Mary Barra�� first three months as General Motors General Motors��chief executive are shaping up to be pretty awful from a financial standpoint.
Facing a rash of safety-related recalls on older models, GM said Monday it will take a $750 million charge against first quarter earnings, up from an earlier estimate of $300 million.
The new charge, mostly for costs associated with recalls announced in recent weeks, will make an expected poor quarter look even uglier. GM had already warned in February that first quarter earnings would be lower than usual, citing $300 million for restructuring in Europe, Australia, and Brazil. GM also warned of ��ownside risks��in South America, particularly the volatile markets of Venezuela and Argentina. The company also said it faces higher expenses associated with the launch of new full-size SUVS and pickup trucks.
Now, add $750 million for self-inflicted safety recalls, and it�� quite possible the largest U.S. automaker will post a first-quarter loss on April 24.
Best Dividend Companies To Buy For 2015: BR Properties SA (BRPR3)
BR Properties SA is a Brazil-based company engaged in the real estate sector. The Company operates, along with its subsidiaries, in the acquisition, management, leasing and sale of commercial properties in Brazil, mainly office buildings, retail stores and warehouses. The Company also develops and contracts from third parties and the construction of new properties. The Company�� subsidiaries include BRPR I Empreendimentos e Participacoes Ltda, BRPR II Empreendimentos e Participacoes Ltda, BRPR III Empreendimentos e Participacoes Ltda, BRPR IV Empreendimentos e Participacoes Ltda, BRPR V Empreendimentos e Participacoes Ltda, BRPR VII Empreendimentos e Participacoes Ltda and BRPR VIII Empreendimentos e Participacoes Ltda, among others. Advisors' Opinion:- [By Ney Hayashi]
The Ibovespa rose for the first time in five sessions, with developer BR Properties SA (BRPR3) leading gains, amid speculation the Brazilian benchmark�� longest losing streak in six weeks may have been excessive.
Hot Financial Companies To Watch In Right Now: AKB Mosoblbank OAO (MOBB)
AKB MOSOBLBANK OAO (AKB MOSOBLBANK OJSC) is a Russia-based commercial bank. The Company focuses on the provision of various types of banking services to both individual and corporate clients. The Bank offers its services through the network of 400 offices and automated teller machines (ATM), located across the Russian Federation. In addition, it has 23 branches in such cities as: Rostov na Donu, Samara, Astrakhan, Arkhangelsk, Nizhny Novgorod, Omsk, Tyumen, Yakutsk, Grozny, Kemerovo and Vladivostok, among others. As of May 25, 2012, the Company�� major shareholder was Respublikanskaya Finansovaya Korporatsiya OAO with a stake of 74.19%. Advisors' Opinion:- [By Corinne Gretler]
UBS, Switzerland�� largest bank, rallied to a two-year high. Philips, the Dutch maker of light bulbs and electric toothbrushes, gained for an eighth day. Portugal�� PSI-20 Index (PSI20) advanced 2.3 percent as President Anibal Cavaco Silva affirmed that he doesn�� want to call early elections. Mobistar (MOBB) SA slumped the most on record after the Belgian mobile-phone company cut profit forecasts and suspended its dividend.
Hot Financial Companies To Watch In Right Now: PIMCO 1-5 Year US TIPS Index Exchange-Traded Fund (STPZ)
PIMCO 1-5 Year US TIPS Index ETF, formerly Pimco 1-5 Year U.S. TIPS Index Fund, is an exchange traded fund (ETF) designed to capture the returns of the shorter maturity subset of the Treasury Inflation-Protected Securities (TIPS) market by tracking The BofA Merrill Lynch 1-5 Year US Inflation-Linked Treasury Index. The BofA Merrill Lynch 1-5 Year US Inflation-Linked Treasury Index is an unmanaged index comprised of the United States Treasury Inflation Protected Securities with at least $1 billion in outstanding face value and a remaining term to final maturity of at least one year and less than five years. Advisors' Opinion:- [By Benjamin Shepherd]
While there are several exchange-traded funds (ETFs) devoted to TIPS, my favorite is PIMCO 1-5 Year US TIPS Index (NYSE: STPZ).
This ETF has one of the lowest durations of any of the TIPS funds at 2.7 years, so it won’t take much of a ding based on shifting interest rates.
Hot Financial Companies To Watch In Right Now: Tree.com Inc.(TREE)
Tree.Com, Inc., through its subsidiaries, engages in lending business in the United States. It owns various brands and businesses that provide information, tools, advice, products, and services for consumers looking to comparison shop for loans, real estate, and other services from businesses and professionals. The company?s LendingTree Loans segment originates, processes, approves, and funds various types of residential real estate loans primarily under the LendingTree Loans brand name. It offers a range of adjustable and fixed rate mortgage loans, including conforming and prime loans, as well as non-conforming and FHA loans. This segment sources its leads through online and telephone services, as well as through various non-LendingTree channels, such as third-party online lead aggregators and direct mail marketing campaigns. Its Exchanges segment consists of online lead generation networks under the LendingTree.com, GetSmart.com, DegreeTree.com, HealthTree.com, LendingT reeAutos.com, DoneRight.com, and InsuranceTree.com brands; and call centers that connect consumers and service providers, principally in the lending, higher education, home services, insurance, and automobile marketplaces. This segment also provides unsecured loans, automobile loans, credit cards, and various consumer insurance products, as well as opportunities for students seeking institutions of higher education, and home improvement professional services with contractors. The company is based in Charlotte, North Carolina.
Advisors' Opinion:- [By WWW.DAILYFINANCE.COM]
Casper1774 Studio/Shutterstock You may not have noticed it, but recently, it's gotten easier to buy a new home. Last year, a strong housing market combined with fears that the Federal Reserve would eventually begin tapering its purchases of mortgage bonds. Together, these factors helped drive up the cost of a 30-year fixed-rate mortgage from about 3.3 percent in January 2013 to nearly 4.6 percent by September. Since then, mortgage rates have backed off those recent highs, bobbling back and forth between 4.5 percent or so, and, recently, 4.2 percent. This has helped to keep housing affordable for those who want to buy a home. But it did pose the bankers a dilemma: How could they get more people to want to buy homes in the first place, so that they could sell more mortgages? Answer: Make it easier to apply for a mortgage. Mortgage Down Payments Live Down to Their Name Last spring, lending data website LendingTree.com (TREE) released a report showing that the average down payment demanded by mortgage bankers to obtain a 30-year fixed-rate mortgage had fallen 9.4 percent since mid-2011. At 16.1 percent, it was nearly 4 full percentage points shy of the old rule of thumb that a home buyer should put 20 percent down on a new home. Six months later, average down payments had fallen to 15.73 percent of the value of a home. Now, LendingTree has put out an updated report showing that after down payment demands inched back up in 2013 (to 16.01 percent), they've begun to fall once more. At last report, mortgage bankers on average want to see a 15.78 percent down payment -- a bit more than what we saw last fall, but still continuing the downward trend in down payments. Why? One clue may be found in recent comments from Freddie Mac vice president and chief economist Frank Nothaft, who's been highlighting declines in existing-home sales, in new-home sales as well, and even in permits taken out to build houses, in a series of reports through April. If home-buying is
- [By Jake L'Ecuyer]
Meanwhile, top decliners in the sector included Tree.Com (NASDAQ: TREE), down 4.7 percent, and Hilltop Holdings (NYSE: HTH), off 6.7 percent.
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Office Depot (NYSE: ODP) reported upbeat first-quarter results and announced its plans to close at least 400 stores in the United States. For the full year, Office Depot also lifted its adjusted operating income outlook to at least $160 million versus $140 million. Office Depot posted a quarterly net loss of $109 million, or $0.21 per share, versus a year-ago loss of $17 million, or $0.06 per share.
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