Lehman rescue talks adjourned

[antigop]

Source: Financial Times (ft.com)

Crisis talks between Wall Street chief executives and US authorities adjourned early on Saturday evening without an agreement on financial support for a rescue plan to save Lehman Brothers, the embattled financial group.

The talks were set to resume on Sunday morning in an effort to solve the crisis at Lehman before the markets open on Monday, according to people close to the discussions.

Wall Street firms would buy the $30bn-plus of property assets held in Lehman Brothers’ “bad bank” in order to facilitate a rescue takeover, under one of the options being discussed.

Financial chiefs have so far expressed reluctance to back the plan. They stressed that the plan to take the commercial assets of Lehman’s balance sheet, modelled on the company’s own proposal for a spin-off the assets into a listed company, was only one of the ideas being discussed and that no decision had been made.

Read more: http://www.ft.com/cms/s/0/f3586ede-80ca-11dd-82dd-000077b07658.html

[Hugin]

1. Eeew... Adjourned early without an agreement.

Not good.

[antigop]

3. Yes, adjourned for the day...the title can be misleading, I think n/t

[Demeter]

2. Lipstick! We Need MORE Lipstick!

[Hugin]

5. The redder the better, too!

[NeoConsSuck]

4. They're hoping the Fed blinks

and agrees to have the taxpayer own the subprime shit.

There are five large investment banks in this meeting. Who is at the meeting representing the taxpayer?

[DemReadingDU]

7. I think they are trying to put something together similar to Bear Stearns

Bear Stearns got JPMorgan to take the good stuff and taxpayers got the toxic waste.

Those investment banks at the meeting today are drawing straws. The short straw gets whatever good stuff remains at Lehman Brothers, the taxpayers again get the toxic waste.

:shrug:

[peacebird]

8. exactly....

[antigop]

9. I had the same question...who at the meeting represents the taxpayers? n/t

[TomClash]

6. These are the Titans of American Finance

Flouting the laws of the very capitalist system they revere so dearly.

It is both very serious and quite amusing.