The agency that supplies drinking water to almost 19 million Los Angeles-area residents paid $47.2 million to unwind interest-rate swaps with banks. Unlike many municipal issuers, ratepayers didn’t come away with a loss.
Joseph J. Cassano , whose derivative bets on subprime loans forced American International Group Inc. into a U.S. bailout, defended the deals while the insurer’s chief risk officer said the firm was “wrong” on the trades.
Martin Sullivan , former chief executive officer of American International Group Inc. , said he was unaware in 2005 of the tripling of risk through derivatives at the bailed-out insurer’s Financial Products unit.
The U.S. Securities and Exchange Commission renewed its demand that Galleon Group cofounder Raj Rajaratnam turn over wiretaps recorded by the Justice Department, before a criminal trial set to begin next month in New York.
King & Wood, the Beijing-based law firm that advised on the world’s largest initial public offering, isn’t like the City or Wall Street rivals it worked with on the deal, International Managing Partner Rupert Li said.
Goldman Sachs Group Inc. made Chief Executive Officer Lloyd Blankfein available for an interview with the Financial Crisis Inquiry Commission and has been more responsive to information requests from the panel, the FCIC’s leaders said.
Andrew Forster , an executive of American International Group Inc. ’s derivatives unit, said he was surprised that the insurer’s managers were unaware of collateral-posting requirements included in the contracts.