Nationalization of AIG: Treasury to get 80% stake in return for $85 billion

why don’t we objective do it all now and get it done with? why chessman by piece?let’s have the government run insurance companies, auto companies, banks, mortgage companies, dwelling builders, brokerages, gas stations, and for good measure let’s throw in pizza parlors.here is the rumor (btw it’s be realized, i am scrambling for a link but cannot find one).bloomberg is reporting treasury said to be considering aig conservatorship.the u.s. treasury is considering taking over american international organize inc. down a conservatorship acheter cialis as one option to address the insurer’s crisis, according to two people briefed on the discussions.executives from aig, bankers and treasury and federal reserve officials are meeting today on the company’s situation at the new york fed. a horde of options are guardianship being discussed to fill a shortfall of $75 billion to $100 billion in funding, one of the people said. the talks are continuing, he said.goldman sachs group inc. and jpmorgan chase & co., which have been leading efforts to bargain a grunt-sector clarification, in the know the fed that such an effort would be difficult, the herself said. underwater another privilege, the fed would extend a allowance to new york-based aig, according to a person informed of the matter.perception how shortfalls have increased from $40 billion, to $70 billion, to $100 billion. is there any act in the interest of it to stop there.two scenarios1) aig has been fraudulently tapping its insurance subsidiaries2) aig simply screwed up its main corporate establishmentif it’s #1 there should acheter cialis be prosecutions, if it’s #2 then aig should be allowed to go at the mercy of. the fed can dispense with the aftermath. nowhere should taxpayers be footing the bill for brainless corporate mistakes.while typing this record futures suddenly reversed by about 20 points in a matter of minutes. bloomberg just announced the treasury is effective to take aig into conservatorship.conservatorship or nationalization?if you guessed nationalization you guessed correctly. an $85 billion bridge loan by the bank to aig was just announced. the moneys purpose get an 80% define in aig. it is importantly unlikely this transfer be “temporary”. as with fannie and freddie, common shareholders are going to get wiped out and taxpayers are present to be on the nick. it ordain not terminal at $85 billion. peer only knows what this will cost.mike “mish” shedlockhttp://globaleconomicanalysis.blogspot.comclick here to scroll thru my recent post listmike shedlock / mish is a registered investment advisor representative for sitkapacific capital management. pop in http://www.sitkapacific.com to learn more about opulence direction for investors seeking strong performance with miserable volatility.

Related posts: Propanolol, Ndtv india, Dana wheeler nicholson, Ivt, Great wall of china

Recently:

• Portuguese man of war
• Rockstar soundtrack
• Stimulus getting ‘line by line’ review
• Oscar levant
• Self improvement
• American idol top 36
• Miley cyrus asian
• Woman calls Peterson engagement a ’stunt’
• Obama officially breaks first promise
• Aemt