Stone Fox Capital

Galleon Group's 50 Largest Holdings

the list would be better if it was based on the % of ownership. Apple is clearly not a short based on this. Also, not so sure you can't count on a massive wind down as a large % of the money is Raj's and i don't see him being forced to cash out much.

Teen Retail: Sell in May, and Go Far, Far Away

TWB mentioned from shoppers weren't buying unless they had a discount. Guess ANF finally woke up that the typical consumer is now so used to getting a discount that they just expect it regardless of whether the price is market up or not. Its no longer a matter of having the most desireable product and brand, you've got to play the discount gimmick.

Paulson Finally Doing the Right Thing

So punishing existing investors is a good thing? Thats anti-capitalism. All of the risk takers that caused this problem have already been punished. They all hold stocks down 50 to 90%. How will punishing somebody that bought MS last week at $15 help??? Nobody will want to invest if thats the thought process. Buying the toxic assets off the balance sheet is the best answer. Not really sure anybody has a goal of deleverging past existing levels and nobody still holds 25:1 ratios. Even MS will be much lower then that with the $9B deal.

The key is to get these assets off the BS so that counterparties won't fear further writedowns. Banks will be able to lend without risking the unknown. Giving a bank $5B that sill has exposure to $50B in loans that could be written down $25B doesn't really help. The issue is to make the downside known. Providing the investment holds to solidify banks that may wish to sell loans at the same time. Govt must buy at market values though. Screwing investors will just cause market instability.