Grenville

Here's the press release from the Netjets site: http://www.netjets.com/Learn_More/Press_Releases/2012/pr2012_03_26.asp Also while looking around, I noticed Netjets publishes a newsletter that is available for download: http://www.netjets.com/Learn_More/NetJets_Update.asp I haven't had a chance to read the newsletter, but I thought others might be interested.

Thanks oddballstocks & pof4520, I called the commissioner's office in California and spoke to an examiner. They confirmed that you need to be registered in California if you accept fees. There's additional info at the link below. I'll have to think about this more. Also thanks for the tip in regards to the power of attorney. http://www.corp.ca.gov/Laws/CSL/BDIA/State_IA.asp

Hi board members, I am starting to manage a few friend and family investment accounts. Does anyone know where the specific language for exemptions from registration with state or federal license authorities is? I'm in California. I know it's possible to manage accounts in California without registration given that IB allows one to register for a friends&family account for fewer than 15 accounts where fees can be collected on all 15 accounts. Is it a federal exemption that applies in California and other states or is there a ruling that clarifies this situation? Any help or insight would be great. I have looked at the Dept. of Corporations Laws under investment adviser, but I doubt that's the right place to find the rules. I'm also not publicly advertising myself as an investment adviser. Here are the rules for Investment advisers in California: http://www.leginfo.ca.gov/cgi-bin/displaycode?section=corp&group=25001-26000&file=25200-25209 http://www.leginfo.ca.gov/cgi-bin/displaycode?section=corp&group=25001-26000&file=25210-25221 http://www.leginfo.ca.gov/cgi-bin/displaycode?section=corp&group=25001-26000&file=25230-25238 http://www.leginfo.ca.gov/cgi-bin/displaycode?section=corp&group=25001-26000&file=25240-25256

Awesome. Thank you for the reference in the document. Here's a direct link to the .pdf from the sec http://www.sec.gov/litigation/complaints/2009/comp21280.pdf Here's the other one: http://www.sec.gov/litigation/complaints/2008/comp20545.pdf

Hi Rabbit, do you have a link to those docs released in the suit?

True on the tax effect. Maybe they are trying to maintain a debt/capital ratio for both themselves and the rating agencies.

"Goldman Sachs CEO Lloyd Blankfein and President Gary Cohn responded to Greg Smith's public resignation on Wednesday in a letter to the firm's employees. The letter is reproduced below in its entirety:" http://money.cnn.com/2012/03/14/markets/goldman-sachs-greg-smith-statement/

I'd also agree that he isn't a managing director or partner. On the other hand, he's been at the firm for 12 years. It's a data point for whatever its worth. I appreciate pointing out the confirmation bias, I'm a bit biased.

I was wondering why they were raising the preferred issue, then I saw the news of the JV with KW in Europe. Not a bad interest rate at 5%.

I'd agree.

It's also important to note that it is the opinion of one employee and may not be a true reflection of what's going on inside.

Zgrendi, Take my thoughts with a grain of salt since I've never worked at a bank and its just my thoughts from the outside looking in. Based on my read of his letter, the firm was different when he first arrived and has changed with time. I also agree that money can be a very strong motivator and can make people do things that they wouldn't necessarily do if money wasn't involved. The individual has probably made plenty of money in his time with the firm, but for me, its the fact that he has publicly aired his grievances to a major publication like the NY Times. That's not an easy thing to do. I agree that most firms dealing with GS should be sophisticated but you hear the stories of the town or city that got talked into a swap that they probably shouldn't have. It may also emphasize the conflict of interest in running an Ibank and a prop trading desk. ...

Nice article. Covers a lot of ground and gives some history on Pandit. thanks.

An eye opening op-ed letter from a resigning managing director who has been with the firm for 12 years and was director and head of the US equity derivatives business in Europe, Middle East & North Africa. He essentially outlines the decline of the culture from one where making money trumps doing the right thing for the client. He also states that if things don't change, the firm will eventually decline...wow. Why I Am Leaving Goldman Sachs By GREG SMITH http://www.nytimes.com/2012/03/14/opinion/why-i-am-leaving-goldman-sachs.html?_r=2&pagewanted=1&src=twr

Bank Holding Company first number: Minimum stressed ratios assuming no capital actions after Q1 2012 (1) second number: Minimum stressed ratios with all proposed capital actions through Q4 2013 Ally Financial Inc. 2.5 2.5 American Express Company 12.4 10.8 Bank of America Corporation 5.7 5.9 The Bank of New York Mellon Corporation 13.3 13.0 BB&T Corporation 7.3 6.4 Capital One Financial Corporation 7.2 7.8 Citigroup Inc. 5.9 4.9 Fifth Third Bancorp 7.7 6.3 The Goldman Sachs Group, Inc. 5.8 5.7 JPMorgan Chase & Co. 6.3 5.4 Keycorp 6.3 5.3 MetLif e, Inc. 5.4 5.1 Morgan Stanley 5.4 5.4 The PNC Financial Services Group, Inc. 6.6 5.9 Regions Financial Corporation 5.7 6.6 State Street Corporation 15.1 12.5 SunTrust Banks, Inc. 5.5 4.8 U.S. Bancorp 7.7 5.4 Wells Fargo & Company 6.6 6.0

Page 13 shows that the "cost per dollar deposit" is 2.55%, even though they only pay the depositor 0.23% yield on the deposit. Thanks for pointing out that metric, I missed it when i was looking through the slides.

Thanks for the color!

Development that I thought was notable: Sam Chan - became president of Alltrust in China at Chairman Henry Du's request and Scott Donovan, retired CFO of ORH, will also support Sam Enjoyed the letter, the EU situation (~25% of world GDP) and China (~10% of world GDP) worry me. The lack of levers really makes me hope the US consumer pulls us through the next few years. The level of detail and the references to individuals and the color on the way things developed is awesome. It's a unique view to have as a non employee shareholder. The international expansion will give us a nice view on the developments around the world.

97.5 refers to their property line of business where the GWP is 798. The 116.7 refers to all lines of business and the NPW is 2089.7 for 2011.

The annual report and chairman's letter are out: Chairman's letter: http://www.fairfax.ca/Theme/Fairfax/files/Letter%20to%20Shareholders%20from%20Annual%20Report%202011%20FINAL_v001_j939zn.pdf 2011 Annual Report: http://www.fairfax.ca/Theme/Fairfax/files/Annual%20Report%202011%20Final_v001_j20lz3.pdf Haven't dug in yet, should be good reading for the weekend.

The following .pdf is very helpful in learning more about the process: Greek Sovereign CDS Credit Event Frequently Asked Questions (FAQ) http://www2.isda.org/attachment/NDA5NQ==/Greek%20Sovereign%20CDS%20Credit%20Event%20FAQs%2003-09.pdf Also here is a link to the voting members of each respective determinations committee: http://www.isda.org/dc/committees.html

ISDA EMEA Determinations Committee:Restructuring Credit Event Has Occurred with Respect to The Hellenic Republic LONDON, March 9, 2012 – The International Swaps and Derivatives Association, Inc. (ISDA) today announced that its EMEA Credit Derivatives Determinations Committee resolved unanimously that a Restructuring Credit Event has occurred with respect to The Hellenic Republic (Greece). The EMEA DC resolved that a Restructuring Credit Event has occurred under Section 4.7(a) of the ISDA 2003 Credit Derivatives Definitions (as amended by the July 2009 Supplement) following the exercise by The Hellenic Republic of collective action clauses to amend the terms of Greek law governed bonds issued by The Hellenic Republic such that the right of all holders of the Affected Bonds to receive payments has been reduced. The Committee determined that an auction will be held in respect of outstanding CDS transactions on March 19. ISDA has published a list of obligations issued or guaranteed by The Hellenic Republic, which the EMEA Determinations Committee is currently in the process of reviewing. That list can be accessed here: http://www2.isda.org/preliminary-greek-obligations/. ISDA will publish further information regarding the potential auction on its website, www.isda.org/credit, in due course. Answers to frequently asked questions regarding The Hellenic Republic Restructuring Credit Event can be accessed via ISDA’s Greek Sovereign CDS page: http://www2.isda.org/greek-sovereign-cds/ ISDA will host a press briefing today at 9PM GMT / 4PM EST addressing the credit event ruling. A live webcast of the briefing will be available at: http://services.choruscall.com/links/isda120309.html. http://www2.isda.org/news/isda-emea-determinations-committee-restructuring-credit-event-has-occurred-with-respect-to-the-hellenic-republic Good to see the ruling and know that the CDS tied to sovereigns actually protects the underlying bonds.

Just curious, I haven't followed the Citi story, what is Pandit not doing well?

Nice videos of Brian Moynihan on CNBC: On housing and stress test http://video.cnbc.com/gallery/?video=3000077687 Improvement in consumer spending http://video.cnbc.com/gallery/?video=3000077688 "consumers are spending about 6% more on the credit and debit cards february 2012 versus february 2011, and that's been pretty consistent."

Article regarding Brian Moynihan's support of a Catholic school in Haiti and how his younger brother now runs it. "Interview: Bank of America CEO shows his other side -- in Haiti" http://www.reuters.com/article/2012/03/01/us-bankofamerica-haiti-idUSTRE8200QT20120301