Accounting & Financial Analysis News by GLG Council Members

Historically, China very careful about open its domestic market to foreign companies, the big changes with China  to let US companies to operate in financial services sector can link to many aspects.

1.  Ruiz and Meyer are hoping against hope in expecting AMD to return to profitability so soon. 2.  Barcelona was supposed to have delivered the “killer” punch to Intel but instead turned out to be a major embarrassment for AMD

1.  An alliance between T-Mobile and Huawei would do wonders for both companies. 2.  This alliance shows that Chinese companies are no longer in the background and need to be considered as mainstream competition.   3.  This will provide a mutual benefit for the two companies and create synergies that each individually could not attain.

1.  Sprint is still struggling from the Nextel merger which has not realized any of the savings that were projected from the merger.  2.  Sprint’s dreaded customer service has already led to declining customer base that is already hurting the company. 3.  Sprint’s WiMax vision is a dangerous diversion especially in-lieu of the above two points.

The SEC recently gave its approval for foreign companies listed in the U.S. to present financials exclusively using the IASB's version of IFRS – with no reconciliation to U.S. GAAP.  The SEC is now seriously looking into the possibility of giving U.S. companies the option of using IFRS in lieu of U.S. GAAP.  There are some notable obstacles to overcome before the ultimate...

Vietnam slowly become the replacement of China for low cost production center and forced Vietnam economy hike few years back as many companies previously in China turn to Vietnam to set up factories as Vietnam provide better profit margin than China.

I see an elevated risk as a consequence of this decision because (a) the bail out of the SIV will fail to allow proper price discovery of the debt portfolio acquired; (b) it will likely have a future impact on capital ratios which can lead to a contraction in lending with a multiplier effect and (c) contraction in lending can reduce earnings which can impact future dividend payout. (d) share buybacks...

AMD  has  just  announced  that  it  will  take  a  material charge on account  of  goodwill  while  Unify  Corporation  has  also  stated  that  it  will  restate  its  results  on  account  of  errors  in accounting for  goodwill. The  FASB  has ...

Peabody Energy Corp. announces a coal mining deal with China, but its CEO not sure whether the deal will success or not, not until the next 12 months. China is short of green energy like hydro and natural gas so the need of coal as green fuel is urgent. Obviously the deal of mining coal in China by Peabody is a difficult one.

I see the removal of BIIB as a PFE M&A prospect as an incremental positive for PFE.  In my view PFE using its debased currency (its shares) to fund an acquisition of BIIB would not be justified.