Government to back $306 billion in Citi loans

[evanovitch]

WASHINGTON - The government unveiled a bold plan Sunday to rescue troubled Citigroup, including taking a $20 billion stake in the firm as well as guaranteeing hundreds of billions of dollars in risky assets.

The action, announced jointly by the Treasury Department, the Federal Reserve and the Federal Deposit Insurance Corp., is aimed at shoring up a huge financial institution whose collapse would wreak havoc on the already crippled financial system and the U.S. economy.

The sweeping plan is geared to stemming a crisis of confidence in the company, whose stocks has been hammered in the past week on worries about its financial health

[evanovitch]

Re: Government to back $306 billion in Citi loans

so mi watching di news an mi haffi wonda how a bank supposedly wid 2 trillion in assets haffi gi bail out...but den , nobody really know dem worth..banks lie so much an it a come bak to bite dem

[evanovitch]

Re: Government to back $306 billion in Citi loans

this is second bailout given to Citi in as many months...wat up wid dat...again, how u claim 2 trillion in assets but deh pon a slippery slope...hope dem tek bak alll dem bonuses fi ovainflate dem assets if dis is di case

an di Prez is saying dat more bailouts might be on di way...maybe Bush doing all di unpopular bailouts since him is a lame duck prez...weh dem a go do...him naw run fi reelection

[Andrewnaqi]

Re: Government to back $306 billion in Citi loans

the banks succeed in making suckers of the people again.

[julie*mango]

Re: Government to back $306 billion in Citi loans

where the hell is my bailout?

[Seveen]

Re: Government to back $306 billion in Citi loans

the bailout is not going to stop the 53,000 people that will get laid off

my last day is tomorrow!

[Andrewnaqi]

Re: Government to back $306 billion in Citi loans

sorry to hear Seveen, but that is what i mean all these billions a dollars and the big heads will still get their bonus and the 50 odd thousand will still get a boot.

[Tuff Gong]

Re: Government to back $306 billion in Citi loans

I did say CITI was in trouble...too much Mortgage exposure and no retail to speak of in the USA. If they had being able to swing the deal with Wachovia they would have had a better change.

As I said before lots of sinking ships rescuing other sinking ships. Citi's boss did not he know his bank was so exposed in the Mortgage Securities and that these so-called Securities was nothing but junk.