By tomorrow morning there should be some clarification on this, but for the time being the GMAC debt swap/government investment/bank holding company status just gets curiouser and curiouser. The word tonight is that the government has committed $6 billion to GMAC in the form of a $5 billion preferred equity investment and a $1 billion […]
Archive for December 29th, 2008
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One More Reason Chapter 11 Is The Right Solution
Posted by Tom Lindmark on December 29th, 2008
Bloomberg has a story about GM and Chrysler grappling with how to trim their dealer network. It has to be done but it isn’t easy as state franchise laws protect the dealers. Restructuring the network of independent retailers is more difficult than negotiating with bondholders or the United Auto Workers union, which can bargain as […]
Manipulating Bank Financial Statements
Posted by Tom Lindmark on December 29th, 2008
The post below this one spotlights a guy who is calling bank stocks a good buy. This post might convince you to never buy a single share of a bank ever again. We are going to be dealing with a couple acronyms so let’s get them out of the way upfront. The first is IASB […]
One Analyst Thinks Banks Are A Steal
Posted by Tom Lindmark on December 29th, 2008
I don’t know if this guy is smoking something illegal or if he has insights that everyone else has missed, but he deserves a hearing on guts alone. Richard Bove, a bank analyst thinks bank stocks are an excellent value and that the negative assumptions about the U.S. economy may be excessive. Mr. Bove sees […]
