MSDW Opens Books on High-Yield Losses
From New York Post
Morgan Stanley Dean Witter reported the losses in its high-yield portfolio yesterday in order to stop the drop in its stock price. It said that losses in its high-yield portfolio will run $0.04 per share last quarter and this quarter, or about $90 million. The figures are below the rumored amount of $500 million to $1 billion.

Rumors Hit Deutsche Bank
From International Herald Tribune
Shares of Deutsche Bank fell 7 percent yesterday after the bank refused to provide a detailed response to rumors that it has lost up to $1 billion on a junk-bond deal. Officials of the bank denied the losses in German papers.

Schwab Smooths Advisors Ruffled Feathers
From Wall Street Journal
Charles Schwab is still trying to smooth the ruffled feathers of advisors who are concerned about the brokerage's purchase of U.S. Trust. Schwab's brass used last month's Impact meeting to schmooze 1,200 of its 6,000 advisors and show them the benefits of the merger, including a soon-to-be-launched private stock fund, stock research and trust services. The article also reports that the assets controlled by Schwab affiliated advisors grew 37 percent this year to $243 billion, a rate higher than the firm's other businesses.

UBS Names Chairman
From Financial Times
UBS has named Marcel Ospel, 50, to replace Chairman Alex Krauer who is retireing next year at age 69. Ospel is the firm's chief executive officer. It added that Luqman Arnold, chief financial officer, would become the new president of the group executive board retaining direct responsibility for finance and risk functions. UBS also said it would add international members to its board and that it would cut half of Paine Webbers 300 London staffers.

Watson Wyatt Closes Up 31%
From Wall Street Journal
Newly issued shares of Watson Wyatt & Co. rose 31% to close at $16.38 yesterday. They debuted on the New York Stock Exchange at $12.50. The closing price puts the benefits consulting firm's value at $531 million. The stock has traded today between $14.75 and $16.75.

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