Fed Asks Goldman, JP Morgan To Lend To AIG

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We're not out of this yet. The Wall Street Journal is reporting that the Federal Reserve has asked Goldman Sachs and J.P. Morgan Chase to help make $70-$75 billion in loans available to the AIG. The report cites those "people familiar with the situation" who are the only ones who know anyone these days.
Morgan Stanley is playing an advisory role to the Fed on the AIG situation, much as it did with Fannie Mae and Freddie Mac.This strikes us as an excellent way to prevent yourself from being in the awkward position of having to tell the Fed you don't really feel like loaning a faltering insurance company a few tens of billions of dollars.
"Hey, Tim. We've been looking at the books and we decided you should totally get Jamie and Lloyd to fork over the cash. Love ya, John Mack."
Goldman, J.P. Morgan Are Asked To Lead $75 Billion AIG Loan Effort [Wall Street Journal]

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