Posted on 03/07/2009 1:18:57 PM PST by Orange1998
The government's rescue of AIG helped prevent its counterparties from incurring immediate losses on mortgage-backed securities and other assets they had insured through AIG. The bailout provided AIG with cash to pay the banks collateral on the money-losing trades; it also bought out underlying mortgage-linked securities, many of which are currently worth less than half their original value.
Banks and other financial companies were trading partners of AIG's financial-products unit, which operated more like a Wall Street trading firm than a conservative insurer. This AIG unit sold credit-default swaps, which acted like insurance on complex securities backed by mortgages. When the securities plunged in value last year, AIG was forced to post billions of dollars in collateral to counterparties to back up its promises to insure them against losses.
Among those institutions are Goldman Sachs Group Inc. and Germany's Deutsche Bank AG, each of which received roughly $6 billion in payments between mid-September and December 2008, according to a confidential document and people familiar with the matter.
The bailout saves many countries, including China, that bought mortgage backed securities.
So, we borrow money from China to guarantee investments made by China.
as I understand it, AIG manages congresscritters retirement money..they therefore can’t let it go under..
I may be wrong, but that’s my understanding..
they’re bailing out rich speculators in AIG as well, no doubt
What are you telling me.... its a ponze scheme.
excerpt
The beneficiaries of the government’s bailout of American International Group Inc. include at least two dozen U.S. and foreign financial institutions that have been paid roughly $50 billion since the Federal Reserve first extended aid to the insurance giant.
Among those institutions are Goldman Sachs Group Inc. and Germany’s Deutsche Bank AG, each of which received roughly $6 billion in payments between mid-September and December 2008, according to a confidential document and people familiar with the matter.
Other banks that received large payouts from AIG late last year include Merrill Lynch, now part of Bank of America Corp., and French bank Société Générale SA.
A ponze scheme created by a small group of AIG people in London!
Oh, and then there’s the rumor that Congressional retirements are invested in AIG.
Behind closed doors, she probably explained what would happen, if Obama could not do some of these bail outs.
-— more of a threat than a beg —
I have it on trusted authority that you are at least partially correct.
Yes, they do manage the accounts, but that should not matter.
SIPC insurance would take care of any making sure that investments in the account were “delivered” to any new firm.
By the way, look at this:
http://www.infowars.com/pelosi-kerry-may-share-investor-pain-as-aig-stakes-evaporate/
I don’t want to bail out the big boys - they placed their bet, they can take the loss. It’s time to let them go under.
Sorry, if you are talking about defined benefit pension payments, in annuity products, the “guarantee” would be either from State Insurance pools or the PBGC or Pension Benefit Guarantee Corporation.
If the bailout money went overseas to help foriegn enities the American taxpayer will demand its return.
The money went overseas and it is gone.
Bernanke has never been about letting his buddies at Goldmans down. Nor was Hank Paulson. I’d like to know how much of AIG’s CDS portfolio has been wound down since the “crisis”. The pain cannot end until they get out.
Myself, I think the Chicoms let it be known last fall that they would be made whole on AIG, or they wouldn’t play (buy our crap paper). Did you know that AIG is the only foreign owned insurance company in China without a Chicom stake? There was a special privilage. I like how we can bail this crap out and send the $’s out of the country for our 40 cent company. Yes we own this turd along with $1.00 Citi.
CDS’s are the ruin of international finance & trade.
aig doesn’t oversee congresscritters pensions.
I posted this in another thread...since I was wondering the same thing
Who’s Your Daddy?
Maybe he is also doing it also as a payback to his backers!
I am not talking about the Internet rumours of Frank Marshall Davis, Malcolm X and the like here even though those nude (warning sexually explicit) pictures of obama’s mama may make some people wonder. I am referring to who is really the Bankers Baby $$?
I have been meaning to look more into the ties of The Smelly One to that evil little maggot Soros I have so many articles showing the ties and I will do it eventually.
I was thinking about Market Manipulation with The Obamageddon constantly running it down and wiping out thousands of innocent Americans retirements and jobs in the process. If you think about it that in itself seems fishy that Mr. Hope is suddenly so Hopeless.
I know the Democrats set up a nice tidy slush fund for the maggot (Soros) and I personally viewed that as a payback for all the hard cold cash he donated to them so heavily. My mind keeps wandering back to the article I found on the Dummies Underground long before the election though I wouldn’t agree with all the writers assumptions it was very interesting since it pointed out just how Sweet The Obamageddon was to the Banks when his own party was pleading with him not to vote for the Banks and the fact that he was indeed a Bankers Baby $$.
No one wants to talk about the fact that B. Hussein got that sweetheart deal on his mortgage, as did Dirty Dodd or the fact that their buddy Angelo (Countrywide) got it for them and is back in business, how sweet it is to be connected! I know Jim Rogers was telling his Saudi pals to dump the dollar and he is saying there will be riots, maybe being Soro’s old partner he knows more than we do....hmm. I know Soros wrecked other Economies and he picked up the bones of Indy Mac, it just sickens me that the little maggot is not sitting in prison but again how sweet it is to be connected.
I’m getting to it, bear with me. Now the Democrats have been in control of Congress for a while they along with The Obamageddon and the Sell Out Republicans had no problem voting for the TARP you have to keep that in mind. I don’t know if that was Guilt for their roles in causing the crisis or just you pat my back, I’ll pat yours. OK here is what I am getting to now Dirty Dodd cannot wait to blow some more of your hard earned money to give to the banks, SENATE MOVES TO GIVE $500 BILLION MORE. Interesting isn’t it? The party of the people???
We all know about Tax Cheat Timmy’s failures and the big money behind him right? How about the ties that bind to Kissinger and Soros? Well there’s more nosing around to be done thats for sure and I don’t know if the Market is being purposely manipulated or not but I am wandering Obamageddon $$ who’s your daddy$$$?
http://socioecohistory.wordpress.com/2009/03/02/jim-rogers-things-are-going-to-get-much-worse-civil-unrest-in-a-a-few-years/
http://online.wsj.com/article/SB123630125365247061.html
http://www.aim.org/aim-column/the-big-money-behind-geithner/
http://www.iht.com/articles/2009/01/12/opinion/edkissinger.php
http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=132x4827928
http://www.judicialwatch.org/news/2009/feb/fec-investigation-confirms-obama-received-discount-mortgage
http://online.wsj.com/article/SB123362399705441875.html
http://www.brookesnews.com/082508obamasoros.html
http://obambi.wordpress.com/2008/05/30/soros/
http://www.mtholyoke.edu/acad/intrel/soros.htm
http://www.questionsquestions.net/docs04/engdahl-soros.html
http://www.economicpolicyjournal.com/labels/TimothyGeithner.html
http://www.americanthinker.com/blog/2009/01/look_whos_buying_indymac.html
http://www.articlesbase.com/finance-articles/forex-legend-george-soros-and-the-british-pound-137964.html
http://www.aim.org/aim-column/red-chinese-celebrate-at-new-york-stock-exchange
http://market-ticker.denninger.net/archives/P3.html
http://market-ticker.denninger.net/archives/844-OBAMA-Are-you-LISTENING.html
http://market-ticker.denninger.net/archives/852-Whats-Dead-Short-Answer-All-Of-It.html
http://www.nytimes.com/2009/03/04/business/04penny.html
http://online.wsj.com/article/SB123630125365247061.html
http://newworldorderuniversity.com/?p=665
http://www.bloomberg.com/apps/news?pid=washingtonstory&sid=aGJ_.gr_awkY
http://market-ticker.denninger.net/archives/2009/03/06.html
http://www.freerepublic.com/focus/f-bloggers/2200869/posts
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