Newt had the best solution yesterday.. put these businesses and the outstanding loans up on the auction block and let other banks buy them up piece by piece. With the 5% of bad loans, there are 95% of good, paying loans. If we would quit looking at these entities as something that must stay together and just let the market buy them piece by piece, all the loans stay solvent, and IF something has to take place, it only has to take place on the 5% or so of the companies that have bad debt, not the whole thing..
Good GRIEF what an idea- let the private sector deal with it? Hah! Not happening. Panic rules the day and common sense is not in the equation.