Comments on: The Fire Sales Begin: Lehman Unloading $852 Million of LBO Loans (Updated) http://www.nakedcapitalism.com/2008/09/fire-sales-begin-lehman-unloading-852.html Sun, 22 Nov 2009 19:08:53 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: Anonymous http://www.nakedcapitalism.com/2008/09/fire-sales-begin-lehman-unloading-852.html#comment-15503 Anonymous Tue, 16 Sep 2008 12:10:00 +0000 http://www.nakedcapitalism.com/2008/09/the-fire-sales-begin-lehman-unloading-852-million-of-lbo-loans-updated/#comment-15503 '...they are forced sellers at well below intrinsic value.'<br/><br/>Intrinsic value? Baloney! The value of debt offerings is whatever they will fetch on the market right now. Anyone believing that these instruments have 'intrinsic value' is drinking their own cool-ade.<br/><br/>River ‘…they are forced sellers at well below intrinsic value.’

Intrinsic value? Baloney! The value of debt offerings is whatever they will fetch on the market right now. Anyone believing that these instruments have ‘intrinsic value’ is drinking their own cool-ade.

River

]]> By: Ginger Yellow http://www.nakedcapitalism.com/2008/09/fire-sales-begin-lehman-unloading-852.html#comment-15502 Ginger Yellow Tue, 16 Sep 2008 11:51:00 +0000 http://www.nakedcapitalism.com/2008/09/the-fire-sales-begin-lehman-unloading-852-million-of-lbo-loans-updated/#comment-15502 "Any hope of a quick firesale of Lehman Brother's assets was dashed last night "<br/><br/>What bizarre phrasing. The only people hoping for a firesale are distressed debt investors. “Any hope of a quick firesale of Lehman Brother’s assets was dashed last night “

What bizarre phrasing. The only people hoping for a firesale are distressed debt investors.

]]> By: wintermute http://www.nakedcapitalism.com/2008/09/fire-sales-begin-lehman-unloading-852.html#comment-15487 wintermute Tue, 16 Sep 2008 08:35:00 +0000 http://www.nakedcapitalism.com/2008/09/the-fire-sales-begin-lehman-unloading-852-million-of-lbo-loans-updated/#comment-15487 An investment bank does not do metal-bashing or make widgets - it facilitates financial transactions. Therefore it has two key components (apart from money itself) people and computer systems. <br/>The wholesale sacking of staff and decommissioning of computer systems is totally effective in destroying an investment bank. Business unit assets which might have been worth 40c in the dollar - will be worth zero. <br/>How far have we progressed since the Visigoths took Rome? An investment bank does not do metal-bashing or make widgets – it facilitates financial transactions. Therefore it has two key components (apart from money itself) people and computer systems.
The wholesale sacking of staff and decommissioning of computer systems is totally effective in destroying an investment bank. Business unit assets which might have been worth 40c in the dollar – will be worth zero.
How far have we progressed since the Visigoths took Rome?

]]> By: Richard Kline http://www.nakedcapitalism.com/2008/09/fire-sales-begin-lehman-unloading-852.html#comment-15485 Richard Kline Tue, 16 Sep 2008 08:22:00 +0000 http://www.nakedcapitalism.com/2008/09/the-fire-sales-begin-lehman-unloading-852-million-of-lbo-loans-updated/#comment-15485 So Anon of 1:01, naw, that haircut will be below the waist, in many cases below the knees, and in a few cases below the ankles. So Anon of 1:01, naw, that haircut will be below the waist, in many cases below the knees, and in a few cases below the ankles.

]]> By: mmckinl http://www.nakedcapitalism.com/2008/09/fire-sales-begin-lehman-unloading-852.html#comment-15456 mmckinl Tue, 16 Sep 2008 05:01:00 +0000 http://www.nakedcapitalism.com/2008/09/the-fire-sales-begin-lehman-unloading-852-million-of-lbo-loans-updated/#comment-15456 "The price of the average actively traded leveraged loan has fallen from above face value in June 2007 to 86.64 cents on the dollar, compared with a low of 86.3 cents reached in February, according to Standard & Poor's LCD, which earlier reported the loan auction. Prices fell 1.64 cent in the past week."<br/><br/>LOL ... Traded ? Where ? Between the banks that own all the crap ? Those are the "friendly" trades. <br/><br/>Wait until they have to really unload, wait until the next batch, including AltA, are unloaded. <br/><br/>The "haircut" will be below the chin. "The price of the average actively traded leveraged loan has fallen from above face value in June 2007 to 86.64 cents on the dollar, compared with a low of 86.3 cents reached in February, according to Standard & Poor's LCD, which earlier reported the loan auction. Prices fell 1.64 cent in the past week."

LOL … Traded ? Where ? Between the banks that own all the crap ? Those are the "friendly" trades.

Wait until they have to really unload, wait until the next batch, including AltA, are unloaded.

The "haircut" will be below the chin.

]]> By: Anonymous http://www.nakedcapitalism.com/2008/09/fire-sales-begin-lehman-unloading-852.html#comment-15446 Anonymous Tue, 16 Sep 2008 04:10:00 +0000 http://www.nakedcapitalism.com/2008/09/the-fire-sales-begin-lehman-unloading-852-million-of-lbo-loans-updated/#comment-15446 Jesse - I thought they changed the rule a while back so that "firesales" were excluded from the mark-to-market rule..? Jesse – I thought they changed the rule a while back so that “firesales” were excluded from the mark-to-market rule..?

]]> By: Anonymous http://www.nakedcapitalism.com/2008/09/fire-sales-begin-lehman-unloading-852.html#comment-15437 Anonymous Tue, 16 Sep 2008 03:08:00 +0000 http://www.nakedcapitalism.com/2008/09/the-fire-sales-begin-lehman-unloading-852-million-of-lbo-loans-updated/#comment-15437 Remember back in June, I think it was, that some snake from Lehman came out from under a rock and posted the most arrogant post I can recall? You were questioning whether a "sale" of assets was really a sale when LEH was providing financing on a non-recourse basis.<br/><br/>Ha, ha, ha. I'm loving it. Goodbye Mr. Snake. Remember back in June, I think it was, that some snake from Lehman came out from under a rock and posted the most arrogant post I can recall? You were questioning whether a “sale” of assets was really a sale when LEH was providing financing on a non-recourse basis.

Ha, ha, ha. I’m loving it. Goodbye Mr. Snake.

]]> By: matt http://www.nakedcapitalism.com/2008/09/fire-sales-begin-lehman-unloading-852.html#comment-15431 matt Tue, 16 Sep 2008 02:20:00 +0000 http://www.nakedcapitalism.com/2008/09/the-fire-sales-begin-lehman-unloading-852-million-of-lbo-loans-updated/#comment-15431 Why are they starting out with the crap? Why not get rid of the good stuff first, while companies still have money (and they are losing it fast)?<br/><br/>Also, where are the SWFs and foreign banks? Did they finally wake up to the con game America is running? Why are they starting out with the crap? Why not get rid of the good stuff first, while companies still have money (and they are losing it fast)?

Also, where are the SWFs and foreign banks? Did they finally wake up to the con game America is running?

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