On Sun, 16 Mar 2008 19:39:01 -0700 (PDT), Too_Many_Tools
wrote:

One for the record books...

The US taxpayer is paying for this one.

How do you like being a part owner of a bankrupt bank?
=====================
About as much as I would like to be a BSC employee with my 401k
stuffed with stock that was worth 84$ per share [book] on
Wednesday and worth 2$ per share on Sunday night when they cut
the deal...
=================
"One reaction is shock that a company that reaffirmed its book
value at around $84 on Wednesday can be worth $2 per share four
days later on Sunday," said Deutsche Bank analyst Mike Mayo."
snip
"The price represents roughly 1 percent of what the investment
bank was worth just 16 days ago."
for complete article click on
http://news.yahoo.com/s/ap/20080317/...5bhbiUa yBhIF

Looks like Lehman Brothers is next on the hit list.

"With Bear Stearns seemingly gone, investors pondered who might
be next. Lehman Brothers Holding Inc. stock fell more than 34
percent Monday, following a 15 percent drop on Friday amid
concerns it might be facing similar liquidity issues. Lehman
Chief Executive Richard Fuld denied Monday that the firm was
having such problems."

== Anyone have an estimate of how many bazillion dollars of
derivatives (esp. CDS and interest rate swaps) are involved here?
==

FWIW -- the Fed "created" 200 billion dollars out of nothing in
the middle of the night to bankroll this deal [and more, possibly
*MUCH* more, will likely be required]. To put this in
perspective, the entire "tax rebate" grift will pump only 160
billion into the economy.


Unka' George [George McDuffee]
-------------------------------------------
He that will not apply new remedies,
must expect new evils:
for Time is the greatest innovator: and
if Time, of course, alter things to the worse,
and wisdom and counsel shall not alter them to the better,
what shall be the end?

Francis Bacon (1561-1626), English philosopher, essayist, statesman.
Essays, "Of Innovations" (1597-1625).