PRESS DIGEST – New York Times business news – May 18

May 18 (BestGrowthStock) – The following were the top stories in
the New York Times business pages on Tuesday. Reuters has not
verified these stories and does not vouch for their accuracy.

* The pain of the European debt crisis is spreading as the
plummeting euro makes Chinese companies less competitive in
Europe, their largest market, and complicates any move to break
the Chinese currency’s peg to the dollar.

* General Motors Co [GM.UL] said Monday that it earned its
first quarterly profit since 2007 after last year’s
government-sponsored bankruptcy allowed the carmaker to wipe
away many of its longstanding obligations.

* A major effort by the Obama administration to keep
homeowners out of foreclosure may be reaching its limits long
before the crisis abates.

* The European Central Bank disclosed Monday that it had
bought 16.5 billion euros in bonds in the first week since
taking the unprecedented step of intervening in markets to halt
a sell-off of Greek and other European debt.

* Man Group Plc (EMG.L: ), the hedge fund, agreed Monday to
buy a rival, GLG Partners (GLG.N: ), for $1.6 billion to
diversify its range of investment funds.

* A former executive at McKinsey & Company agreed Monday to
pay $2.8 million to settle civil charges filed by the
Securities and Exchange Commission, after he pleaded guilty to
criminal fraud charges related to the Galleon Group insider
trading case.

* China’s one-time richest man and the founder of a major
retail chain was jailed for 14 years on Tuesday for bribery,
insider trading and illegal business dealings, state media
reported.

* Prudential Plc (PRU.L: ), the British insurer, announced
the terms of its $21 billion stock issue on Monday, a move that
keeps it on track to finance its acquisition of the Asian life
insurance unit of the American International Group Inc (AIG.N: ).

* A group of private equity firms led by the Blackstone
Group (BX.N: ) has dropped plans for a $15 billion bid for
Fidelity National Information Services (FIS.N: ), people briefed
on the matter said Monday.

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PRESS DIGEST – New York Times business news – May 18