It looks like you're using an Ad Blocker.
Please white-list or disable AboveTopSecret.com in your ad-blocking tool.
Thank you.
Some features of ATS will be disabled while you continue to use an ad-blocker.
Dow Chemical agreed to buy Rohm & Haas under terms similar to the $78 a share agreed upon in July, The Wall Street Journal reported on its Web site.
The settlement came hours before a deadline set by a Delaware judge in a suit brought against Dow Chemical by Rohm & Haas for failing to complete the transaction in January.
Dow Chemical put the deal on hold in January following the financial crisis and the economic downturn, saying now wasn't the time to swallow such a large acquisition.
Before the report, Dow shares closed down 11% at $6.33 and have now lost almost 83% of their value in the past year on the back of the worst recession in decades and concerns it may be forced to swallow the acquisition, leaving it fundamentally weaker.
Rohm & Haas shares jumped 16% to finish at $74 after being halted earlier.
On Friday, the companies confirmed that they had re-entered talks over Dow's proposed $15 billion acquisition of Rohm & Haas.
Dow also renegotiated a nearly $13 billion bridge loan for the purchase that included amendments to further protect the company from potential defaults. Read full story.
The companies announced July 10 that Dow would buy Rohm & Haas for $78 a share, a premium of 74% over its trading price at the time. That brought harsh criticism from analysts that the company had overpaid. Read full story.
Things got worse in mid-September when Lehman Brothers collapsed, sending shock waves through the economy and shrinking consumer and commercial access to credit. By November, chemical customers began to de-stock their inventories in anticipation of falling auto, electronic and consumer-product sales.
But Dow remained confident the deal would close, relying on $9 billion in pre-tax cash from a joint venture with Kuwait's Petrochemical Industries Co. to keep the post-merger entity viable. However, the venture went bust the day before its Jan. 1 launch because of pressure from the Kuwait government, which questioned the wisdom of the deal as financial markets and the economy soured.
Since then, Dow cut its dividend for the first time in its 112-year history, reducing it by 64% to 15 cents a share, saving the company about $1 billion annually.
Sad...Sad...Sad..
U.S. Headed For Longest Post-War Recession
www.cbsnews.com...
While Unemployment, GDP Are Not As Bad As 1981-82, Economic Pain More Widespread
:snip:
"This recession is broader, deeper and more complicated than virtually anything we have ever seen," Wachovia Corp. economist Mark Vitner said. "The whole evolution of the credit markets resulted in all sorts of complex financial instruments that are difficult to unwind. It's like trying to unscramble scrambled eggs. It just can't be done that easily. I don't know if it can be done at all."
He said he sees fear in the eyes of his clients.
Originally posted by Hx3_1963
reply to post by Hastobemoretolife
Star 4 U!
S&P 500 +1.90 677.80 3/9 9:08pm
Fair Value 682.93 3/8 12:10am
Difference* -5.13
NASDAQ +3.75 1050.75 3/9 8:47pm
Fair Value 1064.71 3/8 12:10am
Difference* -13.96
Dow Jones +20.00 6548.00 3/9 9:03pm
---
Taiwan Weighted 4,619.40 9:12PM ET -8.84 (-0.19%)
Seoul Composite 1,069.22 9:13PM ET -2.51 (-0.23%)
Straits Times 1,469.49 9:32PM ET 12.54 (0.86%)
NZSE 50 2,454.39 9:09PM ET -14.78 (-0.60%)
Nikkei 225 7,061.65 9:13PM ET -24.38 (-0.34%)
China
CSI 300 INDEX 2,202.53 -84.05 -3.68% 03/09
SHANGHAI SE A SHARE INDX 2,194.09 -29.98 -1.35% 21:37
SHANGHAI SE B SHARE INDX 136.94 -0.48 -0.35% 21:37
SHENZHEN SE A SHARE INDX 722.33 -30.26 -4.02% 03/09
SHENZHEN SE B SHARE INDX 313.96 -6.96 -2.17% 03/09
SHANGHAI SE COMPOSITE IX 2,090.28 -28.47 -1.34% 21:37
SHENZHEN SE COMPOSITE IX 686.47 -28.54 -3.99% 03/09
SHANGHAI SE 180 A SHR IX 4,793.34 -67.85 -1.40% 21:37
SHANGHAI SE 50 A-SHR IDX 1,595.61 -24.52 -1.51% 21:37
SHENZHEN G-SHARES 2,986.14 -123.01 -3.96% 03/09
SHANGHAI G-SHARES 1,774.58 -24.39 -1.36% 21:37
SSE COMPONENT STOCK IX 7,946.80 -303.09 -3.67% 03/09
---
Gold $917.05 V
Oil $47.25 ^
[edit on 3/9/2009 by Hx3_1963]
LAYOFF DAILY UPDATE
Mon 3-9-2009
Fleetwood RV Throws In Towel -415
Bingham McCutchen Law Firm -39
Stanford Group In FL -170
GE -36/Parker Hannifin -16
Kansas City Star -150
Law Firms Chopping Heads Today -731
New York City Layoff Meter -4,114
Morgan, Lewis and Bockius Law Firm -216
K and L Gates Law Firm -112
Sacramento Bee -128
Peoria School District May Cut -700
Manchester Trailer -59
Maersk Idling Up To 25 Ships
Ad Agency Mullen Cuts Again -40
Garmin -141
THQ Inc. -86
Essroc Cement Corp. Idles Plant -113
Pontiac Schools -500
Newspaper Publisher McClatchy -1,600
Down East Magazine -7
Tata Consultancy -1,300
IBM Layoff Estimate -4,600
Meadowbrook Farms -600
Toronto Star -38
King and Spalding Law Firm -122
Stockton Schools -323
Colton Schools -52
Modern Forge -33
Pontiac schools weigh mass staff layoff
www.freep.com...
The Pontiac School District may lay off all of its teachers and administrators as early as next week and later call some back to work, as the district reorganizes amid a $10-million deficit.
On Monday, the school board is to decide whether to approve a proposal to lay off the entire staff, including nearly 500 teachers, as of June 30. Officials met with employees Thursday and Friday.
The proposed layoffs come as district officials prepare to close eight schools by the end of the school year as it grapples with the deficit and a student population that has plunged to 7,200 students. The district has space for 20,000.
"We will look at everyone's certification and seniority as we look to provide for our students' needs," Interim Superintendent Linda Paramore said Friday. "We are still designing programs for next year and no later than May 1 we hope to recall all of our employees."