The Observer reports that up to 10,000 support roles could go in the event that Citigroup merges its Smith Barney brokerage unit with Morgan Stanley's financial advisory business. Although few of the combined 20,000 advisors themselves face the prospect of losing their jobs, admin, IT, compliance, legal, HR and other support staff are thought likely to lose out big time, as the enlarged unit moves quickly to capture cost synergies.
Reuters reports that Swiss Sunday newspaper Sonntag has said that UBS officials fully expect a massive $1.8bn fine from US authorities to settle claims that it helped US clients hide $18bn in assets and evade hundreds of millions in taxes. A spokesperson for the bank called the report 'pure speculation'.
Former US Treasury Secretary Robert Rubin has called it quits on his career at Citigroup, the company he joined originally in an executive capacity in 1999. Fairly or not, Rubin's reputation has suffered severe damage in the last two years because, during this time, Citi has suffered billions in writedowns and losses and the company stock price has fallen dramatically. Rubin is thought to have made $110m in compensation during the decade he was with the firm.
Alleged $50bn fraudster Bernie Madoff will find out early Monday afternoon whether his bail will be revoked and he'll have to go to jail ahead of his trial.
Our Highly Placed Professional pontificates on who's likely to be hot, and who / what's not, in 2009.
Here's Mergermarket's 2008 global league table of legal advisers.
Here are a couple of interesting comments we received on the article we did last week on the subject of the Bank of America takeover of Merrill Lynch.
I'm currently reading the 1970s novel 'The Rag Parade', and you are struck at just how similar things were back then. The same endless striving for quick profit. The same kind of takeovers, attritions, scandals and political struggles.
Larry Flynt ('The Hustler'), that master of self-publicity, and Joe Francis ('Girls Gone Wild'), are asking the US government for a bailout for the porn industry, which is said to be on its knees (Triple X-rated DVD sales are apparently down some 22% on a year ago).
The Wall Street Journal reports that Barclays is to cut 30 jobs in Hong Kong and Singapore, as it merges its Wealth Intermediaries and International Private Banking units.