Major Mergers and Controversies in the US Market

Strategic Insights -

A flurry of significant business announcements has swept the United States, with key developments emerging in the technology and finance sectors. America Online (AOL) is nearing a $4 billion deal to acquire Netscape Communications Corp., while the German bank Deutsche Bank AG is reportedly on the cusp of purchasing Bankers Trust Corp. in a $10 billion all-cash transaction. Meanwhile, Dr. Jack Kevorkian, the physician known for advocating assisted suicide, has sparked a renewed debate by publicly administering a lethal dose of medication to a terminally ill patient in a televised broadcast.

Key Takeaways:

  • AOL is in talks to acquire Netscape Communications Corp. in a $4 billion all-stock transaction, with one scenario suggesting Netscape's "Netcenter" Web site and browser would be run by AOL, while Sun Microsystems would control Netscape's "server" software and distribute Java technology to AOL's 14 million subscribers.
  • Deutsche Bank AG is poised to acquire Bankers Trust Corp. in a $10 billion all-cash deal, potentially leading to layoffs of several hundred employees in New York and London as the companies integrate their securities and banking operations.
  • Dr. Jack Kevorkian has injected a lethally-dosed terminally ill patient, Thomas Youk, on a publicly broadcasted videotape, challenging authorities to prosecute him for assisted suicide, citing the need for a final decision on the contentious issue.

Statistics:

  • $4 billion: The potential value of the AOL-Netscape deal
  • $10 billion: The value of the Deutsche Bank AG-Bankers Trust Corp. merger
  • 14 million: The number of AOL subscribers who could receive Java technology from Sun Microsystems
  • 52: The age of Thomas Youk, the terminally ill patient who received the lethal dose from Dr. Kevorkian
  • 109: The age of Jack Kevorkian
  • "Direct injection": The method by which Thomas Youk received the lethal dose from Dr. Kevorkian

Sources:

  • A person close to the situation
  • "The Wall Street Journal"
  • "CBS' 60 Minutes"
  • "The New York Times"