This whole "Super-SIV" is absolutely hilarious. What an obvious attempt by the f*cked banks to sweep the problem under the rug, mainly so that they can keep making their bonuses today, and let the future be damned.
The fact that Goldman Sachs head (oops, I mean current US Treasury Secretary) Hank Paulson is coordinating this effort makes the stench factor go off the charts. And they're not fooling anyone. This is like getting credit card bills in the mail and throwing them away.
Two words folks: Ponzi Scheme.
Citigroup Inc., Bank of America Corp. and JPMorgan Chase & Co., the three largest U.S. banks, reached an agreement on the structure of an $80 billion fund to help unfreeze the market for short-term debt, a person familiar with the talks said yesterday.
Under the original plan brokered by Treasury Secretary Henry Paulson, the fund would buy some of the $320 billion in assets held by so-called structured-investment vehicles, known as SIVs.
``The whole thing is flawed,'' said Graham Fisher & Co. managing director Josh Rosner, whose New York-based firm analyzes structured finance and real estate investments. ``As opposed to recognizing losses, we're trying to roll those losses into the future, regardless of the sanity or safety and soundness of doing that.''