BREAKING: Morgan Stanley Considers Merger With Wachovia

NYT ^ | 9-17-08 | staff

[Anti-Hillary]

Morgan Stanley, one of the two last major American investment banks, is considering a merger with Wachovia or another bank, according to people briefed on the discussions.

Morgan Stanley’s chief executive, John J. Mack, received a telephone call on Wednesday from Wachovia expressing interest in the Wall Street bank. Morgan Stanley is considering other options as well. Other banks have also expressed interest in Morgan Stanley.

The talks are preliminary and no deal may emerge, these people cautioned. But if one is reached, it would mark the end of Morgan Stanley, one of the descendants of the original J. P. Morgan & Company.

Morgan Stanley, whose stock plunged sharply on Wednesday, would become the third major investment firm to fold amid the credit crisis. Lehman Brothers filed for bankruptcy on Monday, while Bank of America agreed to buy Merrill Lynch for about $50 billion. In March, JPMorgan Chase agreed to buy Bear Stearns at the urging of the government, as that securities firm teetered on insolvency.

[ThePythonicCow]

The house of cards is still falling ... wow!

[samtheman]

So is this a BUY, SELL or HOLD on Morgan Stanley?

[Travis T. OJustice]

When E.F. Hutton speaks...oh, wait.

Where’d Dean Whitter go?

[BGHater]

They are adding to the Kitty so they will be too big to fail, again. IMHO.

[NVDave]

If you don’t already own it, don’t buy it.

Otherwise, stay way the heck away.

[Ravi]

If two crappy financial institutions decide to merge, does that make them one big crappy institution. What is to be gained here?

[AxelPaulsenJr]

Kinda like a cancer patient marrying a terminal cancer patient.

[Rational Thought]

Why would anyone want to merge with Wachovia? Their lending portfolio probably looks very similar to Lehman’s.

[Republican Party Reptile]

So that would leave GS as the One & ONLY independent bulge bracket IB?

[bert]

That would be out of the frying pan into the fire.

[GoSarah]

You’re not gonna catch the falling knives and come out unhurt.

If anyone is going to clean up from the aftermath, it’s Warren Buffett. Bought some BRK today.

[Between the Lines]

If this keeps up they will have to change the name of Tryon street in Charlotte to South Wall Street.

[nmh]

Fine. Merge.

Just don’t stick ME, the taxpayer with the bill for YOUR screw-ups. We cannot have the government bailing these imbeciles out.

[A Strict Constructionist]

Note to self, Sell Wachovia on this particular rumor.

[atomicweeder]

So that would leave GS as the One & ONLY independent bulge bracket IB?

Didn't Paulson come from Goldman Sachs? Maybe in the end, he's hoping that everyone goes under except his former employer.

[Tallguy]

Who is going to sponsor the PGA tour events now? /sarcasm

[Revolting cat!]

The Anagram Server suggestsd that the new company be called: A Maniacal Envoys Growth.

[macamadamia]

Gentlemen, I'm afraid it's the end of life as we know it.

[JFC]

and eventually, we will be under one big government umbrella and all will be well with the world.