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What do you think of the recent ML transaction? I remember reading your thoughts on MS and how they were particularly exposed to the monolines. From the release

"Merrill Lynch executed an agreement to terminate all of its CDO-related hedges with XL. The transaction is expected to close in early August 2008. When the transaction closes, all of Merrill Lynch’s CDO-related hedges with XL will be terminated in exchange for an upfront cash payment to Merrill Lynch of $500 million. These hedges had a carrying value of approximately $1.0 billion at June 27, 2008. As a result of this transaction, Merrill Lynch will record a pre-tax loss of $528 million during the third quarter of 2008."

Implies a 50% loss on closing out the hedges with XL from where they were marked at the end of Q2 (6/27/08).