Signing books in front of Times headquarters until early Christmas morning.Turns out the banks have found a way to make escaping TARP profitable both for themselves and their bonus-receiving employees. Whoever would have guessed?
None but the intrepid Andrew Ross Sorkin, out to prove that he's no tool of the Wall Street CEOs who love him so.
Here's what the post-bailout bonanza means for all the banks that helped find investors for the new shares: Bank of America's $19.3 billion offering generated $482 million in fees; Citigroup's $17 billion offering resulted in $425 million in fees; and Wells Fargo's $12.2 billion offering led to $275.6 million in fees. (The banks paid themselves roughly 2.5 percent of the offering price.)...
Those fees are likely to factor into the bonuses for the investment bankers involved.
The bastards! But it gets worse. With all of this funny stuff going on, how will we ever fairly measure one banker against another? For one all-important metric is in serious trouble.
These outsize fees are even providing a bit of funhouse-mirror distortion to so-called league tables, which rank banks based on the size of the deals they handle each quarter....
Consider this: Citigroup, which has long be an also-ran when it comes to stock offerings, is ranked No. 4 by Dealogic, which tracks financial data, leapfrogging the likes of stalwarts like Morgan Stanley.