What’s New: In Brief (July 28, 2006)

Strong internal growth, acquisition revenue and operational discipline combined to drive a 32% increase in 2006 Q2 revenue and a 286% increase in net earnings from continuing operations for Hub International Limited (NYSE:HBG) (TSX:HBG), the company announced.
Second quarter revenue increased 32% to US$146 million from US$111 million in the same period of 2005.
“In Canada, revenue increased 17% to US$40 million from US$34.1 million in the same period of 2005,” the company announced. “Hub posted organic growth of 16%. Core commissions rose 14% to US$37.3 million from US$32.7 million, while contingent commissions grew 127%, to US$1.8 million from US$0.8 million.
“Foreign exchange impact added 11 percentage points to revenue growth rate in Canada in the second quarter.”
Hub says it “benefited from strong account retention, along with new business generation, in the second quarter. In addition, we have begun to see some slowing in the pace of rate reductions on a year-over-year basis.”
Even so, Hub announced, it is “too early to know whether this relative improvement is an indicator of future rate stability.”

Fairfax Financial Holdings Limited announced it has filed a lawsuit seeking $5 billion in damages related to allegations of a stock market manipulation scheme involving Fairfax shares.
“The complaint, filed in Superior Court, Morris County, New Jersey, alleges violations of various state laws, including the New Jersey Racketeer Influenced and Corrupt Organizations Act (RICO), pursuant to which treble damages may be available,” Fairfax announced in a press release.
The allegations have not yet been proven in court.
Defendants named in Fairfax’s lawsuit include:
S.A.C. Capital Management, LLC, S.A.C. Capital Advisors, LLC, S.A.C. Capital Associates, LLC, S.A.C. Healthco Funds, LLC, Sigma Capital Management, LLC, Steven A. Cohen, Exis Capital Management, Inc., Exis Capital, LLC, Exis Differential Partners, L.P., Exis Integrated Partners, L.P., Adam D. Sender, Spyro Contogouris, Max Bernstein, Andrew Heller, Lone Pine Capital, LLC, Lone Pine Members, LLC, Lone Pine Associates, LLC, Rocker Partners, L.P., Copper River Partners, L.P., David Rocker, Third Point LLC, Daniel S. Loeb, Jeffrey Perry, Trinity Capital Of Jacksonville, Inc., Trinity Fund, Ltd., Morgan Keegan & Company, Inc., John D. Gwynn, and Christopher Brett Lawless.