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California Delays Issuance Of $10 Billion In RANs, Reason Unknown (However, Insolvency May Have Something To Do With It)
It appears the market still is unable to fully grasp that QE3 - the Municipal edition, is just around the corner. From Dow Jones: "Institutional pricing of California's $10 billion of revenue anticipation notes, which had been scheduled for Wednesday, has been delayed until Thursday, a market source said on Wednesday. The reason for the delay was unclear and there was no immediate comment from J.P. Morgan, the deal's senior manager. Retail investors snapped up $5.89 billion or nearly 59 percent of the offering during a two-day presale period on Monday and Tuesday, according to the state treasurer's office." Here's the reason: all the free capital out there has been sequestered in what will be not only the world's biggest IPO tomorrow, but more importantly, the world's biggest flop soon thereafter.
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Just a hunch, based on market action - There must be a deal coming with the Irish banks. They figure that the markets will pop and they can then issue during the froth of the market gains tomorrow.... I'm sure that they consulted with the FEDs prior to the announcement - especially, given the GM offering ???
Anyone know what time GM prices ?
"Revenue anticipation"--I love a good euphemism!
Maybe they didn't sell, 'cause all that "anticipation" just ain't what it used to be...
Revenue Anticipation Notes is a beautiful name for IOU's.
actually a Payday loan would be a better analogy
...a payday loan for an unemployed person.
Its really "Wimpy Finance"
Speaking of biggest GM flops, my 1997 Nissan pickup has almost 250,000 miles on it and all I have done is change the oil, tires, and belts. Why would anyone own anything else?
As a son of a GM worker I always owned GM products and thought they were great. However, when GM axed the ZR2 offroad Blazer I went with a Nissan Xterra and couldn't believe that shit don't break even after 55k miles. The Blazer had issues starting in the mid 20's - both front wheel bearings and steering components built like crap.
Couldn't it be said that propping up inefficient industries with tax dollars is sort of fighting against the comparative advantage of more efficient producers? I mean, the way I see it is, it's a losing battle if the subsidized industry remains inefficient.
the crux was that when the big 3 tried to cut costs to stay competitive they cut it around production standards since they didnt have the gonads to demand health care reform that was skyrocketing their compensation costs...
imagine, rather, if the dollar increased in value and then all those bene's would of been dirt cheap and then no corners cut in design & manufacturing...
****BINGO!!!****
If capitalism was allowed to prevail, GM would have gone extinct....and rightly so because of their poor business decisions and shotty workmanship. GM deserved bankruptcy and Ford deserved to takeover GM marketshare. Ford really got shafted in my opinion.
if you read my previous post, you would see you are only talking about the recent endgame... Ford prevailed since they secured more financing before fall '08 which was just by chance since their scheduled cycle was just ahead of it while GM and Chrysler wasn't
if you didn't know, they are part of the same UAW. They were smarter in that they didn't have a finance entity monster like GM did and weren't already behind the 8ball which was Chrysler from their constant merge/spinoff dances - but mainly they already secured new funds and was able to ride out the near term fallout or '08
but the all history of the big 3 seems to have too many details for even esteemed ZH readers to take all in and process
there are many other areas to discuss in length but why bother when you just have a crowd of globalism union busters anyway
"QE3 - the Municipal edition"
Has Goldman Sachs and the rest of the big banks set up stakes in the muni market?
RDN's - Revenue Disappointment Notes
If they are revenue anticipation notes now...what do we call them when there is no revenue?
Not sure myself, but we do have a word for those who buy the RAN's.....SUCKER!!!!!!!!!!!
Revenue-"less" Anticipation Notes
California can adopt Walmart Slogan: "Always Low Revenues"
If there's no revenue, they turn into Revenue Unanticipatory Notes, or the RUNs. Which is also what the investors get, when California RUNs off with the investment money.
Credit for the RUNs goes to ShankyS below. Once I saw that, I knew there had to be a good TLA there. :)
RAN, that's funny. More like a case of the RUNs if you buy them. the audacity is astounding.
It's about some lawsuit and if they can use buildings...
Anyone have a good alternative meaning to the acronym "RAN"?
Sometimes for acronyms the first letters of the words represented just dont work out...like Fast Air Reconissance Team. So, what we have here is:
thRee cArd moNty
Anyone have a good alternative meaning to the acronym "RAN"?
Sure: (1) Riots Anyday Now
(2) Run Away Now
(3) Redeemable American Notes - NOT
(4) Rebuilding American Nationalization
even though the sound of it is something quite atrocious
supercaliforniasfallingrightintotheocean
Run
Away
Now
Rotten
Accounting
Notes
California is in the Can
It's about how the gubbermint is ran
Big muscles, between the ears,
Will ulimately bring you to tears!
ORI
http://aadivaahan.wordpress.com
I just went "ALL-IN" on POPCORN futures ....
This is getting more insane by the day.
Lifeboat is too crowded to pick up more half-dead survivors for now.
"yes, yes, thank god for this bond offering"...these r the wonderful thoughts running thru my head as i navigate the bomb cratered streets of the bay area while simultaneously observing the diversity of cart pushers happily going about their day with all their belongings in tow...pausing at times to go thru the garbage bins in hopes of finding a tasty morsel or two or even better an aluminum can to add to their riches...it's all good here n the "yea area"...
"Kaiser Sousa reporting live...
"Whats really goin on News".....
Barbara Boxer. HAHAHAHAHAHAHHAHAHAHAA
Jerry Brown HAHAHAHAHAHAAHHAAHHAHHAA
Gavin Newsome HAHAHAHAHAAHAHHAAHHAH
Only $9bbn in POMO today !! lol HAHAHAHAHA
The problem with QE3, the Municipal Edition -- is that it knows no bounds.
I think you are correct, TD. What is so delicious about this is that they are on parade today, pumping the resurrection of this embarrassment of a company. A Chevrolet driver for years, I'll never touch one again. I am one of millions.
The odd thing is that it seems lost on the criminal syndicate known as Wall Street, that when this pump and dump is done, the very last nail may be driven into the casket of said criminal syndicate. There will be no way to hide this one.
Until at least 100,000 criminal sydicate members are let go at the end of the year in good ole NY NY, I think it is also safe to say that Average Joe will be no more interested in financial services than he is interested in a Chevy Volt.
We are all freakin' doomed [WFD]....
WCD, Weapons of Cash Destruction.
PCK is +2% on the day... so they don't care
*NEW YORK'S PATERSON CALLS EXTRAORDINARY SESSION OF LEGISLATURE
The problem with the people in California is that they get all worked up about the Bell salary scandal. Do not get me wrong, that was outrageous. But, there is a problem about 32,500x larger that that.
I think California should be given back to Mexico.
Other than a few select areas it's an festering pit of garbage. Talk about a welfare state (quite literally)
Barack Obama said 'I've never met anyone who would rather have a handout, than a job'.
Obviously, he's never spent much time in the Golden State.
I am sorry, but the Fed will not be buying Munis. What might happen is the Federal Government will issue Treasuries and give the money to the states to bail them out, and the Fed will buy those. Same difference, of course.
They should be looking at the California Municipal Index, down about 1% each day for over a week. How's that wealth effect working out in la la land?
Matt Taibbi was right. We are being sold to the middle east through sovereign wealth funds. From the prospectus supplement just written in the CA RAN deal:
"On November 16, 2010, a lawsut was filed in San Francisco Superior Court seeking to prevent completion of the sale of eleven State office properties, which sale is otherwise scheduled to be completed by December 31, 2010. "
Smell the sulfur amigos. North Tijuana (AKA LA) will not a be a pleasant place to be after MuniQE3 gasses off.
Anybody kind enough to explain that sentence?
Thanks in advance
They need all the free capital to get GM to not only stay up but to continue up. What they don't want is to have it open at 33 and then all day stay at 39 or 37. They know for a fact that if they start to see the stock faulter they will flip it and make that profit. Because with all stock, yea it went down but it can go down even more.