[quote=Eugene]I liked the part about FDIC being technically insolvent.
By the way, we’re also going to run out of air, so I suggest to stock up on compressed oxygen.[/quote]
Eugene: this Bud’s for you. Hope you got that compressed air handy.
“FDIC bankrupt as of 9/30/09”
“FDIC Proposes Banks Prepay Deposit Fees Through 2012
By Alison Vekshin
Sept. 29 (Bloomberg) — The Federal Deposit Insurance Corp. proposed asking banks to prepay three years of premiums to replenish reserves dented by a rash of bank failures that the agency said will cost $100 billion through 2013.
The insurance fund will run a deficit as of tomorrow after 120 banks failed in the past two years, the agency said today. Half the costs from seized banks have been incurred already and prepaying the fees will raise $45 billion, the FDIC said. The agency rejected options for a second special fee or borrowing from the Treasury Department.
“What we are proposing to do is to tap the ample liquidity of the banking industry to improve our own liquidity position without borrowing from the Treasury,” FDIC Chairman Sheila Bair said at a Washington board meeting. The agency raised its five- year loss estimate by 43 percent.”
