Comments on: Lehman survival in doubt http://blownmortgage.com/2008/09/11/lehman-survival-in-doubt/ #1 Free Home Loan Modification & Debt Relief Help For US Home Owners - Truths, Facts & News About the Mortgage Industry Fri, 20 Nov 2009 00:20:49 -0700 http://wordpress.org/?v=2.8.3 hourly 1 By: morganb http://blownmortgage.com/2008/09/11/lehman-survival-in-doubt/comment-page-1/#comment-13126 morganb Sat, 13 Sep 2008 03:05:15 +0000 http://blownmortgage.com/?p=1278#comment-13126 Ann, you're right. The FDIC has already shown that it's been willing to work more closely with IndyMac borrowers than the servicing departments. Will option arm holders get 1% interest rates for 30-years to stay in their houses? Will this be the ultimate definition of moral hazard? It will be interesting to see which way the FDIC goes with it. Ann, you're right. The FDIC has already shown that it's been willing to work more closely with IndyMac borrowers than the servicing departments. Will option arm holders get 1% interest rates for 30-years to stay in their houses? Will this be the ultimate definition of moral hazard? It will be interesting to see which way the FDIC goes with it.

]]> By: mikew http://blownmortgage.com/2008/09/11/lehman-survival-in-doubt/comment-page-1/#comment-13127 mikew Fri, 12 Sep 2008 12:14:40 +0000 http://blownmortgage.com/?p=1278#comment-13127 This is sad news. However, we have seen this as a strong possiblity since the collaspe of Bear Stearns in March. <br><br>We also are prepared for a few large banks to collaspe as well as many smaller banks. The fed has been quite vocal on this for some time. We simply have too many banks in the system. Lehman and Bear were the most aggressive in lending. Wamu was certainly very agressive in lending. I can remember when their strategy was to simply buy every strong lender they could. Wachovia is more of the same. All of these institutions failed to practice conservative fundamental business policies. <br><br>The banks that are the strongest today are those that resisted the temptation for the greed of the fast and easy housing market. These conservative banks are now picking up these failed banks for pennys on the dollar. This is a good thing. <br><br>What I am most encouraged by is the Fed saying they wont bail them out. Thats very important. Thats the best way to bring this to an end quicker. This is sad news. However, we have seen this as a strong possiblity since the collaspe of Bear Stearns in March.

We also are prepared for a few large banks to collaspe as well as many smaller banks. The fed has been quite vocal on this for some time. We simply have too many banks in the system. Lehman and Bear were the most aggressive in lending. Wamu was certainly very agressive in lending. I can remember when their strategy was to simply buy every strong lender they could. Wachovia is more of the same. All of these institutions failed to practice conservative fundamental business policies.

The banks that are the strongest today are those that resisted the temptation for the greed of the fast and easy housing market. These conservative banks are now picking up these failed banks for pennys on the dollar. This is a good thing.

What I am most encouraged by is the Fed saying they wont bail them out. Thats very important. Thats the best way to bring this to an end quicker.

]]> By: Ann http://blownmortgage.com/2008/09/11/lehman-survival-in-doubt/comment-page-1/#comment-13124 Ann Fri, 12 Sep 2008 08:41:27 +0000 http://blownmortgage.com/?p=1278#comment-13124 I agree Keith, the private jets are taking off as we speak for the secret meeting... I agree Keith, the private jets are taking off as we speak for the secret meeting…

]]> By: Ann http://blownmortgage.com/2008/09/11/lehman-survival-in-doubt/comment-page-1/#comment-13125 Ann Thu, 11 Sep 2008 23:10:12 +0000 http://blownmortgage.com/?p=1278#comment-13125 But wasn't it only a few days ago..Sunday...the cure all was the FED take over of Fannie and Freddie..how quickly that has faded away...didn't even take a week...<br><br>More to come in this industry and none of it will be pretty for at least another year...between bank failures and the wave of Option ARMS that will hit soon..<br><br>Best thing that could happen is the take over by the FDIC...who will be more proactive in working with these Option Arm people who will topple what we saw in subprime and will discover what is REALLY on the books.<br><br>This only goes to show that the top 1% of the company didn't give a damn about the stockholders and will instead bail with ton$ of moneyand future postions provided by the good ole boy club...Sad to see the days of proactive boards and attitudes of saving companies have become extinct..as the movie Wall Street proclaimed GREED IS GOOD...but it depends on which side of fence you are... But wasn't it only a few days ago..Sunday…the cure all was the FED take over of Fannie and Freddie..how quickly that has faded away…didn't even take a week…

More to come in this industry and none of it will be pretty for at least another year…between bank failures and the wave of Option ARMS that will hit soon..

Best thing that could happen is the take over by the FDIC…who will be more proactive in working with these Option Arm people who will topple what we saw in subprime and will discover what is REALLY on the books.

This only goes to show that the top 1% of the company didn't give a damn about the stockholders and will instead bail with ton$ of moneyand future postions provided by the good ole boy club…Sad to see the days of proactive boards and attitudes of saving companies have become extinct..as the movie Wall Street proclaimed GREED IS GOOD…but it depends on which side of fence you are…

]]> By: Keith Burwell http://blownmortgage.com/2008/09/11/lehman-survival-in-doubt/comment-page-1/#comment-13123 Keith Burwell Thu, 11 Sep 2008 18:48:20 +0000 http://blownmortgage.com/?p=1278#comment-13123 Don't we have to wait until the weekend? I think the pattern is "all quiet on the western front" until Friday at 5pm EST. Then the FDIC gets to work, assets are seized, banks sold, and all without the pesky stock market to react. Don't we have to wait until the weekend? I think the pattern is “all quiet on the western front” until Friday at 5pm EST. Then the FDIC gets to work, assets are seized, banks sold, and all without the pesky stock market to react.

]]> By: Stephen Politowicz http://blownmortgage.com/2008/09/11/lehman-survival-in-doubt/comment-page-1/#comment-13122 Stephen Politowicz Thu, 11 Sep 2008 17:46:43 +0000 http://blownmortgage.com/?p=1278#comment-13122 Add one more to the growing conga line of failing banks....Woohoo WaMu should be next. As for Lehman, there's an old song that's appropriate right now...<br><br>"Oh beat the drums slowly<br> and play the pipes o'er me.<br>Play the death march as they<br>carry me along.<br>Put bunches of roses all over<br>my coffin.<br>Roses to deaden...the bonuses now gone!"<br><br>I've heard there are several parties interested in the carcass of IndyMac, and the FDIC wants any bids in by 10/15...cause they think they're going to have a VERY busy holiday season. Add one more to the growing conga line of failing banks….Woohoo WaMu should be next. As for Lehman, there's an old song that's appropriate right now…

“Oh beat the drums slowly
and play the pipes o'er me.
Play the death march as they
carry me along.
Put bunches of roses all over
my coffin.
Roses to deaden…the bonuses now gone!”

I've heard there are several parties interested in the carcass of IndyMac, and the FDIC wants any bids in by 10/15…cause they think they're going to have a VERY busy holiday season.

]]> By: morganb http://blownmortgage.com/2008/09/11/lehman-survival-in-doubt/comment-page-1/#comment-13121 morganb Thu, 11 Sep 2008 17:04:40 +0000 http://blownmortgage.com/?p=1278#comment-13121 You're right Fielding - after their spasms to raise a bunch of capital quickly they've been eerily quite. Too big to fail??? Hmmm..... doubt it. You're right Fielding – after their spasms to raise a bunch of capital quickly they've been eerily quite. Too big to fail??? Hmmm….. doubt it.

]]> By: Fielding Mellish http://blownmortgage.com/2008/09/11/lehman-survival-in-doubt/comment-page-1/#comment-13120 Fielding Mellish Thu, 11 Sep 2008 15:59:07 +0000 http://blownmortgage.com/?p=1278#comment-13120 We haven't heard much lately about the ~ $1 trillion in off-balance-sheet Citibank assets. That's trillion with a " T ". My guess is that that's the big untold story. And Paulson & co. may not even have it on their radar (yet). We haven't heard much lately about the ~ $1 trillion in off-balance-sheet Citibank assets. That's trillion with a ” T “. My guess is that that's the big untold story. And Paulson & co. may not even have it on their radar (yet).

]]> By: morganb http://blownmortgage.com/2008/09/11/lehman-survival-in-doubt/comment-page-1/#comment-13119 morganb Thu, 11 Sep 2008 14:56:17 +0000 http://blownmortgage.com/?p=1278#comment-13119 It really just goes to show that we have no clue what's next. Frightening. It really just goes to show that we have no clue what's next. Frightening.

]]> By: Don http://blownmortgage.com/2008/09/11/lehman-survival-in-doubt/comment-page-1/#comment-13118 Don Thu, 11 Sep 2008 14:29:48 +0000 http://blownmortgage.com/?p=1278#comment-13118 Morgan, I totally agree!!! Wow, LEH is trading at $4.96 a share right now. And the other news is WAMU, which is trading at $2.16 right now. It better find a buyer quick or watch the FDIC come in either tomorrow or next week.<br><br>This is breathtaking................ Morgan, I totally agree!!! Wow, LEH is trading at $4.96 a share right now. And the other news is WAMU, which is trading at $2.16 right now. It better find a buyer quick or watch the FDIC come in either tomorrow or next week.

This is breathtaking…………….

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