Some Congressman, not sure who ’cause I missed his name, just brought up the following IM conversation between two S&P employees, to former residential mortgage ratings managing director, Frank Raiter, from several months back (no name check on the deal but surely the DB brain trust can hazard a guess):
S&P employee #1: By the way that deal is ridiculous
S&P employee #2: I know, right. That model definitely does not capture half the risk
S&P employee #1: We should not be rating it.
S&P employee #2: We rate every deal. It could be structured by cows and we would rate it.
Congressman: What do you think this means, Mr. Raiter?
Raiter: Um…I don’t know…I guess a casual acceptance of these things.
Sean Egan (of Egan-Jones) chimes in: Perhaps that cow was particularly talented?
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Cows have always had a long and glorious association with the field of economics. Being half of the “Guns and Butter” equation gives them an insight into these things at a genetic level.
and CNBC is back to reading and reporting dealbreaker stories!
Bovine Hazard LLC
That IM convo should be the beginning, and end, of these hearings, since it clearly and consisely captures the essence of what happened.
cows get fucked by bulls
they know their shit
e-COW-nomics
~M
and bulls get A-raped by bears
I have a deja-vu
Those clowns at the rating agencies should all be thrown in prison.
- cows must merge with bulls to survive
- too lowing didn’t read
S&P and Moodys are getting raped in this hearing. Souder is just barebacking the shit out of them.
I used to work at S&P and for Raiter. Not an aptly named man. Nice guy, empty suit. I was a young lad who rated MBS. Dropped my pool into “Levels” and the model spit out rating levels. Then I went to an initial committee. Then there was massive cajoling by the banker on the deal to negotiate better levels, or negotiate a better paydown structure. The banker was usually very aggressive and bright and had a much better grasp than I (having just graduated from B school with no mortgage experience). Was a brutal process and you always felt inclined to please the banker unless he was a complete d bag as you were always thinking about the next stop on the career path. Mgmt at S&P, while initially well-intended and “pure” eventually caved to the sales culture instilled by McGraw-Hill mgmt. I now work at a bank. Go figure. Anyway, in the future, bondholders need to direct this process, not the banks.
This will mooooove the market.
SPODE
- cows must merge with bulls to survive
- too lowing didn’t read
This is eerily similar to the stock analyst rating text messages of the dot-com boom.
There is no spoon.
#9 criminal-type liability is definitely not out of the question
Anyone know where I can find a video of this testimony?
Get to the chopper!
ditto on 18′s question. On Cspan?
@20 Its on cspan.
If we can agree what a 34-C is, why cant we agree on Alt-A?
Didn’t Spitzer call Sandy Weill a “talking pig”
I’m going to Applebees for lunch and will mail Bess the spoon I stole. Bess loves receiving random items in the mail.
LOVES IT!
Dealbreaker.com
c/o Bess Levin
262 Mott Street
Suite 102A
New York, NY 10012
What else are you guys going to do with your time? Sit around waiting to be whacked? Share the love and remember the company mail room is a plethora of titillating experiences awaiting your exposed manhood.
May I sharpen my #9 pencil in your ass or would you prefer to swallow my White-Out?
SPODE
That should be steel not stole because I haven’t done it yet.
SPODE
ditto on 18′s question. On Cspan?
@4: Ditto
SPODE
you are weird. WTF is your deal?
@25 Actually it shoudl be “steal” not “steel” (because you haven’t passed fourth-grade yet).
In what one can only hope is your monumental grand finale of stupidity, you’ve corrected a verb tense error with spelling mistake. Congratulations on that.
@29 This is the humor I was waiting for, funny it came from you.
Do you honestly think you were the first person to pick that up? But yet your the first person to comment about it. Things that make you go hmmmm.I gave you another. And they’re isn’t an l in should. That’s two. Rock on dude!
I’m on fire today bitches.
SPODE
you said your not you’re. spode you act like you make mistakes on purpose. that makes so much sense. ema
Spode is a charlatan.
Spode, go type OED on bloomberg for a dictionary to look up that word. Your mistakes aren’t clever enough nor ironical enough for satire. And 31 nailed you, biotch. Your fire is extinguished. Get clever and come back to us.
32 don’t forget your article in 29.
@33 scores a well-taken point.
HEADLESS GOT OWNED BY SPODE!! SERVED WHARTON STYLE BITCHES!
HH, good thing I didn’t sign 33. Go with the flow dude, life is two short to be negative. Peace.
eat shit SPODE.
@36 Actually it shoudl be “too” not “two” (because you haven’t passed fourth-grade yet).
In what one can only hope is your monumental grand finale of stupidity, you’ve corrected a verb tense error with spelling mistake. Congratulations on that.
nice
HEADLESS GOT OWNED BY SPODE!! SERVED WHARTON STYLE BITCHES!
Who is this SPODE clown? Can’t we hunt him down and gut him like a fish?
C’mon, people, this is Web 2.0. Surely there is a way. Get crackin’.
SPODE = The Guy From Delaware.
Look at their posts and the way they sign out. It is exactly the same.
I heard SPODE got in a fight with Chuck Norris and kicked his ass.
Word is, the USDA’s worried Paulson’s going to let MCO and S&P take over their turf.
http://www.youtube.com/watch?v=LzsJFpi4cOs
Don’t understand what else is going on here, or why the wizard of oz is sitting off to the side of the screen, but the cows reference is about 05:10.
- McDull