These comments brought to you by Barack Obama’s future Sec of US Treasury.
The model to use for the bailout/workout -- which worked just fine, thank you, took about 3 years -- is the Swedish model in their banking crisis of 1992-1993. As regards goobermint taking preferred shares, it was effectively the same as we are now doing.
The difference is that the Swedes left the solvent banks alone, and focused instead upon the shaky ones that had a good chance of survival, given a bit of help. The hopelessly insolvent banks, well, the Swedes told them bluntly to merge, be bought out, or die.
The preferred shares have long since been bought back by the private sector, and today Swedish banking (as indicated in a poll just last month of ALL the nations' banking sectors) is regarded as second soundest in the world.
Of course, given the dildoes and dildettes in the US Regress, I never supposed we'd get as good a plan as the Swedes used.
Sigh....
Dimon is one of the few heros in this mess and I would be very surprised if he was a democrat.
JPM ditched all it’s subprime crap well in advance of the credit crises. JPM stock has done the best of any large bank in the US and may have bested every bank in performance in the entire world large or small (although I doubt that, I can’t think of any that have done better).
He is notorious for being frugal and his compensation package seems relatively small compared to his peers.