Analysis Topic: Companies Analysis
The analysis published under this topic are as follows.
Saturday, March 07, 2009
Lloyds TSB Nationalisation End Game, Another £280 Billion of Tax Payer Liability / Companies / Nationalization
By: Nadeem_Walayat
The government is about to announce the defacto nationalisation of Lloyds TSB as capital of £5 billion is expected to be converted / injected into the bank that takes the governments real stake to 75% (officially 65%). On top of this the government will guarantee an estimated £275 billion of the banks bad debts which will be dumped onto the tax payer by means of the Asset Protection Scheme. It was less than 2 weeks ago that the government committed £400 billion for the insurance of toxic securities, which according to my calculations has so far already committed £325 billion to RBS for its toxic securities, therefore we are well north of the £400 billion limit. The toxic debt insurance scheme is akin to getting your car insured AFTER you have crashed it. Read full article... Read full article...
Monday, February 23, 2009
Insolvent Citigroup Begs For Part Nationalisation for Tax Payers Billions / Companies / Nationalization
By: Mike_Shedlock
Citigroup is in deep trouble. Its share price is $1.95 and the market is recognizing what I said a year ago: "Citigroup Is Insolvent". Of course it is not just Citigroup that is insolvent, the entire global banking system is insolvent. Read full article... Read full article...
Friday, February 20, 2009
Banks Nationalization Revisited / Companies / Nationalization
By: Mike_Shedlock
Previously I expressed some thoughts on nationalization in The Nationalization Train Has Left The Station . Greg Mankiw suggests wait a minute, this is just nomenclature as the FDIC shuttering banks would itself be nationalization. Read full article... Read full article...
Friday, February 13, 2009
Will HBOS Bankrupt Lloyds TSB into Nationalisation? / Companies / Nationalization
By: Nadeem_Walayat
The shot-gun wedding between HBOS and LLoyds TSB last September in the amidst of the financial markets panic following Lehman's bankruptcy to prevent another Northern Rock nationalisation is increasingly blowing up in Lloyds TSB's face as yet again the reassuring words that bankers say one week turn out to be completely untrue. The Lloyds Chairman was congratulating himself barely 3 weeks ago of how the takeover would result in cost savings of £1.5 billion per year. With today's announcement of a £10 billion loss by HBOS for 2008 shatters the Chairman's illusion and Lloyds TSB's balance sheet, as ever it will not be the bankers that pay the price but the tax payer. Already the UK Tax payer has pumped in capital injections of £18 billion into the LLoyds TSB HBOS group. Read full article... Read full article...
Friday, January 23, 2009
Bankrupt Banks Defacto Nationalization / Companies / Nationalization
By: Adrian_Ash
Private bank stockholders aren't so much being crowded out as thrown out the window...
NOW, I'M NO banking analyst, but that gap on my resumé is starting to look like a very good thing indeed.
Read full article... Read full article...
Wednesday, November 26, 2008
The Real Truth behind the Citigroup Bank Nationalization / Companies / Nationalization
By: F_William_Engdahl
On Friday November 21 the world came within a hair's breadth of the most colossal financial collapse in history according to bankers on the inside of events with whom we have contact. The trigger was the bank which only two years ago was America 's largest, Citigroup. The size of the US Government de facto nationalization of the $2 trillion banking institution is an indication of shocks yet to come in other major US and perhaps European banks thought to be ‘too big to fail.' Read full article... Read full article...
Wednesday, October 15, 2008
Paulson's New Plan to Buy Equity Stakes in Banks and Unfreeze Credit Markets / Companies / Nationalization
By: Money_Morning
Jason Simpkins writes:
The U.S. government yesterday (Tuesday) announced plans to invest $250 billion, more than a third of the $700 billion congressional bailout allotment, into nine of America's largest banks in an effort to bolster confidence in the financial system. Similar to steps taken by European governments earlier this week , the government will guarantee new debt and take equity stakes in the participating banks. Read full article... Read full article...
Friday, September 19, 2008
AIG Insurer Nationalization Analysis / Companies / Nationalization
By: Christopher_Laird
Now that we got past the latest mega financial storm, I was thinking about what caused the mess. And if there is anything anyone can do about it. After all, my site is called the PrudentSquirrel.
They key problem in this ongoing credit crisis
Read full article... Read full article...
Wednesday, September 17, 2008
AIG Bailout and Federal Reserve Act Loophole 13.3 / Companies / Nationalization
By: Mike_Shedlock
In light of the Fed sponsorship of AIG to the tune of $85 billion or more at taxpayer risk (See Nationalization of AIG: Treasury to get 80% stake in return for $85 billion ), inquiring minds just might be asking "By what authority can the Fed lend to insurance companies?" It's a good question given that the Fed is widely thought to be authorized to lend only to banks. It turns out the Fed can lend to pizza parlors if it wants to, with a questionable interpretation of the Federal Reserve Act.
Read full article... Read full article...
Wednesday, September 17, 2008
Nationalization of AIG, US Treasury Get 80% Stake for $85 billion / Companies / Nationalization
By: Mike_Shedlock
Why don't we just do it all now and get it done with? Why piece by piece? Let's have the government run insurance companies, auto companies, banks, mortgage companies, home builders, brokerages, gas stations, and for good measure let's throw in pizza parlors.
Read full article... Read full article...
Tuesday, September 16, 2008
Fed Plans $200 Billion Bailout of AIG To Prevent Financial Collapse / Companies / Nationalization
By: Mike_Shedlock
The Fed held firm today as noted in Bernanke Breaks From Greenspan Fed: No Change . Futures sold off on the news then came roaring back when the Fed decided to consider to extend its moral hazard policy on a case by case basis.
Read full article... Read full article...
Wednesday, September 10, 2008
How to Profit from the Fannie and Freddie Bailout / Companies / Nationalization
By: Money_Morning
Martin Hutchinson writes: The second of two parts analyzing the upside and downside of the Fannie Mae/Freddie Mac bailout. Part I appeared yesterday (Tuesday).]
Between the U.S. Treasury Department's weekend bailout of Government Sponsored Enterprises (GSEs) Fannie Mae ( FNM ) and Freddie Mac ( FRE ) – and Monday's bullish market reaction – you'd think the $5.4 trillion deal had no downside risk at all.
Read full article... Read full article...
Sunday, September 07, 2008
US Tax Payer Takeover of Fannie Mae and Freddie Mac, The Mother of All Bailouts / Companies / Nationalization
By: Chris_Ciovacco
The text below is taken directly from the government's announcement.
The Good News For Taxpayers:
"With this agreement, Treasury receives senior preferred equity shares and warrants that protect taxpayers. Additionally, under the terms of the agreement, common and preferred shareholders bear losses ahead of the new government senior preferred shares."Read full article... Read full article...