1. Bruce Berkowitz’s takes on AIG, SEARS, BAC, MBIA
AIG: AIG (AIG) is priced for 10 Sandys. More broadly, the company needs to reduce expenses, which will naturally occur. There’s been a huge amount of time and energy placed in dealing with the Federal Reserve and the U.S. Treasury, and building new information systems. So you’ll start to see significant cost reductions over time.
SEARS: The value of Sears (SHLD) [which trades near $60] would be over $160 a share if the land on the books was fully valued. You can look back at recent transactions and ask a question: How can Sears close stores and generate hundreds of millions of dollars of cash? It gets at the inventory. The liquidation value of its inventory approaches its stock price. Forget the real estate. The retail recovery is a potential upside. …
BAC and MBIA: I know BofA doesn’t want shareholders to overpay, but I’m one large shareholder who says, “Settle up!” And yes, it’s in part because I’m a large MBIA (MBI) shareholder, but it’s also because it’s time to move on. I’ve e-mailed [BofA CEO] Brian Moynihan and said, “Settle.” BofA is now the best capitalized bank in the U.S.
2. AIG back to China
3. MBIA Inc. Announces the Successful Completion of its Consent Solicitation Relating to the Indentures
About Timeless Investor
My name is Samual Lau. I am a long-term value investor and a zealous disciple of Ben Graham. And I am a MBA graduated in May 2010 from Carnegie Mellon University. My concentrations are Finance, Strategy and Marketing.
TimelessInvestor
Monday’s links
1. Bruce Berkowitz’s takes on AIG, SEARS, BAC, MBIA
AIG: AIG (AIG) is priced for 10 Sandys. More broadly, the company needs to reduce expenses, which will naturally occur. There’s been a huge amount of time and energy placed in dealing with the Federal Reserve and the U.S. Treasury, and building new information systems. So you’ll start to see significant cost reductions over time.
SEARS: The value of Sears (SHLD) [which trades near $60] would be over $160 a share if the land on the books was fully valued. You can look back at recent transactions and ask a question: How can Sears close stores and generate hundreds of millions of dollars of cash? It gets at the inventory. The liquidation value of its inventory approaches its stock price. Forget the real estate. The retail recovery is a potential upside. …
BAC and MBIA: I know BofA doesn’t want shareholders to overpay, but I’m one large shareholder who says, “Settle up!” And yes, it’s in part because I’m a large MBIA (MBI) shareholder, but it’s also because it’s time to move on. I’ve e-mailed [BofA CEO] Brian Moynihan and said, “Settle.” BofA is now the best capitalized bank in the U.S.
2. AIG back to China
3. MBIA Inc. Announces the Successful Completion of its Consent Solicitation Relating to the Indentures
About Timeless Investor
My name is Samual Lau. I am a long-term value investor and a zealous disciple of Ben Graham. And I am a MBA graduated in May 2010 from Carnegie Mellon University. My concentrations are Finance, Strategy and Marketing.