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SELL BCS ( BARCLAYS )

September 19, 2008

On Sept 16, 2008 we recommended buying BCS due to their buying Lehman assets on the cheap. In three days, we have profits from buying at $22 to the after hours price of $ 29-30. Our sources inform us that US government plan to buy illiquid assets will not be available to non US domiciled banks, and of course BCS is a British bank. As this information becomes widely disseminated on Monday, the stock may fall in London long before US markets open. We recommend selling now in the aftermarket. There seems to be size in the aftermarket to accommodate

CONSIDER BUYING BAC (BANK OF AMERICA)

September 16, 2008

Strategic value of MER outweigh potential loses from MER balance sheet. BAC has traditionally done a good job at integrating acquisitions, but MER is a different animal than traditional commercial bank acquisitions. However, our review shows that more likely than not MER will be successfully integrated in BAC and strategic synergies will be fully realized. BAC has had difficulties with meaningful international expansion. MER also solves this problem. Consider tip-toeing right here and adding aggressively in low to mid twenties. www.thearorareport.com THE ARORA REPORT, Ltd. HOME OF THE UNIQUE ZYX CHANGE METHOD DEDICATED SOLELY TO PROFIT FROM CHANGE BY TRADING

CONSIDER BUYING BCS (BARCLAYS)

September 16, 2008

We believe BCS purchase of Lehman assets in bankruptcy is a coup. This is a major change as it will significantly increase BCS presence in US. The current financial crises will pass and the assets bought cheap will pay rich dividends. Consider scaling in in $22-23 range and add on dips. www.thearorareport.com THE ARORA REPORT, Ltd. HOME OF THE UNIQUE ZYX CHANGE METHOD DEDICATED SOLELY TO PROFIT FROM CHANGE BY TRADING AND INVESTING VERIFIABLE PERFORMANCE RECORD Every closed trade since 2007, without exception, is included in the performance results. Number of winning positions: 162 Number of losing positions: 10 Average

HOLD SNDK (SANDISK) LONG POSITION

September 16, 2008

After the close, Samsung announced $26 cash bid for SNDK. The offer is not contingent on financing. We believe there is a distinct possibility of a competing bod from Toshiba. On the other hand there is some antitrust risk in Samsung bid. On balance, we believe it is advantageous to hold the long position.In our last post we suggested selling 75% of long position to lock in profits per our methodology. If you followed our methodology, during the recent pullback you have added to SNDK position in $14 range. On the other hand, some stops should have hit. On balance,

CONSIDER PARTIAL SELL SNDK (SANDISK)

September 5, 2008

Recently, we warned against shorting SNDK and recommended buying SNDK around $13 due to possibility of a buy out. Today Korea’s ETimes reports that Samsung may be considering buying SNDK. Our sources indicate that report is true. Moreover, it makes sense. In keeping with our methodology to lock in profits , we recommend scaling out of 75% of the position in $17 to 19 range with a tight stop for the rest www.thearorareport.com THE ARORA REPORT, Ltd. HOME OF THE UNIQUE ZYX CHANGE METHOD DEDICATED SOLELY TO PROFIT FROM CHANGE BY TRADING AND INVESTING VERIFIABLE PERFORMANCE RECORD Every closed trade

CONSIDER BUYING TO COVER AMLN (AMLYN)

August 27, 2008

We have very large gains in AMLN. Consider buying to cover majority, say 90% of the position right here at $20.50 range. Tight stop on the rest. If there is a substantial bounce, consider shorting again. www.thearorareport.com THE ARORA REPORT, Ltd. HOME OF THE UNIQUE ZYX CHANGE METHOD DEDICATED SOLELY TO PROFIT FROM CHANGE BY TRADING AND INVESTING VERIFIABLE PERFORMANCE RECORD Every closed trade since 2007, without exception, is included in the performance results. Number of winning positions: 162 Number of losing positions: 10 Average annualized % return per position: 296.77% ………………Check out details .

CONSIDER PARTIAL EXIT KG (KING) AND ALO (ALPHARMA)

August 25, 2008

There are over 5% gains in just one day. Our methodology calls for taking partial profits in KG here at $11.64 and in ALO at $36.40. Consider tight stops on the rest. www.thearorareport.com THE ARORA REPORT, Ltd. HOME OF THE UNIQUE ZYX CHANGE METHOD DEDICATED SOLELY TO PROFIT FROM CHANGE BY TRADING AND INVESTING VERIFIABLE PERFORMANCE RECORD Every closed trade since 2007, without exception, is included in the performance results. Number of winning positions: 162 Number of losing positions: 10 Average annualized % return per position: 296.77% ………………Check out details .

SHORT KG ( KING PHARMACEUTICAL ), BUY ALO (ALPHARMA)

August 22, 2008

KG today made public its $33 cash offer for ALO ( Alpharma ). Normally stock of the acquirer falls, but here KG stock has jumped. The reason for jump is KG representation that the deal will be accretive in the second year. We believe this premise to be false for four reasons: 1. ALO is an attractive target and other acquirers may jump in. In the end, even if KG is successful, the price may have to go up by as much as 20%. Such increase will not make the deal accretive in the second year as represented by the