!!Breaking!! Lehman Bros Insolvent by Monday, Financial Collapse to Follow.
Is this the start of events that RP eluded to? Seems like the big banks are bricking it...
Preparations are being made in case the US investment bank Lehman Brothers has to file for bankruptcy protection.
The firm was pushed to the brink on Sunday after UK bank Barclays pulled out of talks to buy most of Lehman.
If no new financing is found before Wall Street opens on Monday, Lehman will have to seek so-called Chapter 11 bankruptcy protection.
In the UK, accountancy firm PWC has been lined up to run the British operations of Lehman.
BBC business editor Robert Peston says Barclays' decision to walk away from a Lehman deal was a huge setback for the effort to rescue the fourth-largest investment bank in the United States.
A source close to the talks told the BBC that Barclays was unlikely to change its mind.
Barclays terminated the negotiations because it was unable to obtain guarantees in relation to financial commitments faced by Lehman when markets open on Monday.
Bad bank, good bank
The rescue effort for Lehman is being coordinated by the US Treasury and the New York Federal Reserve.
The US government had hoped to arrange a bailout under which other US investments banks - such as Citigroup, JPMorgan Chase, Morgan Stanley and Goldman Sachs - would finance a "bad bank" that would hold the most "toxic" investments of Lehman in the property and mortgage market.
The "good bank" or rest of the firm, including its investment and wealth management arms, would then be sold to another financial institution, for example Bank of America or the UK's Barclays.
Although such a deal would have cost the other investment banks millions, it might have restored confidence in the sector and avoided a sharp drop in the share price of all banks.
However, it appears that this plan is falling apart.
"The only thing that can prevent Lehman collapsing would be a huge injection of taxpayers' money," a banker close to the talks told the BBC.
"In the light of the credit crunch and the parlous state of financial markets, Barclays feels it would be running a crazy risk if it took on [Lehman's obligations] without any protection right now," says our business editor.
Bank of America, meanwhile, is said to be unconvinced that buying Lehman would be in the interest of its shareholders.
'Too difficult to value'
"No other large firm should buy Lehman whole - its toxic real estate and securities are too difficult to value," said Professor Peter Morici of the business school of the University of Maryland.
"Only a fool would think he could fairly assess their value, unless those are assigned them a value of zero," he added.
Lehman is up for sale after it reported a $3.9bn (£2.2bn) quarterly loss last week amid concerns over its long term financial viability.
The firm's share price has plummeted as fears over its future have mounted.
Uncertainty
Unless a bailout deal can be arranged and another large bank steps up to buy the good bits of Lehman, the US firm will have to file for bankruptcy protection.
This would deal a severe blow to the global banking industry, which is based on the expectation that the other party will always honour its commitments.
Banks and regulators would have to unwind Lehman's complex deals with and obligations to other banks, which could take weeks or months and cause uncertainty in the whole financial system.
'Difficult decision'
Former Federal Reserve boss Alan Greenspan said the US government faces "very difficult decisions" over Lehman if it cannot secure a rescue deal that does not involve public funds.
"They [will then] have to make a very difficult decision as to whether or not they allow it to liquidate or they support it," he said.
Yet Mr Greenspan said it would be "unsustainable" for the government to bail-out every US bank that got itself into difficulty.
Predicting that Lehman would not be the last to require rescuing, Mr Greenspan added that this would not necessarily pose a problem.
"The ordinary course of financial change has winners and losers," he said.
output
bump
http://www.votenader.org/...
http://www.flickr.com/pho...
All that bubble gum
that they have been stuffing in the cracks of the dam for all these years is being forced out as the cracks in the dam widen and the end result will be similar to the collapse of the Mulholland Dam. Everybody involved in the financial systems of the world is in the valley below that dam. Higher ground means arms, munitions, gold, silver and the means of supplying your own food and water.
Look here at another spout of water coming from that dam -
http://globaleconomicanal...
Greenspan is sane
Worth reading again:
=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=
Join the Team! campaignforliberty.com
WaMu status?
WaMu has been rumored to be dangling by a thread for many weeks now. I noticed this mentioned again in the comments below. Yet, they seem to keep hanging on through all this.
What indications are there about WaMu's potential demise? I know they (among several others) have been having difficulty, but what points to their imminent collapse?
/ not a WaMu investor or customer, just curious
Incidentally, I find this paragraph from this article very telling:
"The U.S. financial system is finding the tectonic plates underneath its foundation are shifting like they have never shifted before," said Peter Kenny, managing director at Knight Equity Markets in Jersey City, New Jersey."It's a new financial world on the verge of a complete reorganization."
In layman's terms......
So, not to sound the alarms or anything but does this trigger the collapse of the dollar? I just saw a headline on CNBC that said "Dollar Sharply Weaker". Should we be stocking our shelves for sure this week? Possible distraction for War too?
Peace
SUMMARY:
SUMMARY: PRIVATE EQUITY WALKS AWAY FROM AIG
- The American International Group is seeking a $40 billion bridge loan from the Federal Reserve, as it faces a potential downgrade from credit ratings agencies that could spell its doom, a person briefed on the matter told the New York Times on Sunday night. The paper reports that JC Flowers, KKR and TPG withdrew their AiG plan. Ratings agencies threatened to downgrade the insurance giant’s credit rating by Monday morning, allowing counterparties to withdrew capital from their contracts with the company. One person close to the firm said that if such an event occurred, A.I.G. would survive for only 48 hours to 72 hours.
"Committed To The Eradication Of Poverty Among Patriots"
"Those Who Strive For Excellence Refuse To Fear Mediocrity; They Eradicate It."
Zero Tolerance For Flamers
AIG loss would be an economic 9/11
I always thought that when THIS 9/11 hits, Ron Paul would be seen as a potential savior by US residents. Time for our move?
Where's the foreign investors?
"Evil flourishes when good men do nothing."
—Edmund Burke
countin their gold medals...
and watchin us squirm.
NEWS WIRE
LEH'S FAILURE: THIS IS NOT A CATHARTIC EVENT; LEHMAN'S DEMISE (WOULD) NOT MAKE THINGS MORE TRANSPARENT OR INCREASE THE APPETITE FOR RISK - BROWN BROTHERS HARRIMAN IN A NOTE TO CLIENTS
- "On the contrary, its failure (would raise) perceptions of risk. The fall of Lehman (would) mean others in the same situation (i.e., not posing significant systemic risk) are increasingly vulnerable."
"Committed To The Eradication Of Poverty Among Patriots"
"Those Who Strive For Excellence Refuse To Fear Mediocrity; They Eradicate It."
Zero Tolerance For Flamers
One interesting aspect
Why no bailout? Because they can't handle it all. Humpty Dumpty sat on the wall (Wall Street) Humpty Dumpty took a great fall. Not all of the Kings ( the international bankers) or the Kings men ( their minions) could put Humpty Dumpty back together again. Hey Revolutionaries please revisit my Grassroots Manifesto. We are witnessing the downfall of the whole NWO plan. It is over. It is an avalanche of their own making falling down upon them. McCain and Barr never wanted Ron Paul. Come on get real !!! What they were and are after are us. Yes, you heard me right, little us. Why? Where RP goes, we go. That strange bonded group that raise record amount of money, that cross all gender, age, education, race, economic, location boundaries, have passion beyond belief. Now why would they want us? We are faceless, nameless but we are growing in numbers every day. They want us to serve them, money, energy and all of that. But mainly they want us to kill our momentum and run into a dead end. Yes, we are poweful. Get used to it. As I write this, I am listening to our freind Ron Paul on MSM for the press release. Who knew this could happen. Seize the moment. It is here.
what press release
with the Good Doctor?
Oh yes,
the press conference of last week on c-span of TV. So, maybe, for me not a TV watcher is this old stuff or current, I don't know but to turn on the TV and hear Dr. Paul--after being neglected for so long--well what can you say--people are going to start listening when their world that they thought was so secure start to unravel.
No, the NWO is just getting started
The NWO folks are not idiots. They new this was comming. The question is where are they taking us. They need the U.S. to be wiped out in WWIII fasion before they finally have the total control they desire IMO.
Here's an interesting analysis
http://www.worldaffairsbr...
I agree with you . . .
The NWO will "rescue us/US" - this is not the beginning, it's more like Phase III
Phase I - Conception
Phase II - create the collapse, threat, fear etc.
Phase III - Implement the transition.
!!!Truth is treason in the EMPIRE OF LIES!!!
Russia has been a perfect member of the NWO so far
From the communist revolution until now -- Just like China.
That's why they are G8 and hold so much power.
If Russia was not NWO the world would shun them just like Iraq and what we are clearly seeing is a horse and pony show instead.
I hear what you are saying
but I have to say they miscalculated that their very own actions would come down around them and be their downfall. They had blinders on. Watch it happen. It will unravel before our eyes.
Russia is not going NWO
and they are in control right now. They have the powerful allies, they have money, they have resources and they are not down with NWO.
$22 million bonus for Lehman's CEO
awarded in March. Lehman has lost 94% of its value in the past year (soon to be 100%) and the CEO gets a $22 million bonus.
http://www.reuters.com/ar...
I'll bet he gets to keep it as the shareholders get hosed.
NatureDoc
I bought their put options some weeks ago and...
the stock kept going up!!!! If by November their stock doesn't tank I'll lose my ass. How can they keep it up that long? Common Lehman start tanking finally for Ron Paul's sake.
Who's next?
"Evil flourishes when good men do nothing."
—Edmund Burke
WAMU
___________
Lisa C.
**This space is available.**
And Merril too is insolvent that is why BOA just merged
http://www.breakthematrix...
Man was born to be free and independent
Let's look at Lehman's relationship to the FED....
Back in Jan 2000 I took a regional manager position for a company called Brown Brothers Harriman (BBH). I managed D.C., Baltimore and Virginia.
At that time I had no idea of the history, but in short it is a Prescott Bush creation.
I don't know what will happen with Lehman. I haven't been actively involved in BBH since 2005.
But here is a flow chart - a family tree of the Federal Reserve - essentially the banks who own the FED.
http://www.save-a-patriot...
Like I said. I don't know what will happen. But I DO know that Lehman is a very large, diversified and desireable business.
My guess is that the 'news' is all about causing a sense of fear, knocking prices down and a stage for the FED to look indespensible. THAT IS ALWAYS THE WAY THEY DO BUSINESS. ALWAYS.
I don't think the FED is going to put money into the deal, at least not directly or publicly.
"Committed To The Eradication Of Poverty Among Patriots"
"Those Who Strive For Excellence Refuse To Fear Mediocrity; They Eradicate It."
Zero Tolerance For Flamers
If you have a 401K with these companies are they at risk?
"Evil flourishes when good men do nothing."
—Edmund Burke
Yes. Lehman employees have already been warned.
___________
Lisa C.
**This space is available.**
Sorry, I meant if those Banks invest my 401k money is it at risk
"Evil flourishes when good men do nothing."
—Edmund Burke
I'm in a Neurberger fund 401k
They are owned by Lehman. I tried to move it tonight.
Seems to me that
"too big to fail" just became "too big to save."
Candid photo of Bob Barr follows
http://media.ebaumsworld....
Why vote for the lesser of two evils when you can go all in?
vote Satan/Paulson '08
lol i thought the same thing
lol i thought the same thing ... well what happened to "too big to fail" .. isn't lehman bigger than bear sterns? lol
CNBC
"Evil flourishes when good men do nothing."
—Edmund Burke
gold and silver are already
gold and silver are already up a whole 2.5 - 3.0% 12 hours before the new york markets open .. it is going to be an ugly morning .. gold looks like it is going to bounce
You saw
That too! WTH is gonna happen tomorrow?
dr. paul warned us all for a
dr. paul warned us all for a long long long time now .. maybe if the collapse comes before the election ... he will gain support for a 3rd party ticket
Created Collapse
No more dollar was technically "their" plan all along.
We're hoping for a true currency backed by something of value (gold/silver)
Money today is basically wire transer of digits from one place to another.
We'll probably get a new plastic card with all our "earned credit" instead of the old pay check. Of corse you can have it direct deposited. Sure, you can use it as your debt card or credit card. But there are still those pesky fees........
Shortly thereafter, you can conviently have a chip inserted in your right hand or maybe your forehead!! Cards are easily lost,stolen,or simply forgotten at home....................
We all know this tech. exists...it's just a matter of time before you, and I accept it. That's the way "they" play the game. Years pass and it becomes the norm..
This is only the beginning of the emerging NWO...It is now on Fact Track
As I have been saying, the
As I have been saying, the Fiat Money System is coming to an end and it will drag everything connected to that money down with it, including this government and society as we know it.
Finally, even the mainline economist are beginning to say the same thing:
“The economy has reached its debt limit and is entering its insolvency phase. We are not in a cycle but the end of an era. The old world of debt pyramiding to a fraudulent degree cannot be restored.” Michael Hudson, former economist for JP Morgan Chase & Co.
“Men do not willingly read unpalatable truths of themselves. The people like those best who fool them most by pandering to their vices and flattering their foibles”—Admiral Raphael Semmes.
When that happens, I hope I have enough CASH to pay my bills!
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
greed.. what is cash?? what
greed.. what is cash?? what don't you understand that that 10 or 20 dollar bill will only be good for starting fires in the firepit inside your grass hut or for wiping your butt!
If you are using 10 or 20 dollar bills to start fires, I
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
can exchange that with old newspapers for you. I don't read newspapers anyway.
SIERRA, he's been beating that dead horse for months.
"What about my bills?"
People other than you (the neo-con) and me (the Nazi) have tried to help him. Ever notice how he and maersksea post alike?
___________
Lisa C.
**This space is available.**
To be fair to Greed,
He does have a better grasp of English.
Oh, and to maersksea, your apology is waiting for you up Jon Nadler's ass. Why don't you crawl back up there and get it?
Candid photo of Bob Barr follows
http://media.ebaumsworld....
Why vote for the lesser of two evils when you can go all in?
vote Satan/Paulson '08
Lisa, he has been totally
Lisa,
he has been totally brainwashed by the keynsian crowd.. either his highschool teachers in his economics 101 class or his communist professors in college.. either way he just can't shake the thought that gold and silver are real money! the Fed wil either raise rates to attract people to make deposits in the banks in my opinion highly unlikely because this will kill all business activitiy that remains! or they will lower to help the banks which I believe will happen! bernanke is a "great" student of the great depression. he said they made the mistake by not lowering rates and instead raising rates! so what do you think that numbnutted moron will do.. actually he's the poor SOB trying to cleanup the mess he inherited from that idiotic moron greenspan! this thing just keep getting better and better.. Ron Paul has called it.. stagflation going into an INFLATIONARY DEPRESSION!
He read a book once SIERRA
written by some crazy Aussie socialist who is as convoluted in his writing-style as he is.
I actually feel sorry for him.
___________
Lisa C.
**This space is available.**
Banks Discuss Forming Fund to Invest in Troubled Finance Firms
Banks Discuss Forming Fund to Invest in Troubled Finance Firms
By Christine Harper and Yalman Onaran
Sept. 14 (Bloomberg) -- A group of banks is negotiating a fund to lend to troubled financial firms after a sell-off last week engulfed companies from Lehman Brothers Holdings Inc. to American International Group Inc., three people briefed on the talks said.
The Federal Reserve is also considering expanding its direct lending program to widen the collateral it accepts, one person said on condition of anonymity. The goal of the fund that may be formed by the consortium of banks would be aimed at shoring up investor confidence, the person said.
http://www.bloomberg.com/...
Screw the public
Save the banks. To hell with the citizens. Save the banks. To hell with this nation. Save the banks.
We are royally fucked.
Merrill Said to Discuss Merger With Bank of America
Merrill Said to Discuss Merger With Bank of America (Update3)
By Jonathan Keehner and Bradley Keoun
Sept. 14 (Bloomberg) -- Merrill Lynch & Co. is in merger talks with Bank of America Corp. after shares of the third- biggest U.S. securities firm fell by more than 35 percent last week and smaller rival Lehman Brothers Holdings Inc. neared bankruptcy, people with knowledge of the negotiations said.
Discussions about a potential transaction were proceeding after Bank of America, the biggest U.S. consumer bank, and Barclays Plc, the U.K.'s third-largest lender, abandoned talks to buy Lehman earlier today.
http://www.bloomberg.com/...
This will be DEFLATIONARY, in my opinion.
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
Insiders cutting deals
Wall Street was open today (Sunday) for limiting trading for certain groups to dump Lehman stock before the markets open tomorrow. Isn't that insider trading?
Got a link?
"Evil flourishes when good men do nothing."
—Edmund Burke
Yep, Right Here Wall St Open Sunday For Insiders
http://news.google.com/ne...
Delegates Revolt For Freedom !!!