Sunday, April 29, 2012

7th period: Current Event due 5/4

For this week's assignment, please find an article that is related to one of your investments in our stock market simulation game. The article should be as current as possible, but your can certainly go outside of the usual 2 week window for this posting. Hopefully, we will learn about some of the stocks that you are interested in and their potential promise in the current market.

Do not forget to post the article title/author/source in addition to the url...a few of you lost points for that last week. Stick to the format and inform me and your classmates.

Looking forward to the information! Have a fantastic week. Can you believe that it is already May? Only a few more current events to go!! :)


  1. Zunzun Aung/7th period
    Title: A look behind Apple's App Store curtain
    By David Goldman, CNN
    Thu April 27, 2012

    This article shows you how a company like apple likes to control everything. They have a heavy position on the cell phone world. By buying a windows phone, you help reduce Apple’s presence and prevent a monopoly. Apple re-defined the way it displays signal strength when the iPhone4's antenna proved to have a lot of attenuation. There will be four bars on top even when the signal is weak, and Apple does not want that to be inconsistent. So now, Apple denies the application, steals a majority of the code and tries to buy the company up for pennies on the dollar or sues them into non-existence.
    Apple has pulled Apps before and let them come back to the App Store, so time will tell. Besides, I do not see anything wrong with Apple pulling the App for not following their rules. There is nothing wrong with Apple protecting its customers. Apple products are so great is that Jobs insisted on the best, no matter the cost. I have always relied on Apple products so I really do not understand what this big fuss is about. Apple has taken technology to the next level and I feel like people should be grateful for that. They should not be complaining about the cost whatsoever.

  2. Aaron Smith 7th Period
    You can be Sirius: Satellite radio is a good bet
    Paul La Monica CNN

    Sirius XM shares have increased once again this week and has gained 25% this year. After losing many investors over the last couple of years, Sirius has started to pick up again. Although with all this success, it still has not topped they're highest peak in 2000. Sirius may seem a little bit expensive, but lately it has been worth the risk.

    I am am very happy that Sirius is having more success because I invested in it. Choosing Sirius XM was a hard decision because even though it has been doing well lately, there is a risk that it could fall back down and be a repeat of the last couple of years. Hopefully it continues to increase so the company can be successful and it will help me a lot.

  3. Jack Kleissler
    5/2/12 7th period
    T. Rowe Price’s 1Q profit flat on higher expenses
    The Associated Press, April 24th

    T. Rowe Price increased assets to a record level during the first quarter of this year. The companies net income increased $198 million on in the first quarter, out performing economists predictions. The best first quarter in the last 14 years for T. Rowe Price but the CEO Kennedy reminded people that while this is a good thing it is unrealistic to see this exponential growth continue for the rest of the year. in three months the companies assets have increased by $65.3 billion, a staggering amount. People clamored to get in on the action and it paid off for the company continued to grow. T. Rowe Price was able to increase salaries of existing employees and increased its staff by 3% thanks to the incredible first quarter.

    Considering that I recently invested $7,460 into a branch of T. Rowe price using the dartboard I am glad to learn that they were doing well. I hope that the growth and expansion that they experienced in the first quarter will continue through out the rest of the year, which will earn me a large amount of money. Some may call the investment risky but I believe that it will pay off. Now I realize that the CEO didn’t want people to go crazy, but I believe he was just being cautious. Its his job to keep the share holder’s like me happy and if he promises the world and cant deliver it will come back to haunt him he’s just being conservative and modest. Considering this article is optimistic on their success later in the year I am confident that T. Rowe Price and I will win the competition.


    Verizon Wireless leasing property across Alaska for cell towers
    Alaska Dispatch | May 02, 2012

    Verizon Wireless plans to extend their services to Alaska by 2013. Currently Verizon subscribers use Alaska Communications (ACS) cell phone towers. Verizon hopes to put up 25 towers in Fairbanks as a start, however not everyone is happy the Verizon is moving in. When they petitioned to erect a tower beside a local church it was quickly shut down and many of their other are being challenged.

    This is great news to me and hopefully good news for my stocks. Verizon Wireless is the nations largest cellular carrier and hearing of the expansion is wonderful. I know there is some resistance to the towers and expansion but cell phones are the new way of life and providing service all over is key. It could increase tourism which could boot the economy of Alaska. And as a subscriber to Verizon I love to see them getting an edge up on their biggest competitor, AT&T.

  5. Kiara Luna / 7th period
    Coca-Cola reassures product safety in China
    IANS, Daily News 2012
    May 1, 2012

    The Coca-Cola Company has reassured the safety of its products in China after an investigation revealed that some of the products released on a certain date were mixed with chlorine. The plant was asked to stop the production and fix it. The company has completed major corrective measures to address that problem. The company admits to the chlorine that ended up in the beverages during a routine maintenance procedure. The nine batches of contaminated products were safe for consumption and it wouldn’t cause any harm to the consumers.

    The company has to be more careful during the maintenance procedures to avoid these problems. It’s good that the contaminated products were not harmful to the human health but it could have been worse. I think they did the correct thing by apologizing to the consumers and addressing the problem fast.

  6. Jayson Williams
    7th Period
    Amazon’s Earnings Decline 35% but Top Forecasts

    After Amazon had a 35% decline in their stocks they, quickly came back with a 15% increase. Amazons net income is $130 million or 28 cents per share which, has become a decline since last years rate at 44 cents per share but, its not as bad as investors planned it to be. Some analysts expected their shares to be about 7 cents. Amazon told analysts to expect a loss of $200 million dollars but a gain of $100 million. A lot of people are expecting the new Kindle Fire to be a big money loser since,it has a huge competition with Apples IPad.

    I think that Amazon has the right strategy for making a ton of profit because, they are such a broad company, having so many different products to offer to people. Even when the market is really bad Amazon will be a lot more stable than a lot of other companies. I just really hope that in the near future they make a ton of money, so my stocks can rise.

  7. Juno Park 7th
    Delta's risky oil refinery bet
    Steve Hargreaves 5/2/2012

    Delta has recently bought an oil refinery just outside of Philadelphia, but the purchase comes with high hopes and big risks. The company acquired the Phillips 66's Trainer Refinery from ConocoPhilips for only $250 million; 5 years ago during the refining boom the refinery would have been worth ten times that amount. Delta saved millions of dollars by buying at this time and hope to save more by gearing their plant towards jet fuel production. This form of fuel is one of the more valuable types and Delta hopes to make big profits. Also, they will be able to keep stable prices during times of shortage and price spikes. With this new refinery they hope to become self-sustaining and cost-saving. But the risks are big too. The reason other oil companies did not jump in to make jet fuel is because the demand for this commodity is limited and the market is small. By buying this plant Delta is stating that they can succeed where the previous owners could not. This new purchase comes with many advantages, but is accompanied by equal risks.

    I think Delta made a very bold move by doing this, and trying to stand up to Big Oil and make their own fuel. Delta may have saved money on the cost of the plant, but the refinery is old and will need a lot of added cash to upgrade it to a point where the production will bring in cash. Also they may have overestimated the need for jet fuel and the size of the market. Even so, I hope that the value of the stock rises and I can make more money. But high profits come with high risks so the pay out could be huge.

  8. Oskar Marszalek/7th Period
    Chipotle Ad Promotes Sustainable Farming
    Elizabeth Olson

    A Chipotle advertisement was released during the Super Bowl that focused on its sustainable farming practices. Chipotle released an ad featuring a Willie Nelson song, the profits of which go towards a Chipotle foundation which encourages the sustainable practices which are a major selling point for the company. Over the past two years, 2 million dollars were donated by the company to various farm organizations. Perhaps due to its sustainable practices and fresh ingredients, the company reaped over 2 billion in profits last year.

    I believe practices like these make Chipotle a very attractive company. Not only do they use superior ingredients on a large level and get "moral points" with customers, but their company could benefit from these policies in the future. Chipotle could be ahead of future legislation restricting farming practices, and will have farms to cultivate from many years from now.

  9. Stefan Steiner
    7th period
    Verizon Reps Push 4G Android Over IPhone
    David Goldman
    Some Verizon sales representatives have actively discouraged some customers from buying IPhones. Instead, they are pushing phones from competitors. This is according to some chat forums. People say that they were encouraged to buy Android phones instead. This is because of the 4G ability.
    I think this is okay for sales representatives to do. Most people come in to Verizon stores only wanting IPhones. It is good to offer an alternative. The choice is still up to the customers.

  10. Jason Cohn
    7th Period
    Stocks to Watch: Barnes & Noble, Sunoco, Humana By: Corrie Driebusch and Drew FitzGerald
    Wall Street Journal April 30, 2012

    This article is about Barnes and Noble, Sunoco, Humana, and their actively traded stocks recently. I invested in Sunoco in the stock market game and it has been rising steadily. Energy Transfer Partners acquired Sunoco, which created one of the world's largest energy partners. This should make the stock rise even more. It will be a good move for Sunoco and the stock should continue to do well and the company is doing very well.
    I think this is a good move for Sunoco. This is because they are two great companies that will combine to make a great monopoly. I am glad this is happening and it is helping me in this stock game.

  11. Peter Norwood
    Natural Gas: The Industry That Could Save America

    Summary: This article explains the advantages to investing our economy into an up and coming energy recourse: Natural Gas. With a now found abundance of natural gas, economic expansion has the potential to be as abundant as the gas itself! While gas prices will continue to rapidly increase, natural gas has been projected to significantly cheaper for the next 30 years. Natural gas has the power to employee many American citizens; 40% of jobs lost have been construction jobs. The largest demand for natural gas expansion is construction for the industry to thrive. This relates to my investments because I invest in Northwest Natural Gas and Southwest Natural Gas.

    Personal Opinion: Pure and utter genius. Natural gas first off cleans burner than gas and diesel fuel, therefore the dangers of primitive fracking (the process to extract natural gas from bed rock) are outweighed by the insignificant pollution form the use. In our economic recession we need a catastrophic economic idea to pull us out. This was seen through WWII and The New Deal. Natural Gas could be that economic boom America is seeking. With the amounts of natural gas reserves throughout our own territory the though of expansion is mind boggling. Natural gas could progress to replace gasoline to power cars (Honda has already produced a natural gas powered vehicle which will be sold in the US), and our daily energy needs. As the price of oil continues to rise the demand for less expensive energy will skyrocket. Natural gas is that less expensive energy which can create an unreal demand. Over anything, natural gas burns cleaner than oil so environmentalists should jump on board (rather than supporting unemployment..I mean protesting fracking). I agree with this article, natural gas could very well be the industry that kick starts the American economy into the powerful free market which ruled the world.

  12. Sam Dunson
    Can Chipotle's Amazing Run Continue?
    Kim Peterson
    March 27, 2012

    Chipotle's stock has been on an amzing run this year, but many investors are worried if it can keep its streak a live. Chipotle shares traded at $421.37 Tuesday and are up nearly 26% this year and over the last 12 months, the stock has gained 65%. Some investors beleive that chipotle's stock is just to expensive to keep up its current success and will soon start to decline. Other investors think that the stock will just keep heading up and has plenty of room to grow in the months to come. Which ever you believe, Chipotle has no debt and $400 million dollars so they are obviously doing very well.
    I believe that given chipotle's success over the last year, there is no where for them to go but up. Due to all this success, they are now able to think about taking over other companies, such as shophouse, and be able to expand internationally, which they have already. All of this growth within the company will generate a ton of money for them, so their stock cannot possibly decline. I also like eating there food a lot, although my opinion is obviously shared by many given the companies current success.

  13. Cameron Baker
    Yahoo CEO Scott Thompson caught padding his resume
    CNN/Julianna Pepitone May 4 2012

    Shareholder firm Third Point made an allegation that the CEO of Yahoo lied about his college degree, late Thursday. His bio apparently claims that he has a bachelors degree in accounting and computer science from Stonehill University, however Third point revealed that his degree was simply in accounting. He claimed it was only a mistake, although bios listed on companies he previously served as president listed the same "mistake". Stonehill, a small Roman Catholic school in Massachusetts, confirmed that his degree was only in accounting. Yahoo still stands behind Thompson and claims this error does not rid of his excellent qualifications. Third point is noted to have launched several proxy fights before. Yahoo has promised to make a disclosure to stockholders when everything is straightened out.
    The lack of honesty coming from Yahoo's CEO is unsettling, a man with so much control over the company. Stock owners should be concerned about this, and I wouldn't be surprised if many holders no longer supported Yahoo. This event was enough to make me uneasy about Yahoo, and I personally would not continue to invest in the company. I expect a lot of others would agree, and doubt Yahoo's stock climbs for some time.

  14. Olivia Clayton
    7th Period
    Nike Sues Reebok Over Tebow Apparel
    By: Ken Belson
    The New York Times N.F.L Blog

    Reading this article I found out that Nike wants to sue Reebok for selling Tim Tebow apparel after the fact that he was traded over to the Jets. The complaint was filed in Federal court in Manhattan.
    Nike asked the court to restrain Reebok from selling anthong to the Jets with the name Tebow on it. Nike says that Reebok’s deal with the N.F.L Players Association allows them to make and sell apparel that has to deal with Tebow related things that already expired at the end of February. Reebok’s license with N.F.L gear ends at the end of March. Reebok’s original 10-year deal with the N.F.L. was worth at least $250 million to the league. Nike and Reebok are the two biggest companies in the sports apparel market. According to the editor of the Licensing Letter, Ira Mayer, N.F.L’s income, half of it comes from licensed goods from the apparel and headwear of Nike. As of now, Nike now has the right as the merchandiser of N.F.L gear.
    I personally like Nike gear because its very good for athletics. It is what most of the uniforms for teams are sponsored by if not Under Armor. I have many Nike things and since it's a little expensive, it is also a good look, but I think that Nike will always be in buisiness

  15. Jeremy Howell

    Cnet reports that this year apple’s iPhone will control essentially the entire mobil phone market, leaving only 26 percent for Samsung and hardly anything else for other companies. They report that man phone companies have not been profitable for some time. This year apple made 14.4 billion off their iphone product. This was a dramatic increase in profit from only just two years ago. The amount nearly tripled.
    I think it is great Apple is doing so well. The company has really been a testament to how important it is to have a strong leader. I do think with Jobs dead the company may start to falter, but that is not to say they will give their competitors room to catch up. Apple is a great part of American culture and I am proud that this American company has gone out a dominated its market across the world.

  16. Katie Alexander 7th
    Green Mountain (GMCR) Roasted as Shares Get Slashed in Half
    By: InvestorGuide Staff
    May 4th, 2012

    Shares of Green Mountain Coffee Roasters, GMCR, lost nearly half their value yesterday, May 3rd. Green Mountain Coffee Roasters is know for their Keurig cups. The stock, traded at $108 per share last September, but now trades for a meager $26. Green Mountain management failed to provide a full explanation for its decline in sales. In a conference call, the company suggested that weak demand for warm holiday drinks; such as cider, hot cocoa and coffee was the problem. CEO Larry Blanford offered a nonspecific statement, stating, “We’re very positive about this business going forward, but there’s a lot of moving parts.”
    I bought two-hundred Green Mountain Coffee Roaster shares for about five thousand dollars. In the first ten minutes I profited $70 and almost a day later my profit had risen to about $415. At first it turned out to be a great investment, but now I regret buying those shares. Now that the value of the share decreased I lost $74. At one time I was listed as number 6 in the contest, I am now number 196.

  17. Brian Mack/ 7th Period
    Dollar Tree Inc. Proposing 1 Million Square Foot Distribution Facility In Windsor
    Steven Goode/ March 2, 2012

    Dollar Tree Inc. is considering building a 57 million dollar, 1 million square foot distribution center in Windsor, Michigan. Dollar Tree Inc. is also taking into account a new warehouse in Albany, New York. Dollar Tree Inc. would create 200 new jobs over a span of 5 years for Windsor residents, but the distribution center will only have a chance if the town and state offer large incentives. The Dollar Tree Inc. and the Town Council has a meeting scheduled for Monday to discuss the company’s requested incentives, which are over 5 years for the property tax to be reduced by 70 percent and half off for the building permits. The Economic Development Director is proposing to the Town Council a 60 percent reduction of property tax over 5 years, which will save the company 4.36 million dollars and the town will recieve 2.9 million dollars from new taxes and permit fees in the first 4 years of the contract and 1.5 million the fifth year. The proposal must first be approved by the Council, which won’t be until March 18th, and it must also pass through the inland wetlands commission for permission to build on the requested site.

    I believe that for Dollar Tree Inc. that it’s very beneficial to build this mega store because it will bring them a lot of profit in the long run. For the residents in the neighborhood 150 feet from the proposed store, I think not. Since in the end this will benefit my stock project and pull me out of nearly last place, I say go right ahead and build the enormous superstore.

  18. Luthfi Bustillos 7th
    Manchester city signs deal with Nike as team uniform supplier
    Tariq Panja

    Manchester city, an English Football club has signed a six year deal with Nike. Nike is currently the largest sporting goods supplier in the world. Nike will replace Umbro at the start of the 2013-2014 season. Manchester city is currently owned by billionaire Sheikh Mansour bin Zayed al Nahyan. Since his arrival to the club Manchester city have attracted some the sports biggest stars. The club had annual loss of $310 million dollars last year, the biggest in the sport by an English club. This sponsorship will help the club turn around those annual losses.

    I think this deal is good for Manchester City FC because this will help them financially. They need this money because their losses last year was huge. Signing a deal with Nike also shows that they have come a long way. They were a relatively unknown club 6 years ago and now they are signing a deal with the biggest sports supplier.

  19. Salomon Ariza/7th pd
    Life not sweet for Philippines' sugar cane child workers/ May 2 2012/By Kyung Lah, CNN
    In this article it talks about child labor in the Phillipines. This is due may times to children helping their parents with costs. The boy in the article quit schoool in first grade to go work in sugar cane fields. The sugar produced in these filed is bought by Coca Cola. Coca Cola however says that it does not support this.

    I believe that child labor is a great issue. Companies should not make children in other countries work because labor is cheaper. They need to have stricter regulations to make sure this does not happen. Less money may be made but it would definitelt be worth it.

  20. Perla sanchez
    Intel wants to plug a Smartphone into your brain
    An internet- commissioned that connected devices interfacing with human brain is an inevitability.
    So the paper’s author thinks that the next logical step in technology is the melding mobile technologies directly into the human body. So people think that computers need to improve their natural-language so we can interact with our devices just like another human being. And this type of technology is now being worked on. So it will not take too much time to have this type of technology.
    I think that this can be pretty cool but at the same time it can be a little too dangerous! I like the idea of having better technology every year and many people do too. But this might be going to far. I mean the idea of having some type of smart phone in your head is kind off scary. But if this type of technology gets this far I just hope it does not cause any danger to human society.

  21. Lizzy Stompel
    Apple stocks’ influence on markets grows
    By Matt Krantz

    Apple is playing a big role in influencing the market right now. The shares increased from $49.72 to $610. This change made a difference in the stock market. It made the stock market look like it was getting into a good place because Apple is such a big company. It is the most invested company. Apple has $110 billion in cash and investments. The experts are saying that even though Apple has been doing so good in the past, it's starting to go back down.

    Apple was the first company that came to my mind when I was trying to figure out which company to invest in. I thought that since Apple is a world known company, it should be doing the best in the market. Also almost everyone nowadays owns an Apple product. I am not necessarily satisfied with Apple at the moment since I'm actually loosing money in the stock market game.

  22. Colin Schenk 7th period
    Zuckerberg to raise $1 billion cash from Facebook IPO
    By David Goldman @CNNMoneyTech May 3, 2012: 11:56 PM ET

    Mark Zuckerberg plans to sell 30.2 million shares of his stake in the social network when it publicly offers its stock later this month. If the stock tops out at its projected range he would pocket just over $1 billion. However, most of that cash will go straight to the government and California. Even after selling this many shares, his remaining 504 million shares will make him worth around $18 billion. Last year, he made $483,000, took home a $220,500 bonus, and even private jet travel valued at $783,000. Many of Facebook’s original investors are planning on selling their large amounts of shares which will be worth millions of dollars.
    Luckily our stock simulation will still be going on during the time that Facebook will go public and I am hoping that buying a large amount of stock in it will help pull me out of my large loss. In my opinion I think that Facebook will have no problem reaching their predicted price of $35 per share. I do think that many of the investors are making mistakes by selling all their shares on the day that Facebook goes public. I feel that the worth of their share will only keep going up throughout the next few years.