GE says gets FDIC backing for $139 billion in debt

Reuters ^ | November 12, 2008

[Shermy]

BOSTON (Reuters) – General Electric Co (GE.N) has secured the temporary backing of the Federal Deposit Insurance Corp for up to $139 billion of the debt of its finance arm, a spokesman said on Wednesday.

"We are eligible now and included in the FDIC temporary liquidity guarantee program," said Russell Wilkerson, a spokesman for the U.S. conglomerate.

[Shermy]

Longer story from Bloomberg:

http://www.bloomberg.com/apps/news?pid=20601087&sid=a59q5TXyQY8E&refer=worldwide

[rabscuttle385]

*Ping!*

[Shermy]

.

[rabscuttle385]

The FDIC, eh?

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[Tarpon]

GE used to be a blue chip company. How quickly the mighty have fallen. Just one change in management, and poof.

[I see my hands]

Maybe if more people objected to the hundreds of billions of dollars it costs corporations to bail the govt. every year then corporations might not need a rescue.

[gondramB]

GE has been described as a hedge fund that also makes submarines and runs a network.

[dirtboy]

BOSTON (Reuters) – General Electric Co (GE.N) has secured the temporary backing of the Federal Deposit Insurance Corp for up to $139 billion of the debt of its finance arm, a spokesman said on Wednesday.

Why does the name 'Weimar' keep popping into my head the more I read of new bailouts and government guarantees?

[Shermy]

In other words,

They will have little interest in foreclosures, taking cars back, enforcement of their loans. Why bother? Might save more money by cutting investigations departments too.

Somehow some will try to blame “Unions” and “ACORN” for all this, in their angry denials that lack of laws on lenders and massive deficit spending via tax “cuts”, the obvious causes, are not so.

Oh well, Bush will be appearing this weekend with foreign leaders who will give him report cards grading how well he served there interests, and if they decide to allow the USA to remain the reserve currency after Bush’s $7-10 trillion debt debacle.

[RatRipper]

The FDIC bails out NBC and MSNBC . . . What a pi$$er!!!!!!

GE should be required to divest from ownership in media outlets as a condition to accept bailouts!!!!!!!!!!!

[Shermy]

“then corporations might not need a rescue”

It doesn’t matter if they “need” a rescue or not. If they can get govt. money they have an obligation to shareholders to do so.

And there is no politician screaming, “Hey, wait!” Bush, a fellow who made his money off government/private partnership, Ranger’s stadium and eminent domain, has ruined the popular idea of conservatives being fiscally responsible and keep banks in control. They cannot even think about “regulations” because it’s stands as a philosophy legitimizing their existence, and fueling campaign contributions.

[dajeeps]

I thought they all campaigned against corporate welfare.

Oh well, what’s a few hundred billion more...

I just wish those house republicans had stood their ground. Now everyone has their hand out.

[Moonman62]

Maybe if more people objected to the hundreds of billions of dollars it costs corporations to bail the govt. every year then corporations might not need a rescue.

If Republicans were any good at economic policy, corporations wouldn't be needing a rescue.

[April Lexington]

“The FDIC bails out NBC and MSNBC . . . What a pi$$er!!!!!!

GE should be required to divest from ownership in media outlets as a condition to accept bailouts!!!!!!!!!!!”
_________________________________________________________

WHAT!!!

The MSM has just been nationalized!

How do you spell Pravda!

[Dawn531]

Invest in wheelbarrows...cause we’ll all need one to take enough money to the grocery store to buy a loaf a bread.

[just me]

May be we should get in line. It will cost a bail out to feed your familyl.

[RightWhale]

Let’s all become banks. The finance industry seems to be the only growth industry anymore.

[sitetest]

And GE will pay large amounts in insurance premiums to the FDIC for the privilege.

I can’t say whether or not the insurance is priced properly, but if it is, then value (insurance from the FDIC) is being given in return for value (insurance premiums from GE).

[bigbob]

They should take it out of Jeff Immelts salary first, then liquidate MSNBC and NBC and if that’s still not enough money they should go after Jack Welch and his GE bootlickers like Bossidy, McNerney, and Blake who have since gone on to wreak havoc at Honeywell, 3M/Boeing, and Home Depot.

[dirtboy]

Invest in wheelbarrows...cause we’ll all need one to take enough money to the grocery store to buy a loaf a bread.

Hey, look at the bright side - this could save US automakers - at this rate, everyone will have to trade in their Priuses for F-150s and Suburbans to be able to haul around enough cash to go to the grocery store.