General Cable shares close higher on Thursday, company to pay over $75 million to resolve bribery allegations

According to the US Justice Department and Securities and Exchange Commission, the NYSE-listed General Cable Corp is expected to pay more than $75 million in fines to settle allegations it had suborned officials in China, Bangladesh and Angola.

General Cable shares closed higher on Thursday, rebounding after a 2.27% slump in the previous trading session. The stock edged up 0.26% ($0.05) to $19.45, after falling to as low as $19.15, or an exact test of the low from December 23rd. In the week ended on December 25th the shares of the fiber optic wire and cable manufacturer lost 1.02% of their market value compared to a week ago, which marked a second consecutive period of decline, but yet, the smallest one since the week ended on August 14th. The stock has extended its advance to 3.73% so far during the current month, after surging 33.93% in November. The latter has been the stocks best performance since March, when a 42.14% increase was registered.

The agreement, signed with the US Justice Department, revealed General Cable executives were aware of the fact that outside agents had bribed officials abroad to win business. In order to resolve these allegations, the Kentucky-based company will pay a penalty at the amount of $20 million. On the other hand, in order to resolve a related US Securities and Exchange Commission investigation, General Cable Corp is expected to pay another $6.5 million. Additionally, the company is expected to surrender a $51-million profit, which it generated from the plots.

The Justice Department said it agreed to impose a more indulgent fine on General Cable, as the latter came forward and disclosed the issue to authorities.

The wire producer “voluntarily self-disclosed this misconduct to the government, fully cooperated and remediated,” said Leslie Caldwell, Assistant Attorney General, cited by Reuters. “This resolution demonstrates the very real upside to coming in and cooperating with federal prosecutors and investigators.”

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, todays levels of importance for the General Cable stock are presented as follows:

R1 – $19.50
R2 – $19.54
R3 (Range Resistance – Sell) – $19.59
R4 (Long Breakout) – $19.73
R5 (Breakout Target 1) – $19.89
R6 (Breakout Target 2) – $19.96

S1 – $19.40
S2 – $19.36
S3 (Range Support – Buy) – $19.31
S4 (Short Breakout) – $19.18
S5 (Breakout Target 1) – $19.01
S6 (Breakout Target 2) – $18.94

By using the traditional method of calculation, the weekly levels of importance for General Cable Corp (BGC) are presented as follows:

Central Pivot Point – $19.58
R1 – $20.02
R2 – $20.63
R3 – $21.07
R4 – $21.50

S1 – $18.97
S2 – $18.53
S3 – $17.92
S4 – $17.30