Business news for Fri, 21 Dec 2007 & with words added+group. 2 news.

LONDON (MarketWatch) -- Puerto Rico-based banking group Popular Inc. said Friday that it expects to report a fourth-quarter pretax loss of $90 million to $165 million following the recharacterization of a number of prior mortgage loan securitizations as sales. The company said the move will reduce its $3.1 billion subprime mortgage portfolio by around $2.4 billion. The firm also said it would take an impairment charge of up to $175 million on the goodwill and trademark value of its E-Loan business. Popular added that after the impact of these transactions it would continue to exceed the risk-based capital guidelines under federal banking regulations.

LONDON (MarketWatch) -- Switzerland's UBS is facing a shareholder revolt over its plans for a cash injection from Singapore and the Middle East, according to a report in the Financial Times Friday. Ulrich Grete, head of the Swiss Social Security Compensation Fund, said the deal would disadvantage existing investors and also called on UBS to name the Middle Eastern investor who will own nearly 2% of the group, according to the report. Another investor has demanded a special audit to look at how the bank made such big losses, it added. The Financial Times also said that the Middle East investor is from Saudi Arabia and added Prince Sultan, the crown prince and defense minister, was believed to be a leading figure in negotiating the deal. UBS announced the capital injection of around $11.5 billion earlier in December after taking a further $10 billion of write-downs.