Goldman Sachs Group Inc., Morgan Stanley and 45 other financial firms conspired to defraud the Sacramento Municipal Utility District by rigging bids in the market for so-called municipal derivatives, the electricity provider alleged in a suit filed November 12, 2009 in Sacramento federal court. SMUD joins six city and county governments in California and others across the country that have already filed similar lawsuits arising out of a federal investigation made public in 2006. The litigation deals with financial instruments used by local and state governments and other public entities when financing projects-such as power plants-with bond funds.

Morgan Stanley - Conference Presentation Calls

The London Stock Exchange Group Plc (LSE) is close to amalgamating Turquoise Services Limited, into a new joint venture. A decision regarding the fate of Turquoise is expected to be taken within two weeks as talks finalize with the platform's backers, people familiar with the matter said on October 28. No cash will change hands. Turquoise will be merged with Baikal, the LSE's trading facility, with the LSE retaining a 51% majority stake. The exchange will commit to making a series of investments in the platform to develop technology and new products, over a specified time. The shareholders UBS AG, Morgan Stanley, Goldman Sachs Group Inc., Credit Suisse Group, BNP Paribas, Soci�t� G�n�rale Group, Deutsche Bank AG, BofA Merrill Lynch and Citigroup Inc. are not willing to fund the company any further, while retaining a stake in the business. Both the LSE and Turquoise declined to comment.