Hahaha, that toner quote is priceless! and, I was reading about that Lehman thing too, man that sucks. My buddy starts @ Lehman in the IBD next year, hopefully it will go well. Hopefully investor confidence will continue to rise, so we can get back on track for a decent year. We need some consistent good days like today.

Bank of America buoys Countrywide

quote:

Countrywide Financial, the biggest U.S. mortgage lender, sold $2 billion in preferred stock to Bank of America to bolster its finances amid the nation's worst housing slump since the Great Depression. AdvertisementBank of America, the second-biggest U.S. lender, bought stock that yields 7.25 percent and can be converted into common shares at a price of $18, Calabasas-based Countrywide said in a statement yesterday. The cash will help Countrywide keep making loans and might reassure investors after a week of tumult for the company and the housing market. On Aug. 15, a Merrill Lynch analyst predicted a cash shortfall might force Countrywide into bankruptcy, and the next day Countrywide had to tap $11.5 billion in emergency financing when creditors curtailed its access to short-term debt. The company is getting “a vote of confidence from a deep-pocketed partner,” said Sean Egan, managing director of Egan-Jones Ratings in Haverford, Pa. “We'd get a lot more comfort if it was $5 billion or $10 billion, but we'll take what we can get.”

We'll see how much comfort this brings them.

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quote:

Originally posted by djGT Bank of America buoys Countrywide We'll see how much comfort this brings them.

makes me wonder if b of a will ultimately buy them out

i'd hate to see them do that because b of a is my favorite bank to do loans with and it'd be such a risk to them, i don't care if they have 1.2 trillion in assets...

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Last edited by ninetyninej on Aug-23-2007 at 17:52

quote:

Originally posted by ninetyninej makes me wonder if b of a will ultimately buy them out

It's a possibility.

Countrywide CEO: Mortgage Crisis Persists Despite BofA Stake

quote:

"Eventually I think they'd be looking to acquire the whole firm," said Ganesh Rathnam, a Morningstar analyst who covers Bank of America. "I don't see why they would otherwise buy $2 billion into it." Bank of America probably could not acquire Countrywide outright for a while. The bank's pending acquisition of LaSalle Bank from ABN AMRO would push it up against a 10% federal cap on deposits. Buying the operator of Countrywide Bank would probably push it over.

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California’s Housing Remains Nation’s Least Affordable

quote:

Robert Rivinius, CBIA’s President and CEO, said the fact that affordability has not increased despite a housing downturn that has lasted over a year is ample proof that prices aren’t likely to drop significantly, which means families that can afford to buy should consider doing so now, before prices and interest rates start to climb again. He also said that policy-makers should recognize that market corrections alone are not likely to allow the hundreds of thousands of Californians priced out of homeownership to be able to buy their first homes. “Housing costs in California are driven by supply and demand. Because the supply of new homes hasn’t kept pace with the demand caused by a rapidly growing population, prices have climbed sharply over the years,” Rivinius said.

So with increasing interest rates, the prices will go up as well? Buy now or be priced out forever! Oh look, there goes Robert with his nice commission check! Damn I want what he's smoking!

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quote:

Originally posted by djGT California’s Housing Remains Nation’s Least Affordable So with increasing interest rates, the prices will go up as well? Buy now or be priced out forever! Oh look, there goes Robert with his nice commission check! Damn I want what he's smoking!

http://www.careerbuilder.com/monk-e...=22960571&cbRec

this skit sums it up

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quote:

Originally posted by ninetyninej this skit sums it up

For people from the Sacramento area, you can check out this blog.

http://sacramentolanding.blogspot.com/

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COUNTRYSLIDE MORTGAGE LENDER'S SHARES PLUNGE; SEEKS 2ND BAILOUT

quote:

September 11, 2007 -- Countrywide Financial Corp. is putting together another multi-billion dollar bailout plan as the nation's largest home lender continues to struggle amid the global credit crunch and declines in the housing market, The Post has learned. Sources familiar with Countrywide's plans said the lender continues to work with Goldman Sachs and law firm Wachtell Lipton Rosen & Katz to structure another strategic investment similar to the deal Bank of America struck last month. It's unclear at this point who exactly is involved in the investment, but sources said a group that could include J.P. Morgan and Citigroup as well as several hedge funds has expressed interest in Countrywide. A final deal could be announced by the end of the month, sources said. Last month, Bank of America paid $2 billion for a new series of non-voting preferred stock in Countrywide, which provides an annual dividend of 7.25 percent and can be converted into common stock at $18 per share. As part of the deal, Countrywide left the door open to issue additional preferred stock or convertible preferred stock. "Countrywide is in desperate need of cash right now to continue funding mortgages and the credit markets are still largely closed to them," said one source familiar with the company. Countrywide's chief executive Angelo Mozilo, who announced plans last week to eliminate as many as 12,000 jobs, said recently that interest rate cuts by the U.S. Federal Reserve won't be enough to revive home sales and warned that the U.S. economy is headed for a recession. "The issues the economy is facing are worse than most people believe," Mozilo said in an interview last Friday with Bloomberg News. Mozilo has been pushing for the government to allow Fannie Mae and Freddie Mac to finance bigger home loans. Countrywide, which handles one of every five new U.S. mortgages, has been hurt by falling home prices and record foreclosures. The company has billions in medium-term debt coming due in about 90 days and needs to cash to continue operating. Countrywide's stock plunged by over 5 percent yesterday after analysts at Merrill Lynch and UBS cut their profit estimates on worries over the company's ability to make new loans. The stock, which has fallen over 59 percent this year, closed at a four-year low of $17.21 yesterday. Making matters worse, Alliance Capital Management, which is owned by giant French insurance company Axa SA, disclosed that it has sold about 31 million shares of Countrywide in the last month. Barclays Global Investors has also sold nearly 25 million shares. "We think the stock will continue to drift down, as investors lose hope of a near-term recovery," said Merrill analyst Kenneth Bruce. He estimates that the job cuts could save Countrywide roughly $1 billion a year, but that will only offset lower revenues.

Looks like someone needs another helping hand. Oh yeah, and more jobs go bye-bye!

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quote:

Originally posted by djGT COUNTRYSLIDE MORTGAGE LENDER'S SHARES PLUNGE; SEEKS 2ND BAILOUT Looks like someone needs another helping hand. Oh yeah, and more jobs go bye-bye!

yeah i have about a dozen friends that work with countrywide in either wholesale or retail (internet-dedicated).

the guidelines changes, massive increase in rates, and guaranteed lay offs in the next couple months have them all searching for new jobs.

angelo mozilo = Enron + WorldCom put together, that guy has a lot coming to him.

...but in the end bank of america will absorb the company at a steal due to the terms of their preferred stock agreement that came with the $2billion investment they made 2 weeks ago. i predict this will happen in the next 3-6 months at which point countrywide will have shaved off 12,000 to even 20,000 jobs (1/3 the company) and their stocks trading at $10 a share, give or take.

here is a couple links proofing that there is nothing that can prevent next year's recession (not Bush's FHASecure bill or his bill to abolish IRS Debt Forgiveness in which people won't get 1099s taxing them on the difference on the short sale of their homes).

oh, and all the gov't and realtor 'guesses' that this will all be over soon are BS to get you to buy into the market, both stocks and real estate, this shit won't be over for yearssssssss:

http://today.reuters.com/news/artic...RVEY-URGENT.XML

http://bloomberg.com/apps/news?pid=...Fjqk&refer=home

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quote:

Originally posted by ninetyninej oh, and all the gov't and realtor 'guesses' that this will all be over soon are BS to get you to buy into the market, both stocks and real estate, this shit won't be over for yearssssssss:

Never trust someone whos commission is based on them not knowing. Good luck to your friends.

Oh yeah, Florida is probably already in a recession.

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Last edited by djGT on Sep-11-2007 at 21:16

Countrywide leaks firing hit list to employees (Video clip)

Any of your friends get that email?

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