Author: Farkas Laura

In a telephone interview with Becky Quick of CNBC’s Squawk Box, Warren Buffett announced that he’s making a $5 billion investment in Goldman Sachs because “the price was right, the terms were right, and the people were right.” Buffett told CNBC that he likes to “bet on brains” and called Goldman the best firm on… Continue reading CNBC Interview: Buffett Investing $5 Billion in Goldman Sachs, Confident in Congress Moving Forward with Treasury Proposal

On Monday Governor David A. Paterson said that New York would begin regulating credit-default swaps, the arcane financial instruments that were little known outside Wall Street before the credit crisis.    New state regulations will take effect on Jan. 1, but the governor said New York had jurisdiction to regulate only about a fifth of… Continue reading New York to Regulate Credit-Default Swaps, Governor Paterson Says

According to the J.D. Power and Associates 2008 “Insurance Escaped Shopper Study” released last week, on average auto insurance companies quote and successfully sign only 2 percent of all auto insurance shoppers.    The inaugural study examines the behaviors of auto insurance customers who recently shopped for a new insurance company. The study, which aims… Continue reading Study Shows Auto Carriers Capture Only Two Percent of Shoppers

American International Group Inc., selling assets to repay a U.S. government loan, may seek buyers for some of its $16 billion in global real estate holdings.     The largest U.S. insurer, which agreed last week to an $85 billion federal loan to stay afloat, may find eager buyers for property it owns in more… Continue reading Real Estate Holdings May Be on AIG’s Asset List for Sale

New York State Attorney General Andrew Cuomo acting on a request made by the Governor David A. Paterson began investigating allegations of fraud in federal disability pension payments made to retirees of the Long Island Rail Road (LIRR).      The probe comes on the heels of a published report that found “virtually every employee of… Continue reading Allegations of Disability Fraud Made Against NY’s Long Island Rail Road

This morning the Senate Banking committee is meeting to discuss the proposed $700 billion Treasury plan to stem the crisis that is hitting the global markets. Congress is being urged by U.S. Treasury Secretary Henry Paulson and Federal Reserve Chairman Ben Bernanke to act swiftly. Senate Banking Chairman Christopher Dodd and others, however, have reservations… Continue reading Breaking News: Senate Banking Chairman Dodd: We Have to Get This Plan Right

The American Bankers Association (ABA) in its survey shows that about a quarter of the nation’s banks lost a combined $10 billion to $15 billion in the wake of the federal government’s takeover of mortgage giants Fannie Mae and Freddie Mac. The ABA reported that 27% of the nation’s 8,500 banks held preferred shares in… Continue reading Banks Lose Big to Fannie, Freddie Takover

Liberty Mutual Group today announced that it finalized its acquisition of Safeco Corporation (“Safeco”) effective today. With the addition of Safeco, Liberty Mutual Group becomes the fifth largest property and casualty insurer in the U.S., with more than $32 billion in direct written premium based on 2007 results for both companies. Safeco joins Liberty Mutual’s… Continue reading Liberty Finalizes Safeco Acquisition Today

According to a revised estimate from Oakland, California-based risk modeling firm EQECAT Inc., U.S. onshore insured losses from Hurricane Ike are estimated to range from $8 billion to $12 billion. Previous estimates were in the range of $8 billion to $18 billion.    In addition, EQECAT said the total economic loss to offshore oil and… Continue reading EQECAT Revises Ike Loss Estimates

President George W. Bush in an effort to pressure Congress to quickly agree on plan to stop a financial meltdown said that the “whole world” is watching to see if lawmakers can come together without adding extra elements to the legislation.      Bush’s move Monday came as some leading congressional Democrats called for a cautious,… Continue reading Bush Urges Congress to Act Quickly on Relief Legislation, Dems Look to Add Measures