Britain to nationalize mortgage lender

[patientlywaiting]

From the article:
“However, critics said that the temporary nationalization proposed by the government could last years as Northern Rock’s new management seeks to pay back around 55 billion pounds ($107 billion) via loans from the Bank of England and deposit guarantees.”

http://news.yahoo.com/s/afp/20080218/wl_uk_afp/britainbankingnationalisationcompany_080218132113?
“It has since borrowed an estimated 26 billion pounds from the British central bank, although media reports have put the actual liability to taxpayers at 55 billion pounds or
higher.”

*

Looks like that one bank is losing just about the amount that all US banks have written off so far.

It’s unclear how much the UK gov’t will be able to sell Northern Rock for but it’s gonna be a big chunk for the taxpayers to absorb.

To put it into context the US stimulus package will cost $168 billion. Nothern Rock alone is cost the brits $107 billion or 64% of the stimulus package.

[Deal Hunter]

The numbers are not even close. The US bank write-offs are $1 Trillion so far. Remember LTCM? That was also $1 Trillion and that was just one hedge fund. We’re talking about the total of $11 Trillion in mortgage debt in the top 5 US banks.

As of January 2008, write offs are estimated to be $244 Billion from subprime and $700 billion from derivatives. My bets for banks that will close shop this year are Morgan Stanley and Citigroup.

[Deal Hunter]

The numbers are not even close. The US bank write-offs are $1 Trillion so far. Remember LTCM? That was also $1 Trillion and that was just one hedge fund. We’re talking about the total of $11 Trillion in mortgage debt in the top 5 US banks.

As of January 2008, write offs are estimated to be $244 Billion from subprime and $700 billion from derivatives. My bets for banks that will close shop this year are Morgan Stanley and Citigroup.

[Deal Hunter]

The numbers are not even close. The US bank write-offs are $1 Trillion so far. Remember LTCM? That was also $1 Trillion and that was just one hedge fund. We’re talking about the total of $11 Trillion in mortgage debt in the top 5 US banks.

As of January 2008, write offs are estimated to be $244 Billion from subprime and $700 billion from derivatives. My bets for banks that will close shop this year are Morgan Stanley and Citigroup.

[Deal Hunter]

The numbers are not even close. The US bank write-offs are $1 Trillion so far. Remember LTCM? That was also $1 Trillion and that was just one hedge fund. We’re talking about the total of $11 Trillion in mortgage debt in the top 5 US banks.

As of January 2008, write offs are estimated to be $244 Billion from subprime and $700 billion from derivatives. My bets for banks that will close shop this year are Morgan Stanley and Citigroup.

[Deal Hunter]

The numbers are not even close. The US bank write-offs are $1 Trillion so far. Remember LTCM? That was also $1 Trillion and that was just one hedge fund. We’re talking about the total of $11 Trillion in mortgage debt in the top 5 US banks.

As of January 2008, write offs are estimated to be $244 Billion from subprime and $700 billion from derivatives. My bets for banks that will close shop this year are Morgan Stanley and Citigroup.

[patientlywaiting]

I wouldn’t be surprised that losses will be in the trillions.

But how much was written off so far? I don’t following banking but I’d love to know. I keep reading $100 billion so far with 300 billion to go.

http://articles.moneycentral.msn.com/Investing/CompanyFocus/WhosToBlameForTheMortgageMess.aspx

Looks like the updated amount is $175 billion so far?

http://money.cnn.com/2008/02/11/news/companies/writedowns/index.htm?section=money_topstories

[patientlywaiting]

I wouldn’t be surprised that losses will be in the trillions.

But how much was written off so far? I don’t following banking but I’d love to know. I keep reading $100 billion so far with 300 billion to go.

http://articles.moneycentral.msn.com/Investing/CompanyFocus/WhosToBlameForTheMortgageMess.aspx

Looks like the updated amount is $175 billion so far?

http://money.cnn.com/2008/02/11/news/companies/writedowns/index.htm?section=money_topstories

[patientlywaiting]

I wouldn’t be surprised that losses will be in the trillions.

But how much was written off so far? I don’t following banking but I’d love to know. I keep reading $100 billion so far with 300 billion to go.

http://articles.moneycentral.msn.com/Investing/CompanyFocus/WhosToBlameForTheMortgageMess.aspx

Looks like the updated amount is $175 billion so far?

http://money.cnn.com/2008/02/11/news/companies/writedowns/index.htm?section=money_topstories

[patientlywaiting]

I wouldn’t be surprised that losses will be in the trillions.

But how much was written off so far? I don’t following banking but I’d love to know. I keep reading $100 billion so far with 300 billion to go.

http://articles.moneycentral.msn.com/Investing/CompanyFocus/WhosToBlameForTheMortgageMess.aspx

Looks like the updated amount is $175 billion so far?

http://money.cnn.com/2008/02/11/news/companies/writedowns/index.htm?section=money_topstories

[patientlywaiting]

I wouldn’t be surprised that losses will be in the trillions.

But how much was written off so far? I don’t following banking but I’d love to know. I keep reading $100 billion so far with 300 billion to go.

http://articles.moneycentral.msn.com/Investing/CompanyFocus/WhosToBlameForTheMortgageMess.aspx

Looks like the updated amount is $175 billion so far?

http://money.cnn.com/2008/02/11/news/companies/writedowns/index.htm?section=money_topstories

[34f3f3f]

I visited the Northern Rock site, and the first thing that greets you is a message assuring depositors. Weird! I did manage to glean from the site that “temporary national ownership” will last for as long as credit problems persist, or words to that effect. And for any one who may have been interested in their new security guarantee, US residents can’t open an account with them for some reason. As to whether UK lending standards are tighter or more lax than the US, I’m not sure how you would go about measuring this except in the mess it usually leaves behind, so it’s a case of wait and see.

[34f3f3f]

I visited the Northern Rock site, and the first thing that greets you is a message assuring depositors. Weird! I did manage to glean from the site that “temporary national ownership” will last for as long as credit problems persist, or words to that effect. And for any one who may have been interested in their new security guarantee, US residents can’t open an account with them for some reason. As to whether UK lending standards are tighter or more lax than the US, I’m not sure how you would go about measuring this except in the mess it usually leaves behind, so it’s a case of wait and see.

[34f3f3f]

I visited the Northern Rock site, and the first thing that greets you is a message assuring depositors. Weird! I did manage to glean from the site that “temporary national ownership” will last for as long as credit problems persist, or words to that effect. And for any one who may have been interested in their new security guarantee, US residents can’t open an account with them for some reason. As to whether UK lending standards are tighter or more lax than the US, I’m not sure how you would go about measuring this except in the mess it usually leaves behind, so it’s a case of wait and see.

[34f3f3f]

I visited the Northern Rock site, and the first thing that greets you is a message assuring depositors. Weird! I did manage to glean from the site that “temporary national ownership” will last for as long as credit problems persist, or words to that effect. And for any one who may have been interested in their new security guarantee, US residents can’t open an account with them for some reason. As to whether UK lending standards are tighter or more lax than the US, I’m not sure how you would go about measuring this except in the mess it usually leaves behind, so it’s a case of wait and see.

[Author]

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