Posted on 09/27/2008 9:52:51 PM PDT by BAW
House and Senate negotiators have reached tentative agreement on a financial rescue plan after a marathon Capitol negotiating session that started Saturday afternoon and stretched into early Sunday morning.
House Speaker Nancy Pelosi (D-Calif.) and Sen. Majority Leader Harry Reid (D-Nev.) said the deal still had to be “committed to paper,” a process that will continue throughout the night.
Republican Whip Roy Blunt (R-Mo.), the chief Republican negotiator, said he was “looking forward to what we’re going to see on paper” but said he was optimistic that it would be something House Republicans could support.
Said Treasury Secretary Henry Paulson: “We’ve been working very hard on this and we’ve made great progress toward a deal which will work and will be effective in the marketplace and effective for all Americans . . . .We’ve still got a lot to do to finalize it, but I think we’re there.”
The plan is likely to give Paulson a relatively free hand accessing the first $350 billion of the $700 billion he sought. It was not clear when the remaining $350 billion would become available, but Treasury apparently agreed that a future Congress could block its release though a joint resolution signed by the president.
The deal also includes much greater oversight than the Bush administration had initially proposed; an opportunity for the government to take an equity share in the companies it helps, either through warrants or options to buy stock; and a provision limiting the compensation paid to executives of those companies.
To help win the support of House Republicans, the deal also likely includes an option under which Paulson and future Treasury secretaries could choose to sell companies government-backed insurance to cover securities – thereby improving their value – rather than buy the assets as initially proposed.
(Excerpt) Read more at politico.com ...
Started my part of THE RUN, last week.
In my example? Where did you pull that out of? Tell then where to buy a dollar for two cents. You must have a source.
Yeah, run on the banks, remove money from the market, make the situation even worse out of spite!
Good grief. It’s amazing how FR seems to have turned inside-out since 2006.
Right on. This ACORN business was a HEADFAKE all along. Dems can say this was a valid negotiating point when the whole point was for it to be so outrageous that Repubs lose sight of the rest of the agreement.
I don’t think it was a headfake. Look for the ‘Rats to try to get it back in. And ACORN isn’t the only group that was getting money. There were others. They might be in the bill still.
Your example was buying $1 dollar for $3. As in your example where you lose .67 of the value, I came up with $469 billion by thaking .67 of $700 billion.
This is another power money grab for the big banks. Tell me, since our bought out representative are going to do what Bernanke wants right away according to the MSM articles, why did the FDIC turn Washington Mutual over to JP Morgan/Chase for a song? So the US government is going to buy off the bad debt and Morgan gets the good part for 1.9 Billion. Oh, and Fishman walks off with 20 million.
Let’s see:
1. So these powerful banks several of which have gone bankcrupt in the last several days and months are the big winners in your view? Try telling that to their former stockholders.
2. JP Morgan/Chase buying WaMu means the US tax payers did not via FDIC have to bailout their depositors. Are you unhapy we can’t have a bailout there.
Morgan gets the goodies and the taxpayers get the trash of WM. Is Morgan going to eat the bad debt? No. And do you think the taxpayers won’t get the bill? Bush had come out and said it in the beginning. It will only put more power in the hands of a few. It’s new world order stuff. Oh, who coined that phrase? Wasn’t it Bush’s daddy? This bailout stinks of high heaven and will degrade life for the rest of us.
Class warfare and institutional resentment belongs at DU, not FR.
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