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NEW YORK (MarketWatch) - Bank stocks fell almost 3% in early trading Friday after
Merrill Lynch downgraded Regions Financial Corp. and KeyCorp to sell from neutral
on fears of declining credit quality. Merrill trimmed its earnings estimates for
Regions by 88 cents to $20.44 and by 93 cents to $24.16 for KeyCorp; the
downgrades pushed both banks’ shares down more than 5% in morning trading.
Analyst Ed Najarian told investors in a research note that Merrill continues to
expect large loan loss reserves at the nation’s larger regional banks, but sees
the potential for recovery in 2009. Merrill maintained its sell rating on other
regional banks Wells Fargo & Co. [s:WFC], SunTrust Banks Inc. [s:STI] and
Wachovia Corp. .

I bought some shares of (SWIM: 8.26 -0.48%) At 7.80 in the past few days.
I bought some shares of (C: 23.1699 -2.36%) At 23.04 in the past few days.
I bought some shares of (HANS: 29.30 -1.64%) At 29 in the past few days.
I bought some shares of (SWIM: 8.26 -0.48%) At 7.80 in the past few days.
I bought some shares of (ABK: 3.87 -2.52%) At 3.79 in the past few days.

I am about to sold off my position at C and abk and keep collect more shares of HANS and targeted to sell around at 34.

Last Update: 5/16/2008 8:12:57 AM

Among the companies whose shares are expected to see active trading in Friday’s
session are British Energy PLC (BGY.LN), Berkshire Hathaway Inc. (BRKA, BRKB) and
Yahoo Inc. (YHOO).

Nuclear power generator British Energy Friday confirmed in a statement that it
has received a number of proposals from several parties wishing to make a full
offer for the company, some of which were above 680 pence a share. The company’s
board said it has reviewed the proposals and has decided that they require
further development and discussions should continue, most likely for a number of
weeks. Meanwhile, French utility Suez (SZE.FR) hasn’t made an offer for stake in
British Energy, a company spokesman said Friday.

Berkshire Hathaway, the investment vehicle for billionaire Warren Buffett,
disclosed no holdings in Ameriprise Financial Inc. (AMP) at the end of the first
quarter, but reported increased stakes in Kraft Foods Inc. (KFT), Ingersoll Rand
Co. (IR), and Burlington Northern Santa Fe Corp. (BNI).

Yahoo executives are seeking to finalize a search-advertising pact with Google
Inc. (GOOG), The New York Post reported in its Friday editions. The Post reported
that the two companies plan to structure a deal as an “open platform” system,
which would allow not only Yahoo and Google, but anyone else to bid for the right
to serve up ads tied to keyword searches. Also Friday, Yahoo said that it has
agreed a strategic partnership with U.K. advertising and marketing firm WPP Group
PLC (WPP.LN) that will allow WPP’s agencies to buy digital display advertising
across the Internet more efficiently.

British Airways PLC (BAIRY) Friday reported a higher full-year profit, helped by
good demand for premium tickets, and said it would pay its first annual dividend
since the 2001 fiscal year despite a tough outlook. The airline is proposing to
pay a dividend of 5 pence a share - totaling GBP58 million - which will be its
first payment to shareholders since the 2001 fiscal year.

Exxon Mobil Corp. (XOM) Chairman and Chief Executive Rex Tillerson says he finds
it “astonishing” that President Bush is asking Saudi Arabia to pump more oil
rather than working harder to clear the way for more oil production at home.

Abercrombie & Fitch Co. (ANF) reported fiscal first-quarter net income rose 3% to
$62.1 million, or 69 cents a share, amid rising margins as the company announced
it will ease back on store-opening plans this year. The EPS is above analysts’
estimates for 66 cents a share. Last week, the company said revenue climbed 8% to
$800.2 million, while same-store sales - considered a key indicator of a
retailer’s strength - dropped 3%.

FairPoint Communications Inc. (FRP) said first-quarter net income fell to $9.5
million, or 18 cents a share. Quarterly revenue for the Charlotte-based telecom
carrier also declined, to $282.4 million from nearly $298 million. Analysts, on
average, polled by Thomson Reuters expected revenue of $143 million.

After Thursday’s closing bell, retailers Nordstrom Inc. (JWN) and Kohl’s Corp.
(KSS) reported lower profits in the first quarter. Nordstrom reported a net
income of $119 million, or 54 cents a share, down from $157 million, or 60 cents
a share, a year earlier, while Kohl’s net income declined to $153 million, or 49
cents a share, from $209 million, or 64 cents a share, in the year-ago period.

Watch list

Advance Auto Parts Inc.’s (AAP) first-quarter net income rose to $82.1 million,
or 86 cents a share. The auto-parts retailer’s sales rose to $1.53 billion.
Analysts were expecting per-share earnings of 78 cents on revenue of $1.51
billion. Advance Auto Parts’ board authorized the repurchase of $250 million of
the company’s shares.

Autodesk Inc.’s (ADSK) first-quarter net income rose to $94.6 million, or 41
cents a share. Revenue rose to $598.8 million. Analysts estimated Autodesk would
post earnings excluding special items of 48 cents a share, and $589.11 million in
revenue, according to FactSet Research.

Beazer Homes USA Inc. (BZH) reported a wider first-quarter loss of $138.2
million, or $3.59 a share. Revenue dropped to $503.1 million. Beazer also
reported a wider loss for the second quarter of $229.9 million, or $5.96 a share.
Second-quarter revenue fell to $405.4 million.

BMC Software Inc.’s (BMC) fiscal fourth-quarter net income rose to $97 million,
or 50 cents a share. Revenue rose 11% to $466.9 million. Analysts were expecting
earnings of 51 cents a share on revenue of $460.9 million, according to FactSet
Research.

Compuware Corp. (CPWR) reported a fourth-quarter profit of $61.2 million, or 23
cents a share, on revenue of $338.9 million. During the same period a year ago,
the business software company earned $67.5 million, or 21 cents a share, on $313
million in sales. Analysts surveyed by Thomson Financial had forecast Compuware
to earn 21 cents a share on $331.5 million in sales.

Mentor Corp. (MNT) reported its fiscal fourth-quarter net income fell to $19.8
million, or 53 cents a share. Revenue increased to $99.4 million. Analysts had
forecast earnings of 29 cents a share on revenue of $94.1 million.

Millennium Pharmaceuticals Inc. (MLNM) is forecast to post earnings of 5 cents a
share for the first quarter, according to analysts surveyed by FactSet Research.

Novell Inc. (NOVL) named Richard Crandall non-executive chairman, succeeding
Thomas Plaskett, who will remain on the board. The software company said Crandall
is a founding managing director of Arbor Partners, a high-technology
venture-capital firm.

Stanley Works (SWK) agreed to acquire VeriChip Corp’s. (CHIP) Xmark Corp. for $45
million to help grow its security business. Stanley expects the deal to close
during the third or fourth quarters and nominally add to 2009 earnings. VeriChip
expects to record net proceeds of $21.4 million and retire its debt outstanding
on the transaction. The company also plans to issue a special dividend of at
least $15 million.

Southern Union Co. (SUG) has promoted Eric Herschmann to president and chief
operating officer from senior executive vice president at the Houston natural gas
company.

AIG Prices Two-Part Subordinated Benchmark Bond Issue

Last Update: 5/16/2008 7:00:46 AM

LONDON (Dow Jones)–American International Group Inc. (AIG) has priced its
two-part, junior, subordinated, benchmark bond issue through bookrunners Citi and
JPMorgan, one of the banks managing the deal said Friday.

Terms are as follows:

Amount: GBP900 million
Coupon: 8.625%
Reoffer Price: 99.914
Spread: 385 basis points over gilts
Yield: 8.638%
Amount: EUR750 million
Coupon: 8%
Reoffer Price: 99.552
Spread: 386.1 basis points over bunds
Yield: 8.067%
Final Maturity: May 22, 2068
Payment Date: May 22, 2008
Debt Ratings: Aa3 (Moody’s)
A (Standard & Poor’s)
A+ (Fitch)
Listing: Irish Stock Exchange
Interest: Semiannual

Citibank Rewards Checking Customers for Virtually Everything They Do

Promotion gives 16,000 ThankYou(R) Points, plus for the first year, triple reward
points to new customers who open a qualifying checking account

NEW YORK, May 15, 2008 /PRNewswire-FirstCall via COMTEX/ — With Citibank
checking, the rewards add up fast, in a lot of ways. Now new checking customers
can get points even faster for the rewards they really want. Starting May 18,
Citibank will give 16,000 ThankYou(R) Points, redeemable for $150 in gift cards,
to customers when they open a qualifying checking account, enroll in ThankYou
Network - Citibank’s rewards program - and perform qualifying activities. Plus,
they can also get triple ThankYou Points each month for a year, for everyday
banking activities linked to their checking account.
(Logo:http://www.newscom.com/cgi-bin/prnh/20080221/NYTH027LOGO )
Everyday banking activities for which customers can get points include:
– Debit card purchases
– Online bill payments
– Direct deposit
– Savings: CDs and money market accounts
– Home equity line and loan

“Citibank checking with ThankYou Network is one way of ensuring that our banking
customers are not only thanked for their business but also rewarded for all their
everyday banking activities,” said Debbie Gabor, senior vice president, Citibank
North America. “Providing more ways to get reward points — for more than just
debit card transactions — demonstrates our unique ability to deliver on customer
appreciation and serves as one of the many differentiating benefits of banking
with Citibank.”