In 2004 when Facebook was just starting out, Mark Zuckerberg turned to his father Edward for initial working capital

Edward, a dentist in Dobbs Ferry New York, loaned his son the money. In return, he was granted 2,000,000 shares of Facebook.

The options were arranged to expire after one year, but Facebook’s board decided that wasn’t fair.  It didn’t match the original intent of Edward’s grant. In late 2009, they issued Edward’s company 2,000,000 Class B shares of Facebook.

Today those shares, reflected in Facebook’s S-1, are worth about $60,000,000.

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Facebook’s ad revenue may not be growing fast enough to justify a $100 billion valuation. But ads are not the company’s only source of revenue.

Payments are becoming a big deal as well.

Last summer, Facebook started charging companies like Zynga 30 percent of each transaction — like purchasing a virtual good like a cow. (That’s a big reason why Zynga accounts for 12 percent of Facebook’s revenue, alhough that figure includes advertising as well.)

So although payments started as a tiny sliver of Facebook’s overall revenue, now it’s up to about 17 percent of the total.

As companies start to sell other kinds of goods through Facebook, like concert tickets, this percentage could grow.

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Former RIM co-CEO Mike Lazaridis gave a lengthy exit interview to The Record yesterday where he explains his next move after stepping down last week.

As far as we can tell, this is the only interview either he or RIM’s other co-CEO Jim Balsillie have given since they stepped down a week ago.

(Correct us if we’re wrong though.)

The profile mostly reads as a history of RIM, which Lazaridis co-founded in 1984, but there are some interesting nuggets about his thoughts on the company’s transition to a new CEO:

• Lazaridis said he had been planning to step down for years, and has been grooming new CEO Thorsten Heins since Heins joined RIM about four years ago. (This is despite the fact investors have been clamoring for a leadership change for some time now.)

• Lazaridis will buy another $50 million worth of RIM shares as a sign he still believes in the company.

• Heins was chosen to take over this year because RIM plans to introduce its new BlackBerry platform, BlackBerry 10. Lazaridis and his co-CEO Jim Balsillie decided to step down and let Heins manage the big launch.

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Citigroup totally missed on EPS and revenue this morning. Now the bank’s share price is taking a beating.

Citi is down around 6%. Unlike the scenario when JP Morgan annouced less than stellar earnings last week, the rest of Wall Street isn’t getting hit nearly as hard. JP Morgan is up 0.19% and Bank of America is only down 0.08%.

Here’s what Citi looks like right now:

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Just out.

JPMorgan EPS came in at 90 cents per share, right as expected.

Revenue appears to have come in a little light. Analysts had expected revenue of at least $23 billion, but instead revenue came in at $22 billion.

Shares are off 2.3% in early pre-market action.

More details…

• Fixed Income Markets revenue was $2.5 billion, down 13% (down 9% excluding the impact of DVA)
• Investment banking fees were down 39% to $1.1 billion, consisting of debt underwriting fees of $553 million (down 40%), equity underwriting fees of $169 million (down 65%), and advisory fees of $397 million (down 6%)
• Mortgage loan originations were $38.6 billion, down 24% from the prior year and up 5% from the prior quarter.

We’ll have more to come in a moment.

The full announcement is here.

————-

ORIGINAL POST: The big earnings report of the day: JPMorgan kicks off financial earnings with a release due out at 7:00 AM ET.

Analysts expect earnings of $0.90/share.

We’ll have all the numbers here LIVE right when they come out.

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Lennar Corporation announced its Q4 financial results earlier this morning.

The company said year-over-year revenues for Q4 jumped 11% $952.7 million.  Though operating income and EPS were down on higher expenses.  EPS came in at $0.16, which was a penny shy of expecations. However, estimates ranged from $0.03 to $0.33.

Shares of Lennar are up around 4% this morning.

“As we come to the end of 2011 and head into 2012, we have seen the market start to stabilize, driven by a combination of low home prices and low interest rates, making the decision to purchase a new home more attractive, compared to the heated rental market,” said Lennar CEO Stuart Miller. “These factors are reflected in our new orders and sales backlog, which increased 20% and 35%, respectively, from the prior year quarter.”

Lennar is one of the largest homebuilders in the U.S.

Next up among homebuilders is Pulte, which will post Jan. 27.  

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Earlier:
• Schedule for Week of Dec 25th
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Bauman discusses a number of topics. He has spent the last 5 months in China – see his earlier video here on the Chinese housing bubble – and he thinks the Chinese economy is “not slowing down”.

Some humor (the knock knock joke at the end is pretty funny – especially the goof by the interviewer).

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A man named Davis Remmel has hacked together a Siri-enabled rotary phone. He shares the following video on his blog, and well as a step-by-step breakdown on how he built the phone.

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Groupon will price at $20 per share tomorrow, letting it raise about $700 million from its IPO.

Kara Swisher at AllThingsD got the scoop. Earlier this week, other news sources suggested that Groupon was going to raise its IPO price by a buck or two over the originally planned $16 to $18.

Swisher also reports that the IPO was oversubscribed by 10 times, and that Groupon will add 5 million shares to bring the total to 35 million.

The real question is how long demand will remain that high once the stock is out of the gate. Just because it’s oversubscribed by 10x at a price of $20 doesn’t say how long demand will remain that high when the stock goes to, say, $25.

Here’s everything you REALLY need to know about the Groupon IPO.

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Apple has been building one of its largest flagship stores to date in Grand Central Station in New York City. It’s still in the middle of construction right now, but a tipster tells 9to5Mac that the store will be open on Black Friday or even sooner.

9to5Mac also shares this video of what’s going on behind the scenes. Right now it’s blocked off from public access, but they were able to get in to check out what the construction looks like.

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