Financial News Mon Apr 9th 2012 – AOL, SONY, UBS lawsuit with Igor Olenicoff


Financial News Mon Apr 9th 2012 – AOL, SONY, UBS lawsuit with Igor Olenicoff

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    The Wall Street Journal reports, AOL agreed to sell more than 800 patents and related applications, along with a nonexclusive license to its remaining portfolio of patents, to Microsoft for about $1.1 billion. AOL shares surged 39% to $25.63 in premarket trading, while Microsoft was inactive and closed Thursday at $31.52. AOL said it intends to return a “significant portion” of the sale proceeds to shareholders.
    The Wall Street Journal also reports, Sony is looking to reduce its workforce by an estimated 10,000 jobs, or about 6% of its global total, as part of new Chief Executive Kazuo Hirai’s restructuring plan. The cuts could be made over the next two fiscal years, ending in March 2014. The potential reductions are the first details to emerge of Mr. Hirai’s restructuring plan, since he succeeded Howard Stringer as CEO this month. After four straight years of losses, Mr. Hirai’s main focus is to turn around the struggling electronics business, which has failed to match the success of Apple and Samsung Electronics, and has suffered from the impact of the strong yen and price competition.
    Bloomberg reports, UBS and billionaire Igor Olenicoff are scheduled to clash in court today, over his claim that, the bank is to blame for his failure, to declare $200 million in offshore accounts on U.S. tax returns. Olenicoff, a real-estate developer, pleaded guilty in 2007 to filing a false tax return, admitting he didn’t tell the IRS about his offshore accounts for seven years. He was sentenced to two years’ probation and ordered to pay $52 million in back taxes, fines and penalties. In 2008, he sued UBS, claiming it traded excessively in his accounts, engaged in racketeering and committed fraud by not telling him he owed U.S. taxes. He seeks as much as $1.7 billion in damages.
    Finally, Reuters reports, Oil prices fell more than $1 on Monday after Iran agreed to resume talks over its nuclear program, easing fears of a supply disruption in the Middle East. Prices were also under pressure on concerns about the pace of U.S. economic recovery after data last week showed U.S. employers had hired far fewer workers in March than in previous months.

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