• News

    You Don’t Have TARP’s Automotive Industry Financing Program To Kick Around Anymore

    Or Ally Financial, for that matter. (Well, you can continue to kick Ally Financial around, but if you’d like to do so as a shareholder, which every American citizen has sort of been for the last six years, you’ll actually have to buy your own shares now.)

    / Dec 22, 2014 at 5:02 PM
  • This is about as dramatic as pictures of Jefferies get


    Federal Prosecutors Don’t Appreciate Former Jefferies Trader’s Vivid Imagination

    The Journal had an article this morning about how cash equities traders are getting used to having computers as coworkers but I say unto you: can a computer do this?1 52. On March 31, 2010, Customer A, an investment adviser to a private fund, asked Jefferies to find buyers for several MBS, including Lehman XS […]

    / Jan 28, 2013 at 5:31 PM
  • The 2013 model.


    GM Is Buying Some Stock

    One thing to savor about Treasury’s plan to get out of GM is how many corporate-governance hot buttons it gently caresses. “GM will purchase 200 million shares of GM common stock from Treasury at $27.50 per share” translates into news reports as “Treasury is losing a bazillion dollars,” since after all Treasury paid rather more […]

    / Dec 20, 2012 at 11:01 AM
  • Today the blue line reaches zero and the circle of life is complete


    AIG’s Remaining Bailout Reduced To Rounding Error

    A while back I built a spreadsheet to do math about AIG, and it took me a long time and led to basically one short post with what I still think was a rather lovely blobby picture, so I’m just going to shamelessly reuse that spreadsheet with slight updates and be all OOH LOOK AN […]

    / Dec 11, 2012 at 5:47 PM
  • Banks, News

    Surprisingly, Treasury Purchases Of Goldman Sachs Preferred Stock Did Not Increase Small Business Lending

    Why would you bail out a bank? Theories abound; perhaps you want to keep the capital markets functioning, or prevent contagion to other systemically important financial institutions, or perhaps you just like banks and bankers and would be sad if there were fewer of them or they had less money. Somewhat less likely, you could […]

    / Nov 12, 2012 at 3:23 PM
  • Help me pick a color scheme for these charts in Google. I miss gStyle.


    Sheila Bair Still Feels Bad That JPMorgan Was Forced To Take Cheap Capital To Help Out Citi

    Being in certain rooms at certain times seems to be a good predictor of selling a book. Bin Laden’s bedroom on the night of his death is an obvious one, and various days in the Oval Office have or may soon have their chroniclers, though the world still awaits the unabridged memoirs of the guy […]

    / Sep 20, 2012 at 4:42 PM
  • Banks, News

    Treasury Wants To Make Banks Boring Again By Selling CDOs Of Community-Bank Hybrid Capital Instruments

    “Make banking boring again” is a favorite reaction to news that JPMorgan was screwing up its VaR modelling of its attempt to get long gamma with improperly delta-hedged tranches of the CDX.NA.IG.9 and, sure, maybe, but don’t tell Treasury: The U.S. Treasury may pool stakes in small banks bailed out during the financial crisis to […]

    / May 17, 2012 at 3:15 PM
  • Banks, News

    TARP Charts!

    The Federal Reserve has this new paper out about TARP that does a bit of highly suggestive eyebrow raising about some banks that shall remain nameless. They start from the awkward fact that TARP wanted everything in one bag but didn’t want the bag to be heavy, or as they put it:

    The conflicted nature of the TARP objectives reflects the tension between different approaches to the financial crisis. While recapitalization was directed at returning banks to a position of financial stability, these banks were also expected to provide macro-stabilization by converting their new cash into risky loans. TARP was a use of public tax-payer funds and some public opinion argued that the funds should be used to make loans, so that the benefit of the funds would be passed through directly to consumers and businesses.

    So you might reasonably ask: were TARP funds locked in the vault to return the recipient banks to financial health, or blown on loans to risky ventures, or other? Well, here is Figure 1 (aggregate commercial and industrial loans from commercial banks in the U.S.):

    So … not loaned then. But that’s not important! The authors are actually looking not primarily at aggregate amounts of loans but at riskiness of loans and here’s what they get:

    / Mar 7, 2012 at 6:06 PM
  • News

    TARP Official Resents That No One Ever Mentions Any Of The Program’s Good Qualities

    Criticism that “moral hazard” is the main legacy of U.S. taxpayer-funded bailouts is unfair, a Treasury Department official said. “We recognize that moral hazard is a real and significant concern” in the Troubled Asset Relief Program, Timothy Massad, acting assistant secretary for financial stability, said in a hearing before a House Oversight Committee panel today. […]

    / Mar 30, 2011 at 1:30 PM
  • News

    Tim Geithner’s Got Great News

    We are getting a bargain on this TARP business.

    / Dec 16, 2010 at 10:45 AM
  • News

    Dick Bové Absolutely Loved TARP

    2 thumbs way up.

    / Nov 12, 2010 at 2:45 PM
  • News

    Dick Bové: Run For Your Lives

    Please, please, PLEASE say this means he’s working on another “Who Is Next” list. Please.

    / Oct 1, 2010 at 2:41 PM
  • News

    TARP Cost Reduced by $11.4 Billion, Thanks Vikram

    The Treasury Department said on Friday that it has lowered its estimate of the projected cost of the Troubled Asset Release Program by $11.4 billion to $105.4 billion.

    / May 21, 2010 at 1:36 PM
  • News

    Few Bailed Out Bank Execs Made Good On Promises To Quit

    Remember, back in the day, when Kenneth Feinberg was named Comp Cop and everyone working at a bailed out company, who were told their asses were about to be capped, threatened to leave if he so much as dared to take a penny of their hard-earned money away? Sure you did, they wouldn’t shut up […]

    / Mar 23, 2010 at 11:00 AM
  • News

    Neil Barofksy Is Going To “Hunt Down” Each And Every Bank That Committed TARP Fraud

    Park Avenue Bank, and its former president and CEO, Charles J. Antonucci, were just the beginning. Barofksy’s got 75 investigations going, and all of you (LEWIS) have been warned. Let’s not forget, the TARP Inspector General “still has the knife from a foiled attempt on his life in a field outside Bogota.”

    / Mar 15, 2010 at 5:45 PM
  • News

    Vikram Pandit: We Won’t Need Any More TARP, We’re Slimming Down And Moving On Up In The World

    You can all stuff it! He’s not taking shit from any of you. Next question!

    / Mar 4, 2010 at 11:58 AM
  • News

    Elizabeth Warren: Are You People Blind Or Something?

    Elitzabeth Warren, the chair of the Congressional Oversight Panel for TARP, believes that the problems couldn’t be more obvious and solutions for financial regulation are as obvious but for some reason, “we can’t seem to put the two together.” “Six months ago, I thought we were on brink of financial reform, I really did,” Liz […]

    / Feb 22, 2010 at 10:49 AM
  • News

    Neil Barofksy’s Latest Musing On TARP

    SIGTARP’s Neil Barofsky released the agency’s quarterly report today and $700 billion later, this is where we stand: the program not only didn’t help anything but had an opposite effect; TARP money is being used to investigate banks’ TARP-related insider trading and Geithner is full of crap. “Even if TARP saved our financial system from […]

    / Feb 1, 2010 at 11:30 AM
  • News

    On Second Thought, We’ll Wait

    Abu Dhabi’s isn’t the only government that doesn’t want to take a huge bath on its Citigroup investment. But fortunately for Little Tim Geithner and the Treasury Boys, they don’t have to go to court to keep that from happening. They just have to hold their breath (and their 34% stake in Citi). Seems the […]

    / Dec 17, 2009 at 1:51 PM
  • News

    A Good Two Days, 10 Hours For A Sad Little Boy

    It’s been a profitable week for Little Tim Geithner and the Treasury boys. Hot on the heels of the news that it’s getting its money back from those deadbeats at Citigroup and Wells Fargo comes its successful sale of those zero-cost warrants it got from TCF Financial Corp., a Minnesota bank. The Treasury turned a […]

    / Dec 16, 2009 at 10:28 AM
  • News

    Guy Who Had To Take Restraining Order Out On Bank Of America May Be Interested In Running The Place

    Congratulations to Bank of America. Despite having been turned down by Bank of NY CEO Robert Kelly, several times, not getting the hint, and receiving a letter from Bob spelling it out that he wanted to nothing to do with you, R. Kelly has apparently reconsidered taking Ken Lewis’s job, now that TARP has been […]

    / Dec 11, 2009 at 4:47 PM
  • News

    Pay Czar Caps Asses At $500,000

    The Comp Cop has emerged from his chambers to announce that the 25th to the 100th top earners at Citi, GMAC, AIG and GM will get no more than $500,000 in cash. He’s made 12 exceptions for “competitive reasons,” i.e. the veiled threats of certain AIG employees. Also, he thinks Bank of America’s TARP repayment […]

    / Dec 11, 2009 at 11:41 AM
  • News

    Dick Bové Doesn’t Think Citi Should Repay TARP

    FYI, there’s only one bank that should be allowed to free itself of the government’s tentacles, and that’s the one lead by the most brilliant CEO in all the land, Ken Lewis. Bové told Melissa Lee the current Citi talks vis-a-vis repayment ‘make no sense.’

    / Dec 10, 2009 at 9:19 AM
  • News

    Tim Geithner’s Foot To Be Removed From Vikram Pandit’s Ass Sometime In The Very Near Future?

    Maria Bartiromo says yes! Vickles has apparently postponed his trip to Disney World, so you know this is legit. Citigroup plans to pay back some of the $45 billion in TARP money it received last year by raising capital through a stock offering of as much as $20 billion, CNBC has learned. CEO Vikram Pandit […]

    / Dec 9, 2009 at 4:07 PM
  • News

    Neel Kashkari: The Photoshoot

    Yesterday, the Washington Post treated us to an in-depth look at that $700 billion in rescue money being a number pulled out of Hank Paulson’s ass, and Neel Kashkari’s attempts to lose the weight he gained in DC while he lives in the woods and builds a shed. Now let’s take a peek at the […]

    / Dec 8, 2009 at 2:32 PM
  • News

    Citigroup And Government Not Seeing Eye To Eye On TARP Repayment

    Why (serious question) do they have to raise any capital at all? Isn’t the fact that they’re “the world’s most global bank in a world that becomes more global every day” good enough? Would a free coupon to Tickle a Vickle Town do the trick? The disagreements are related to last week’s announcement by the […]

    / Dec 7, 2009 at 5:13 PM
  • News

    Sucking Up, Making Good: A Primer From Bank Of America

    When you owe the government so much money that they are basically calling the shots, it’s not a good idea to be on their bad side. Hell may have furies worse than Tim Geithner scorned, but the little guy’s ankle-biting was bad enough for Ken Lewis & Co. So the august wise men of Charlotte […]

    / Dec 4, 2009 at 9:12 AM
  • News

    Wells Fargo Will Repay Asinine TARP Money One Day

    Wells Fargo doesn’t much care what the government thinks. It heard about Bank of America paying its TARP money back, all $45 billion. But John Stumpf, Dick Kovacevich & Co. don’t much care about that, either. They’ll pay their TARP money back whenever they goddamn well please. They didn’t want it in the first place, […]

    / Dec 3, 2009 at 5:12 PM

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