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...sides. As investors pull out, hedge funds are being forced to raise cash to meet redemptions by liquidating their holdings. In addition, highly leveraged funds are being forced by their bankers to come up with more collateral as the value of their holdings falls, forcing managers to sell more shares to raise more cash. It's a vicious circle: funds are rushing to sell the same illiquid securities, driving stock prices down and triggering new waves of selling. This mass deleveraging by the industry has been cited as one of the causes of recent record volatility in world markets...

Author: /time Magazine | Title: Pruning Season | 11/13/2008 | See Source »

...numbers. "What's exciting," says managing director Tim York, "is that today it's a $7 billion market, and it's projected to be worth $20 billion by 2010." The big players include companies like Japan's Yakult and France's Danone (Dannon in the U.S.), which sell probiotic bacteria in yogurt. Dannon's Activia yogurt was launched in America in 2006 and passed $100 million in sales in its first year...

Author: /time Magazine | Title: Star Sip Enterprise | 11/13/2008 | See Source »

...initial deadline for applying for TARP funds for most companies is Nov. 14. Companies that qualify will be allowed to sell preferred shares to the Treasury. The government's investment is capped at 3% of the bank's highly regarded assets. (Risky investments are excluded.) The banks that receive the shares will have to pay the government a 5% dividend for five years, but that is far less than what they typically pay to borrow...

Author: /time Magazine | Title: The Bailout Fund — Running Out of Cash | 11/12/2008 | See Source »

...Cambridge—may have a greater effect on his sales than macroeconomic conditions.“We had a really good October,” said MacDonald. “Sometimes you hear these economic forecasts, and it just doesn’t matter. The things we sell, these ‘affordable extravagances,’ people will still have their occasional five-dollar ice cream cone or eight-dollar cigar.” But he also acknowledged that his store increasingly depends on the University for customers, and that increased economic stress and rising unemployment could deter...

Author: By Peter F. Zhu, CRIMSON STAFF WRITER | Title: Square Businesses Survive Meltdown | 11/11/2008 | See Source »

...easy task. But Obama, strengthened by his mandate at home and even abroad, and spurred on by his pledge to fix Afghanistan, is the man for the job. The time is right. Despite the economic meltdown, the U.S. has leverage in the form of an agreement to sell India civilian nuclear technology and fuel. Pakistan has a civilian government for the first time in nine years, and a desperate need for cash and trade. There is nothing to lose, and everything to gain...

Author: /time Magazine | Title: The Key to Afghanistan: India-Pakistan Peace | 11/11/2008 | See Source »

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