Merrill Lynch & Co., Inc. & Subsidiaries - Page 33




                                       - 33 -                                         
               leases.  Accordingly, it is an opportune time to sell                  
               this business to an appropriate purchaser.                             
          The written summary also informed the board of directors that               
          because Merrill Parent did not intend to withdraw from the                  
          “Lending Activities” aspect of the business, Merrill Parent “will           
          first remove the assets and operations related to the businesses            
          we wish to retain” and will “transfer all of the subsidiaries of            
          ML Capital Resources elsewhere within our Corporate structure” in           
          three steps before ML Capital Resources’ stock was sold:  (1) ML            
          Capital Resources had already sold ML Interfunding’s stock to ML            
          Asset Management for its net book value of approximately $160               
          million; (2) ML Capital Resources had already sold the stock of             
          certain of its subsidiaries to ML Realty Inc. for approximately             
          $50 million; and (3) ML Capital Resources will declare a $459               
          million dividend to its parent company, Merrill Lynch Consumer              
          Markets Holdings, Inc. (Consumer Markets), consisting of cash               
          received from ML Asset Management and ML Realty, existing cash              
          balances, the stock of the remaining subsidiaries, receivables,             
          and liabilities.  The board was informed that after these                   
          transfers were completed, ML Capital Resources “will have equity            
          of approximately $40 million” and “we will be in a position to              
          sell” ML Capital Resources’ stock.                                          
               The presentation identified “a joint venture between BCE               
          Development, Inc., a wholly owned U.S. subsidiary of Bell Canada            
          and GATX Leasing Corporation, a wholly owned subsidiary of GATX             





Page:  Previous  23  24  25  26  27  28  29  30  31  32  33  34  35  36  37  38  39  40  41  42  Next

Last modified: May 25, 2011