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IFLR tips its hat to muffins, jelly beans and cufflinks shaped like insects

If the subprime crisis were a stone cast into the water, you would have to say that the ripples it has created are impressive. The most recent involves the auction-rate securities market. Auction-rate securities are used by municipalities and closed-end funds to raise capital. These securities are short-term investments bearing interest rates tied to broad based short-term financial rates, such as Libor or the prevailing money market rate. Interest rates are re-set periodically through an auction process. In contrast to other markets, the auction market disruption is not a credit issue. There have been no defaults. These securities are generally investment-grade rated. Rather, auction failures have been triggered, simply and only, by a liquidity crisis.

SEC and CFTC agreement will speed up deals

If exercised, it'll dilute shareholder stakes

Original offer increased five-fold

Two US cases have highlighted the risks of an ambiguous Mac clause. But imprecision is the only way to hammer out a reasonable compromise

Cravath Swaine & Moore has advised the directors of Canadian paper company AbitibiBowater on the placement of $350 million unregistered convertible debentures with Fairfax Financial Holdings. The securities are part of a $1.4 billion refinancing by AbitibiBowater. The debentures have an 8% cash coupon and expire in 2013; they are also convertible into shares worth $10 each. In return Fairfax, an institutional investor, will appoint two directors to AbitibiBowater's board.

Norton Rose has advised Greek shipping company Quintana Maritime on its $2.45 billion acquisition by Excel Maritime Carriers.

White & Case has advised Visa in the largest IPO in US corporate history. Market observers had shown concerns about the deal's viability because of the threat of a global economic downturn. But the electronic payment network raised a record $19.7 billion.

Last week's IMF announcement stating that it is developing best practice guidelines for sovereign wealth funds has received a muted response