Common shareholders, however, will be out of luck. CIT said all existing common and preferred stock will be cancelled upon emergence from bankruptcy protection. That would likely include preferred stock from the $2.3 billion in funding from the U.S. government's Troubled Asset Relief Program (TARP) the company received in its efforts to stay afloat

In case you were wondering that that meant, CIT just stole $2.3 billion dollars of US taxpayer money.

Weaver95: Common shareholders, however, will be out of luck. CIT said all existing common and preferred stock will be cancelled upon emergence from bankruptcy protection. That would likely include preferred stock from the $2.3 billion in funding from the U.S. government's Troubled Asset Relief Program (TARP) the company received in its efforts to stay afloat

In case you were wondering that that meant, CIT just stole $2.3 billion dollars of US taxpayer money.

All thanks to chairman Obamao....

We are the CITs so pity us.
The kids are brats; the food is hideous.
We're gonna smoke and drink and fool around.
WE'RE NOOKIE BOUND!
We are the North Star CITs!

Weaver95: In case you were wondering that that meant, CIT just stole $2.3 billion dollars of US taxpayer money.

A federal judge has to approve it first. Should be interesting. Smart money is one the judge converting TARP PS shares into a straight loan, but still canceling the actual shares.

NeauxFear: A federal judge has to approve it first. Should be interesting. Smart money is one on the judge converting TARP PS shares into a straight loan, but still canceling the actual shares.

FTFM

Fark It: Weaver95: Common shareholders, however, will be out of luck. CIT said all existing common and preferred stock will be cancelled upon emergence from bankruptcy protection. That would likely include preferred stock from the $2.3 billion in funding from the U.S. government's Troubled Asset Relief Program (TARP) the company received in its efforts to stay afloat

In case you were wondering that that meant, CIT just stole $2.3 billion dollars of US taxpayer money.

All thanks to chairman Obamao....

Wow, he is good. He got not only CIT but AMEX approved for TARP funds on December 23, 2008 ^.

http://3.bp.blogspot.com/_Aktr-yq6Huo/R0Lgovx0YNI/AAAAAAAAACU/e0Otbwxe8bA/s1600- h/Double-dip.gif

or this..

NeauxFear: Weaver95: In case you were wondering that that meant, CIT just stole $2.3 billion dollars of US taxpayer money.

A federal judge has to approve it first. Should be interesting. Smart money is one the judge converting TARP PS shares into a straight loan, but still canceling the actual shares.

the way we've been running lately, I wouldn't be at all surprised to see a federal judge sign off on the plan.

Was there ever any doubt?

dprathbun: Was there ever any doubt?

of course not. But every time I told people that CIT and BoA were due for a collapse, I was accused of being a conspiracy theorist or alarmist kook.

So far i'm half right. Now I'm waiting for BoA to go under and leave the taxpayers another couple billion in the hole.

Weaver95: But every time I told people that CIT and BoA were due for a collapse, I was accused of being a conspiracy theorist or alarmist kook.

Well of course. This is Fark, where it's absurd until it's common knowledge.

Weaver95: dprathbun: Was there ever any doubt?

of course not. But every time I told people that CIT and BoA were due for a collapse, I was accused of being a conspiracy theorist or alarmist kook.

So far i'm half right. Now I'm waiting for BoA to go under and leave the taxpayers another couple billion in the hole.

What about Citi? You know which one I'm talking about, even though subtards in multiple threads don't. I don't think they're much better off than BoA, but they have sold quite a bit of their stuff (Morgan Stanley getting a majority piece of Smith Barney, for example).

Weaver95: dprathbun: Was there ever any doubt?

of course not. But every time I told people that CIT and BoA were due for a collapse, I was accused of being a conspiracy theorist or alarmist kook.

So far i'm half right. Now I'm waiting for BoA to go under and leave the taxpayers another couple billion in the hole.

Out of curiosity, though, would you have preferred that the Feds do nothing to begin with? Or at least try and prop them up?

Weaver95: dprathbun: Was there ever any doubt?

of course not. But every time I told people that CIT and BoA were due for a collapse, I was accused of being a conspiracy theorist or alarmist kook.

So far i'm half right. Now I'm waiting for BoA to go under and leave the taxpayers another couple billion in the hole.

According to the petition, CIT's largest unsecured claim holders were Bank of America Corp., as collateral agent for a $7.5 billion claim, and Bank of New York Mellon Corp., as a trustee for retail bonds with a claim of $3.2 billion. Canadian senior unsecured notes have a claim for $2.1 billion, and Citigroup Inc. also has a $2.1 billion claim as an administrative agent to bank debt due 2010.

source (new window)

Hender: Out of curiosity, though, would you have preferred that the Feds do nothing to begin with? Or at least try and prop them up?

If it were up to me, I'd have used the leverage to reorganize the corporation from the ground floor on up. I'd have fired every single f*cking idiot on that board of directors, tossed the CEO and CFO out on their asses and done a complete audit of the bank. Anyone caught with their hands in the cookie jar would be facing jail time. Anyone complaining about it wouldn't get a bailout.

By the time I was done, there would be 4 new, smaller and more efficent companies with brand spanking new managment. the government would be a majority stake holder in the companies (with voting stock), and absolutely nobody on wall street would be happy with me at all. But they'd learn the price of being 'too big to fail'...and that price is that they get reduced to a more manageable size.

canetguy: Weaver95: dprathbun: Was there ever any doubt?

of course not. But every time I told people that CIT and BoA were due for a collapse, I was accused of being a conspiracy theorist or alarmist kook.

So far i'm half right. Now I'm waiting for BoA to go under and leave the taxpayers another couple billion in the hole.

According to the petition, CIT's largest unsecured claim holders were Bank of America Corp., as collateral agent for a $7.5 billion claim, and Bank of New York Mellon Corp., as a trustee for retail bonds with a claim of $3.2 billion. Canadian senior unsecured notes have a claim for $2.1 billion, and Citigroup Inc. also has a $2.1 billion claim as an administrative agent to bank debt due 2010.

source (new window)

ugggg. source (new window)

Weaver95: Hender: Out of curiosity, though, would you have preferred that the Feds do nothing to begin with? Or at least try and prop them up?

If it were up to me, I'd have used the leverage to reorganize the corporation from the ground floor on up. I'd have fired every single f*cking idiot on that board of directors, tossed the CEO and CFO out on their asses and done a complete audit of the bank. Anyone caught with their hands in the cookie jar would be facing jail time. Anyone complaining about it wouldn't get a bailout.

By the time I was done, there would be 4 new, smaller and more efficent companies with brand spanking new managment. the government would be a majority stake holder in the companies (with voting stock), and absolutely nobody on wall street would be happy with me at all. But they'd learn the price of being 'too big to fail'...and that price is that they get reduced to a more manageable size.

*applause*

canetguy: canetguy: Weaver95: dprathbun: Was there ever any doubt?

of course not. But every time I told people that CIT and BoA were due for a collapse, I was accused of being a conspiracy theorist or alarmist kook.

So far i'm half right. Now I'm waiting for BoA to go under and leave the taxpayers another couple billion in the hole.

According to the petition, CIT's largest unsecured claim holders were Bank of America Corp., as collateral agent for a $7.5 billion claim, and Bank of New York Mellon Corp., as a trustee for retail bonds with a claim of $3.2 billion. Canadian senior unsecured notes have a claim for $2.1 billion, and Citigroup Inc. also has a $2.1 billion claim as an administrative agent to bank debt due 2010.

source (new window)

ugggg. source (new window)

hmm. now why does that not make me feel any better...

Weaver95: Hender: Out of curiosity, though, would you have preferred that the Feds do nothing to begin with? Or at least try and prop them up?

If it were up to me, I'd have used the leverage to reorganize the corporation from the ground floor on up. I'd have fired every single f*cking idiot on that board of directors, tossed the CEO and CFO out on their asses and done a complete audit of the bank. Anyone caught with their hands in the cookie jar would be facing jail time. Anyone complaining about it wouldn't get a bailout.

By the time I was done, there would be 4 new, smaller and more efficent companies with brand spanking new managment. the government would be a majority stake holder in the companies (with voting stock), and absolutely nobody on wall street would be happy with me at all. But they'd learn the price of being 'too big to fail'...and that price is that they get reduced to a more manageable size.

OMG Socialist!

Hender: OMG Socialist!

Nah - you make a deal with the devil, it should have consequences. Wall street needs a kick in the nads. And the ONLY thing those farking bastards respect is ruthelessness. CEOs only care about something when it costs them money. Not their company money - THEM personally. So when they run their corp into the ground, I feel it's only fair to make a memorable example out of their violated corpse as a warning to others who might be a bit confused about the proper role of government in the financial sector.

Weaver95: Hender: Out of curiosity, though, would you have preferred that the Feds do nothing to begin with? Or at least try and prop them up?

If it were up to me, I'd have used the leverage to reorganize the corporation from the ground floor on up. I'd have fired every single f*cking idiot on that board of directors, tossed the CEO and CFO out on their asses and done a complete audit of the bank. Anyone caught with their hands in the cookie jar would be facing jail time. Anyone complaining about it wouldn't get a bailout.

By the time I was done, there would be 4 new, smaller and more efficent companies with brand spanking new managment. the government would be a majority stake holder in the companies (with voting stock), and absolutely nobody on wall street would be happy with me at all. But they'd learn the price of being 'too big to fail'...and that price is that they get reduced to a more manageable size.

see, now someone like Teddy Roosevelt would have had the stones to do this. Truman, most likely. Eisenhower and Kennedy maybe. LBJ, maybe even Nixon would have done this.

None of the presidents we've had since Nixon would have had the stones to do this. Sadly, Even Obama falls into that group.

Weaver95: So when they run their corp into the ground, I feel it's only fair to make a memorable example out of their violated corpse as a warning to others who might be a bit confused about the proper role of government in the financial sector.

Words to live by. I love hearing people biatch about the government setting executive pay for companies who took bailouts. Hey, guess what? You took our money, you abide by our rules. You don't pay out billions in bonuses when you've taken billions in bailouts. Suck it up.

SilentStrider: None of the presidents we've had since Nixon would have had the stones to do this. Sadly, Even Obama falls into that group.

Setting executive bonuses is a start. I'm curious to see if it goes beyond that if Wall Street continues to flaunt its new-found money.