* Sees $104.8 mln deferred compensation charge
* Sees 2010, 2011 getting hit by merger costs
* Shares fall 4 pct
Aug 10 U.S. investment bank Stifel Financial
Corp (SF.N) said it expects to incur a charge of $104.8 million
from deferred compensation costs at Thomas Weisel, a firm it
bought earlier this year.
Shares of the company fell as much as 4 percent in early
trade on the New York Stock Exchange.
Stifel, one of the fastest-growing U.S. brokerages, said in
a post-earnings conference call it expects merger-related costs
to impact third-quarter earnings per share by as much as $2.88
The company expects these charges to hurt fourth-quarter
and 2011 profit by 5 cents and 3 cents per share, respectively.
The announcements come a day after the brokerage posted a
better-than-expected profit for the second quarter, helped by
higher commissions, and growth in its asset management and
investment banking units. [ID:nSGE6780JD]
Stifel, which has been snapping up bargains in the past
year, opened up its wallet to buy struggling Thomas Weisel
Partners Group for about $318.2 million in stock in April.
Shares of St. Louis-based Stifel were down 2 percent at
$45.79 Tuesday morning on the New York Stock Exchange. They
touched a low of $45.05 earlier.
(Reporting by Anurag Kotoky in Bangalore; Editing by Prem