Emergencies make strange bedfellows. Carlos Slim, the Mexican billionaire, will put $250 million into The New York Times Company (NYSE: NYT). According to The New York Times, "Under the terms of the deal, Mr. Slim, who already owns 6.9 percent of the Times Company, would invest $250 million in the form of six-year notes with warrants that are convertible into common shares." The notes carry a 14% interest rate, which makes them the equivalent of junk debt.

If Slim lived in the US, The Times writers would beat him like a rented mule because of his close, some say too close, ties to the Mexican government. These cozy relationships are often viewed as one of the reasons he has done so well financially.

Forbes reports that Slim may be well-regarded outside Mexico, "But not in Mexico, where the media and the masses long have held a sneaking suspicion that there is something shady about Slim. He is decried as a rapacious monopolist who built his empire on cozy ties to Mexican presidents and other politicians."

Slim is a perfect target for investigative reporting, something The Times prides itself on. But, the paper needs the money, so Slim's potential conflicts of interest in his own country will be overlooked.

Douglas A. McIntyre is an editor at 24/7 Wall St.

During a financial crisis, the US markets should be open everyday. That includes Christmas and the Fourth of July. It includes Thanksgiving and Martin Luther King Day.

The reason is that US investors and the US banking system lose a day in their ability to react to news like the big UK banking and financial system bailout. While markets in Asia and Europe trade and make efficient work of creating or destroying the value of shares in companies which are effected by the news, the measurement of the worth of American shares is frozen. Investors have to pass up an ability to trade. Because of that a British bank's shares can be revalued in the stock market. A US bank's cannot.

If the US is going to present itself as the center of the global capital markets, it cannot afford to have "days off" The big news from the UK proves the case. According to several news reports, Carlos Slim will lend money to The New York Times Company (NYSE:NYT). The news is to a large extent useless beyond the fate of the company itself.

The US markets should be open every day. Otherwise capital use is inefficient.

Douglas A. McIntyre is an editor at 247wallst.com.

The rumors about Mexican billionaire Carlos Slim investing in The New York Times Co. (NYSE: NYT) are heating up.

Andrew Ross Sorkin reports that Slim is near a deal to invest up to $250 million in a deal that could be approved by the company's board of directors today. According to Sorkin, "As part of Mr. Slim's investment, which resembles a loan, he is expected to get a special annual dividend, perhaps as high as 10 percent or more on this investment, these people said."

What is interesting is that Mr. Slim is not set to receive any control of the company's corporate governance. The company's dual-class voting structure that provides the Sulzberger family with total control of the company in spite of an equity stake of less than 20% has been a sore spot with many investors. Slim is also not looking to influence the company's operations.

But the nature of the deal may make that OK from Mr. Slim's perspective: A special annual dividend of 10% and warrants that allow him to benefit from stock price appreciation if things go well is a pretty good deal.

And while the cash infusion is good news for shareholders because it gives the company a liquidity breather, it will do little to solve any of the company's longer-term issues that created the balance sheet problem in the first place.

A few days after Mexican billionaire Carlos Slim reported an 18% stake in the company, Saks (NYSE: SKS) adopted a poison pill, disclosed in a filing with the SEC.

Under the terms of the "shareholder rights plan," if Carlos Slim or anyone else acquires a stake of 20% in the company, other shareholders will be able to acquire shares at half price. The company said that the plan will "impose a significant penalty upon any person or group which acquires beneficial ownership of 20% or more of the Company's outstanding common stock without the prior approval of the Board of Directors."

Shareholders should be appalled. Shares of Saks closed at $4 on Wednesday, down from a 52-week high of $22.19. In 1993, the stock traded north of $15 per share.

So shareholders should not be happy with any plan that gives the company's current management and directors more control over the future: Their track record is one of miserable failure. Given Mr. Slim's track record of creating enormous wealth, shareholders would likely be better off with whatever plan he has up his sleeve.

The Wall Street Journal reports (subscription required) that "Saks spokeswoman Julia Bentley declined to comment on the timing of the announcement, but said that Saks had a rights plan for more than a decade that expired in March 2008."

It must be illustrative to look at the returns that shareholders have received over that period.

Has management of New York Times Co. (NYSE: NYT) finally woken up and smelled the coffee? Not only did the third-largest newspaper publisher report awful earnings, but the New York-based company also announced that it might cut its dividend, a move that will hit the controlling Sulzberger-Ochs family where it hurts -- in the pocketbook.

Net income at the publisher of the namesake newspaper fell 51.4 percent to $6.52 million, or 5 cents a share, compared with $13.4 million, or 9 cents, a year earlier, the company said in a press release. Total revenues decreased 8.9 percent to $687.0 million from $754.4 million. Advertising revenue fell a whopping 14.4 percent as companies reduced marketing spending because of the uncertainty about the economy.

The latest trend among pundits who want to look like they know what they're talking about is to assert boldly that the Fed's $700 billion purchase of dodgy mortgage assets no one understands or wants poses no risk to taxpayers and will surely make us money!

In an op-ed piece (subscription required) for The Wall Street Journal, Andy Kessler asserts that "My analysis suggests that Treasury Secretary Henry Paulson (a former investment banker, no less, not a trader) may pull off the mother of all trades, which could net a trillion dollars and maybe as much as $2.2 trillion -- yes, with a "t" -- for the United States Treasury."

I don't understand why, if that's true, Warren Buffett, George Soros, Wilbur Ross and Carlos Slim aren't diving in to make a bailout unnecessary. Warren's a nice guy, but I don't think he's passing on all those profits to taxpayers out of the goodness of his heart. Take the hint: taxpayers are not going to get rich paying artificially high prices for assets that the best investors in the world won't touch with a ten-foot pole.

Another thing to remember: we're buying the $700 billion in crap securities on the margin. We're borrowing the money because our federal government doesn't have enough cash to bail out a Subway franchisee without hitting up the debt markets. So any calculation about what kind of return we'll earn needs to include the hundreds of billions of dollars in interest we'll be paying for the privilege of buying those assets.

After Mexican billionaire Carlos Slim said Friday afternoon that he was looking to unload all he could from his investment in U.S. computer and electronics retailer CompUSA, the chain announced late Friday evening that it would sell itself to a private firm who would then shut down the entire chain by the new year.

It's been a rocky road for CompUSA this year. The chain announced that it would close half its stores earlier this year on failing performance and heavy competition from Best Buy (NYSE: BBY) and online computer retailers. CompUSA will apparently be selling all inventory in all stores at fire-sale prices until the first of the year, so if you're looking for a computer or flat-screen TV bargain, better suit up.

Carlos Slim, currently the world's richest person, may be looking to get rid of even more computer stores from the U.S.-based retailer he owns, CompUSA.

Back in the first quarter of 2007, the struggling retailer announced plans to close half its stores as it was losing business to larger retailers like Best Buy (NYSE: BBY) and Circuit City Stores (NYSE: CC). With CompUSA down to about 100 stores in the U.S., competitors have already been approached about buying existing stores, according to reports.

Slim took his first equity position in the computer and consumer electronics retailer back in 1999, pouring in $2 billion in investment money. Since then, it's hard to see if Slim has made money on that investment or has become frustrated at the company's financial performance and wants to get out completely. The first large sign was in March when the retailer said it would be closing the doors on half its stores.

CompUSA responded to competitive threats in recent years by expanding beyond PCs and into home electronics and flat-panel televisions. In perfect timing, the prices for flat-panel televisions went south and the margin CompUSA was looking for evaporated. With CompUSA's annual revenue shrinking from 2006's $4+ billion to this year's $1.5 billion, the chain most likely has limited days in front of it.

Seems the world economy is growing and changing so fast that staying on top for very long will become harder. Carlos Slim of Mexico did not retain the title very long, as CNBC is reporting Meet the World's New 'Richest Person' -- For Now, a story about Mukesh Ambani. It has been reported that he is just completing a ONE BILLION DOLLAR HOME! Here's how the Indian press reports rank the world's top five richest people as of today, based on known public stock holdings:

• Mukesh Ambani - $63.2 billion
• Carlos Slim Helu - $62.2993 billion
• William (Bill) Gates - $62.29 billion
• Warren Buffett - $55.9 billion
• Lakshmi Mittal - $50.9 billion

To me, this all amounts to creating headlines, since the slight difference between one, two, and three could be altered with a single day's stock movement. Given that Ambani is on the other side of the world with great fortunes in Europe and Asia it could change back and forth depending on which stock exchanges are open at the time. In a rising market you could go to sleep as the richest person in the world and wake up to find you were overtaken, only to find by the close of the market you were on top again.

What's more important is who is taking what actions. What are these supernova rich guys doing with their wealth? In the case of Gates and Buffett, they have become the world's biggest philanthropists. Carlos Slim has expressed a desire to share his wealth as well by setting up a $10 billion foundation -- I'm not sure how far he has gone with that idea. Mittal is still busy buying up all the steel production on the planet, and is now the largest player in the market. That will increase his wealth for now. On the other hand, the Hunt Brothers of Texas thought that way in the 1970s about silver, and found out rather quickly that was not their brightest idea. Steel is likely a much better bet.

Eat your heart out Warren Buffett. Carlos Slim is the world's richest man, and the Wall Street Journal took a fascinating look at his investment secrets in the weekend edition. According to the piece:

It's hard to spend a day in Mexico and not put money in his pocket. The 67-year-old tycoon controls more than 200 companies -- he says he's "lost count" -- in telecommunications, cigarettes, construction, mining, bicycles, soft drinks, airlines, hotels, railways, banking, and printing. In all, his companies account for more than a third of the total value of Mexico's leading stock market index, while his fortune represents 7% of the country's annual economic output.

His secret? Monopolies. He has a stranglehold on the telephone industry in Mexico, and has drawn the inevitable comparisons to the robber barons of the early industrial days of the United States. While I lack the time or the familiarity with Slim's career to opine on the ethics of his maneuvers, I do note an interesting similarity between Warren Buffett, Bill Gates, and Carlos Slim, the world's three richest men: Gates built his fortune by creating a product that everyone needed and has many monopolistic qualities. Buffett built his by buying brands with "strong moats" at reasonable prices. Slim has sought to eliminate competition in the industries he operates in.

All three sought moats in some way, and seeking a moat is arguably the way to make money: If you're a worker, develop a valuable skill that other people don't have. That's a monopoly. Anytime you have something that other people want and can't get without you, that's a moat/monopoly.

Microsoft Corp. (NASDAQ: MSFT) Chairman Bill Gates -- net worth: $59.2 billion -- is no longer the world's wealthiest person. According to the HeraldSun, Mexico's Carlos Slim -- net worth: $67.8 billion -- now sits in that throne. In April, Slim surpassed Berkshire Hathaway Inc.'s (NYSE: BRK.A) CEO Warren Buffett as the world's second richest person. And today, Slim surpasses Gates.

How must Gates feel? I don't know. He has commented in the past that he doesn't think about being the world's wealthiest person much. But he has occupied that throne since 1995. After 12 years, there could be a twinge of regret at having lost the crown. But Gates still has plenty of money, particularly since Buffett contributed a huge chunk of his fortune to Gates' foundation.

Meanwhile how did Slim climb so fast? A 27% surge in the share price of America Movil (NYSE: AMX), Latin America's largest mobile phone operator controlled by Slim, from March to June enabled Slim to surpass Gates by $8.6 billion. The 5.7% increase in Microsoft stock in the second quarter was no match for the sharp rise in valuations of Slim's companies. He also owns shares of Telefonos de Mexico (NYSE: TMX) up 11% and Grupo Financiero Inbursa S.A. (MXK: GFINBURO) up 20%.

While I don't have earnings forecasts to evaluate Inbursa, it's not too late to consider buying in to Slim's other companies.

• American Movil. AMX's PEG of 1 -- based on a P/E of 26.2 on earnings growth of 26% to $4.22 in 2008 -- looks reasonable to me.
• Telmex. TMX's PEG of 2.5 -- based on a P/E of 12 on earnings growth of 4.9% to $3.31 in 2008 -- looks expensive to me -- I'd avoid this one.

It's not every day that a king gets dethroned. The market is sending a signal that might be worth heeding.

Peter Cohan is president of Peter S. Cohan & Associates, a management consulting and venture capital firm. He also teaches management at Babson College and edits The Cohan Letter. He has no financial interest in the securities mentioned in this post.

Last December, over 100 stocks were featured in our Top Picks for 2007 report. Now, at mid-year, we turn to the 20 advisors whose picks showed the strongest gains to get an update on their previous picks, as well as a new favorite stock for the second half of the year.

Nick Vardy, editor of the Global Stock Investor, chose América Móvil (NYSE: AMX) as his favorite stock for 2007. It rose 39% as of 6/1/07. Here is Nick's original recommendation for AMX and his new favorite stock for the second half of 2007.

Updating his outlook on AMX, the advisor says, "Mexico-based América Móvil has been my #1 blue chip play on the global cell phone megatrend. The Latin American markets have been the strongest performing region globally. But even in that context, América Móvil has been a strong relative performer, handily outperforming the broader Mexican market, itself up 18%.

"And América Móvil has done more than make money for investors. It's also propelled controlling shareholder Carlos Slim ahead of Warren Buffett as the #2 wealthiest man in the world. If América Móvil's stock price continues its torrid pace, Slim will dethrone Bill Gates as the world's #1 by the end of the year.

"Should you still buy América Móvil? Absolutely! The stock remains a favorite of some of the world's top hedge funds. With Latin American cell phone penetration rates still hovering around 40%, América Móvil still only has one way to go -- and that's up.

"The stock is still a very good value based on a PEG ( price earnings to growth) of .58. Thanks to América Móvil's fast growth, this number has barely budged since I first recommended the stock in December."

Last December, over 100 stocks were featured in our Top Picks for 2007 report. Now, at mid-year, we turn to the 20 advisors whose picks showed the strongest gains to get an update on their previous picks, as well as a new favorite stock for the second half of the year.

John Christy, editor of the Forbes International Investment Report, chose Nokia Corp. (NYSE: NOK) as his favorite stock for 2007, which rose 39% as of 6/1/07. Here is his original recommendation for Nokia and his current opinion on the stock.

For his new favorite stock, the advisor looks south of the border, recommending América Móvil (NYSE: AMX). He explains, "Latin America has been one of the hottest regions for global investors in 2007. As of May 25, the Morgan Stanley Capital International Latin America index is up over 17% in U.S. dollar terms.

"But there's still plenty of money to be made south of the border. AMX is the dominant mobile phone service provider in Mexico. The company's reach extends beyond its home market to more than 125 million subscribers throughout Latin America, with operations in more than a dozen countries.

"Revenue topped $21 billion last year, about half of which came from outside Mexico. The company is controlled by Carlos Slim Helú, who overtook Warren Buffett earlier this year as the world's second-richest man.

Carlos Slim may be the second-richest man in the world, but he's tops with Jim Cramer.

The "Mad Money" host sang Slim's praises at length tonight on CNBC. He even said the shares of Slim's company American Movil S.A.B. (NYSE: AMX) are a buy even though they are trading at a 52-week high. The company has 80% of the Mexican wireless market and is expanding in Brazil.

Keep in mind that American Movil is up almost 100% off the lows of the year and the company has a market cap of $90 billion. This isn't exactly an unknown stock nor is it an unknown investment.

"Como se dice, el Cramero?"

Jon Ogg can be reached at jonogg@247wallst.com; he does not own securities in the companies he covers.

Warren Buffett is officially getting poorer. After just a few months as the second richest man in the world, he has been passed by Mexican telecom billionaire Carlos Slim.

According to Forbes, Slim is worth $53.1 billion and Buffett only $54.2 billion. Slim did it the hard way. He increased his net worth in the stock market. His holdings in Carso Telecom, which controls the large Mexican phone company Telmex, went up 15% and the value of his holding in wireless operator American Movil is up 4%.

The measurement means little. Slim's net worth has almost doubled in a little more than a year. The Mexican stock market is up almost 50% over that period. A slip in the economy there could easily push him back down the list. Buffett's investment in Berkshire Hathaway Inc. (NYSE: BRK..A) and Bill Gates' (No.1 on the Forbes list) holdings in Microsoft Corp. (NASDAQ: MSFT) are certainly less volatile.

Because so many of the fortunes of the people on the Forbes list are based on holdings in public companies, the list could literally be recalculated every day. The magazine may have to do that to keep up with billionaires like Slim.

Douglas A. McIntyre is a partner at 24/7 Wall St.