There is the idea of an aggregator bank as the new solution to the enduring housing and banking crisis. Sheila Blair attempted to explain the meaning and function of an aggregator in the Wall Street Journal. Aggregator Bank Explained On WSJ.com, Sheila Blair, the FDIC Chairman, is attempting to explain the workings of a so-called […]
BofA Gets More Bailout Money
BofA (shorthand for Bank of America - NYSE: BAC) got another round of bailout money from not only the Treasury, but also from the Fed and the FDIC as well. BofA has already recieved one of largest dole outs of the first round of TARP funds along with the other eight Paulson hand-picked mega-banks when […]
TARP’s Capital Purchase Program Funded 43 Banks
The US Treasury just released a list of 43 banks that received TARP money under the Capital Purchase Program (CPP). The total released so far this week to these banks is just under $15 billion. Strange… Why is the Treasury Department reporting on these so-called “local banks” getting TARP funds right now when they’ve never […]
PNC Gobbles Up National City
PNC Financial Services Group (NYSE: PNC) is taking over the ailing National City Corp (NYSE: NCC) owner of the regional National City Bank based in Cleveland. PNC has agreed to pay $5.6 billion with some of the money coming from the US Treasury. PNC First To Use Government Money in Takeover We were all “sold” […]
Bailout Bill: Designed To Help Foreign Banks
The US Senate banking bailout bill still giving $700 Billion to the Treasury to buy troubled mortgage backed assets held by banks…even foreign banks…will get a vote tonight. The Senate bill is about 350 pages longer than the failed House bill to incorporate tax breaks and increased depositor insurance among other earmarks. US Senate Foreign […]
Sovereign Bank Stock Bounces Back
Sovereign Bancorp Inc. (NYSE: SOV) another beat up regional bank, lost 70% of stock value on Monday amidst all the chaos surrounding the failure of Congress to past the Senate banking bailout bill. Today the stock at last check was up almost 72% on the announcement of a new CEO. New Sovereign Bank CEO The […]
Mark-To-Market Caused Banking Crisis
Mark-to-market accounting principals are being defined today as the root cause of the banking crisis stemming back to the devaluation of the subprime mortgage backed securities. It is suggested if mark-to-market was suspended by executive order, the banking crisis could be avoided without tax payer money. Mark To Market Problem Defined Forbes printed a Newt […]
Wachovia Bank Failure Thwarted On Citigroup Buyout News
Wachovia Corp (NYSE: WB), at one time the fourth largest banking operation in the US, is currently fending off failure by holding talks over the weekend with potential buyers. Wells Fargo & Co. (NYSE: WFC) seemed to be the front runner over the weekend, but I just got a press release from the Treasury Department’s […]
FDIC WaMu Takeover & JP Morgan Chase Buyout Premature
The FDIC announcement tonight of the Washington Mutual failure and subsequent JP Morgan Chase buyout, was 24 hours premature. The FDIC typically announces financial institution failures after the markets close on a Friday, but due to internal leaks to the media they were forced to act sooner. Reuters reports, “A top U.S. bank regulator said […]
