Mart and in a particularly odd piece of data for the FTC to cite, it was revealed
that Whole Foods seeks to position its stores in areas where there are large
numbers of college-educated people.
However the Wal-Mart thing is something you want to keep secret. Knowing this information, Wal-Mart can retaliate by trying to get their organic suppliers to boycott Whole Foods. Now Wal-Mart can use the fear of banishing these suppliers from their stores as a big hammer to hit Whole Foods with. This leaked information would be something Whole Foods should try to sue the FTC over (if it is even possible.)
Finally, the last thing, as the article points out, seems pretty logical. They want to put there stores in neighborhoods that have people with college degrees and thus better chances of having high incomes. This means they can stock their shelves with higher margin stuff that Costco or Safeway doesn't usually carry. They have some of the best margins in the grocery industry so they need to keep them high. Whole Foods is trying to sell a way of life and a lifestyle and not just a massive bruised pile of mismatched "organic" pears next to a pallet of 69 cent toilet paper.
Whole Foods operates 190 stores, while Colorado-based Wild Oats hasQuite a few people I have talked to swear by Whole Foods in the mainland and love to shop there not just for the Organics but also for the upscale food as well. There will soon be a slew of new Whole Foods in Hawaii and I plan to do some serious market research before jumping in on this one. I've heard tell of good sandwiches and soups so I must investigate.
about 110. Both are relatively small players in the grocery business, but
government lawyers said the combined company would essentially corner the
industry market on premium and organic food.
Sales rose 5.2 percent to $2.39 billion, helped by strength in designerLuxury is one of the few pockets of consumers that aren't be hurt by gas prices or by food inflation. They also hold up well in any type of economy short of a true recession. I think as the credit crunch works its way through the market stocks with solid fundamentals like Nordstrom's will reap the rewards. It is also good to see a stock like this that have 5.9% same store sales when the rest of the industry has break-even or negative same stores.
apparel, accessories and men's clothing.
Sales at stores open at least a year, a key metric of financial
health, rose 5.9 percent in the quarter, above the company's expectation of a
rise in the low-single digits.
Nordstrom now expects full-year 2007 earnings to range from $2.91
to $2.97 per share. It earlier forecast earnings between $2.81 and $2.90 per
Net income in its fiscal third quarter advanced to $1.78 billion, or 66They also bought cheaper components so they led to a boost in their bottom line. I like that revenue boost myself since it shows that people are still buying printers, computers and laptops despite that consumer spending slowdown.
cents per share, from $1.38 billion, or 48 cents per share, a year earlier.
Excluding items, HP earnings came in at 71 cents per share.
Revenue in the quarter rose to $25.4 billion from $21.9 billion a
The study's results show that this field generates $166 billion inIt also provides 5.7 million jobs as well. I guess buying, selling, showing, and creating art is quite a big deal. I wonder if it would be possible for a really rich guy to buy out a bunch of galleries and become a mighty patron in the industry. A kind of arbitrator of taste in the art work by sending the bucks in the right direction.
economic activity every year, resulting in almost $30 billion in federal, state
and local tax revenue.
Wednesday, August 15, 2007
The overall tape still concerns me, and even though AHG is
significantly lower than the April 52 week high of $34.36, I still think there
may be some further room on the downside. That being said, AHG already reported 2Q EPS on July 31 and although full year guidance was not great, it was far from a disaster. However, with a relatively small float and a large short interest of around 21%, the bears will use the weakness of the overall tape to push the stock lower. I think we should use any bearish price action as a buying
opportunity, especially if we see AHG down around $24.00.
Goldman on Tuesday night said it had agreed to waive its annualEarlier an investor had to pay 2% of assets for a management fee and then 20% of profits they make passed a 10% return. This article is saying that even dropping their fees is still like putting bad money in after good.
management fee for the investors, who contributed $1bn in new capital to the
fund. The investors will pay a performance fee of just 10 per cent on any
profits the fund makes once it has achieved a 10 per cent return.
Sorry Goldman, the game is up. Half-baked measures will no longer do.That is a stomach churning fund if I ever saw one. Down two years strait and then down 30% in 6 days. Now that is not the kind of volatility you want to see in a fund. Those investors should have just stuck with a nice Vanguard fund with its 0.20% management fee. They would have been down only a few points right now.
People shouldn't be willing to pay 20% (now 10%) of profits plus a 2% management fee (now 0%) to a fund that is down two consecutive years and 30% in a flash. Is the greater fool's game over or not? I guess we soon find out.
Hedge-Fund Phrase: This isn't a rescue.Yeah they really "want to" not have the fund go insolvent and ring up billions of dollars of losses for Goldman. The irresistible buying opportunity was there so that the Goldman guys could get through this mess with their jobs still intact. Hmm, I would be willing to bet that those big bonuses paid out last year may not happen again this year. Time to go short on expensive painting dealers, private jet rental companies, and guys who make yachts.
Translation: THIS IS TOTALLY A RESCUE!!!!!!!
Goldman Sachs' GEO fund lost 30 percent of its value in a week and
was leveraged at a rate of 6-to-1. But to hear Goldman tell it, the cratering of
its own fund simply presented an irresistible buying opportunity. "We are
investing not because we have to, but because we want to," said Viniar during a
conference call. At another point, he noted: "No, let me just clarify. This is
not a rescue." And if you believe that, I've got some subprime debt I'd like to
To make the government more accountable, Obama said he would post allI just wonder if he is going to let the American people have a veto if they don't like the legislation. I guess this is just a way for Americans to pick what pork barrel spending got tacked onto the latest appropriation bill before the money is doled out. Of course that pork can't be cut but I guess it can at least be shown the light of day. Posting the meeting minutes part would be interesting to see though.
non-emergency bills online for five days before he signed them into law,
allowing Americans a chance to weigh in on the legislation. In addition, he said
he would post all meetings between lobbyists and government agencies
Obama said he would require Cabinet officials to speak toI'm not sure the information about the government operations would be worth seeing though. If it is about top secret stuff it will be heavily redacted so it wouldn't be worth seeing. Also I would be willing to lay even money that quite a few people in both parties will do everything in their power to suppress some of this stuff. What Senator wants his pork barrel projects and wasteful spending to come out day after day? Also I would be willing to bet that people will be thinking more about fooling people with the government operations forms then actually thinking about how the money is going to be spent.
Americans via national broadband town-hall style meetings to discuss issues
at their agencies. He also pledged to issue an executive order that
information about the government's operations must be released to those
seeking it unless it could harm a protected interest.
The company said it plans to reduce its work force by 12 percent to 14
percent, or between 2,200 and 2,600 positions and will get hit with a
restructuring charge between $600 million and $700 million. Amgen also reduced
its adjusted earnings per share guidance for the full-year to between $4.13 per
share and $4.23 per share from previous guidance of $4.28 per share.
Tuesday, August 14, 2007
Sentinel, like Goldman Sachs (GS) when referring to their GlobalThese securites may have been those illiquid mortgaged backed securities (or bundles of these securities) that they couldn't unload when people came looking for their money.
Equities Opportunities firm, now says they own securities selling at "deep
discounts to their fair value" and that would cause their investors "unnecessary
losses." So, the bottom line is they don't want to sell those assets and
give investors back their money. Yes, no one likes to sell things for a
loss. Of course, markets care nothing about "fair value."
Fair value is what someone is willing to pay, not what an investor deserves to
This seems to be what made Goldman pour that $3 billion into their Global Equity Opportunities (GEO) fund. They had 30% losses on their books in that fund from in just 6 days of wild market swings. They also had about 3.5 times leverage in place on the thing. Goldman perhaps couldn't get rid of their mortgaged backed debt obligations to pay redemptions (or margin calls) so they were forced to sell their equities instead. They then had to inject an extra $3 billion into the fund to keep the thing from going the way of those Bear Sterns funds.
Hmm, I wonder how bad this credit mess is going to get? The idea of an entire class of credit obligations that are stuck in limbo because you can't sell them (or put a value on them) is crazy. I know it is time to avoid the financials like the plague but what industries won't get hit by this credit crunch stuff?
This article says the sectors to be in are biotech and telecom. Isn't biotech the realm of the companies that are financed almost totally by debt? If the credit market dries up or bankers become more risk adverse maybe they will pull the plug on financing some of these long shot drugs that may or may not get FDA approval. That may lead to mass bankruptcies in those small one shot biotech names and maybe even big problems at the big guys as well.
I guess that leaves only telecom which will probably be pretty strong unless the consumer truly gives up the ghost and cancels his cell phone plan or something. Or you can go to accumulating cash which I have been doing. I think when things blow over it will be a great time to buy good stocks cheap.
As to the merits of it, I think it's outrageous. This is a presidentThe Hillary Hype Machine goes into action:
who, first and foremost, has helped millions of seniors across the country have
access to prescription drugs at a much lower cost," Perino said. "As to whether
or not our troops are invisible to this president, I think that is absurd and
that it is unconscionable that a member of Congress would say such a
Campaigning in Dubuque, Iowa, Clinton referred to the White HouseThat is exactly why you always say "No Comment" to attacks. Is Hillary trying to win the 2004 election or something? I think Bush is going to be a huge albatross around the necks of the Republican candidates come election time. He needs to get out of the way of this crap and set his party up to at least hold the line in the House and Senate. If he keeps this up it looks more and more like the "modern progressive" agenda is going to be firmly in place come 2008.
criticism of her "invisible" comments.
"Apparently I've struck a nerve. The White House just attacked me a
few minutes ago," Clinton said. "Not only have I said it and am saying it, I
will keep saying it because I happen to believe it."
Monday, August 13, 2007
Inside the tomb, a narrow corridor led to a small burial chamber, aboutIt is pretty weird that almost none of their literature and very little of their history exists to this day even though they lived for 1000 years. I guess that is the reason why you need to constantly record your history and put constantly put current events in context. Or perhaps a 1000 years from now no one will know that there was a Simpsons Movie or that there was such a thing as a Pecanbon from Cinnabon.
2 meters long and 1.79 meters wide, he said. It housed about 80 objects
including vases and mirrors in bronze and ceramic. Urns holding human remains
were also found.
Rove also predicted conditions in Iraq would improve and that theI agree that the Dems will nominate Hillary as well. I also have a feeling that the GOP is going to nominate Romney and she is going to take the White House. 4 years of Hillary? It may be time to move to Staad, Switzerland or your luxury apartment in Dubai if you are a Conservative. Normally I would say Canada but what conservative wants to live there?
Democrats would nominate Hillary Rodham Clinton for president, calling her
"a tough, tenacious, fatally flawed candidate." Rove does not intend to work
for any candidate in the 2008 presidential election, White House press
secretary Tony Snow said.
Friday, August 10, 2007
Thursday, August 09, 2007
Black Mesa Capital, a hedge fund firm that uses computer models to
track down arbitrage opportunities, has told investors that at least one very
large hedge fund or investment bank is liquidating "massive" trading portfolios,
according to a letter the Santa Fe, NM-based firm sent to investors on
Wednesday. That's causing disruptions and triggering losses among other
so-called market-neutral hedge funds, Black Mesa said in its letter, a copy of
which was obtained by MarketWatch on Thursday. "Clearly, something is amiss in the markets that few in our strategy, if anyone, have experienced before," Black
Worries about shrinking oil consumption in a slowing global economyI have a feeling that oil prices may drop further here because demand seems to be slowing and these geopolitical hotspots are kind of moving to the back page. Also there seems to be few if any hurricanes so far this season that I know of. There may be some big ones later this month but it would seem that there would be more throughout the season and not a big clump at the end. I'm still in the camp that New Orleans won't see another levee breaking whopper hurricane for another 40 years.
continued to suppress crude prices, according to Alan Mandel, analyst at Alan M.
Trading. However, investors shouldn't expect oil to fall much further, Mandel
"There will be a buying opportunity if oil falls below $68," he says.
"Geopolitical hotspots around the world are still relevant, and we haven't yet
entered the peak of hurricane season."
In the past two weeks, another 13 corporate loan or bond deals haveThat kind of sucks when the pulled debt deals went from 0 to 46 in one year.
been postponed or reduced, representing just under $43 billion, in new research
released Thursday by Baring Asset Management. The total number of deals pulled since June 22nd now stands at 46, analysts at the firm said, valued at more than
$60 billion. That compares to last year where there were no pulled deals
Mall traffic has also fizzled and people aren't as willing to rush to stores for the latest back-to-school merchandise in July, instead waiting for markdowns.I'm still puzzled at who thinks kids do their back to school clothing purchasing in July? What kid is all pumped to buy a jacket and long pants when it is super hot outside? Also you would think they would rather procrastinate until they actually need the products as well.
"We've been seeing this trend for the last five years," Perkins says. "Kids have been going back-to-school shopping closer to need."
Couple this with the parents knowing that retailers mark down stuff in August and September so they just wait the retailers out. When gas prices as high as they are you have to bring in any savings that you can. They might even get a break buying in August because gas prices usually dip during the late summer so it frees up more money to buy their kids back-to-school clothes.
"It could be that the area extends for 1.5 kilometers (0.9 miles) andThese Plateosaurus' seem to be similar to elephants. This article says how older elephants die close to water and their skeletons pile up. I wonder if these Dinosaurs had the same behavior?
in that case, you could certainly say it's the biggest site in Europe," said
Martin Sander, a dinosaur paleontologist at the university of Bonn in
The Frick area contained the bones of one animal per 100 square
meters, Sander said, so the entire area might contain bones of 100 more
Wednesday, August 08, 2007
U.S. stocks had pared gains in late trading on market speculation thatSo there was a rumor that Goldman might say something but noone knew what. People assumed it was bad and sold and the market which went from up 180 to almost negative territory in little less then an hour. Then when Goldman denied the rumor the market recovered to settle up 150 or so. Now that should ping someones fear quotient a little big. We might be doing some serious "wall of worry" climbing this week. In any case it will be a great time to put in some hedges on the cheap.
the world's largest investment bank (GS.N: Quote, Profile, Research)
would make an announcement, possibly related to one of its hedge
Several traders told Reuters there was speculation that an
announcement was forthcoming, but said there was no consensus on what Goldman might say.
Oddly, though, in every session the wildest action has taken placeI like the mental image that Mao-Suited Red Chinese Bankers manipulating the US markets at 3AM in China. I can see them now, sitting in a darkened ministry building with ethernet cables snaking in all directions from state-of-the-art trading stations. There are perhaps thousands of identical desks in this building where shady Commie moneymen control the movement of trillions of dollars while the rest of Beijing sleeps. It makes for something out of a spy thriller written by Jim Cramer.
right around 3 p.m. EDT -- an hour before the close of regular trading.
Just why this is happening isn't clear, though market watchers have
some theories. Richard Bove, an analyst at Punk Ziegel, suggests technical
or program trading may be responsible for the wild midafternoon swings. Others
speculate that a large investor -- perhaps even a foreign buyer such as China --
may be targeting the U.S. markets.
Tuesday, August 07, 2007
Xbox Live is 7 mln strong and growing. Gamers from around the world areI agree with this 100%. I think XBox live is one of the biggest selling points for the XBox360 and it will be hard to match for the other consoles. This could be a big source of ancillary income when it comes to certain gaming companies. For instance I used the example of the extra songs for Guitar Hero 2 from Activision. I would be willing to bet even money that if these add-ons could be a pretty nice income stream going forward. The gaming companies just need to come up with add-ons that are ITunes-like that will make people come back again and again and pay $1 per pop for. This could potentially make a game that is 5-6 old bring in revenue quarter to quarter.
linking up every night to play their favorite games, creating a brand new
experience. Users can chat, email and download TV shows, movies and classic
arcade games. Heck, gaming leagues are now popping up on TV.
Also this 7 million strong group is made up of one of the hardest to reach demographics when it comes to advertisers. They are the largely male 18-40 year olds that hardly watch TV in real time, barely react to net ads, and come late to movies to avoid those 10 ads at the beginning. They also have that disposable income that the advertisers like so much. For advertisers Xbox Live is a goldmine when it comes to reaching those unreachable eyeballs.
Some of the things the advertisers can try is to have those Viral Ads that people talk about as downloadable content. They could also have something like the Axe Effect All-Star bikini team for Madden with downloadable uniforms and everything. You can replay Bikini Bowl 2006. Also you can have a Guilty Gear type game where you can download the Burger King so you will be able to kick the crap out of him. You could even have those virtual billboards in-game that will change periodically to kind of freshen up the look of certain games. Finally, it would be so nuts to have something like an American Eagle in-game in GTA4 that has merchandise that changes from time to time depending on the season. I think as long as the ads aren't too intrusive the sky is the limit for this kind of thing.
-Require mortgage brokers to disclose to borrowers that their compensation rises when borrowers' mortgage rates and mortgage fees are high.
-Work with states to develop strong licensing standards and require federal registration for mortgage brokers.
-Eliminate prepayment penalties on mortgage products.
-Require mortgage lenders to include the cost of taxes and insurance in the underwriting assessment of higher-risk mortgages.
-Establish a $1 billion fund to assist state programs that help at-risk borrowers avoid foreclosure.
-Expand Fannie Mae's and Freddie Mac's foreclosure prevention efforts.
-Establish a $1 billion fund to provide federal support to housing trust funds established by state, county and municipal governments.
A majority of parties in parliament ranging from centrist to far right
have demanded the hallucinogenic mushrooms be outlawed.
If the government does ban mushrooms, it will be in keeping with
conservative trends that have been sweeping the country in recent years. Since
2001, Muslim immigrants have been under pressure to learn Dutch and integrate,
and there have been calls by some to ban Islamic schools and radical
Revenue rose 18.1 percent to $9.4 billion. Analysts on average expectedHey they beat their own revenue growth estimates. I guess all those routers and such are just flying off of the shelf. It looks like Options guys front ran this one to the tune of 74,000 contracts trading on the 30 and 32.50 August Calls. If tomorrows trades match todays after market move (+1.72 to 31.42) then the investors holding that 30 strike will be in the green.
revenue of $9.275 billion.
In May, Cisco Chief Executive John Chambers forecast fourth-quarter
revenue growth in a range of 15 percent to 16 percent.
Monday, August 06, 2007
At the pump, meanwhile, gas prices also extended their declines,Maybe the consumer will be able to ReFi their loans so that they can absorb any rate increases. Or if they are able to get out from under those expensive homes and possibly sell them they will be in the clear. They may need to rent or buy a condo or something but at least it will help them not go bankrupt and lose their homes. However these oil guys are hopelessly split according to that article though.
falling 2 cents over the weekend to a national average of $2.838 a gallon,
according to AAA and the Oil Price Information Service. Retail prices, which
typically lag the futures market, peaked at $3.227 a gallon in May. At that
time, gas futures were rallying on concerns about the refining industry, which
struggled all spring with maintenance issues and unplanned outages.
In any case I wonder if we will see another 30% drop in oil prices from now until October like we saw last year? Someone placed a $7 million bet on 9000 contracts of Oct 2007 OIH Puts today. This person is betting on a 14.9 point drop from the current levels in the Oil Services HOLDR by October to break even. The OIH dropped about 20% last year from August to October (A 20% drop would put OIH at about 132.) Finally there is an almost 3 to 1 Put to Call ratio in that series as well. Could all this option positioning mean people are hedging for a drop in OIH (and oil prices) from now until October? It seems reasonable.
Inquiring minds are no doubt asking why even more miracles may beNo jobs, no wage growth, and no housing demand means there will be widespread foreclosures unless people take 2nd and 3rd jobs to service all that debt. If you think people are cranky now wait until they are working 3 jobs to pay more and more every month for that $600K house that is now worth only $500K.
needed. The reasons center around debt servicing and jobs. There is simply no
pent up demand for housing, no growth in wages, and no way cash strapped
consumers can service current debt loads. There is also no source of jobs that
an overheated housing market created. There is no need for more Home Depots
(HD), Lowes (LOW), Pizza Huts (YUM), Applebees (APPB), nail salons, strip malls,
Walmarts, etc etc. In fact there is a need for less stores not more and the
coming consumer led recession will prove it. Overcapacity is simply rampant. It
would take even more miracles to correct all of that.
I'm guessing there might be some knee-jerk reaction on the part of the Dem Senate to bail these people out. Will Fannie and Freddie, financed by the taxpayer, buy all those underwater/defaulted mortgages? Or will there be a bail out of the mortgage market just like we saw in the bail out of the savings and loans in the 80s? I guess it depends on the pain that the US consumer will be feeling and how much they clamor for a government quick fix.
One resolution (S Res 302, H Res. 625), would censure Bush and CheneyThe guy will be gone in a little more then a year. Censure him or fine him or whatever after that. Until then concentrate on the so called "progressive agenda." Don't waste any more time on grandstanding for the Far Left.
for “misleading the American people” about the need to invade and occupy Iraq,
as well as for poor planning and conduct of the war.
The other measure (S Res 303, H Res. 626) would censure Bush and
Gonzales for “undermining the rule of law and the separation of powers” by,
among other things, authorizing the National Security Agency to conduct
warrantless surveillance of American citizens and making “misleading” statements about the application of the a sweeping 2001 anti-terrorism law (PL 107-56).
Friday, August 03, 2007
Due to additional time needed to complete the title, Take-Two said itThere goes a "must have" Christmas category killer. From what I read about the game it would have been a serious contender for game of the year for 2007. Whatever the case TTWO is a real joke of a company. First that Manhunt 2 release fiasco and now they have to push back the release of their bread and butter game.
was now planning to release "Grand Theft Auto IV" in the second-quarter, which
ends next April, as opposed to the original release date of this
Under pressure for tougher action against climate change, BushOf course environmentalists are poo-pooing it as always:
invited the European Union, the United Nations and 11 industrial and
developing countries to the September 27-28 meeting in Washington to work
toward setting a long-term goal by 2008 to cut emissions.
But John Coequyt, a policy analyst with Greenpeace, expressed concernYup instead of trying to work with the White House to craft some type of bipartisan environmental effort the Greens accuse Bush of "eroding support for the process." He is calling the worlds polluters together to craft some type of sensible plan which seems like advancing the process to me.
the Washington talks would be used to "erode support for the process that's
strengthening at the U.N."
Why doesn't Greenpeace offer to craft Bushes message for this meeting or sit down in a face to face with him? If Bush refuses to meet with them then they can jump on him for not listening to the point of view. Put poo-pooing proactive movement on global warming is another sign of not taking "yes" for an answer.
Thursday, August 02, 2007
Video game publisher Activision Inc. posted fiscal first-quarterI can say with firm conviction that Guitar Hero II is a great game and probably carries a pretty nice profit margin for its $90 price tag. Also Guitar Hero can have an added revenue stream due to downloadable content via Xbox 360s Live service. I would be willing to plunk down a few bucks so I would be able to play a new song via this game. Some hot licks form an AC/DC song goes a long way. Now they need to come out with Drum Hero or something like so they can sell a drum kit as well. That would also be a perfect fit for the Wii and its weirdo controller.
earnings and revenue above Wall Street's expectations Thursday, boosted by
strong sales of "Guitar Hero II" and its latest "Spider-Man" title.
For the quarter ended June 30, Activision earned $27.8 million, or 9
cents per share, versus a loss of $18.3 million, or 7 cents per share, in the
same period a year ago.
Nearly half the survey respondents, 46 percent, believed a recessionThere still hasn't been 1 quarter of declines in GDP. It slowed to 0.6% in the first quarter but didn't go negative at any time. I guess this is another sign that Americans cannot be trusted to handle their own Social Security money. They will probably blow it on lottery tickets or a new deck or something. Also this same ignorance is what keeps the Mutual Fund industry knee deep in bags of money.
was already under way.The conviction comes despite a 3.4 percent rebound in
economic growth during the second quarter, according to Commerce Department data released last week.
A recession is generally defined as two consecutive quarters of
declines in gross domestic product.
Obama warned Wednesday that if he is elected president, he would orderAt least W is for striking targets in "enemy" countries and doesn't back bombing stuff in a key ally in the war on terror. I thought the Dems were all for political solutions, polling the world community, respecting the sovereignty of nations, and stuff like that. One thing that is interesting is how the AP immediately deflects some criticism from Obama to the Bushies:
US forces to hit extremist targets on Pakistan's frontier with Afghanistan if
embattled military ruler President Pervez Musharraf failed to act.
"Such statements are being made out of sheer ignorance," Pakistan's
Minister of State for Information, Tariq Azeem, told AFP. "They are not fully
apprised about the ground realities and not aware of the efforts by
Islamabad has bristled against a string of similar threats in recentRefusing to rule something out and actually saying you will bomb an ally if you are elected are two very different things. I guess the AP thinks that "all options are on the table" actually means we "will use those options no matter what." I guess the AP doesn't believe in the diplomatic adage of freedom of maneuver.
weeks by the administration of US President George W. Bush, whose top
counter-terror official in July refused to rule out US strikes in