Archive for the 'Bailout' Category

Citigroup bailout jumps the shark

November 24, 2008

The Citigroup rescue is a bailout too far. It is the bailout to expense. This is just being taken advantage of.

http://globaleconomicanalysis.blogspot.com/

http://www.takimag.com/blogs/article/the_truth_about_the_bailouts/

http://www.marketwatch.com/news/story/citigroup-hire-1000-workers-philippines/story.aspx?guid={09F497DB-5E5F-44FB-AE11-9F17DC8903A2}

“Citigroup to hire 1,000 workers in Philippines
By Manila Bureau
Last update: 9:21 p.m. EST Nov. 23, 2008”

http://www.foxbusiness.com/story/markets/report-citigroup-rescue-talks/


Seperately, Citigroup said Sunday night it will expand its Philippines operation by hiring an additional 1,000 workers, the Manila Standard Today newspaper reported Monday. The additional workers would expand Citigroup’s call center and financial reporting operations, the paper said citing Citi’s country manager Mark Jones.

This move comes on the heels of Citi’s announcement last week that it would slash 52,000 jobs in a bid to cut costs.

There is no limit to their disdain for us. They fire us here and hire them there.

http://money.cnn.com/2008/11/24/markets/oil/?postversion=2008112408

Oil climbs on Citigroup
Crude prices advance as investors welcome the government’s support of ailing financial heavyweight.

By Ben Rooney, CNNMoney.com staff writer
November 24, 2008: 8:40 AM ET

NEW YORK (CNNMoney.com) — The price of oil rose Monday as investors cheered the federal government’s massive rescue package for banking giant Citigroup.

Light, sweet crude for January delivery was up $1.04 at $50.97 a barrel in premarket electronic trading. The contract fell 51 cents Friday to settle at $49.93 a barre

http://www.inhofe.senate.gov/public/index.cfm?FuseAction=PressRoom.PressReleases&ContentRecord_id=ac5e0c63-802a-23ad-4481-20124c6bc0e7

WASHINGTON, D.C. – Today, U.S. Senator Jim Inhofe (R-Okla.) introduced legislation to amend Section 115 of the Emergency Economic Stabilization Act (EESA) to require an affirmative vote on the part of Congress to approve Treasury’s plan for the remaining $350 billion and require a freeze on any remaining funds of the first $350 billion, stating, It is imperative that we not allow that amount of money to be added to a deficit approaching $1 trillion this year without any input from the legislative branch.”

In a speech on the Senate Floor, Senator Inhofe went on to say,Congress completely abdicated its responsibility by signing a truly blank check over to the Treasury Secretary. However, the lame duck session of Congress offers us a tremendous opportunity to change course. We should take it.”

Though there are still significant challenges in financial markets, it appears that the threat of financial crisis spinning so out of control that we face another Great Depression-which was the original justification for the grant of such sweeping authority-has subsided. Has the need to allow one person to control hundreds of billions of taxpayer dollars and spend as he sees fit subsided as well? I’ve never seen in my entire career of public service anything like the spectacle we are now witnessing. Is it unreasonable to ask whether or not the additional $350 billion should not be added to a deficit approaching $1 trillion? Congress should have a debate.”

The full text of Senator Inhofe’s speech as prepared for delivery is below:

Inhofe is the hear of the hour. Senator Shelby is a close second. Stop the bailout. Call Congress.

==Stop Secret Bernanke bailout too

http://rawstory.com/news/2008/Bloomberg_US_could_lend_as_much_1124.html

“The U.S. government is prepared to lend more than $7.4 trillion”

Regulators have revealed few details about the recipients of aid under the Troubled Asset Relief Program — which was supposed to be used to buy up troubled mortgage assets from banks. To date, the package has not been used for this purpose.

Bernanke and Paulson decided to use Fed money to buy bad assets. They are using the TARP 700 billion to invest in preferred shares in banks or whatever else is not allowed to the Fed already. Anything the Fed can do, they won’t use TARP money for. That was a stroke of (evil) genius by Dr. Bernanke and Mr. Paulson.

http://michellemalkin.com/2008/11/23/another-in-an-endless-series-of-late-night-bailouts/

Good excerpts and links on comments in Citigroup bailout

http://economistsview.typepad.com/economistsview/2008/11/the-citigroup-b.html

Paulson Plan swings like a pendulum do

November 13, 2008

http://www.ustreas.gov/press/releases/hp1265.htm

Over these past weeks we have continued to examine the relative benefits of purchasing illiquid mortgage-related assets. Our assessment at this time is that this is not the most effective way to use TARP funds, but we will continue to examine whether targeted forms of asset purchase can play a useful role, relative to other potential uses of TARP resources, in helping to strengthen our financial system and support lending.

First, we are designing further strategies for building capital in financial institutions. Stronger capital positions will enable financial institutions to better manage the illiquid assets on their books and better ensure that they remain healthy. Any future program should maintain our principle of encouraging participation of healthy institutions while protecting taxpayers. We are carefully evaluating programs which would further leverage the impact of a TARP investment by attracting private capital, potentially through matching investments. In developing a potential matching program, we will also consider capital needs of non-bank financial institutions not eligible for the current capital program; broadening access in this way would bring both benefits and challenges.

Translation: Now that we gave away money to the banks to give to the hedge funds, now we will give it to Henry Kravis.

http://seekingalpha.com/article/105767-what-comes-next-after-paulson-abandons-tarp-idea?source=feed

http://www.youtube.com/watch?v=0oe9ipgpa4M

England swings like a pendulum do,
Bobbies on bicycles, two by two,
Westminster Abbey the tower of Big Ben,
The rosy red cheeks of the little children.

Now, if you huff and puff and you fina’lly save enough
Money up to take your family on a trip across the sea,
Take a tip before you take your trip; let me tell you where to go,
Go to Engeland, Oh;

Mama’s old pajamas and your papa’s mustache,
Falling out the window sill, frolic in the grass,
Tryin’ to mock the way they talk fun but all in vain,
Gaping at the dapper men with derby hats and canes

All gone.

The Paulson plan swings like a pendulum do,
Bobbies on bicycles, two by two,
(While fat cats fly away in jets, with our money)
Westminster Abbey the tower of Big Ben,
(Have never seen such stealing)
The rosy red cheeks of the little children.
(Whose land is stolen and their future abandoned by adults who won’t fight for them because they would be called bigot if they do.)

Now, if you huff and puff and you fina’lly save enough
(Paulson will give it to the scruff of the earth. Hispanic immigrants took out mortgages and didn’t repay. (See Steve Sailer on Michael Lewis column) Now Paulson gives your money to the bankers who made the loans so they don’t miss a bonus season.)
Money up to take your family on a trip across the sea,
(Its the same there as here)
Take a tip before you take your trip;
(Don’t buy a map from Hank Paulson or Ben Bernanke Company)
let me tell you where to go,
(Doesn’t matter, immigration is ending the West and its values and honesty everywhere. British bankers are as disloyal and crooked as ours)
Go to Engeland, Oh;
(Its as bad as here. So sad to see it go. Because we are afraid of the word bigot.)

Mama’s old pajamas and your papa’s mustache,
(About all we have left after bailing out AIG)
Falling out the window sill, frolic in the grass,
(Yes we are falling out the window, but its more like a Red Crescent Memorial to Sharia finance)
Tryin’ to mock the way they talk
(Now gets you in PC prison)
fun but all in vain,
(Because they keep coming and dispossessing us and we are afraid to stand up and say stop all legal immigration)
Gaping at the dapper men with derby hats and canes
(Who would think we were the most craven coward generation in history. And Charlton Heston said so at Harvard, and those kids became hedge fund managers and expect our money from our houses.)

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