Those experienced workers may end up stigmatized by the companies they once worked for.
I'm also sure that some of them may do work in other related fields until the market bottoms out/stabilizes.
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Lehman Brothers bankrupt, Merrill Lynch buyout
- Thread starter edesignuk
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Those experienced workers may end up stigmatized by the companies they once worked for.
I'm also sure that some of them may do work in other related fields until the market bottoms out/stabilizes.
well, the problem is that the Lehman employees likely had high salaries. if they want a new job they would get a lot less money and could be demotivated. therefore they won't be hired that easily.
younger people coming from the university can always start in other industries with lower pay (like the rest of us
).
Barclays are loving it, good core business/assets at bargain prices.
Barclays buys core Lehman assets.
Barclays buys core Lehman assets.
Yeah, the BBC reported the negotiations on this early yesterday. Hasn't taken too long to come to a price, but it's still subject to both the liquidators and the regulators agreeing to it.
It's good news for the US staff, but terrible news for the UK staff. I can't see too many banks who are likely to buy the UK office
It's clear this was Barclays plan from the moment they pulled out of buying the whole lot. It would have been clear to the from the information that they had that Lehmans would crash and this way they get the assets they want without the toxic liabilities. Had they bought the whole think they would probably have made most of the UK staff redundant anyway: they already have a lot of staff here.
In local (UK) news it looks like HBOS will be "rescued" (I'm not convinced they are really in trouble yet) by Lloyds TSB.
Hadn't seen that.
Give it a year we'll be left with just a few truly massive banks.
Consolidation in the sector has been coming for a while. Just needed a trigger event. Once you have some huge banks like HSBC and Barclays it's very difficult for the others to compete so they merge too. Will probably mean more job losses...
The Fed has propped-up AIG with $85B.
Not my tax dollars, thank goodness.
well, but mine.
as i see it the feds own 80% of AIG now and the loan is repaid by selling assets of AIG. so that means AIG is broke and they sell it piece by piece instead of letting it go bankrupt.
at least there won't be any dividends paid from my tax dollars. i hope they also don't pay any severance to the guys who caused the mess. i feel only sorry for the small employees who had no knowledge or influence. everybody else should get fired without benefits, health plan or severance pay and they should impound their 401k plans.
seems Morgan Stanley is in trouble now:
http://www.bloomberg.com/apps/news?pid=20601087&sid=andTohIJAeN0&refer=home
and the UK HBOS seems to be almost dead as well.
this is getting really bad. who can buy those banks if everyone is going down?
http://www.bloomberg.com/apps/news?pid=20601087&sid=andTohIJAeN0&refer=home
and the UK HBOS seems to be almost dead as well.
this is getting really bad. who can buy those banks if everyone is going down?
Hardly, they made $1.43 billion in the last quarter. As ever "analysts" just aren't happy it's enough. I don't see how making billions in profit puts them in the up s*** creek without a paddle crowd just yet.
HBOS are fine. Even without being bought by Lloyds TSB which seems very likely they are probably OK.
And it's a done deal. HBOS bough by Lloyds TSB.
So one less thing for the doom and gloom merchants to go on about.
With some rejigging of the letters they should be able to be able to call themselves LOST HB.
So one less thing for the doom and gloom merchants to go on about.
With some rejigging of the letters they should be able to be able to call themselves LOST HB.
Which means someone else now gets put in the target zone. Who do you think? RBS? Santander?
Santander have expanded very rapidly through acquisition so, without looking it up, I'd not be surprised if they had quite a bit of debt which could be an issue. In the UK Abbey are a major player in the mortgage market so may be vulnerable to the same issues as HBOS, although they may have a wider base of deposits to protect themselves.
Personally I think there are more issues to come in the US: there are plenty of "local" state level lenders who might be in trouble if they can't refinance their mortgage books...
I've got shares in HBOS (which I bought for less than the offer/sold price of 234p).
Does anybody know, do I get Lloyds TBS shares to the equivalent value or a cheque in the post?
Does anybody know, do I get Lloyds TBS shares to the equivalent value or a cheque in the post?
At this stage we don't know: once the deal is officially announced your options will be made clear to you.
Edit: The BBC have details. You will get Lloyds TSB shares.
I have two deaf friends that work(ed) at Lehmans (UK). They're husband and wife. One's gone, the other seems(?) to be still there, at least that's what she said in her last email to me.
I have another deaf mate that works at (I think) Goldman Sachs - I imagine he's saving up his salary now.
I have another deaf mate that works at (I think) Goldman Sachs - I imagine he's saving up his salary now.
So now the US government (AKA we the TAX payer) bails out all banks. They plan to somehow take over the debts of all banks. The entire deal could come down to a 500 billion rescue plan.
Well, the good thing is that peoples retirement funds and savings are rescued. Also the job loss in the financial industry is stopped (or at least decreased).
The bad thing is that all the wall street sharks keep their profits, the overpaid bank managers keep their bonusses and jobs for screwing up over years and the tax payer pays the bill. Hardly any justice in that. 6% inflation here we come.
Don't know what to think about that.
Well, the good thing is that peoples retirement funds and savings are rescued. Also the job loss in the financial industry is stopped (or at least decreased).
The bad thing is that all the wall street sharks keep their profits, the overpaid bank managers keep their bonusses and jobs for screwing up over years and the tax payer pays the bill. Hardly any justice in that. 6% inflation here we come.
Don't know what to think about that.
I thought Robert Preston's blog entry was very good. This whole thing is getting very, very worrying indeed. The penalty for failure is now being set to be very low indeed (apart from for Lehmans). That can only encourage more risk taking, not less
IMO for the next two decades bank profits should be taxed at 90% to pay the taxpayer back, with central bank scrutiny to ensure nobody tries to cook the books.
Sadly that will never ever happen. Time to storm the palace methinks
What? All banks, regardless of their bail-out status or participation in certain types of deals? Punish the innocent along with the guilty?
Well, this seems not to be about fairness, justice , guilty or not. This is simply damage control. And the governments will need to get the money back in one way or another. It's disgusting. Not only will certain investors and banks and managers profit. Also people who bought too large houses and now can't pay their debt will be absolved. And the rest of us pays for it.
Really? Surely they will have to pay their mortgage or it will be repossessed. Or are you talking about a scheme like the UK one (proposed or actually in place, I can't remember) where people struggling to pay their mortgage would get it paid by the government? In that case the effectively lose their house as the government takes ownership of a large %.
Let those that aren't guilty appeal to gain an exclusion, but the burden of proof should be with the bank. There are many institutions a long way from collapse that have passed these bad debts through their system in full knowledge of what they represent. Pretty much the entire global banking industry is guilty to some extent.