Post date: Jan 03, 2011 6:12:59 PM
Summary of business headlines: US factory expansion continues; Bank of America settles bad home loan dispute; Facebook gets $500 million investment -NY Times
USA-BUSINESS UPDATE - The U.S. manufacturing sector ended 2010 on firm footing. Factor activity grew for the 17th straight month in December, according to the Institute for Supply Management. The data provide further evidence the economy is gathering steam.
Bank of America has agreed to pay $2.8 billion to settle claims it sold bad home loans to mortgage finance giants Fannie Mae and Freddie Mac. The settlement is tied to mortgages made by Countrywide, bought by Bank of America during the financial crisis.
Facebook is getting a $500 million cash infusion from a team including Goldman Sachs and Digital Sky Technologies, a Russian Internet group, according to the New York Times. The investment values Facebook at $50 billion and is the latest sign start-ups are looking to tap private equity rather than an initial public offering.Conway Gittens, Reuters