The headline: Sallie Mae Soars After Agreeing To $25B Buy out From JC Flowers, Other Private Equity
The word: Guy Adami says Bank of America (BAC) and JP Morgan (JPM) will each own 24.9% of Sallie Mae. The loser he says is First Marblehead (FMD), a firm which has contracts in place with both banks to help market their student loans. The concern is, after this deal the two big banks won’t farm out the business to First Marblehead.
The headline: Temple-Inland (TIN), And Other Paper Stocks Surge Today Amid (TIN) Restructuring
The word: Tim Strazzini says speculation has been brewing for a while that
Weyerhaeuser Company (WY) might be converted into a REIT. Consequently, TIN was strong on the news of its restructuring.