Submitted by Leo Kolivakis, publisher of Pension Pulse. A follow-up to yesterday’s comment on the giant experiment, someone sent me a WSJ blog article stating that Cerberus’s equity stake in Chrysler’s auto company to be eliminated: Cerberus Capital Management will lose its equity stake in Chrysler LLC’s struggling automotive company as a condition of the […]
Read more...Is Obama’s leaked view that a “quick and surgical bankruptcy” was a “likely option” for GM and Chrysler form of bizarre brinksmanship? If not, Obama has just painted himself in a corner based on what looks to be some very bad advice. As we will explain below, the notion of a “quick and surgical” bankruptcy […]
Read more...Posted by Tyler Durden, Publisher of Zero Hedge And Northern Trust thought it had problems when Barney Frank went postal for the company’s House Of Blues romp. A smoking gun lawsuit filed March 30 in Northern Illinois District Court (09-cv-01934) by Joseph Diebold on behalf of the pension scheme of one of the world’s largest […]
Read more...A Census Taker for Penguins in Argentina New York Times Woman who plays classical music to soothe horses told to get licence Telegraph Merrill socked with $39.8 million arbitration ruling Investment News CEO Change Begs Question About Banks Wall Street Journal (hat tip reader Don). I’ll admit to having only a limited sample, but this […]
Read more...To his credit, Eric Dinallo, the New York Superintendent of Insurance, did take the brewing mess at bond insurers MBIA (under his jurisdiction, and completely intransigent) and Ambac seriously enough to try to Do Something About It. In the end, his efforts came to nought, swept aside in the tidal wave of credit messes. But […]
Read more...Submitted by Leo Kolivakis, publisher of Pension Pulse. There is a lot to cover today, so let’s begin with U.S. automakers. President Obama gave General Motors and Chrysler deadlines to “fundamentally restructure” or lose government aid that has kept them alive. The steps to force a restructuring by U.S. automakers drew a mixed reaction from […]
Read more...You simply cannot make this stuff up. The Pension Benefit Guaranty Board, which backstops defined benefit plans (yes, Virginia, they still exist) faced a rather sizable gap between its expected returns on its $64 billion in holdings and its expected liabilities. So in a stroke of sheer genius, it increased its allocation to risky assets […]
Read more...Submitted by Edward Harrison of the site Credit Writedowns I like the fact that President Obama has drawn a line in the sand and signaled that no more funds will be given to U.S. automakers without their presenting a viable long-term plan for restructuring. Ultimately, the automakers cannot survive merely as a result of government […]
Read more...Submitted by Edward Harrison of the site Credit Writedowns Edward Harrison here. For months now, we have been hearing the Obama – FDR comparisons, all suggesting that Barack Obama is a modern day Franklin Delano Roosevelt, with the opportunity to lead us out of Depression with a new New Deal. I have some serious problems […]
Read more...‘War’ on poisonous Australia toad BBC. Notice how this is basically a community effort? Aussies are good about that sort of thing. What they Used to Teach You at Stanford Business School and Newsweek’s Fearful Krugman Profile Felix Salmon Equities show us the way to recovery Alan Greenspan and A new plan needed as the […]
Read more...Wolfgang Munchau often has a dour outlook, but his Financial Times comment today, “A new plan needed as the cycle grows vicious” is gloomy even by his standards. Munchau argues that the heroic seeming measures to aid the banks are insufficient to compensate for the losses they are and will continue to suffer, and that […]
Read more...Oh, so there was even more to the GM Wagoner resignation than met the eye. So how come no bank turnaround plans? Oh, if they were no good, the government might have to get tough with them. Can’t have that, now can we? From CNBC (hat tip reader Dwight): The announcement by the White House […]
Read more...Submitted by Tyler Durden, publisher of Zero Hedge Zero Hedge is rarely speechless, but after receiving this email from a correlation desk trader, we simply had to hold a moment of silence for the phenomenal scam that continues unabated in the financial markets, and now has the full oversight and blessing of the U.S. government, […]
Read more...Business as usual continues in Washington DC. From The Hill (hat tip Tom Ferguson): A new business trade group run by Democrats close to President Obama may offer K Street an avenue into a White House extremely wary of lobbyists. Valerie Jarrett, a senior adviser to and close friend of Obama; Michael Strautmanis, Jarrett’s chief […]
Read more...Submitted by Leo Kolivakis, publisher of Pension Pulse. Before getting into this weekend’s food for thought topic, I think you should all watch Secretary of the Treasury Tim Geithner’s interview on ABC’s This Week and the roundtable discussion where Paul Krugman expressed his concerns with the plan. Interestingly, Krugman thinks the U.S. government is not […]
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