And here’s what they’re doing about it!
Goldman Sachs Group Inc., which took $10 billion from the U.S. Treasury in October, would like to pay back the money from the so-called Troubled Asset Relief Program, or TARP, said David Viniar, the firm’s chief financial officer.
“It would send a very good signal” if the firm could repay the money [which apparently comes with BS string attached to it], he said. The firm would only do so if it got “the blessing” of the Treasury and Federal Reserve, he said at a Credit Suisse conference in Naples, Florida today.
I’m sure lately it probably feels like you can’t swing your BSD without knocking into someone loudly proclaiming that “Wall Street as we know it is over.” But take comfort, ladies. As long as Goldman Sachs is around, it appears as though ain’t going to happen (at least as it relates to the Masters of the Universe bending the rules in their favor in order to continue taking home garbage bags full of money at bonus time, and really, what doesn’t?).
Goldman Sachs Would Like To Pay Back TARP Money, Viniar Says [Bloomberg]
GS taking full advantage of the free options the gubmint is giving it. Thanks for the TARP money, we got some use out of it, but we’ll be giving that back now.
They have 2 years to come into compliance with Bank Holding Company regulatory requirements. Wait until that deadline draws near and we hear “thanks for the access to the discount window and all that other neat stuff, we’ve decided that we really don’t want to be a BHC.”
Hear me now, believe me later.
–Franz
Goldman doesn’t have the money to pay back the government. They can’t afford the capital ratios otherwise. It is interesting Viniar wants to pay back 5% dividend that taxpayers are getting but won’t pay back Buffett’s 10%. He cares more about his salary and bonus instead of idiot shareholders.
The employment shift is well underway. A nice chunk of bankers just jumped from BofA/Merrill to Deutsche, ostensibly because of potential limits on their future income.
TARP banks are going to need to do everything they can to get out from under the TARP, or they’re going to lose anyone who wants a bonus.
How is everyone missing that this will only apply to top executives, not all employees? And those top execs will be making bank in restricted stock grants. Stop getting your financial news from Good Morning America for fuck’s sake.
@1 is on the money. I mean, since half of the Bush/Obama administrations are former GS people, I imagine they’ll catch a break.
you’re an idiot @4- the pt is that GS top executives will be capped if they have TARP money, and since THEY DONT WANT TO HAVE TOP EXECS CAPPED, they’re trying to give it back. everyone else got that.
That took all of 3 hours–well done, GS!
@2, pretty good point there, but is the WB deal prepayable?
To genius @ 6
This doesn’t apply retroactively.
@6, please re-read @4; think you are mistaken
Bess,
Word is that all-world journalist Charlie Gasparino is making calls trying to expose the high-price, low-class whores behind dabagirls.com. Apparently, someone forgot to tell him that the NY Times scooped him over a week ago. But it begs the question: how have you not been on top of this yet?
Don’t get it, this is a complete smoke screen!. Only applies to top 5 executives, doesn’t apply to firms that already received funding. Only to those that want more!. This has no impact what so ever. If you havn’t already received funding, Geithner won’t give it to you anyway.
Erin Callan taking a “leave of absence”?
GS can blow me. Rememeber $47.41 per share you short-memory idiots? And how the taxpayers bailed your ass out?
Who ran like a punk fish to the Feds back in the Fall when ass raping shorts were prowling the cell block looking for the freshest ass to pound? The little girls at GS.
Now that the shorts have been stuffed into solitary GS wants free from protective custody? BS.
Let the shorts ride again and pound GS into submission.
I believe GS has a pre-payment penalty with Buffett but not sure the amount, maybe 500M? If you read the lines Viniar expects money to magically drop into their balance sheet because he doesn’t want to dilute current shareholders. Fact of the matter is this guy’s statements are pretty unreliable. I remember after LEH bankruptcy Viniar said they won’t be changing their business model because he thinks “execution matters, not the busines model” and within a weekend they became a bank holding company. These guys are clueless about what has been coming to them. Thanks to hanky panky Paulson they still exist.
It’s a political stunt meant to appease both sides. Banks bonuses, general public thinks that they get no bonuses. Win-win. Case closed.
Too Hanz, didnt Franz
Too Hanz, didnt Franz
Too Hanz, didnt Franz
Things that make you go Hmmmmmm……
Credit Suisse’s Erin Callan Taking Personal Leave of Absence
Email | Print | A A A
By Christine Harper
Feb. 4 (Bloomberg) — Erin Callan, the former chief financial officer of bankrupt Lehman Brothers Holdings Inc., is taking a personal leave of absence from Credit Suisse Group AG about five months after she joined the second-biggest Swiss bank.
Callan’s temporary leave was confirmed by Victoria Harmon, a spokeswoman for Credit Suisse in New York. Harmon declined to comment further. The leave starts next week, said a person familiar with the matter. Callan, 43, didn’t respond to two messages left on her cellphone.
Lehman Brothers was the fourth-biggest U.S. securities firm before its bankruptcy filing last September, the largest in U.S. history. Callan was promoted to chief financial officer on Dec. 1, 2007, and demoted about six months later after the firm failed to quell speculation about mounting losses and a plunge in its stock price.
Callan’s credibility was publicly challenged in a May speech by hedge-fund manager David Einhorn, whose Greenlight Capital LLC had bet that Lehman shares would fall. Einhorn said Callan spoke with him privately and then later changed her story about how the firm had valued a private equity investment.
Since Lehman’s bankruptcy, Callan has been among about a dozen former executives who have been subpoenaed to testify before grand juries, a person familiar with the matter said in October. Proskauer Rose LLP’s Robert Cleary, Callan’s lawyer, didn’t return a call seeking comment.
Credit Suisse hired Callan, who advised hedge funds at Lehman before her promotion to CFO, to run a unit that advises hedge funds. She was recruited in July, about a month after her demotion at Lehman, and she started at Credit Suisse in September.
how about they also give back the money they got via the takeover of AIG and the satisfaction of the variety of exotic insurance they invoked. I do not know the exact sum, but on the first day of AIG conservatorship GS got 37bn. They should have to give that back too. Filthy animals. Goldman is soooooo smart. More like Goldman was more leveraged and “hedged” through AIG. This is nonsense.
Send in the lycans.
GS is going to be home for purum.
Finance is going to become a utility
Aside from holding deposits, its just
got no value anymore.
loves it
No, it’s not retroactive. But I believe buy giving up assets to the “bad bank” it acts as a form of receiving the new tarp funds under the new provisions. Thus, you are in fact fccked. Just a thought.
@ 23; wrong. thanks for playing though.
Callan leaving because Hedge Funds blew up. WTF can she be doing there exactly? Other than cashing a big check?
@10 … Bess doesn’t want to be ‘outed’
;-x
(Just kidding, Sweetie. You know I’d short myself for ‘ya)
GS is going to be tempted to get more TARP money. It’s going to be more than $350 billion and so if their competitors will play, they have to play. Otherwise the lawyers are on call to file new class action suits against GS management.
@24, 23 here…explain financial guru, it was only my quick take on it. If you have a better analysis, I’m sure we could all benefit.
1. Give TARP money back to the government
2. Pay excessive bonuses
3. Acknowledge that they are in deeper shit than they thought they were
4. Beg for TARP money
5. Rinse and repeat as necessary
@1: jawohl! herr kommandant!
id love to give the money back too – as long as you continue to a) fund my entire balance sheet and b) guarantee all the debt i’ll be borrowing for a few years. Since they don’t have to satisfy Tier I ratios for a while – they can pay this back – still avail themselves of all the Fed support mechanisms (i.e. donations) and continue to pay out as desired. No way LB is going to pay the #6 guy $45mm when he’s only pulling down $500k and some long ass dated restricted stock with hooks in it.
@ — er, well, @ all:
Reading your postings on Goldman, TARP, the so-called financial crisis – it’s a bit as I’d imagine my 2-year old niece would sound trying to explain inflation. Here is some advice: turn off the computers and run, don’t walk, to the nearest library. I’d start with the dictionary (and for fuck’s sake the Elements of Style) and go from there. At least get at least a cursory understanding of what the hell you’re talking about, as soon as possible, lest you continue to sound like a bunch of whiny, uneducated peasants. (I assume if you did know what you’re talking about you’d be busy, you know, doing something productive between the hours of 9 and 5.)
@ — er, well, @ all:
Reading your postings on Goldman, TARP, the so-called financial crisis – it’s a bit as I’d imagine my 2-year old niece would sound trying to explain inflation. Here is some advice: turn off the computers and run, don’t walk, to the nearest library. I’d start with the dictionary (and for fuck’s sake the Elements of Style) and go from there. At least get at least a cursory understanding of what the hell you’re talking about, as soon as possible, lest you continue to sound like a bunch of whiny, uneducated peasants. (I assume if you did know what you’re talking about you’d be busy, you know, doing something productive between the hours of 9 and 5.)
Nice program.I think that this thought is praised in the forex signals marketing and people will be interested in this.
Thanks for this information.