The Risk Arbitrage Report for September 27, 2010

New Deals:

• IBM (IBM) to acquire Netezza (NZ).
• Trustmark (TRMK) to acquire Cadence Financial (CADE).
• Arrow Electronics (ARW) to acquire Nu Horizons (NUHC). 
• Safran to acquire L-1 Identity (INET).
• Penn Virginia Resource Partners (PVR) to acquire Penn Virginia GP Holdings (PVG). 
• Bayside Capital Partners to acquire Majestic Capital (MAJC).
• Hellman & Friedman Capital Partners to acquire Internet Brands (INET).
• Battery Ventures to acquire RAE Systems (RAE).

Completed Deals:

• Halliburton (HAL) completes acquisition of Boots & Coots (WEL).

Updated Deals:

• Aon Corp (AON) and Hewitt Associates (HEW) expect to close deal around Oct 1.
• Aon Corp (AON) and Hewitt Associates (HEW) shareholders approve merger.
• Valeant Pharmaceuticals (VRX) and Biovail Corp (BVF) expect deal to close on Sep 28.
• Endo Pharmaceuticals (ENDP) completes tender offer for Penwest Pharmaceuticals (PPCO).
• Pactiv (PTV) and Reynolds Group announce expiration of HSR.
• ICX Technologies (ICXT) and FLIR Systems (FLIR) announce expiration of HSR.
• Mirant (MIR) nad RRI Energy (RRI) set shareholder meeting for Oct 25 and announce financing arrangements.
• NBTY (NTY) shareholders approve merger with Carlyle Group. 
• Avis (CAR) raises hostile offer for Dollar Thrifty (DTG).
• Jacksonville Bancorp (JAXB) raises cash portion of offer to $0.67 from $0.50 for Atlantic BancGroup (ATBC).
• PMA Capital (PMACA) shareholders approve merger with Old Republic (ORI). 

Merger Arbitrage Spreads September 27, 2010

The latest stock merger spreads:

Target	Ticker	Acquirer	Ticker	Current Price	Take Over Price	Price Diff	% Diff	Date Announced
Abraxis Bioscienc	ABII	Celgene Corporati	CELG	$76.68	$73.30	-3.38	-4.41%	6/30/2010
American Physicia	ACAP	The Doctors Company	--	$41.50	$41.50	0.00	0.00%	7/8/2010
AmeriCredit Corpo	ACF	General Motors	--	$24.37	$24.50	0.13	0.53%	7/22/2010
A.D.A.M. Inc.	ADAM	Ebix Inc	EBIX	$6.33	$7.18	0.85	13.44%	8/30/2010
ADC Telecommunica	ADCT	Tyco Electronics	TEL	$12.66	$12.75	0.09	0.71%	7/13/2010
AMERICAN EXPLORAT	AEXP.OB	MAINLAND RESOURCE	MNLU.OB	$0.06	$0.09	0.03	41.67%	3/23/2010
American Oil & Ga	AEZ	Hess Corporation	HES	$7.93	$7.94	0.01	0.09%	7/28/2010
Alloy Inc.	ALOY	ZelnickMedia	--	$9.65	$9.80	0.15	1.55%	6/24/2010
American Physicia	AMPH	Pro-Assurance Cor	PRA	$32.36	$32.50	0.14	0.43%	9/1/2010
Arc Sight Inc.	ARST	Hewlett-Packard C	HPQ	$43.41	$43.50	0.09	0.21%	9/13/2010
ATC Technology Co	ATAC	GENCO Distribution System	--	$24.72	$25.00	0.28	1.13%	7/19/2010
Atlantic BancGrou	ATBC	Jacksonville Banc	JAXB	$2.44	$2.18	-0.26	-10.82%	5/10/2010
Allegheny Energy	AYE	FirstEnergy Corpo	FE	$24.04	$25.41	1.37	5.71%	2/11/2010
BANCINSURANCE CP	BCIS.OB	Insiders	--	$8.10	$8.50	0.40	4.94%	8/12/2010
Buckeye GP Holdin	BGH	Buckeye Partners	BPL	$41.95	$43.72	1.77	4.23%	6/11/2010
Burger King Holdi	BKC	3G Capital	--	$23.81	$24.00	0.19	0.80%	9/2/2010
Bowne & Co. Inc.	BNE	R.R. Donnelley &	RRD	$10.98	$11.50	0.52	4.74%	2/23/2010
Cadence Financial	CADE	Trustmark Corpora	TRMK	$2.00	$2.11	0.11	5.33%	9/22/2010
Continental Airli	CAL	UAL Corporation	UAUA	$23.96	$23.93	-0.03	-0.13%	5/3/2010
Comm Bancorp Inc	CCBP	F.N.B. Corporatio	FNB	$38.57	$39.64	1.07	2.77%	8/9/2010
Central Jersey Ba	CJBK	Kearny Financial	KRNY	$7.42	$7.50	0.08	1.08%	5/25/2010
Cellu Tissue Hold	CLU	Clearwater Paper	CLW	$11.93	$12.00	0.07	0.59%	9/16/2010
Cogent Inc.	COGT	3M Company Common	MMM	$10.74	$10.50	-0.24	-2.23%	8/30/2010
DivX Inc.	DIVX	Sonic Solutions	SNIC	$8.08	$8.22	0.14	1.75%	6/2/2010
Dollar Thrifty Au	DTG	Hertz Global Hold	HTZ	$51.03	$50.70	-0.33	-0.64%	4/26/2010
Diamond Managemen	DTPI	PricewaterhouseCoopers	--	$12.47	$12.50	0.03	0.24%	8/24/2010
Dynegy Inc. (Dela	DYN	The Blackstone Gr	BX	$4.53	$4.50	-0.03	-0.66%	8/13/2010
Enterprise GP Hol	EPE	Enterprise Produc	EPD	$56.79	$58.17	1.38	2.43%	9/7/2010
First Chester Cou	FCEC	Tower Bancorp Inc	TOBC	$5.43	$9.43	4.00	73.69%	12/28/2009
GLG Partners Inc	GLG	Man Group	--	$4.49	$4.50	0.01	0.22%	5/17/2010
Hewitt Associates	HEW	Aon Corporation C	AON	$50.62	$50.71	0.09	0.17%	7/12/2010
Health Grades In	HGRD	Vestar Capital Partners	--	$8.20	$8.20	0.00	0.00%	7/28/2010
ICx Technologies	ICXT	FLIR Systems Inc	FLIR	$7.61	$7.55	-0.06	-0.79%	8/16/2010
L-1 Identity Solu	ID	Safran	--	$11.69	$12.00	0.31	2.65%	9/20/2010
Internet Brands	INET	Hellman & Friedman Capital Partners	--	$13.16	$13.35	0.19	1.44%	9/20/2010
LSB Corporation	LSBX	People's United F	PBCT	$20.80	$21.00	0.20	0.96%	7/15/2010
Majestic Capital	MAJC	Bayside Capital Partners	--	$0.38	$0.45	0.08	20.00%	9/21/2010
Maine & Maritimes	MAM	Emera	--	$44.60	$45.00	0.41	0.91%	3/12/2010
Mariner Energy I	ME	Apache Corporatio	APA	$24.19	$24.52	0.33	1.38%	4/15/2010
Micrus Endovascul	MEND	Johnson & Johnson	JNJ	$23.38	$23.40	0.02	0.09%	7/12/2010
MCAFEE Inc	MFE	Intel Corporation	INTC	$47.32	$48.00	0.68	1.44%	8/19/2010
Mirant Corp Commo	MIR	RRI Energy Inc.	RRI	$9.90	$10.06	0.16	1.66%	4/11/2010
NewAlliance Bancs	NAL	First Niagara Fin	FNFG	$12.48	$12.90	0.42	3.34%	8/19/2010
Inergy Holdings	NRGP	Inergy L.P. Comm	NRGY	$28.73	$29.57	0.84	2.92%	8/9/2010
NBTY Inc. Common	NTY	Carlyle Group	--	$54.94	$55.00	0.06	0.11%	7/15/2010
Nu Horizons Elect	NUHC	Arrow Electronics	ARW	$6.93	$7.00	0.07	1.01%	9/20/2010
Nymagic Inc. Com	NYM	ProSight Specialty Insurance	--	$25.78	$25.75	-0.03	-0.12%	7/15/2010
Netezza Corporati	NZ	International Bus	IBM	$27.46	$27.00	-0.46	-1.68%	9/20/2010
SYNTHETECH INC	NZYM.OB	W.R. Grace & Comp	GRA	$0.96	$1.07	0.11	11.20%	9/15/2010
Occam Networks I	OCNW	Calix Inc Common	CALX	$7.41	$7.64	0.23	3.17%	9/16/2010
O. I. Corporation	OICO	ITT Corporation C	ITT	$12.30	$12.35	0.05	0.41%	9/14/2010
OMNI Energy Servi	OMNI	Wellspring Capital Management	--	$2.72	$2.75	0.03	1.10%	6/4/2010
Osteotech Inc.	OSTE	Medtronic Inc. Co	MDT	$6.45	$6.50	0.05	0.78%	8/17/2010
OTIX Global Inc	OTIX	William Demant Holding	--	$8.43	$8.60	0.17	1.99%	9/13/2010
3PAR Inc Common S	PAR	Hewlett-Packard C	HPQ	$32.98	$33.00	0.02	0.06%	8/27/2010
PINNACLE GAS RES.	PINN.PK	Scotia Waterous	--	$0.32	$0.34	0.03	7.94%	2/24/2010
PMA Capital Corpo	PMACA	Old Republic Inte	ORI	$7.48	$7.50	0.02	0.22%	6/10/2010
Penwest Pharmaceu	PPCO	Endo Pharmaceutic	ENDP	$4.98	$5.00	0.02	0.40%	8/10/2010
Portec Rail Produ	PRPX	L.B. Foster Compa	FSTR	$11.60	$11.80	0.20	1.72%	2/17/2010
Psychiatric Solut	PSYS	Universal Health	UHS	$33.50	$33.75	0.25	0.75%	5/17/2010
Phoenix Technolog	PTEC	Marlin Equity Partners	--	$3.95	$3.85	-0.10	-2.53%	8/17/2010
Pactiv Corporatio	PTV	Reynolds Group Holdings Limited	--	$32.93	$33.25	0.32	0.97%	8/17/2010
Penn Virginia GP	PVG	Penn Virginia Res	PVR	$22.75	$23.96	1.21	5.32%	9/21/2010
Prospect Medical	PZZ	Leonard Green & Partners	--	$8.67	$8.50	-0.17	-1.96%	8/16/2010
Qwest Communicati	Q	CenturyLink Inc.	CTL	$6.25	$6.53	0.28	4.50%	4/22/2010
RAE Systems Inc C	RAE	Battery Ventures	--	$1.56	$1.60	0.04	2.56%	9/20/2010
Res-Care Inc.	RSCR	ONEX CORPORATION	OCX.TO	$13.21	$13.25	0.04	0.30%	9/7/2010
Salary.com	SLRY	Kenexa Corporatio	KNXA	$4.07	$4.07	0.00	0.00%	9/1/2010
Smithtown Bancorp	SMTB	People's United F	PBCT	$3.74	$3.88	0.14	3.80%	7/15/2010
Sinoenergy Corpor	SNEN	Company's chairman and president	--	$1.87	$1.90	0.03	1.60%	10/12/2009
Southern Connecti	SSE	Naugatuck Valley	NVSL	$5.78	$6.75	0.97	16.78%	2/23/2010
Student Loan Corp	STU	Discover Financia	DFS	$29.89	$30.00	0.11	0.37%	9/17/2010
Talecris Biothera	TLCR	GRIFOLS A	GRF.MC	$23.10	$25.95	2.85	12.36%	6/7/2010
Trubion Pharmaceu	TRBN	Emergent Biosolut	EBS	$4.57	$4.37	-0.20	-4.42%	8/12/2010
The South Financi	TSFG	Toronto Dominion	TD	$0.29	$0.29	0.00	0.14%	5/17/2010
Microtune Inc.	TUNE	Zoran Corporation	ZRAN	$2.89	$2.92	0.03	1.04%	9/8/2010
Unica Corporation	UNCA	International Bus	IBM	$21.05	$21.00	-0.05	-0.24%	8/13/2010
UNION NATL FINCL	UNNF.OB	Donegal Group In	DGICA	$8.15	$8.25	0.10	1.23%	4/20/2010
PET DRX CORP	VETS.PK	VCA Antech Inc.	WOOF	$0.33	$0.34	0.01	3.82%	6/2/2010
Valeant Pharmaceu	VRX	Biovail Corporati	BVF	$65.16	$65.05	-0.11	-0.17%	6/21/2010
Expressjet Holdin	XJT	SkyWest Inc.	SKYW	$6.68	$6.75	0.07	1.05%	8/4/2010
ZymoGenetics Inc	ZGEN	Bristol-Myers Squ	BMY	$9.73	$9.75	0.02	0.21%	9/7/2010