posted on Nov, 2 2007 @ 05:19 PM
Reuters
Merrill's credibility and stock take hit
Friday November 2, 6:10 pm ET
By Tim McLaughlin
NEW YORK (Reuters) - Merrill Lynch & Co Inc.'s credibility and stock took a big hit on Friday after reports said the biggest brokerage sought to
delay billions of dollars of losses on troubled assets by moving them to hedge funds...
"We have increasingly lost confidence in the financials of Merrill, especially after the sudden increase in (collateralized debt obligation)
write-downs," Deutsche Bank analyst Mike Mayo said in a note issued on Friday. He cut his rating on Merrill shares to "buy" and said the company
might need to find a partner to restore credibility and financial strength...
Already, the company faces a shareholder lawsuit seeking class-action status over the write-downs and legal experts say more could be on the way.
Please visit the link provided for the complete story.
Just read about this, definatly makes me re-think my position on Merrill Lynch; I actually liked this company; they had a good dividend and where
considered a good company. Delaying this could possibly be more dangerous for the economy as a whole than if they had just of written all of it off
at once. Instead of us sustaining a drop of say, 500 points or so, or less, who really knows, this will now be apparently spread over a few periods,
or possibly hit all at once, who knows these days.