Friday, February 20, 2009

Statements Like "Short Term Bank Takeovers" Prove Conclusively How Clueless Administration Is

Chris Dodd's brilliance shone today, when he claimed that "short-term bank takeovers" may be necessary... uh???????? Short term nationalization? This is worse than little kids playing Dungeons and Dragons, coming up with rules on the fly. Unfortunately if they roll, well, poorly, on that cool 20 side die, U.S. taxpayers will end up bankrupt or worse.

“I don’t welcome that at all, but I could see how it’s possible it may happen [sic],” Dodd said on Bloomberg Television’s “Political Capital with Al Hunt” to be broadcast later today. “I’m concerned that we may end up having to do that, at least for a short time.”

“I’m sort of stunned in a way that some people are reacting the way they are about all of this,” Dodd said. “At a time like this, everyone needs to pull in the same direction.”

Dodd also said he doesn’t want U.S. automakers to go through a prepackaged bankruptcy or a “forced merger.” General Motors Corp., Ford Motor Co. or Chrysler LLC risk liquidation with such actions, Dodd said on the broadcast.


The only good thing out of all this is that reality is not defined (not yet) by Dodd's ludicrous perspective on life, the universe and everything else. But better not risk it - so don't you go pissing off Chris, or he will i) make sure your bonus is $1 dollar in perpetuity, and ii) make it illegal to sell any securities. Ever. Sphere: Related Content
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3 comments:

Anonymous said...

“I’m sort of stunned in a way that some people are reacting the way they are about all of this,” Dodd said. “At a time like this, everyone needs to pull in the same direction.”
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And what direction would THAT be? Head long toward the black hole of stupidity??

doc holiday said...

Re: Dodd's ludicrous perspective on life

> Dodd did get a heck of a good loan from Angelo, didn't he?

Securities or lack thereof said...

lsat i checked, Dodd was in congress not in the administration, and unfortunately he is correct. C and BAC would not be alive without government support. Lets just call it as it is and have the government take the bank over, strip the bad assets, put in $30B of new capital and IPO. No need to figure out the pricing of these assets, and have those assets marked down by wiping out tangible and preferred equity.
that is short term nationalization, and is probably the end game.