Treasury Secretary Tim Geithner will announce his bank recovery plans Monday. Speculation has ranged from an RTC-like entity to buy illiquid assets from banks helping them shore up balance sheets and get back to core activities (the original goal of the TARP) to directly investing in banks to recapitalize them (the way TARP phase 1
Here’s a good link from the Washington Post about the bank package and executive compensation.
JPMorgan Chase has posted a surprise profit for 2008. Wall Street was shocked by the bank’s radical business plan that included not paying $100 million bonuses to failed executives and only lending money to people who could pay it back. Fifth Third Yesterday Fifth Third Bancorp, Ohio’s second largest bank, announced that they had lost
Yesterday the Fed and Treasury departments proposed massive financial stability measures, including a short-selling ban on financial stocks, a plan to back money market funds for consumers and institutions, and a facility under which financial firms can unload debt they can’t otherwise move to the Fed and Treasury. This last component is a way of