Comments on: Moody’s Cuts WaMu Senior Debt to Junk; Bank May Sell Branches, Deposits

By: RK

RK — Wed, 17 Sep 2008 21:46:00 +0000

According to Bloomberg, TPG is waiving it’s right to
compensation in the event of a capital raise below it’s
$8.75 acquisition price, removing a stumbling block to a sale.

By: Steve

Steve — Fri, 12 Sep 2008 21:38:00 +0000

Yeah, WaMu could try to sell some branches and hope to get 4%-5% of the value of the deposits transferred. And shrinking its deposit base would make the regulators happy. However, there are two little problems. First, WaMu is paying some of the highest rates in the country, which makes a deposit sale less likely. Second, WaMu’s only source of funds now outside the government is deposits.

By: doc holiday

doc holiday — Fri, 12 Sep 2008 19:41:00 +0000

Re: " ... the best way to get out of a hole is to carry on digging.

>> I'm told this is also a strategy of undertakers and as we all know, that game has no moved on to the more efficient methods and mechanisms of cremation...

Also, a big howdy to Wyatt

By: Wyatt Earp

Wyatt Earp — Fri, 12 Sep 2008 19:38:00 +0000

Very well put Doc Holiday, very well put.

By: doc holiday

doc holiday — Fri, 12 Sep 2008 19:38:00 +0000

Re: " … the best way to get out of a hole is to carry on digging.

>> I like that, and it probably helps to have a bigger shovel for more dirt! Snark…

By: doc holiday

doc holiday — Fri, 12 Sep 2008 15:09:00 +0000

The only reason we have a little footwork by the rating agencies, is because they have a dream to stay in business, and this helps maintain that illusion for them! The fraud and corruption that they have all been a part of for the last 10 years is a pattern linked, backed and structured to payoffs which are almost due to expire for this era, thus doing a little obvious PR here makes sense, as the election apparently hangs in balance.

WaMu could have been any of a thousand mis-rated corporations that thrived on deceit — deceit and fraud from Enron to Krispy Kream & Worldcom and the very, very long list of CDOs, SIV, bonds and every rubber stamped security attached to this retarded game.

By: Anonymous

Anonymous — Fri, 12 Sep 2008 15:04:00 +0000

Wait, OTS thinks of WaMu as a customer? Talk about regulatory capture…

By: Dean

Dean — Fri, 12 Sep 2008 14:56:00 +0000

It looks like the emotionl crescendo is rising. All kinds of financial/bank issues coming to the surface, Ike in the mix; it surely looks to me like change in the investment sentiment.

By: Puntino

Puntino — Fri, 12 Sep 2008 13:33:00 +0000

“TPG is probably at a loss-mitigation stage at this point,” Ely said. “Given how much they have invested, it probably makes sense to double down and then figure out how to get out of this investment.”…

Double down, THEN figure out an exit strategy? Hmmm. And the best way to get out of a hole is to carry on digging.