Heads roll at Merrill as fallout continues

The Australian ^ | October 3 2007 22:24 | By David Wighton in New York, Chris Hughes and Gillian Tett in London and Ivar Simensen in Frankfurt

[DeaconBenjamin]

Fallout from the credit squeeze spread on Wednesday as Merrill Lynch fired several top executives and Deutsche Bank announced billions of dollars in losses.

Shares in Deutsche and other banks rose as investors welcomed the clarification of the extent of the losses. But the Merrill departures underscored the tumult taking place behind the scenes as banks seek to recover from the turmoil in the markets.

[Alex Murphy]

Ping to read later

[Roccus]

From the article;

“Josef Ackermann, chairman of Deutsche’s management board, said the group saw “substantial opportunities in investment banking after this period of correction”.

Mr. Ackermann went on to say that Deutsche Bank had a large supply of these collataralised debt obligations that might be beneficial to investors. He can be reached at 1-800-IMBROKE.

[Travis McGee]

"There is no means of avoiding the final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as a result of a voluntary abandonment of further credit expansion, or later as a final and total catastrophe of the currency system involved."

~~Ludwig von Mises

"If recession should threaten serious consequences for business (as is not indicated at present) there is little doubt that the Federal Reserve System would take steps to ease the money market and so check the movement."

---Harvard Economic Society, October 19, 1929

[henkster]

Trying to sell these things to investors...investors with any brains, that is...must have been tougher than trying to sell pieces of the blue sky.

[Travis McGee]

"Mr. Ackermann went on to say that Deutsche Bank had a large supply of these collataralised debt obligations that might be beneficial to investors. He can be reached at 1-800-IMBROKE."

LOL!!

[proxy_user]

A buddy of mine was let go from Deutsche Bank.

He was in charge of intalling and configuring message queuing on Solaris, and troubleshooting Unix problems when money transfers didn’t work correctly. We’re talking hundreds of billions a day of transactions flowing theough the network.

His department was upset, but they said cut everybody.

[Roccus]

Company in trouble? Fire the guy with the mop!

[proxy_user]

The guy with the mop doesn’t have the skills to figure out what happened to a transfer of fifty million bucks that went missing.

[upchuck]

This is what happens when thinking outside the box is not tempered by common sense and greed gets in the way.

[Woodman]

Bump