Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

U.S. Government to Arrange Sale of Lehman Brothers
Washington Post ^

Posted on 09/11/2008 2:36:55 PM PDT by milestogo

U.S. Government to Arrange Sale of Lehman Brothers

By David Cho and Heather Landy Washington Post Staff Writers Thursday, September 11, 2008; 5:30 PM

The Treasury Department and the Federal Reserve are engineering a sale of Lehman Brothers through a consortium of private firms. The details are not finalized, but sources familiar with the matter say the purchase is expected to be completed and announced this weekend before Asian markets open Monday morning.

Lehman Brothers, which had been anxious to show it could weather the credit crisis that contributed to the firm's $3.9 billion third-quarter loss, said Wednesday that it would sell a majority stake in its investment-management division, slash its dividend and spin off about $30 billion of real estate assets.

(Excerpt) Read more at washingtonpost.com ...


TOPICS: Breaking News; Business/Economy
KEYWORDS: bailouts; banks; failure; govwatch; lehmanbrothers; treasury; wallstreet
Navigation: use the links below to view more comments.
first previous 1-2021-4041-6061-8081 next last
To: trumandogz

Where were they in 2000 with my tech holdings?

This is ridiculous. The least “needy” people get bailed out each time. The only solution is quite simple: NO BAILOUTS.


41 posted on 09/11/2008 5:07:14 PM PDT by Red in Blue PA (Now you know why the needles on compasses point north - Sarah Palin.)
[ Post Reply | Private Reply | To 7 | View Replies]

To: rabscuttle385; Travis McGee
Well, I wonder if KDB, the S. Korean bank pursued by Lehman, joined the consortium of private firms.
42 posted on 09/11/2008 6:52:58 PM PDT by TigerLikesRooster (kim jong-il, chia head, ppogri, In Grim Reaper we trust)
[ Post Reply | Private Reply | To 5 | View Replies]

To: fightin bronco

As a LEH stockholder, I am taking a beating on a once great company and stock. It was over $80 last year, now ... $4. Ug.. I owned it from mid-1990s when they built up a great franchise.

The fall has been swift. Whoever gets their assets will get a great deal.


43 posted on 09/11/2008 8:27:23 PM PDT by WOSG (McCain/Palin 08)
[ Post Reply | Private Reply | To 19 | View Replies]

To: trumandogz

“Yes, you can fail in your business and your investments but the American Tax Payer is there to bail out the Big Finance Houses when they make bad investments and fail.”

As a Lehman stockholder, I can assure you, I am not getting bailed out!


44 posted on 09/11/2008 8:28:44 PM PDT by WOSG (McCain/Palin 08)
[ Post Reply | Private Reply | To 31 | View Replies]

To: milestogo

The government bails out Fannie Mae, Freddie Mac and Lehman Brothers...with taxpayer money.

Are these people going to give back their millions of dollars in bonuses? Jamie Gorelick made 26 million at Fannie Mae. Johnson made similar millions. All the while they cooked the books to make sure they got their bonuses. And the taxpayers now pick up the pieces.


45 posted on 09/11/2008 8:37:46 PM PDT by ladyjane
[ Post Reply | Private Reply | To 1 | View Replies]

To: milestogo

Apparently there is no end to welfare. Corporate welfare, private welfare.

Let this be a lesson to everyone here...start a company, take as much risk as you want....as long as you become big enough the Gubmint will be there to bail you out.

Why manage risk at all? Your government will be there to sell you to the Saudis.


46 posted on 09/11/2008 9:00:12 PM PDT by Eric Blair 2084 (Alcohol, Tobacco and Firearms shouldn't be a federal agency...it should be a convenience store.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: ladyjane; All

Hold your horses people. The G’ment will make money on the Bear Stearns deal, and, if they do the same type of thing here, they’ll most likely make money on this deal too. Way too much jumping of the ‘bailout with taxpayer money’ gun here. Not a dime of taxpayer money was actually spent, nor was a single shareholder bailed out (ie, prevented from loosing their shirt). I’d get the hard facts first before yelling ‘taxpayer getting soaked for fat cats’ and ‘corporate socialism’.


47 posted on 09/11/2008 9:08:20 PM PDT by farlander (Try not to wear milk bone underwear - it's a dog eat dog financial world)
[ Post Reply | Private Reply | To 45 | View Replies]

To: trumandogz
Too bad the Federal Government is not there to bail is all our of our bad investments.

How did investors in Bear Stearns get bailed out?

How will investors in Lehman get bailed out?

48 posted on 09/11/2008 9:21:25 PM PDT by Toddsterpatriot (Let me apologize to begin with, let me apologize for what I’m about to say....)
[ Post Reply | Private Reply | To 7 | View Replies]

To: durasell
So, why is the gubmint involved in this?

Why was the gubmint involved with LTCM? How much did that one cost you?

49 posted on 09/11/2008 9:22:37 PM PDT by Toddsterpatriot (Let me apologize to begin with, let me apologize for what I’m about to say....)
[ Post Reply | Private Reply | To 14 | View Replies]

To: Toddsterpatriot

I don’t know why you bother. Thanks for trying, though.

I don’t think these folks understand who is being “bailed out” and who is losing everything. Hint: if everything you’ve invested in a company disappears, you’re not being “bailed out” out of anything.


50 posted on 09/11/2008 9:31:54 PM PDT by VegasCowboy ("...he wore his gun outside his pants, for all the honest world to feel.")
[ Post Reply | Private Reply | To 48 | View Replies]

To: Toddsterpatriot

I believe the gubmint turned a slight profit on LTCM...


51 posted on 09/11/2008 10:02:32 PM PDT by durasell (!)
[ Post Reply | Private Reply | To 49 | View Replies]

To: farlander

Not the point. The point is this: does gubmint involvement signal a crisis of the type private companies cannot work out for themselves?


52 posted on 09/11/2008 10:04:27 PM PDT by durasell (!)
[ Post Reply | Private Reply | To 47 | View Replies]

To: VegasCowboy
I don’t know why you bother. Thanks for trying, though.

I'm a glutton for punishment.

53 posted on 09/11/2008 10:07:07 PM PDT by Toddsterpatriot (Let me apologize to begin with, let me apologize for what I’m about to say....)
[ Post Reply | Private Reply | To 50 | View Replies]

To: durasell
I believe the gubmint turned a slight profit on LTCM...

That would be a neat trick, considering the government didn't spend a dollar helping LTCM.

54 posted on 09/11/2008 10:08:02 PM PDT by Toddsterpatriot (Let me apologize to begin with, let me apologize for what I’m about to say....)
[ Post Reply | Private Reply | To 51 | View Replies]

To: milestogo
How much OE written off on this one

anyone know?

bet they are selling foreign like UBS and others have

this housing market boom turns bust and subsequent loan bundling exposure collapse has turned into a bonanza for foreign firms to pick up huge pieces of the US and US exposed financial services industry on the cheap with a weak dollar.

i don't recall anything like this before except when the Japs bought up chunks of real estate after the Carter recession

i had a BBQ lunch with a banker today on some commercial mortgage stuff....he said his bank wished they were US Bank, they had no bundling exposure

so many banks and firms going cheap but so few acquirers(sic)fat with cash domestically

those Lehmans shoulda stayed in Montgomery I tell ya...and the damned Shulzbergers in Knoxville while we're at it

55 posted on 09/11/2008 10:18:12 PM PDT by wardaddy (Obama/Pol Pot 2008)
[ Post Reply | Private Reply | To 1 | View Replies]

To: montag813
London and Dubai are benefiting from low dollar and Dubai from record crude

but, it's a cycle you know that

this huge housing boom had to play out and those caught with their britches down are geting slammed

i’m ambivalent on the government arranged sale stuff

BSCO and this one I have more pause than I do with Fannie and Freddie since they were already sorta like TVA of lending

but all the folks responsible should lose it all just like you or I would

this is complex stuff....the ramifications are more heady than just let em burn...

I really don't have the answers but I imagine most governments would make a deal to make the collapse of a giant more cushioned

first one I recall we bailed out when I was in college was Franklin National back in 1974..had we bailed out many before that?

bailing out simply means sorta that depositers get protected and capital holders lose it all...more or less bank wise

not sure how it works on mortgage companies , i would assume with investment and brokerage institutions it means the cash security accounts are backed up but the OE is wiped out.

I'm open to education here...

56 posted on 09/11/2008 10:28:22 PM PDT by wardaddy (Obama/Pol Pot 2008)
[ Post Reply | Private Reply | To 24 | View Replies]

To: trumandogz

>>No, it is Corporate Socialism.

Just a new variant of Collectivism.


57 posted on 09/11/2008 10:28:59 PM PDT by LomanBill (A bird flies because the right wing opposes the left.)
[ Post Reply | Private Reply | To 30 | View Replies]

To: milestogo

U.S. Treasury printing presses running 24/7.

U.S. Taxpayers deeply saddened.

U.S. Dollar in the trash can.

Lehman Brothers executives expecting rich severance checks.

What’s wrong with this picture?


58 posted on 09/11/2008 10:29:04 PM PDT by Deo volente
[ Post Reply | Private Reply | To 1 | View Replies]

To: Deo volente
U.S. Treasury printing presses running 24/7.

Show me.

U.S. Dollar in the trash can.

Up 12.5% against the Euro, since July.

What’s wrong with this picture?

I blame the public schools.

59 posted on 09/11/2008 10:40:45 PM PDT by Toddsterpatriot (Let me apologize to begin with, let me apologize for what I’m about to say....)
[ Post Reply | Private Reply | To 58 | View Replies]

To: omega4179

Agreed. Lehman has to serious problems, but isn’t ready to collapse this weekend.


60 posted on 09/11/2008 11:08:30 PM PDT by Proud_USA_Republican (We're going to take things away from you on behalf of the common good. - Hillary Clinton)
[ Post Reply | Private Reply | To 8 | View Replies]


Navigation: use the links below to view more comments.
first previous 1-2021-4041-6061-8081 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson