so they had gotten tarp money as well as bailout money? how is that fair? WOW! the taxpayer should have held 100% stock in this company just because. in reality, we should have let them fall out to bankruptcy. it might have save us taxpayers the grief of seeing our money wasted on private industry instead of lowering our defecit.
Let’s see..when AIG accomplished the 1 to 20 reverse split in January of 2009, they did so in order to prevent NYSE from de-listing their shares. In fact the physical value predicated upon the reverse split has held AIG shares in the range of $ 2. to $ 2.25. With the Governments hold of some $11.2 billion in warrants and their ownership now of 92% ( which by the way jumped from the originating 79.9% using the same collateral, but whose counting ) the diminished value of AIG shares at this junction is around $ .40 give or take. The Government claims they’ll sell these shares at a strike price of $ 45, with institutions such as JPMorgan Chase as one of the lead runners. If you really look at this with any sense, these folks have to be absolutely nuts. The possibility of the taxpayer ever getting back anywhere near the $ 182,4 billion looks slim? Slim isn’t even a word in this case. Sanford Bernstein Group had it right back in 2010 when they called the Chartis Group short some $11.5 billion in reserves, the 4thQ addition was simply another smoke and mirrors launch of what may well be the demise of Chartis whose ability to continue as a quantitative insurer grows weaker as each day passes.
Nobody thought they would be paying ANY money back when this all went down in 2008. Remember, this was not about AIG but about the money they owed Goldman Sachs. If AIG tanked, so would Goldman. Coming on the heals of the Bear Stearns and Lehman failures, nobody knew the affect on wall street a Goldman failure would have had. This deal originated Hank Paulson, not Tim Gietner. Nobody had an instruction manual explaining the correct course of action at the time all of this went down. None of the simpletons (myself included) who post on this site would have a clue on what the right course of action was. At least Chartis getting reality and moving up their reserves.
There is no way the taxpayers will ever see all of the 182 Billion returned no matter how many assets are sold or other complicated financial maneuvering with stock switches or sales. My guess is that Geightner will end up forgiving the balance due at some point and call it a win for the country. AIG/Chartis is still in a weak position and the jury is out whether they will regain their former status before the trouble.
My eyes start to glaze over when I try to understand all the financial conversions and fandangling they have done. You need to have financial degrees to follow the trail of this stuff. I suppose that is what they are counting on- that taxpayers won’t know when we get shorted.
It is kind of like Obama answering a simple question and going on for 15-20 minutes. Nobody understood what he said. He complained that people didn’t understand the Healthcare Law and perhaps he just didn’t communicate it well enough. They passed it so we could see what is in it and now look what we have. AIG is much the same way and lawyers will make it as complicated as possible so we don’t get how they stole our money.
so they had gotten tarp money as well as bailout money? how is that fair? WOW! the taxpayer should have held 100% stock in this company just because. in reality, we should have let them fall out to bankruptcy. it might have save us taxpayers the grief of seeing our money wasted on private industry instead of lowering our defecit.
What is Timothy Turbo Tax doing with this money? Is he reducing the deficit with it or putting it into Obama’s slush fund to promote the agenda?
Let’s see..when AIG accomplished the 1 to 20 reverse split in January of 2009, they did so in order to prevent NYSE from de-listing their shares. In fact the physical value predicated upon the reverse split has held AIG shares in the range of $ 2. to $ 2.25. With the Governments hold of some $11.2 billion in warrants and their ownership now of 92% ( which by the way jumped from the originating 79.9% using the same collateral, but whose counting ) the diminished value of AIG shares at this junction is around $ .40 give or take. The Government claims they’ll sell these shares at a strike price of $ 45, with institutions such as JPMorgan Chase as one of the lead runners. If you really look at this with any sense, these folks have to be absolutely nuts. The possibility of the taxpayer ever getting back anywhere near the $ 182,4 billion looks slim? Slim isn’t even a word in this case. Sanford Bernstein Group had it right back in 2010 when they called the Chartis Group short some $11.5 billion in reserves, the 4thQ addition was simply another smoke and mirrors launch of what may well be the demise of Chartis whose ability to continue as a quantitative insurer grows weaker as each day passes.
Nobody thought they would be paying ANY money back when this all went down in 2008. Remember, this was not about AIG but about the money they owed Goldman Sachs. If AIG tanked, so would Goldman. Coming on the heals of the Bear Stearns and Lehman failures, nobody knew the affect on wall street a Goldman failure would have had. This deal originated Hank Paulson, not Tim Gietner. Nobody had an instruction manual explaining the correct course of action at the time all of this went down. None of the simpletons (myself included) who post on this site would have a clue on what the right course of action was. At least Chartis getting reality and moving up their reserves.
I’ll tell you one thing. This country would’ve been a lot better off had Goldman indeed been let to fail. Good read if you have time.
http://www.rollingstone.com/politics/news/the-great-american-bubble-machine-20100405
There is no way the taxpayers will ever see all of the 182 Billion returned no matter how many assets are sold or other complicated financial maneuvering with stock switches or sales. My guess is that Geightner will end up forgiving the balance due at some point and call it a win for the country. AIG/Chartis is still in a weak position and the jury is out whether they will regain their former status before the trouble.
My eyes start to glaze over when I try to understand all the financial conversions and fandangling they have done. You need to have financial degrees to follow the trail of this stuff. I suppose that is what they are counting on- that taxpayers won’t know when we get shorted.
It is kind of like Obama answering a simple question and going on for 15-20 minutes. Nobody understood what he said. He complained that people didn’t understand the Healthcare Law and perhaps he just didn’t communicate it well enough. They passed it so we could see what is in it and now look what we have. AIG is much the same way and lawyers will make it as complicated as possible so we don’t get how they stole our money.