Archive - Feb 4, 2009 - Story

As populist anger spreads and "investment" banks finally realize that the president is for real on this one, financial firms are actually starting to act appropriately.

Another credit fund liquidating? BWICs are in vogue yet again (click here for what these are). The most recent one is a $254 million BWIC that has a bid submission deadline at noon on Thursday. Good mix of credits here, we list the 5 largest in declining order:

Visteon - 6/2013 Term Loan: $10 million
Zuffa - 6/2015 Term Loan: $5.9 million
Newport TV - 9/2016 Term Loan: $5.6 million
Lifepoint Hospitals - 4/2012 Term Loan B: $5.2 million

In a press release filed yesterday, another highly leveraged gaming LBO Station Casinos announced that it was pursuing a pre-packaged restructuring with its creditors.

In a press release filed yesterday, another highly leveraged gaming LBO Station Casinos announced that it was pursuing a pre-packaged restructuring with its creditors.

In a press release filed yesterday, another highly leveraged gaming LBO Station Casinos announced that it was pursuing a pre-packaged restructuring with its creditors.

From the rumor bag:

Goldman commodities group is up already $800 million year to date, and this despite a very range bound oil price of $35-$50 over the past 2 months. Implies either massive leverage on smallish moves, a big contango play (for our musing on this here) or something rather novel...

Now sees 2009 EPS of $2.85-$3.00 versus $3.41 consensus.

The Treasury will try to slide a massive $67 billion in long-term debt next week. Not only that, but apparently it is reincarnating the 7-Year Note, which it will start using later on in February and throughout the year.

The specifics of the Auction are:

$32 billion in 3-Years on February 10
$21 billion in 10-Years on February 11
$14 billion in 30-Years on February 12

And this very ominous warning in the Treasury's press release:

After yesterday's hilarious news that Michael Zimmerman was hoping investors would promptly forget about his near -90% performance and just shower him with pesos, today's Lazarus Watch focuses on none other than John Meriwether.

According to Usnews.com, we might have a Tarp 1 situation on our hands.

As most financial firms were busy blaming each other and Lehman's bankruptcy for the upcoming $500,000 salary cap, Goldman was offloading bad assets (leveraged loans, residential and commercial real estate).

As most financial firms were busy blaming each other and Lehman's bankruptcy for the upcoming $500,000 salary cap, Goldman was offloading bad assets (leveraged loans, residential and commercial real estate).

As we have pointed out before (here and here), the free-for-all that is the Lehman bankruptcy case is a gold mine for a whole lot of scavengers.

As we have pointed out before (here and here), the free-for-all that is the Lehman bankruptcy case is a gold mine for a whole lot of scavengers.

Russia was downgraded by Fitch this morning from BBB+ to BBB, the second lowest investment grade level. Both the MICEX and the rubble get additional pounding as a result.