Facebook, Zuckerberg, banks must face IPO lawsuit + MORE Dec 18th

Public pension reform has been a key issue at federal-provincial finance ministers’ meetings at least since 2010, with officials having looked at three major proposals for Canada Pension Plan enrichment. The plans differ slightly in their approach, but their basic aim is to increase benefits for future generations of seniors.
They are also similar in that all three proposals are pre-funded, meaning that although contributions to pay for higher benefits all kick in at the same time, contributions will hit their maximum boosted level far quicker than benefits.
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1. The Wes Sheridan plan, proposed by the Prince Edward Island finance minister, may be the most complicated because it impacts workers differently depending on their level of earnings.
Currently, the CPP plan pays out about 25 per cent replacement benefits on up to $51,100 of pensionable earnings, resulting in a maximum annual benefit of $12,150. Because it is aimed at the middle class, the Sheridan plan calls for no changes in either benefits or contribution rates for employees on the first $25,500 or so of pensionable earnings…

WASHINGTON – Ben Bernanke says he intends to stay in Washington for the “immediate future” after he steps down as chairman of the Federal Reserve next month.
But he was otherwise vague on his future plans when asked about them at his final quarterly news conference as chairman.
Responding to a question about his retirement plans, Bernanke said he has decided to stay in Washington rather than return to his hometown of Dillon, S.C., where he has an uncle.
“He is 85 and very chipper,” Bernanke said but he indicated that he now has more relatives living in North Carolina than South Carolina.
His successor, Janet Yellen, is expected to be confirmed soon by the Senate. Bernanke’s term as chairman ends on Jan. 31.
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Investors including pension funds in Arkansas, California and North Carolina claim Facebook negligently concealed material information from its IPO registration statement

DALLAS – Neiman Marcus Group Ltd. on Wednesday posted a loss for its fiscal first quarter due to costs tied to its recent acquisition, along with other unusual costs.
The Dallas luxury retailer was acquired by Ares Management and Canadian Pension Plan Investment Board for $6 billion in October.
Neiman Marcus lost $13.1 million for the quarter that ended on Nov. 2, compared with net income of $49.6 million in its first quarter last year.
The quarter was hurt by $109.4 million in acquisition-related expenses, a $2.8 million management fee to its prior sponsors and a $1.5 million loss in a foreign online retailer. It also recorded stock-based compensation expense of $2.5 million.
Revenue increased to $1.13 billion from $1.07 billion. Revenue from stores open at least a year rose 5.7 per cent.
The post Neiman Marcus weighed down by acquisition expenses and posts 1Q loss appeared first on Canadian Business.

Much gnashing of teeth today over the federal government’s decision not to play ball with PEI and Ontario over expanding the Canada Pension Plan into a so-called “Big” CPP. Probably the best summary of it came in Terry Corcoran’s column today flagged on both the front of the National Post and the FP: billed respectively as “Failure to move ahead on big CPP a big relief” and “The right call on big CPP.” (double entendre on the word “right?”)
It’s also instructive to read the reader comments on the various online pieces. These tend either to be of the “my mum lives on CPP/OAS/GIS and is doing fine” variety or else the “I’ve been saving all my life for retirement, so why do we have to go back to government for more?” type.
It is a bit outrageous that the Ontario government – fresh from the gas plant debacle, following which we all pay way too much for electricity – is now claiming it’s willing to go it alone to introduce a big CPP in the province…