Boy, I love me a good recovery.
BB&T Corp. acknowledged Thursday it is eliminating nearly 800 full-time equivalent jobs — or about 2 percent of its workforce — as part of a restructuring initiative aimed in part at lowering personnel costs.
September was another month in which US single-family housing starts stagnated, and in fact declined when it comes to permits, only to see a strong rebound in both permits and starts when it comes to multi-family, aka rental housing.
At the top line, September housing starts rebounded from last month's revised drop to 957K, rising just above the 1,008K expected to 1,017K, while permits also rebounded from the August print of 1,003K, if missing expectations of 1,030K printing at 1,018K.
As for the breakdown:housing starts fof single family housing were essentially unchanged at 646K from last month's 638K, while rental housing starts rebounded strongly from 298K to 353K as America continues its conversion to a house-renter nation.
As for permits, single-family housing permits decline for yet another month, dropping from 627K to 62$K, which was the lowest print since May, however offseting this contraction was another expected bounce in multi-family, i.e., rental, construction, which rose to 369K from last month's drop to 345K.
All of which makes sense: increasingly only those who can afford the cash up can purchase single-family houses, which is also why builders are increasingly not building this bedrock of the US economy. For everyone else: we hope you can at least afford your monthly payment.
Advanced Micro Devices Inc. said it plans to cut its workforce by 7% as part of a restructuring plan to be executed by the chip maker’s new chief executive, Lisa Su.
“While decisions that impact the size of our global team are never entered into lightly, this is the right step to ensure we prioritize our resources and engineering investments, “ Ms. Su said. AMD had 10,149 employees at the end of the period, indicating the cuts will affect about 700 people.
Yet, despite any sentiment gauge new home construction remains at historic lows.
WASHINGTON (AP) — U.S. homebuilders' confidence fell in October after four months of gains which had pushed the indicator to the highest point in nine years.
The National Association of Home Builders/Wells Fargo said Thursday that its index dropped to a reading of 54 after climbing to 59 in September, the highest level since November 2005, right before the housing bubble burst.
Readings above 50 indicate more builders view sales conditions as good rather than poor.
Keep on cheering Sage!
Me? Why, because you say so?
I like FTR and maintain a "Buy" sentiment.
Now if I was cheering maybe I would post a "Strong Buy" sentiment.
Landlines remain profitable, especially for businesses.
Name one commercial business that has cut the cord.
FTR is also going after DSL business. This is the real growth story for these companies.
Virginia Gov. Terry McAuliffe on Wednesday announced the layoff of 565 state workers, other targeted cuts and a liquor price-hike as he aims to close a shortfall in the state's two-year budget.
They probably will after the T-Conn purchase.
The existing real estate base has most likely been reviewed and found to be adequate for current purposes.
Now after the CT properties close, there may be some additional assets that will be deemed unnecessary and will be sold off or placed into the pension fund.
As to the real estate assets, companies that don't have the money do it that way.
Along with most large acquisitions, comes real estate assets.
FTR chose to fund their current pension liabilities with BOTH cash, and real estate assets it didn't need.
This is part of the synergy that comes with acquisitions.
This is why Frontier called many of the retires back to work as contractors, ect.
FTR called many back because they left a huge back log of service/upgrade work that needed attended to.
No bigee though, because VZ put $72 million into an escrow fund for this very reason. FTR was using VZ money to do the job they couldn't do.
Oh yes....many large corporations utilize unneeded real estate assets to fund their pensions, so why do you keep bringing this up as unusual?
Moving on to the next order of business, the 10/24 closing date.
Frontier Communications Corporation (FTR) a leading provider of communications services throughout 27 states and headquartered in Connecticut since 1946, today announced that the State of Connecticut Public Utilities Regulatory Authority (PURA) has approved the Company’s purchase of AT&T Connecticut’s wireline operations. PURA’s approval marks the final regulatory step toward the Company offering broadband, voice, video and other products to residential and business customers in the state.
“We are delighted to have received the full approval of PURA,” said Dan McCarthy, Frontier Communications’ President and Chief Operating Officer. “Throughout, we have been impressed by the diligence of PURA’s commissioners and staff, and appreciate the fair, open forum they provided to all stakeholders in the process. We look forward to completing the transaction and providing excellent products and services to customers in our home state.” The transaction is expected to officially close on Friday, October 24, 2014.
Most of the people at the FTR 13 fellt they could not trust their retirement to Frontier.
Why? Because you say so? So now you are the voice for "most" of the FTR13?
Get real beeess.
Did "most" take early retirement?
My guess would be no.
Early retirement is more a factor of years of service and age than promised future benefits.
Not to worry, Tom's Pretzel Stands are hiring 5 temporary workers.
Layoffs have begun at CNN.
As many as 300, or 8%, of CNN’s workforce is being cut in Atlanta, Washington, D.C., New York and Los Angeles. About 130 staffers have taken a voluntary buyout, other open positions are not being filled. The remainder, about 170 positions, are the result of layoffs which are happening today and tomorrow.
So much for the much hyped, if quite negligible, second quarter rebound in mortgage activity. After rates tumbled, and continued to tumble, there was some hope that at least the offset to the bond market screaming contraction and deflation (something even stocks have realized in recent days), would be more American's buying homes, which naturally means applying for mortgages. Well, that dead cat bounce has come and gone. As America's biggest mortgage lender, Wells Fargo, reported moments ago when it once again magically managed to report EPS and revenues which came right in line with expectations (of $2.11 and $21.2 billion), the US housing picture is once again the worst it has ever been (excluding those days around the Lehman bankruptcy when all of finance died for a few weeks).
Case in point: according to Wells Q3 Earnings Supplement, while Mortgage Applications declined from a transitory one year high of $72 billion in Q2 to $64 billion, this number is going far lower. The reason: Wells' Morgage Application Pipeline just tumbled back to $25 billion, matching the lowest number since Lehman, and putting an end to any debate about the state of the US housing market.
In short: the only people buying houses in the US now are foreigners laundering their illegal, tax-exempt profits (ever fewer) and those as close to the Fed's ZIRP as possible, and, of course, paying all cash. Everyone else: not so much.
An increasing number of American adults are moving in together to share expenses as rental rates continue to outpace income, according to a new Zillow analysis. Nearly a third (32 percent) of adults live in doubled-up households, or homes where two or more working-aged adults live together but aren't married or partners. The share of doubled-up households has steadily risen over the past decade, up from 25.4 percent in 2000 and 30.8 percent in 2010.
This rise in doubled-up households coincides with rental prices that are increasingly unaffordable nationwide. Americans making the national median income ($53,216) should currently expect to spend nearly 30 percent of their monthly income on rent, the highest rate ever. Rather than moving to a smaller home or to a less expensive area, many people are choosing to live with roommates.
Large metro areas with the highest share of adults living with roommates include Los Angeles (47.9 percent), Miami (44.5 percent), New York (42.5 percent) and San Diego (39.7 percent).
Not surprisingly, the markets with the largest increases in doubled-up households are also the most expensive places to rent. In San Francisco, for example, the median rent payment went from 25 percent of income in 2000 to 40 percent in 2012, while doubled-up households increased from 25 percent to 39 percent over the same period.