January 30, 2008

Get ready for the Great Bond Insurer Taxpayer Bailout of 2008 - $130 Billion needed to bail out the corrupt pigs


This.

Is.

Sick.

The fact that private companies could lose this much money, with such obvious Ponzi Scheme business practices, is staggering.

And when Peter can't pay Paul, what do you do?

You get the taxpayers to bail Peter out.

This story will be big. The first of many "too big to fail" stories to come. And you think $130 billion is a lot?

Just wait until Fannie and Freddie. That bailout starts with a "T".


And just one question: WHERE THE HELL WERE THE AUDITORS (AGAIN)?

Jan. 29 (Bloomberg) -- Bond insurers led by MBIA Inc. and Ambac Financial Group Inc. may lose their top AAA ratings before they benefit from any rescue plan.

The bond insurance industry stands to lose $41 billion on securities linked to subprime and other mortgages, according to JPMorgan Chase & Co. analysts.

Bond insurers' total losses may be as high as $65 billion, according to Independent Strategy, a London-based financial consulting firm set up in 1994 by David Roche, a former head of research at Morgan Stanley. The estimate assumes a loss rate of 18 to 22 percent on $250 billion of credit derivatives linked to U.S. property, plus $90 billion of insurance on foreign real estate.

The insurers will need about $130 billion to cover the losses and to recapitalize, and the cash will have to come from taxpayers, Independent Strategy said in a statement today.

17 comments:

Anonymous said...

$130 billion?

That's not accurate. Maybe so for sub-prime alone. Don't forget all of the Alt-A & other yet to reset...

Anonymous said...

WE ARE ALL SO F@CKED!

Marky Mark said...

$150 Trillion in derivatives tied to these bond insurers...

Marky Mark

Tangelo Mozilo said...

The worst thing is, taxpayers (fka citizens) will stand for the bailout because they are so damned stupid.

Anonymous said...

Warren Buffett wants to take over the good part of the business after the incompetent insurers go bankrupt - he won't be too happy that the government will be bailing out the incompetents with the unlimited funds available from the taxpayer. This will allow the incompetents to remain around to be mess up even more later on.

A Senator was being interviewed on PBS last night. He went on and on about how it is a good thing to give Americans pizza money, and to give the mortgage businesses lots and lots of money. Then he ended by saying that the free market will fix everything. Said it with a straight face. Don't know if he was trying to be funny, ironic, cynical or if he was just clueless.

Anonymous said...

http://benbittrolff.blogspot.com
/2008/01/
really-scary-fed-charts
-why-bernanke.html

Andrew Hac said...

Quote:
#####
Anonymous said...

WE ARE ALL SO F@CKED!

January 30, 2008 1:51 PM
#####

No, you are all NOT ONLY so fu@cked ! You all are also being roasted slowly skewered from mouth to ass on a chinese bamboo stick over a bed of hot white charcoal. And that is you, your family, your employer, and the Americano economy.

This land of the Snapper Turtle is awakening to the book of "Revelation". The day of Armageddon is coming to judge all of you for your immoral, corrupt, greedy, selfish, pompous-ass, wicked way of life. And this housing bubble is the black-and-white proof of your sins.

And don't forget you all ass-head voted for Dubya Shrub 2 terms in a row. That explains pretty much the overall mentality of the Americano nation and its pitiful citizens.

Anonymous said...

I am an auditor and let me tell you something - if you try to shine the light on problems of this size, they will dig a hole and put you in it.

Anonymous said...

Andrew Hac said...

Quote:
#####
Anonymous said...

WE ARE ALL SO F@CKED!

....This land of the Snapper Turtle is awakening to the book of "Revelation". The day of Armageddon is coming to judge all of you for your immoral, corrupt, greedy, selfish, pompous-ass, wicked way of life. And this housing bubble is the black-and-white proof of your sins.

Geez dude will they take my 50" TV?

Anonymous said...

Anonymous said...

I am an auditor and let me tell you something - if you try to shine the light on problems of this size, they will dig a hole and put you in it. January 30, 2008 4:22 PM

It has to be really depressing to know this and not be able to tell a soul about it, unless of course you are one of those who profit greatly from the dark, dirty secrets.

I feel more and more lately that our country has become the 24 hour version of the Sopranos.

Anonymous said...

I bet Bush just can't wait to leave the WH. I wonder if Dick and he could abdicate early??

decaffeinated said...

I bet Bush just can't wait to leave the WH. I wonder if Dick and he could abdicate early??

You presume that Bush:

a) is sober, and

b) has enough functioning brain cells left to grok that the financial markets are teetering on the precipice of a nasty recession.

I presume that in Bush's world, the sky is always blue and the coke is never cut with baby powder.

Anonymous said...

HEY FBI,aren't you going to investigate these bond insurer crooks, too?

You FBI agents are taxpayers too, you know, and these crooks are killing your paycheck that's paid in sinking dollar...last time I checked.

If you FBI agents let these crooks get away with all these Ponzi Schemes, your retirement pensions won't be worth much and chances are that your kids will be homeless.

TIME TO CLEAN THE HOUSE!!!

Anonymous said...

This land of the Snapper Turtle is awakening to the book of "Revelation". The day of Armageddon is coming to judge all of you for your immoral, corrupt, greedy, selfish, pompous-ass, wicked way of life. And this housing bubble is the black-and-white proof of your sins.

I'm confused, sometimes Andrew Hac sounds like one of those Muslim freaks, other times he sounds just like a Jesus freak. Which one are you? And who in the hell eats grilled turtles nowadays?

Anonymous said...

Two words from the financial elites at the top:

THANKS SUCKERS !!!!

Oh yeah, and have a nice day!

Anonymous said...

Let Saudi Arabia and China take over the worlds cop and welfare agency.

Enjoy assholes~

Anonymous said...

Can the F.B.I. investigate the Federal Reserve Central Bankers?