Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: Bobby Yellin who wrote (21613)	10/14/1998 8:15:00 PM
From: Alex	Read Replies (1) \| Respond to of 116762

BANKAMERICA: TO LIQUIDATE SHAW HEDGE FUND $20 BLN FIXED-INCOME POSITION NEW YORK (MktNews) - BankAmerica Corp. confirmed Wednesday that it charged off $372 million in a credit to D.E. Shaw & Co., a hedge fund, and that the fund still owes BankAmerica $1 billion. The bank said it was buying about $20 billion in fixed-income securities "along with the related hedge positions" from Shaw, and planned to liquidate the position in a "restructuring" of its relationship with the hedge fund. The comments appear in BankAmerica's third-quarter earnings report released early Wednesday, but a bank spokesman explained that the figures refer to the bank's dealings with Shaw. "In addition, the company has approximately $400 million in hedge fund exposure, which is substantially collateralized," the earnings report read. The loan to Shaw was extended by Bank of America prior to its recent merger with NationsBank. The BankAmerica spokesman, Robert Stickler, declined to say whether the fixed-income positions represented longs or shorts. "We don't know. We don't have that level of detail," Stickler said, adding, "we don't have it yet, so we don't have it to sell." New York newsroom 212 509 9270 13:35 EDT 10/14 © 1998 Market News Service, Inc. economeister.com