UPDATE - IMPLODE-O-METER SCOOP IS NOW CONFIRMED BY THIS FDIC URGENT RELEASE:
IndyMac Bank, F.S.B., Pasadena, CA, was closed today by the Office of Thrift Supervision. The Federal Deposit Insurance Corporation (FDIC) was named conservator.
And any fool stupid enough to have more than the FDIC limits with Michael Perry and his gang of mortgage fraudsters, like his shareholders just lost everything
It's all coming apart now HP'ers.
All of it.
Quickly.
And HousingPANIC calls for the immediate arrest of IndyMac CEO Michael Perry for mortgage and banking fraud, securities fraud and Sarbanes-Oxley violations.
IndyMac under the control of FDIC
"The FDIC is in charge" was the verbal announcement ringing through the halls of IndyMac's Pasadena offices. "Everyone show up for work on Monday."
According to this source, $190 million was pulled in yesterday's run, and $100 million today.
Mr. Perry left for a haircut at 4:00 pm.
79 comments:
Ruh roh!
"The FDIC is in charge" was the verbal announcement ringing through the halls of IndyMac's Pasadena offices. "Everyone show up for work on Monday."
Just more of that Socialism-for-the-rich that those upper class folks so claim to hate.
I can't believe this is really happening!
These scum knew that all day but saved that piece of news till after the market closed!
At approx. 2 pm we get the rumors that The Helicopter was going to open the discount window to Fanny and Freddie, crushing shorts.
We then hear that the rumor was false after the closing bell!!!
Tell the truth or close the markets... or... Where are the ropes?!?
>And any fool stupid enough to have more than the FDIC limits with Michael Perry...
Oh well. They should have read Housing Panic.
In all seriousness:
Is this "grab a gun" time to panic?
"What an amazing news cycle" time to watch?
Is this going to be "dang...that sucked," or "Ahhhhhhhhhhhhhh!!!!!!!!"
Because I'm getting the feeling that we're going to look more like Zimbabwe than Switzerland in a year.
LEH got hit pretty hard today too. Covered some puts with 300% and 700% gains. Told myself not to get too greedy, but I still hold short positions.
Hey Kieth
Isn't it about time to you republish that "where are we now" graph? I think Fear is leaving the building now :)
Wotten
We are in :fear:
the sheeple will only notice tomorrow or Monday or Tuesday or
FDIC press release:
http://tinyurl.com/64sk8g
Hey the guy needed a haircut leave him alone!
News (finally) hitting the MSM:
IndyMac Seized by U.S. Regulators Amid Cash Crunch (Update1)
By Ari Levy and David Mildenberg
July 11 (Bloomberg) -- IndyMac Bancorp Inc., the second- biggest independent U.S. mortgage company in 2007, was seized by federal regulators after it failed to raise cash amid the worst housing crisis since the Great Depression.
The Federal Deposit Insurance Corp. will run a successor institution, IndyMac Federal Bank, starting next week, the Office of Thrift Supervision said in an e-mail today. Customers will have access to funds this weekend via automated teller machines.
The Pasadena, California-based bank specialized in so-called Alt-A mortgages, which didn't require borrowers to provide documentation on their incomes. Its home state has been among the hardest hit by foreclosures.
``Given their focus on Alt-A and a heavy concentration in California, they would have suffered meaningful losses in almost any scenario,'' Brian Horey, president of Aurelian Management LLC in New York, said before the seizure was announced. Aurelian is short-selling IndyMac shares to gain from declines.
Had IndyMac ``applied some common sense and changed their approach to underwriting as the housing market peaked, they might have lived to see the next cycle,'' Horey said
http://www.bloomberg.com/apps/news?pid=20601087&sid=afqgUyWiMPuY&refer=home
My deathpool - chime in:
1) First Federal Financial
2) Washington Mutual
3) Wells Fargo
4) Countrywide now known as Bank of America
5) Fannie
6) Freddie
7) The US government
The first two are no-brainers, they'll be done by next month. The rest are "too big to fail"
Mark Mozilo, Angelo's son, joined IndyMac in September 1996 as senior vice president, wholesale loan production for the B2B division. Mark was subsequently promoted to Subprime Brand Management for the Mortgage Bank in 2001. In 2002 Mark assumed the position of Director of Sales and Marketing for the Business to Realtor Division. Mark's responsibilities include overseeing all aspects of sales and marketing including loan production, market penetration, hiring, training and managing over 100 sales and marketing employees.
In 2004, Mr. Mozilo was promoted to President of VIP Lending and EVP of IndyMac Bank. Mark ran the retail unit for the employees and Affinity Relationships of IndyMac Bank until 2007. Recently, Mark was promoted to President of GrupoMac, the newly launched Hispanic Wholesale Division. GrupoMac will provide mortgage brokers and emerging bankers with Indymac's competitive suite of mortgage products, which will be tailored to the growing U.S. Spanish speaking population and supported by a staff of bilingual sales and operations specialists.
I think we are just now, finally entering fear although I still see plenty of stubborn denial.
It's nice this happened on a Friday night after market close, eh?
From the FDIC:
Principal and interest on insured accounts, through July 11, 2008, are fully insured by the FDIC, up to the insurance limit of $100,000. You will receive full payment for your insured account. Certain entitlements and different types of accounts can be insured for more than the $100,000 limit. IRA funds are insured separately from other types of accounts, up to a $250,000 limit.
All accounts that exceed the $100,000 insurance limit, and/or all accounts that appear to be related and exceed this limit, are reviewed by the FDIC to determine their ownership and insurance coverage. If you think you might have uninsured deposits you should call the FDIC Call Center to arrange for a telephone interview with a Claims Agent at 866-806-5919.
http://www.fdic.gov/bank/individual/failed/IndyMac.html
This is my signal to buy financials. Seriously.
I guess the Fall intern program is canceled:
Why Indymac
At Indymac Bank, we're all about performance. Working here is a great opportunity, but it isn't for everyone. We're a demanding, fast-paced, meritocracy where what you have helped achieved, and what you have helped Indymac to achieve, is what matters most. With over 8,000 employees across the country, our entrepreneurial spirit ensures that nothing is ever good enough, there is always work to be done, and the hardest workers and greatest achievers are the people who rise to the top. Indymac isn't for everyone, but if you want to work hard, add value every day, and be rewarded based on your merits, then Indymac just may be for you.
Indymac's success is built upon our six core values. Lots of companies have mission and value statements, of course, but Indymac's aren't lofty goals we hope to achieve someday. Rather, Indymac's values define our culture and serve as the roadmap to success in your career here. If you're serious about a career at Indymac, you need to understand our culture and values. What are our Everyday Values?
Since its incorporation, Indymac has grown to nearly $30 billion in assets and a market cap of nearly $3 billion. Indymac is always focused on the bottom line. We are committed to growing—becoming bigger, becoming better, and becoming more efficient and effective every day.
With a strong focus on building customer relationships and a valuable consumer franchise, Indymac is committed to becoming a top six mortgage lender in the U.S. by 2010, while maintaining annualized earnings per share growth in excess of 15 percent. The company is dedicated to continually raising expectations and conducting itself with the highest level of ethics.
http://www.indymacbank.com/page.asp?psection=imb\career\default
From Sacramento Bee Real Estate Blog 07/07/08
http://tinyurl.com/6yugm7
"But his success caught the eye of Countrywide Financial chief Angelo Mozilo. Mozilo in the 1990s recruited Perry to Southern California where the two started IndyMac. (Indeed, in his letter to shareholders today, Perry recalls building up IndyMac from four employees in 1993)."
You forgot DSL and BKUNA
From the press release.
"At the time of closing, IndyMac Bank, F.S.B. had about $1 billion of potentially uninsured deposits held by approximately 10,000 depositors. The FDIC will begin contacting customers with uninsured deposits to arrange an appointment with an FDIC claims agent by Monday. Customers can contact the FDIC for an appointment using the toll-free number above. The FDIC will pay uninsured depositors an advance dividend equal to 50 percent of the uninsured amount."
When you are having a bad day, keep in mind, you could be one of those 10000 depositors that are going to get that phone call that your 300k retirement nest egg, is now 100k and they are anable to pay claims over that - it's the law.
Meanwhile, Mr. Perry's golden parachute will be in a swiss bank account. I wonder if was one of that 10000? I strongly doubt it, however he did purchase a lot of Indymac stock a few months ago....
BTW, does it not suprise anyone that a Mozillo was involved with these guys. Seriously, if you get a bank statement ever that says that one of the directors is a Mozillo, that is your clue to go straight to the teller windows and take every last cent out.
"GrupoMac will provide mortgage brokers and emerging bankers with Indymac's competitive suite of mortgage products, which will be tailored to the growing U.S. Spanish speaking population and supported by a staff of bilingual sales and operations specialists."
If this did not scream "short the stock" I don't know what could have. That and the trademark Mozillo name. As the staples commercials put it "that was easy".
"...if you want to work hard, add value every day, and be rewarded based on your merits..."
Pure. Comedy. GOLD.
Attention, attention! Calling all financial retards to jump in the rigged and rotten market just to get fleeced a few days later. Attention!
DOW = -128 pts
NAS = -16% YTD
S&P = -16% YTD
AAPL = -2.29%
Bwahahahaha...how's that "buying on dips" strategy doing for you, geniuses? Enjoy your retirement in poverty, "stock pickers".
DOPES
DOLTS
Okay so if I have deposits at a bank on your list where should I move them? My Mattress? Any suggestions. Because even if you are federally insured, the feds aren't going to immediately make your deposits assessable. So even if I only have 10 grand in the bank well under the cap, won't the take over delay or deny my access for some period of time?
I feel like wearing one of those "THE END IS NEAR" sandwich boards and parading down my hometown street.
Keith:
Wells might not play. (They are on my dead list too...but probably a bad pick.)
Why no Wachovia? Why no Downey?
And...if you're going to include the US Gov at #7, why no FED at #6?
To add one more to your list:
#8. The American people.
meh the feds will bail everyone out nothing to see here folks
So Paulson was lying with a straight face all day, telling everyone that everything was "fine", while he knew that IndyMac was about to close.
Are you going to tell me that Paulson didn't know ALL DAY that banking regulators were going to close the largest regulated thrift in the country?
Let me guess, the market will rally on Monday like nothing happened. Bunch of crooks!
IT'S ALL MANIPULATED AND YOU'RE NOT AN INVESTOR, YOU'RE JUST A PUPPET.
Hey, congratulations where it is due to those who picked Indymac as the first of those majors to either go BK or be brought under government control. My hat is off to you.
Can Fannie and Freddie be far behind?
What's IndyMac? Is that a new car race? What's on Idol?
I just came over from another blog where a guy named Greg Swann said that you guys are a bunch of delusional doomsday nutjobs.
Is that true?
These scum knew that all day but saved that piece of news till after the market closed!
Like Denzel would say on Training Day: "Sonny, they knew that all week".
They picked Friday after market close so the "buying on dips" zombies won't "notice" it.
7/11 a date that will live in HP infamy. And away we go. Hold on.
Was it a $400 haircut, like the "sooo concerned-about the poor" Edwards?
Hey Keith, is it time to do our I told you so dance?
This people have destroyed more than a ton of wealth just to feed their greed. They have destroyed the trust in US financial institutions, and more in general in the USA.
All this under republican conservative watch.
I am very curious to see how long is going to take for some loser to start blame the 'liberals' for this debacle.
you called it keith! batten down the hatches...citi, boa, wamu...the day of reckoning is coming for them too!
Kindleberger was soooooo right.
Should be a busy weekend. One down, two and maybe three more to go.
Wachovia
SunTrust
The trouble is even a solvent bank can't handle a run.
I kne it was going to happen, but it's surreal when it happens.
They had me go through 6 hours of ethics and rules training when I was a contractor at Indymac. When I was taking it, I thought shouldn't this test be taken by the executives rather than the cubicle workers?Man that place was filled with politics and egos.
Well, since the SP500 is hovering right above an important technical support level (which it bounced off intra-day), this no doubt means "look out below!" on opening of market on Monday morning! There's no telling how low the market can plummet.
This is one reason I sell all holdings at the end of the day: it would really suck to be locked into UYG right now (although owning SKF would be nice)!
You should ignore the doomsayers. Watch the Remax commercial. It's a great time to buy a house!
Funny, as I just read a story in the MSM paper about how no bank (investment or otherwise) borrowed any $$$ from the discount window during the week that ended 03 Jul 08. I guess the CEO of IndyMac was too busy getting his haircut to make it over to the discount window, huh?
BTW, the FDIC apparently has $53 Bil in it's coffers, and this failure alone will cost them about $5 Bil. You have to wonder: what happens if the FDIC goes belly-up?
Oh, never mind, I know the answer: the Fed will just print more $$$ (at least, enter dollars into a computer, as Fed money is now electronic, anyway).
Welcome to the 2008 U.S. version of the Weimar Republic, where run-away inflation rules the day!
IndyMac stock was selling for almost $30/share a year ago, now it's worthless. Ha Ha Ha! Stupid shareholders allowed the bungling management to run their company into the ground. Serves them right!
WE'RE FROM THE GOVERNMENT, AND WE'RE HERE TO HELP!
DOPES!!!
Michael W Perry
CEO/Chairman of the Board/Director at
Indymac Bancorp, Incorporated
Pasadena, California
45 years old
Mr. Perry, age 45, is Chairman of the Board of Directors and Chief Executive Officer of Indymac Bancorp and Indymac Bank. Mr. Perry assumed responsibility for the day-to-day operations of Indymac in 1993. Under his leadership, Indymac has grown from four employees and total assets of $714 million to over 7,500 employees and total assets of over $32 billion as of December 31, 2007. Based on asset size, Indymac is the 7th largest savings and loan in the nation and, with $77 billion in mortgage loan production in 2007, Indymac is the 2nd largest independent mortgage lender.
Prior to joining Indymac in 1993, Mr. Perry served as Senior Executive Vice President in charge of the Mortgage Banking Division of Commerce Security Bank, a state chartered bank based in Sacramento, California. Mr. Perry has over 20 years of business experience with mortgage banking companies, financial institutions, and real estate firms, including four years as an auditor with KPMG Peat Marwick.
In December 2007, Mr. Perry was named as a new member of the Federal Reserve Board's Thrift Institutions Advisory Council ("TIAC") for a two-year term beginning January 2008. TIAC is an advisory group made up of twelve representatives from thrift institutions. Th
Cash Compensation (FY December 2007)
Salary $1,000,000
Stock Options value exercised 491,654 $13,441,149
Sucka's!
Actually, contrary to your statement that uninsured depositors have lost everything, the FDIC has declared a 50% dividend for them so at least they get 50% on their former money. The fate of brokered deposits (IndyMac had/has as lot of these) is governed by a separate procedure. The bank was closed at 3:00 pm PDT in Pasadena, CA. The FDIC statement with full details is up at:
http://www.fdic.gov/bank/individual/failed/IndyMac.html
Check this out.
From April, 2007:
http://tinyurl.com/6xohap
IndyMac: subprime contagion concern overblown
By Alistair Barr, MarketWatch
Last update: 4:52 p.m. EDT March 29, 2007
SAN FRANCISCO (MarketWatch) -- IndyMac Bancorp said on Thursday that concerns about subprime mortgage problems spreading into so-called Alt-A home loans are "overblown."
...
THANK YOU wotenwascal!
I was laughing for about 5 minutes when I saw your "Ruh roh!". I just kept imagining all of those millionaires acting like Scooby-Doo.
I'm thinking that's EXACTLY what helicopter-ben, bushwack, darth-cheney, and the PNACrazy 88 will say when freddie falls on his fannie.
FED - The gift that keeps on giving
RE: "I just came over from another blog where a guy named Greg Swann said that you guys are a bunch of delusional doomsday nutjobs."
Poor old Swanny's not doing so hot these days. Remember back when douchebag thought he would be making $4,000 a day?
This year he couldn't even afford to take Mrs. Bloodhound out for their anniversary.
Must be hard to make money when you run out of suckers and your business depends on them.
let's remember how far we've come.
Back in 2005 and 2006, we were fighting against the propaganda of David Lierah and permabull realtors. We were the tin-foil conspiracy theorists, the Bush haters, the America haters, bitter renters who would be permanently left behind.
Then in 2007, Paulson said the subprime mess was all completely "contained".
This year, we have the Federal reserve taking extraordinary measures, a huge investment bank going under, Countrywide drawn and quartered, IndyMac in receivership, oil tripled nearly at $150, US dollar far below what the "pessimistic" lows were,
and now there is credible worry about Fannie and Freddie going bankrupt.
So, take relative ratio of 2008 versus 2006. Now extrapolate 2 years forward.
How bad could it be? It could be really really bad. Did anybody in 2005 except tinfoil pessimists predict it would be as bad as it is today?
So, what will 2010 look like?
Saudi Arabia has refused to accept US$ for oil.
Crude is e$150/barrel, which is $400USD.
FDIC is bankrupt. Federal insurance deposit is abrogated over $15,000.
US applies capital controls, transferring more than $5000 per month out of the US banks and USD requires a license; failure to have a license is a Federal felony. Of course all powerful people get expedited licenses.
US troops helicopter away from rooftops in defeat from invading Pakistani/Taliban army in Kabul, after Islamicist takeover in PK.
Rush Limbaugh still blames everything on evil liberals.
Then the A-bomb goes off in the Houston oil shipping channel.
How long before we hear "Soylent Green is People" echoing down the halls.
Keith,Someone please how long until the wheels come completely off this wagon? I know were @ a holy shit moment but how long till the put your head twixt your legs and kiss yo sweet arse goodbye. This is REALLY SERIOUS! (isn't it?).
Actually, contrary to your statement that uninsured depositors have lost everything, the FDIC has declared a 50% dividend for them so at least they get 50% on their former money.
Well, well, well: HOW magnanimous, HOW generous the FDIC is, covering the "uninsured" for 50% using taxpayer's monies! Uh, does anyone know what the term "uninsured" actually MEANS? Freaking bleeding heart liberals apparently don't.... We wouldn't want to start a PANIC, after all!
Where exactly does the FDIC get off, thinking they can re-write rules to help bail out idiots who DIDN'T BOTHER TO CHECK if they were covered?
And what happens when Mr. Nice Guy's (AKA the FDIC) well of money runs dry, and the FDIC is bankrupt from all of the claims when the the landslide of failures continues?
Oh, that's right: they'll just keep pumping out MORE fake money, since no one in our society EVER deserves to lose money, EVEN IF they're a complete fool who deserves to be parted from their money. No one can fail, right? I mean, that's a very BAD thing, and it might cause an owwie to the loser's psyche.
Excuse me, Mr. FDIC, sir, but what exactly are you going to do when the next bank run commences, and the crisis landslides? Will there be any money left for the depositors in banks which later fail, or will all of those "uninsured" IndyMac depositors have already emptied the coffers? Just pray that your bank is going to be one of the first to go, IF it's going to fail!
Bush is ideal as Herbert Hoover in the 2008 version of "Grapes of Wrath", isn't he?
http://tinyurl.com/65vxjl
Bailout passes senate 63-5. Was your senator one of the 32% who didn't bother to show up?? LMAO.
i had been holding, but not buying gold for some time now, i think its time to buy again. How can the USD survive all this?
I Want You Back
When I had you to myself
I didn't want you around
Those pretty faces always made you stand out in a crowd
But someone picked you from the bunch
one glance was all it took
Now it's much too late for me to take a second look
CHORUS:
Oh baby give me one more chance
(show you that I love you)
Won't you please let me
(back in your heart)
Oh darlin' I was blind to let you go
(let you go baby)
But now since I see you in his arms
(I want you back)
Yes I do now
(I want you back)
Ooh ooh baby
(I want you back)
Ya ya ya ya
(I want you back)
Na na na na
Tryin' to live without your love
Is one long sleepless night
Let me show you girl
That I know wrong from right
Every street you walk on
I leave tearstains on the ground
Following the girl
I didn't even want around
Let me tell you now
CHORUS:
OK, think hard, we've seen this movie before. We saw it in end-of-the-world Jan. We saw it in end-of-bear-stearns Mar. Now it's July and they're doing it again.
Learn from their manipulation. Monday will tank. The MSM will get their much-anticipated "capitulation". In 2 days the market will bounce back to Fri levels and rally. They do this EVERY time. The fed will pull a rabbit out of a hat and squeeze the hell out of the shorts while the MSM says "worst is over" and the brokers start upgrading eachother in a big circle jerk.
The real short isn't now. The real short is in 2-10 weeks when the bogus rally evaporates.
Don't buy the 30+ VIX puts on Mon. Wait for 300-400pts down and buy Aug or Sep calls and sell on the rally. Or, if you don't like being long (admittedly risky) then wait for the engineered rally and start shorting (4+ months out) after we start going above 11500.
Just my 2c. But seriously, we were just here 4 months ago. They'll do it again.
Oh ya, also, every time this stuff happens they do it on a weekend. It's so they can fleece Europe and Asia on Fri and again on Monday by buying their crash before they let the DJIA rocket up after EU closes.
Seriously, every time. Don't short DJIA down 400 on Mon. Wait, and short it later. It'll go below Monday's low for sure before the year is out.
I'm thinking of starting a WaMu deathwatch
Any other major bank more likely to fail than them? I don't think so
On HSBC - it's their UK exposure that has to have them very, very, very worried. The UK housing crash will make the US look like childsplay
Keefer,
Are you sure it wasn't the stock saying it's going out for a haircut at 4pm.... ha ha ha.
If the US gov't goes under do you think the IMF will be around to bail them out with exploitive loans like they did with the SE Asian countries back in 1997?
-Mike
Folks..
The big one is only around the corner.
We can smell it in the air.
The faksters across the pond are about to find out that things are indeed different in Europe…
The massive economical crash in Europe, will make ours look like a ‘walk in the park’…
Take a good look at the fundamentals, very low natural resources plus very little production of tangible / valuable goods and services, make Europe ripe for the perfect storm.
Keefer, you missed
1)HSBC
2)Deuthce bank
3)UBS
4)Credit Suisse
5)The EU
Check out this great FDIC video
http://www.fdic.gov/deposit/deposits/video/index.html
Here's a list of bigger banks that are likely done for:
But while the number of large institutions with elevated Texas ratios in the present day is lower than in the early 1990s, some of those that did make the list are quite large: Downey Financial Corp. unit Downey Savings & Loan Association clocks in at $13.13 billion in assets, AmTrust Financial Corp. unit AmTrust Bank at $17.30 billion, Flagstar Bancorp Inc. unit Flagstar Bank FSB at $15.90 billion and IndyMac Bancorp Inc. unit IndyMac Bank FSB at $32.01 billion.
http://www.snlcenter.com/bandt.asp
Keith,
You have a good point about HSBC's exposure to the UK and damage there. Will this have an impact on HSBC's banks in other countries such as Singapore and Hong Kong? HSBC is a very big institution in these city-states!
I appreciate your take on this as inputs from other informed HPers
!
-Mike
I love how Joe, the troll from Squawk Box, spent the entire morning trying to sugarcoat the pathetic GE (his boss) earnings. GE is selling everything in sight to fake good earnings while Joe keeps trolling like crazy to pump his cancer GE egg nest.
7/11 a date that will live in HP infamy. And away we go. Hold on.
You do realize that 7-Eleven gives away Slurpees on this day, every year, free of charge? I had a couple today...
Learn from their manipulation. Monday will tank. The MSM will get their much-anticipated "capitulation".
No way, Monday will rally. Watch around 2 PM when the crooks will start pumping.
Agent 99 said...
7/11 a date that will live in HP infamy. And away we go. Hold on.
====
Very appropriate since most of you bitter renting types work at 7/11.
You do realize that 7-Eleven gives away Slurpees on this day, every year, free of charge? I had a couple today...
I wish I'd known that...a little brain freeze on a hot day!
Oh man I had to LOL when I finally saw the news about IndyMac on the MSM on TV.
I mean here it is that on HP and other sites IndyMac has been on death watch for a year or more, Talk of FDIC take over started last Friday and was pretty well known on the blogs and pretty much confirmed as of today.
I am watching CNBC last night because I needed some laughs and it's like watching circus monkies. At the start of Kudlow they cut in with a CNBC "News Alert":
IndyMac bank had been taken over by the FDIC and that it was the 2nd largest bank failure in U.S. history and that the FDIC blamed comments from Rep. Schumer for a run on the bank last week that caused the FDIC to take over.
WTF? First of all... 2nd largest bank failure ever and they give it 10 seconds and second.... Blaming Schumer?? for crashing a bank with his mouth?? RIGGGGHHHHTTTT!!!
Same thing on CNN an hour later right at the end of "Election Center". They did a 10 second blurb about IndyMac, only they called it the largest ever failure and also blamed Schumer.
CNN spent 10X more time on a story about a Great White Shark closing the beaches on Martha's Vineyard right after after the IndyMac Blurb.
I don't know who will have it worse, The Sheeple that never saw all of this coming or HPer's because we've known all this time and now we have to go through it too.
Someone please confirm, but I think what happens next is that the Feds start winding IndyMac down - they sell off their assets to pay off the bondholders and savers with what's left (the common stock gets zero)
So, I wonder how long it will take to sell the cancer toxic loans that IndyMac stubbornly didn't sell of themselves - and what % of face they'll get. 10%?
Here comes the true mark to market
Anyone remember the quote from Perry that he refused to sell these loans because nobody would pay what they were 'worth'?
Unreal.
Keith, the news releases said FDIC would prefer to sell Indy "whole", and if that happened (at a huge discount of course) the mark to market of toxic bonds wouldn't necessarily have to happen. Of course, what dolt would step in and buy Indy? Let's see who's doltish enough to stand up to the plate. Perhaps they are the next short. BoA???
Bush bailed out the Military Industrial Complex first in 2002 and now the Finance Government Complex(Bear Sterns,but still ongoing). Who's next the Automotive Indutrial Complex as Ford/GM sales plummet? Does America have any real industry left that does not operate based on bubble economics?
Keith,
Can you post any related links to the level of bad mortgage exposure HSBC has in the UK?
-Jeff
Bank failures in Canada...unheard of. Whats wrong you people down there? LMAO!
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