AMBAC Files

[thunderdownunder]

http://www.emii.com/Articles/2712597...ankruptcy.aspx
Took a while but see the thread from a year ago. http://www.itulip.com/forums/showthr...nkrupcy-impact


Dominos that are standing are falling against others.
Next Bank of America needs a helping hand ?

This is giving me the creeps

[Mega]

Re: AMBAC Files

Yep, Lehman/2 !

[thriftyandboringinohio]

Re: AMBAC Files

Yes, looks like AMABAC may final go down the drain. I'm amazed it's taken so long; the demise of the monoline insurers has been foretold at iTulip and other places for a few years now, back to 2007. No news for MBIA who should be in the same boat.

I seem to recall gentleman’s agreement between the insurers and the banks a few years ago. It was the only way out of a Mexican stand-off. If the banks filed claims for bad mortgages, the insurers would collapse. If the insurers collapsed, the banks would be forced to admit the MBS are worthless, write them down, and come up with billions in new reserves. They agreed to preserve the status quo and leave the room alive.



Looks like the put-back demands of other large institutions has upset the arrangement.

[swgprop]

Re: AMBAC Files

Yes, looks like AMABAC may final go down the drain. I'm amazed it's taken so long; the demise of the monoline insurers has been foretold at iTulip and other places for a few years now, back to 2007. No news for MBIA who should be in the same boat.

Absolutely amazing they lasted this long. But I guess that's simply a reflection of the total lack of integrity in the FIRE economy now. Similarly, easing up on mark-to-market rules has allowed the TBTF institutions to fabricate their capital positions.

Gotta keep your eye on the prize:

2010 Bonus pay on Wall Street is on pace to break a record high for a second consecutive year, according to a study conducted by The Wall Street Journal……so brace yourself for a real estate boost this coming Winter in New York.
http://www.luxuryloft.com/blog/2010/...onanza-coming/

Good Times!