Exxon Mobil to buy XTO Energy for $29 billion
Exxon Mobil, the world's largest publicly traded oil company, is making a $29 billion bet that pressure to curb climate change will mean natural gas _ cleaner than coal and suddenly much easier to reach _ will become a crucial source of U.S. power.
Exxon agreed to buy XTO Energy in an all-stock deal at a 25 percent premium, showing how eagerly a company that is among the most conservative in a conservative industry is jumping into the market for natural gas.
As negotiators haggled in Copenhagen over a global plan to curb carbon emissions, the deal suggested Exxon sees change coming for an energy source best known now for heating homes.
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Dubai's $10B bailout by Abu Dhabi calms fears
DUBAI, United Arab Emirates (AP) _ Oil-rich Abu Dhabi pumped $10 billion into its indebted neighbor Monday, sending stocks soaring while sparing Dubai and the rest of the Emirates federation the humiliation of an imminent default by one of the struggling Arab boomtown's star companies.
The bailout was about more than petrodollar transfers from one United Arab Emirates sheikdom to the other. Dubai officials seized on the news to try to repair damage done by weeks of uncertainty stemming from their unwillingness to fully stand behind Dubai World as the conglomerate looked to restructure some of its $60 billion in debts.
Investors cheered Monday's news. Dubai's main index shot up 10.4 percent at the close and markets elsewhere rose modestly.
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Citigroup to repay $20 billion in bailout money
NEW YORK (AP) _ Citigroup said Monday it is repaying $20 billion in public bailout money, freeing the banking giant from the close scrutiny and pay restrictions that came with the rescue program. The government also will sell its one-third stake in the company.
Paying back the government gives an immediate lift to Citigroup's reputation and will save the bank $1.7 billion a year in dividend payments, but it comes at a heavy cost. Raising the new capital will significantly dilute current shareholders' stake in the company, and Citi's shares fell more than 6 percent.
The government gave Citi $45 billion in loans and agreed to protect losses on nearly $300 billion in risky investments.
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Stocks rise to 2009 highs after Dubai, Exxon deals
NEW YORK (AP) _ Easing concerns over global credit problems and more signs of corporate dealmaking nudged major stock indexes to new highs for the year.