Nation’s largest brokerages going BANKRUPT

Citigroup and Merrill in talks for foreign capital: report  

NEW YORK (Reuters) – Citigroup Inc. (C.N) and Merrill Lynch & Co Inc. (MER.N) are in discussions to receive more capital from investors, primarily foreign governments, The Wall Street Journal reported on Thursday.



Giant Write-Down Is Seen for Merrill

By JULIA WERDIGIER and JENNY ANDERSON Merrill Lynch is expected to suffer $15 billion in losses stemming from soured mortgage investments, almost double its original estimate, prompting the firm to raise additional capital from an outside investor.

Merrill, the nation’s largest brokerage firm, is expected to disclose the huge write-down when it reports earnings next week, according to people who have been briefed on its plans. The loss far exceeds the $12 billion hit many Wall Street analysts had forecast.

To shore up its deteriorating finances, Merrill is now in discussions with investors in the United States, Asia and the Middle East, including American private equity firms, to raise about $4 billion in the coming days, these people said.


You must be logged in to post a comment.