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A pre-Doo Doo 32 member falls. From the NY Times:

Washington Mutual, the giant lender that came to symbolize the excesses of the mortgage boom, was seized by federal regulators on Thursday night, in what is by far the largest bank failure in American history.

Regulators simultaneously brokered an emergency sale of virtually all of Washington Mutual — the nation’s largest savings and loan, with $307 billion in assets — to JPMorgan Chase.

The move came as lawmakers reached a stalemate over the passage of a $700 billion bailout fund meant to help ailing banks, and removes one of America’s most troubled banks from the financial landscape while mitigating another potentially huge taxpayer bill for the rescue of another failing institution.

Shareholders and some bondholders will be wiped out. WaMu deposits are guaranteed by the Federal Deposit Insurance Corporation up to the $100,000 per account limit. Customers of Seattle-based WaMu are unlikely to be affected.

 I warned about Washington Mutual this time LAST YEAR (Sept. 9, 2007 to be exact)! The writing was on the wall here for quite some time, probably pre-dating even Countrywide. See "Yeah, Countrywide is pretty bad, but it ain’t the only one at the subprime party… Comparing Countrywide to it's peers".

Peruse the Doo Doo, you wil be seeing a lot more of this.