Daybook, a daily compendium of news, trends, data and analysis compiled by Report on Business editors and reporters, for Thursday, Oct. 1:
Nobody's Business
Leave it to David Rosenberg, one of Bay Street’s most bearish economists, to see an omen “of biblical proportions” so apt for his stubbornly gloomy theme of late.
The chief economist of Gluskin Sheff + Associates gave a speech last week at the five-star Broadmoor resort in Colorado Springs, where he poured cold water on the recent economic and market optimism, leaving his high-powered corporate audience stunned, and even the famed economist wondering whether he wasn’t overdoing it with all the Chicken Little stuff.
As he crossed a bridge over a tranquil lake on the plush grounds, he wondered if he could be wrong. Perhaps this recession really isn’t the proverbial “black swan” that he and some other bearish gurus fear it might be, an economic event unlike any seen before, that by its very existence brings into question all assumptions about the happy recovery that more orthodox (and cheery) forecasts envision?
As he pondered, what did he see in the lake but a pair of actual, living, breathing black swans, several thousand kilometres from their natural habitat in Australia and coming straight for him.
“I thought they might attack me until I yelled, ‘Dudes, we’re on the same side,'" Mr. Rosenberg recalled. “It was an omen. A reminder that the black swan still lurks.”
Just to prove you can’t make this stuff up, above is the photo snapped by Mr. Rosenberg on his phone-camera and e-mailed to some colleagues.
“I felt a rush of biblical proportions,” he said, “and thought of what it must have felt for Noah as the dove approached the Ark with an olive branch in his beak.”
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Barry Zekelman, the CEO of John Maneely Co., may not be endearing himself to Lakeside Steel Inc. of late. But if he ever wants to give up his job as chief of the U.S. steel pipe and tube manufacturer, he could make a living as a standup comic who zings his audience with one-liners.
In an interview with American Metal Market, a trade publication, Mr. Zekelman pondered the possibility of buying Lakeside, a Welland, Ont.-based competitor. He suggested he could buy Lakeside and troubled Barzel Industries, which is in bankruptcy protection, and “take them out of their misery.” His other thoughts on Lakeside:
•“I was considering putting Lakeside on my Visa, but my wife went out and bought a Dolce & Gabbana dress."
•“Lakeside should probably go to a wishing well and wish they had money."
•“The former parent of Lakeside tried to give it to me, and I wouldn’t take it."
Lakeside, which itself is interested in part or all of Barzel, responded in a news release saying it hasn’t been approached by John Maneely, and doesn’t know what would happen if it were.
“We certainly understand that any pipe and tube manufacturer including John Maneely may want to acquire one or more of its competitors to obtain more market share and to prevent competitors from growing through acquisitions,” CEO Vic Alboini said.
Not exactly Don Rickles in his response, but he made his point.
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The Financial Times names Indigo Books & Music Inc. CEO Heather Reisman as one of the top 50 women in business in the world. We asked Ms. Reisman what lessons she learned since founding the company in 1996:
• “Stay at the table ... keep working at what you believe in, be willing to accept that mistakes are an essential part of growth and achievement, and never quit.”
• “It is all about attracting people who share your vision, who inspire you and who you love coming to work with.”
• “Work at what you love and love your work. This is the only way to really fully leverage your abilities.”
And finally:
