The self-administered test shows Ciitgroup's(NYSE:C) Basel III Common Equity Tier 1 ratio falling as low as 8.6% under the severely adverse scenario. It was 14.6% in Q1. The Tier 1 Leverage Ratio falls as low as 5.3% vs. 8.9% in Q1. Both levels are above current guidelines.
Zions (NASDAQ:ZION) is making an "Any and All Tender Offer" for its 4.5% senior notes due in 2017, of which there is $400M outstanding.
In the "Waterfall Tender Offer," Zions is offering to purchase its 4% senior notes due in 2016 and 4.5% senior notes due in 2023, up to an aggregate total purchase (along with the 2017 paper) of $500M.
The severely adverse scenario used by BB&T (NYSE:BBT) was designed to be "substantially more severe" than the Fed's assumptions. It includes a peak unemployment rate of 11.2% by 2015's end, a 27% decline in home prices, and an inverted yield curve, with the 10-year yield inverted by 62 basis points.
"BB&T’s performance under the BB&T Severely Adverse scenario indicated that BB&T would maintain strong capital levels to withstand a severe recession."
CME Clearing chief since 2004, Kim Taylor will become President , Global Operations, Technology & Risk. She'll be replaced as head of CME Clearing by her current deputy, Sunil Cutinho.
Chief Commercial Officer Bryan Durkin will take on a newly created role designed to serve and support "our global client base by ensuring the development, delivery and maintenance of industry leading products, platforms and services."
Sean Tully will be in charge of CME Group Interest rate, Equity, Foreign exchange, and OTC businesses. He previously led the Interest rate and OTC businesses.
Also with expanded roles are Derek Sammann and Robert Zagotta.
Joining Carlyle's (CG -1.6%) Islamorada portfolio are the Postcard Inn Beach Resort and La Siesta Resort. The four properties in the portfolio will be grouped in the newly formed Islamorada Hotel Company and be managed by Trust Hospitality. The equity for the deals comes from Carlyle Realty Partners VII, a $2.34B U.S. real estate fund.
Carlyle plans a total of $18M in renovations to the two newest properties.
REIT investors worried about the link - and it's a close one of late - between interest rates and the value of REIT stocks (they go down when rates rise, up when rates fall) might want to take a look at non-U.S. REITs, where the correlation is far lower, says AllianceBernstein's Eric Franco.
Another advantage of non-U.S. REITs - their ratio of cash flow yield to bond yields is well above the long-term average, i.e. they're cheap. The ratio for U.S. REITs is right at the long-term average.
Kelly Walters stepped into the CEO role at Supertel (SPPR +1.9%) in April 2009, and has presided as the company struggles to regain its footing following the pop of the real estate bubble, leading the divestiture of legacy properties and paying down of debt.
He'll remain as CEO until the earlier of a replacement being hired, or Dec. 31, 2014.
In connection with ACP Re's closing of its purchase of Tower Group (TWGP) today, ACP's controlling shareholder, AmTrust Financial (AFSI -1%) has acquired from ACP the renewal rights to Tower's commercial lines business.
CEO Barry Zyskind: "AmTrust is confident that it has the expertise, capital strength and technology to help grow the premium and profit potential of Tower's Commercial Lines Business."
During 2014's H1, the business generated over $400M in premium for AmTrust.
Camden Property Trust (CPT -1.2%) is an outlier to the downside in the apartment REIT sector after Off Wall Street - citing overbuilding in Texas and D.C. - rates the stock a Strong Sell, with price target of $59.70.
Taking a look at whether boosted defense spending in reaction to The Islamic State (ISIS) will positively impact Booz Allen Hamilton (BAH +3.5%), analyst Cai von Rumohr upgrades the stock to Outperform, with price target lifted to $28 from $25.
Pebblebrook Hotel Trust (PEB -0.2%) and Sunstone Hotel Investors (SHO +0.2%) are each upgraded to Buy from Neutral at ISI, with the price target lifted to $41 from $38 for Pebblebrook, and $15 from $14.50 at Sunstone.
Pebblebrook has had the hot hand this year, up 21% vs. a 5% gain for Sunstone.