Financial Biz Review: Barclays Set to ANNOUNCE Resolution, Fifth Third JOINS Favored Banks
Lloyds (NYSE:LYG) is ready to divest a network of 630 branches to the Co-op, in a transaction projected to be valued at between £1 billion and £1.5 billion, according to The Financial Times. The Co-op is the preferred bidder, but negotiations have lagged because of several difficulties, especially regulatory issues, most of which are now settled.
Don’t Miss: Is Gold a Zero Risk Financial Asset?
Barclays (NYSE:BCS) should be set to announce its resolution with the Commodity Futures Trading Commission and the U.K.’s Financial Supervision Authority concerning allegations that its staff attempted to manipulate the London interbank lending rate, according to The Financial Times. The United States Justice department has agreed to not prosecute the bank, but Barclays will now have to pay more than $450 million in the U.K., with a record $200 million going to the CFTC, and $92.8 million to the FSA.
Fifth Third Bancorp (NASDAQ:FITB), KeyCorp (NYSE:KEY), and Comerica (NYSE:CMA) are now on the list of favorite banks compiled by Stephen Scinicariello at UBS. The analyst sees the new additions as having been unfairly punished along with the Too Big To Fail club, even though they don’t have much exposure internationally. Scinicariello also forecasts that the regional banks will gain from the “new regulatory paradigm.”
Don’t Miss: Just Ask Apple — Best Buy’s Business Model is DEAD.
Want news like this in real-time so you can get an edge? Click here for Wall St. Cheat Sheet Pro.