God bless America, and up yours, Congress!

On September 16th, 2008 at 9:45 pm, mistressjustice said:

Perhaps we should worry about financial independence as much as energy independence. Neither candidate has a plan that has any realistic shot at getting us out of debt. Infact, most experts say both plans will increase the debt further.

I agree with your point, mistressjustice.

AIG said it paid a $47 million severance package to former Chief Executive Martin J. Sullivan.

Sullivan, who left his position in mid-June after two quarters of record losses at AIG will receive severance of $15 million, and a bonus of $4 million for the portion of the year he worked, according to a regulatory filing.

Sullivan also will hold on to outstanding equity and long-term cash awards valued at about $28 million, the filing said.

I wish I could get punished like that for screwing up.

much of what is written above indicates a lack of understanding of how insurance companies and the secondary financial markets operate, as well as the implications of an AIG failure on the markets as a whole and therefore all of us.

I understand that once we announce that various allegedly private companies will not be allowed to fail, we have adapted socialism. I suspect that you lack an understanding of the implications of that.

Associated Press: The Federal Reserve has reached a deal with AIG to loan them $85 billion in exchange for 80% ownership of the company. The Fed’s main interest in the AIG buyout, according to the AP, is to avoid undermining the already fragile markets.

It’s worth noting that we don’t have any money. We’re in debt. So where will the $85 billion come from? We’ll borrow it from China, probably. Kind of like how all these people bought houses that they couldn’t afford, and that led to the current housing crisis, America is now buying companies it can’t afford. I’m not taking a stance on this either way, obviously there are many issues at play here. I’m just pointing out that people seem to be ignoring the fact that we are $9 trillion in debt, and that all of our money is now coming from China. Perhaps we should worry about financial independence as much as energy independence. Neither candidate has a plan that has any realistic shot at getting us out of debt. Infact, most experts say both plans will increase the debt further.

But should the firm fail, and put another several thousand people out of work instead of having the rules modified so that they can borrow from their own NY subsidiaries? Unless AIG’s NY policyholders start dying in droves, they will be able to put these assets back before they are needed.

Yes, that system has worked so well for Social Security, hasn’t it?

Drudge is reporting that the Fed is going to bail them out.

Local barter system/underground economy anyone?

On September 16th, 2008 at 7:51 pm, EdDantes said:

Perhaps we’re not over the concept of high risk lending…

I don’t think they teach that concept in Ivy League business schools. However, I’ve heard you can major in corporate fraud and misfeasance.

On September 16th, 2008 at 2:34 pm, mom2jack said:

My mother has a SunAmerica-AIG retirement fund. All her funds are there. I was just appointed POA because she suffered a stroke 4 weeks ago and has entered hospice. All the money to provide 24/7 care for her is coming from this retirement account. I don’t know anything about this financial stuff. I’m sure she lost money yesterday. Can anyone advise me on what or if there is anything I should do? I am meeting with her financial planner later this week, but right now I just feel sick.

mom2jack, I’m very sorry about your mother’s health. However, I think it’s a bit too early to assume any capital losses in her AIG account. Even further deterioration of AIG’s situation might not put her account at risk. You should probably heed the advice of your financial planner, but I don’t think you need to do anything rash prior to your meeting later in the week.

RabbidSquirrel said:
On September 16th, 2008 at 2:43 pm, TexasEngineer said:

LOL…none of the above.
Pirates.
OK off of 175

Former Tiger….

You got it!! I had family in Tiger Town…all dead and gone now. Maternal grandparents were graduates of Mabank and Kemp.
Always good to find another Kaufman County type floating around out here.