Wall St. Brief: Facebook’s NEW Demo Target, BofA Execs DUPED Shareholders
Facebook (NASDAQ:FB) is supposedly developing technology that would allow under-13 year olds with parental supervision use of the website, reported The Wall Street Journal. Presently, children under that age are banned from opening accounts on the social networking site, but an estimated 7.5 million use the site – after lying about their ages – with 5 million coming from those under 10-years-old.
Chesapeake’s (NYSE:CHK) hedge sales against low gas prices in October spurred the company’s cash crunch and now it basically is unprotected against low gas prices in 2012. According to The Wall Street Journal, it has estimated losses of around $750 million to 900 million. Usually Chesapeake has generally been successful with these bets, but this time it may have been best to stay as an exploration company than a hedge fund.
Over a year ago, a small group of investors, CtW Investment, warned JPMorgan’s (NYSE:JPM) top executives that it was necessary to upgrade its risk controls, according to Seeking Alpha. After not doing so, two proposals, which included the chief risk officer having more power to look over CIO trades and enhancing the board’s risk management committee, are now quickly being implemented at the bank.
In the days prior to Bank of America’s (NYSE:BAC) shareholders approving the bank’s $50 billion Merrill Lynch acquisition, the bank’s executives had been told that Merrill’s losses would affect the combined companies’ earnings for years, but decided to not share this news with shareholders. Court documents have disclosed this information and will now probably pressure federal officials to make key managers responsible for actions.
Proxy advisor ISS has recommended that AOL Inc. (NYSE:AOL) shareholders vote for two of the three activist investor Starboard Value candidates. ISS said that AOL’s Patch local news network may need more time but “getting the business model right is (probably) more important than blanketing the landscape.”
BONUS: Now don’t miss this Analyst’s Prophetic Prediction: Apple Can Sell This Many Million TVs >>