Weekly Recap 214 to 219

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Weekly Recap 2/14 to 2/19

• By Kim Chung, Jessica Inamine, Kaera Kamakau,
  Andy Kazama, Kit Wong

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Weekly Recap
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Circuit City- Target of Buyout

• A hedge fund bid of 3.25 billion or 17 a share
  was proposed by Highfields Capital Management.
• The deal represented a 20 premium over Mondays
  stock
• As a result, Circuit City decides to reposition
  its management team
• Hopes to increase its undervalued share price

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Alan Greenspan Vs. BushSocial Security

• Urged caution in financing private accounts
• Greenspan says it irresponsible and could have
  negative consequences
• Dont the stage of financial markets in which
  those who are trading long term bond are
  discounting the 10 trillion liability.

• President Bush plan could raise debt level by
  743 billion in 2015
• Impact on debt will continue to grow and initial
  contributions would start at 1,000 (2009) and
  rise 100 every year.
• Issue more bonds
• Raise revenues for payroll taxes

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Hewlett Packard

• Robert Waymand announced yesterday that HP hired
  Russell Reynolds Associates to find a replacement
  for Carly Fiorina
• Investors and analysts want to see HP form a
  separate entity for its printer division
• Revenues and earnings still beat expectations
  despite the controversy

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Google

• On Monday, Google unlocked 176.8 million shares
• Stock prices rose 5.59 to close at 192.99
• 38.5 million shares changed hands

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Oil, Petroleum, and Gold

Oil Industry
Gold and Silver
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Oil, Petroleum, and Gold

• Oil and Petroleum Companies
• Goodrich Petroleum (GDP)
• 100 drilling success rate
• More Investment into development
• Increased Borrowing
• Western Gas Resources (WGR)
• Increased Revenues by 19
• Gold Companies
• Barrick Gold (ABX)
• Profits Doubled from 77 million to 156 million

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05 Investment Strategies

• Weak economy
• High unemployment rate
• The pressure of rising interest rate
• U.S stock market may not be a good investment
  place for the investors in 05

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05 Investment Strategies

• 3 economic growth in United Stated
• 8 economic growth in China and India.
• We expect the Asian economic will continue grow
  in the following 10 years
• The Asian financial market is a good substitute
  for the U.S. investors in 2005 or in the long-
  term investment.
• Investors should consider in 4 industries
• Financial service industry
• Travel and Entertainment industry
• High technology industry
• Oil industry

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05 Investment Strategies

• American International Group (AIG)
• Prudential Financial (PRU)

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AIG VS PRU