Deutsche Bank quits as Hertz underwriter

This is how you lose money and piss off your bosses. Hertz has announced that Deutsche Bank will no longer be an underwriter of its initial public offering due to some unauthorized emails. Specifically, in October, a Deutsche Bank employee sent a series of emails to 175 institutional accounts. It's unclear what kind of material the emails contained, but I'm quite sure they were of a bullish sort. But no matter, the issuer says it did not know about any of them. Deutsche Bank said the information didn't constitute a violation of law but could be problematic. The bank ended up being "extremely cautious" and resigned its role. That may mean a slight increase in the allocations of the other underwriters, which include Goldman Sachs, Lehman Brothers and Merrill Lynch.

For more on this:
- Here's an article from the AP