Three Wholesale Credit Unions Nationalized As US Securitizes $50 Billion In Legacy Toxic Assets; Failure "Sweep Under The Rug" Friday Just Got Real

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Fri, 09/24/2010 - 17:59 | 603548 Boilermaker
Boilermaker's picture

Too Small To Survive (TSTS).

God forbid this actually happen to stinkiest a-holes, BAC, C, JPM, etc.

Good thing this is announced, as usual, on Friday after 4pm or the market would have jacked another 200 points for good measure.

Fri, 09/24/2010 - 18:28 | 603622 unununium
unununium's picture

Guess who the Fed did NOT buy any of the $1.5T in mortgage-backed securities from.

Fri, 09/24/2010 - 18:44 | 603657 Cognitive Dissonance
Cognitive Dissonance's picture

Bank Failure Friday. So far just one.

Haven Trust Bank Florida, Ponte Vedra Beach, Florida, was closed today by the Florida Office of Financial Regulation, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with First Southern Bank, Boca Raton, Florida, to assume all of the deposits of Haven Trust Bank Florida.

The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $31.9 million.

Fri, 09/24/2010 - 19:11 | 603697 Rainman
Rainman's picture unions go to great lengths to explain they are not banks. So 1 little bank is great news. No wonder equities soaaaaared !!

Fri, 09/24/2010 - 22:51 | 603954 Fish Gone Bad
Fish Gone Bad's picture

You know, as bad as this is, things will still get worse.  Things just are not fucked up enough.  Yes, things look bad, and things look fucked up, but states have not declared bankruptcy yet and unions have not been kicked to the curb.  Only after that happens will things be really fucked up enough.


Sat, 09/25/2010 - 10:31 | 604219 Widowmaker
Widowmaker's picture

FGB, I don't know why you get junked - you are right.!

Failure = Success and a branch out of W-Buttfuck's family tree, "no bank left behind."

Anyone a suspect yet?  NOPE!  Laws for the rich?   NOPE!

Sat, 09/25/2010 - 13:05 | 604321 RockyRacoon
RockyRacoon's picture

As for the junking, I think someone's sensibilities were offended because they dislike the word FUCK.  Which we all are to some extent or another.  Junk that you wuss.

Sat, 09/25/2010 - 17:40 | 604673 Conrad Murray
Conrad Murray's picture

I think the junks came from suggesting chaos will ensue from kicking unions to the curb.  But, there are some word pussies out there.

Here's a short, must watch video on the word FUCK:

Sat, 09/25/2010 - 00:13 | 604027 TheGoodDoctor
TheGoodDoctor's picture

There's two now CD.

Sat, 09/25/2010 - 06:22 | 604129 Cognitive Dissonance
Cognitive Dissonance's picture

Saw it this morning. Thanks.

North County Bank, Arlington, Washington, was closed today by the Washington Department of Financial Institutions, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with Whidbey Island Bank, Coupeville, Washington, to assume all of the deposits of North County Bank.

The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $72.8 million.

Sat, 09/25/2010 - 03:21 | 604097 Pondmaster
Pondmaster's picture

Actually two banks .... but who keeps tabs anymore  ?

Fri, 09/24/2010 - 18:28 | 603624 Sudden Debt
Sudden Debt's picture

at least it won't cost the taxpayers money. Only paper with a green print on it.


Fri, 09/24/2010 - 20:38 | 603787 mynhair
Sat, 09/25/2010 - 00:38 | 604064 carbonmutant
carbonmutant's picture

Wait, Wait, this was all part of the plan....

I 'm actually lying on the floor staring at the ceiling...

 I have a theory banks fail when you fdrink margaritas...

Fri, 09/24/2010 - 19:40 | 603736 midtowng
midtowng's picture

The markets will forget this by Monday.

Fri, 09/24/2010 - 21:11 | 603834 RichyRoo
RichyRoo's picture

No citizen, the markets always perfectly price in all information. This will simply be priced in by Monday, and discovered by those qualified by the proper institutions to have no material impact. You are free to choose between a 6 month government sponsored re-education treatment or 6 months prison. Patriotism is freedom, freedom is service and service is citizenship.

Fri, 09/24/2010 - 22:13 | 603904 New_Meat
New_Meat's picture

Borders is having these amazing sales on books, some of them that I'd read many years ago.  So last weekend, with a 40% off coupon, well, I bought a copy of 1984 (OK, it has the bigger print, OK?) to start reading this weekend.

I'm really excited to see how Our Dear President is doing vs. a 10% playbook.

- Ned

Fri, 09/24/2010 - 22:59 | 603959 Fish Gone Bad
Fish Gone Bad's picture

In the book, there is a guy who turns off the Big Brother television.  There is a really nice quote that goes something like, "To break the really big rules you first have to obey all the small ones..."  Whenever an institution fails I am reminded of 1984.

Sat, 09/25/2010 - 10:59 | 604225 Widowmaker
Widowmaker's picture

Unfortunately your quote has little merit when there are no rules to begin with.

Tell me what president got rid of the regulators.  Who thinks this was an accident -- really.

If Im a citizen and the sheriff says all his staff can go home who really thinks this was a fucking accident when the mafia "accidently" takes over...

George W Bush is the biggest enabler of fraud and corruption of the modern era.  WAKE UP PEOPLE, WAKE THE FUCK UP!

Sat, 09/25/2010 - 15:07 | 604491 Haywood Jablowme
Haywood Jablowme's picture

George W Bush is the biggest enabler of fraud and corruption of the modern era.  WAKE UP PEOPLE, WAKE THE FUCK UP!


Please.  We haven't had a real president looking for the country's best interest since JFK.  Reagan could of been up there, but after taking that first bullet and surviving, he sold out just like the rest of em'...



Sat, 09/25/2010 - 16:52 | 604627 GoinFawr
GoinFawr's picture

Interesting about Reagan... did his policies really change much after that incident? I confess, I've never looked at his Presidency in a before/after light...


Fri, 09/24/2010 - 21:34 | 603868 makeyoumiss
makeyoumiss's picture

Ha! Perfect!!!

Sat, 09/25/2010 - 23:41 | 605072 ajax
ajax's picture

Makeyoumiss, Holy

Goldberg Variations
!!!!!!!!!!!!! You're a

Glenn Gould fan! Oh

that's marvelous! He would have been

78 years old on

September 25th.

The 6 Partitas are

to die for...

Fri, 09/24/2010 - 18:01 | 603553 docj
docj's picture

I'm seeing some more range time in my immediate future.

Fri, 09/24/2010 - 18:26 | 603619 Yes We Can. But...
Yes We Can. But Lets Not.'s picture

Golf driving range?

Fri, 09/24/2010 - 22:41 | 603939 Mad Max
Mad Max's picture

Enjoy your golf game!

And I don't think he means Range Rover time either...

Fri, 09/24/2010 - 18:42 | 603653 Cognitive Dissonance
Cognitive Dissonance's picture

Free range chicken time? Hey, they're free. :>)

Sat, 09/25/2010 - 15:47 | 604534 kathy.chamberli...'s picture

free range eggs.

Fri, 09/24/2010 - 22:41 | 603940 DoChenRollingBearing
DoChenRollingBearing's picture

@ docj

My time on the range is spent with 7.62 x 39 and 9 mm Luger.

Sat, 09/25/2010 - 09:42 | 604196 grunion
grunion's picture

Keep the luger for nostalgia and pick up an accurate, reliable handgun in a calibre not less than .40 and at least 10 rnd. cap magazine

Sat, 09/25/2010 - 11:14 | 604255 FEDbuster
FEDbuster's picture

"Owning a handgun doesn't make you armed any more than owning a guitar makes you a musician."  Col. Jeff Cooper, Gunsite

"A handgun is for fighting your way to your rifle which you shouldn't have put down in the first place" Clint Smith, Thunder Ranch

"Those who hammer their guns into plows will plow for those who do not." Thomas Jefferson

"Practice and proficiency, not caliber, will win a gun fight."  Me

Keep your 9mm, and practice as much as you can. 

I'll take Todd Jarrett with a .22lr over someone with a .44 magnum who never practices.  Todd would have three bullets through your left eyeball bouncing around in your skull before you even pull the trigger.

Fri, 09/24/2010 - 18:02 | 603554 RobotTrader
RobotTrader's picture

With a virtual panic to own Treasuries of any stripe, race, or color...

I don't know why the Fed just doesn't outright nationalize the entire credit union sector.

Heh, the worst thing that could happen is that Treasury yields plunge again when this news hits the tape on Monday.

Then Uncle Gorilla can float off billions in freshly-flung 5-years, 10-years, and 30-years at practically zero cost.

After all, the Fed balance sheet can explode to infinity and it won't matter.

Who is going to "audit" the Fed?

No one.

Fri, 09/24/2010 - 18:05 | 603567 Hephasteus
Hephasteus's picture

Simple way to audit the fed. Don't give them anything. Then you'll know exactly what they have.

Fri, 09/24/2010 - 18:15 | 603595 rocker
rocker's picture

Even under the Freedom of Information act, which many have tried, Nobody.   We are not Free while we have a FED.

Fri, 09/24/2010 - 21:14 | 603840 RichyRoo
RichyRoo's picture

No citizen, the FED protects your freedom by removing the responsibility for your destiny to their decree, this freedom from responsibility is true freedom. You may choose between a 6 month government sponsored re-education treatment or 6 months prison. Freedom is patriotism, truth is loyalty, loyalty is patriotism.

Fri, 09/24/2010 - 18:21 | 603601 kengland
kengland's picture


Heh, the worst thing that could happen is that Treasury yields plunge again when this news hits the tape on Monday."


You are joking right? Plunge? Over news like this? The fed just added almost 100 bill in leveraged money to the system. Billions can be found in the lobby cushions of any PD.


When you start talking trillions or quads, I'll start listening. Let keep focused on snp 1160-1180 n-kay?

Fri, 09/24/2010 - 20:39 | 603797 mynhair
mynhair's picture

Almost naked ladies, or begone!

Not pics of my Wif.

Fri, 09/24/2010 - 22:15 | 603906 New_Meat
New_Meat's picture

Robo, not as attractive as some of your earlier efforts--and they say the girls always look purtier at closing time.  Who knew?

- Ned

Fri, 09/24/2010 - 23:54 | 604012 StychoKiller
StychoKiller's picture

That's no girl!  It's a trap!

Sat, 09/25/2010 - 10:58 | 604243 Dagny Taggart
Dagny Taggart's picture

Do you work at one of the Fed's prop desks?

Sat, 09/25/2010 - 11:18 | 604252 Widowmaker
Widowmaker's picture

Give me a break Robo, the Fed needs destroyed, that is it.  The rest is shit under the rug.

So, I have to ask, to what hairy beast is the Fed riding on?   That ought to give you clue as to the real perspective of the problem.  Kill that thing and the monkey falls off.

Sat, 09/25/2010 - 15:55 | 604547 kathy.chamberli...'s picture

did you go see WS2 money never sleeps, robo? well, on  bloomberg this AM oliver stone was brilliant. called out everyone, including firing timmy the dweeb. he just keep saying the system is wrecked. very critical. don't think i saw the whole interview. wondering if you can get a tape somewhere?              Nouriel Roubini was on as well.

Fri, 09/24/2010 - 18:02 | 603557 Nolsgrad
Nolsgrad's picture

This is getting beyond ridiculous.

Fri, 09/24/2010 - 19:36 | 603729 Nathan Muir
Nathan Muir's picture

+trillion FRN's.  I'm going to get drunk on scotch and try to forget all I know.  Good weekend all.

Fri, 09/24/2010 - 18:07 | 603558 clotario
clotario's picture

Head bangs against wall.


This mortgage backed security nonsense broke YEARS ago. Did these credit unions miss this?

It's like suddenly having to pay for someone's lung cancer treatment because they missed this news that cigarettes are just poison.


Fri, 09/24/2010 - 18:30 | 603627 Yes We Can. But...
Yes We Can. But Lets Not.'s picture

Cancer treatment is free, now that Obama has that covered.  What a good guy he is.

Fri, 09/24/2010 - 20:49 | 603809 mynhair
mynhair's picture

So, why haven't you been excised?

(Not my junk)

Fri, 09/24/2010 - 20:06 | 603762 pan-the-ist
pan-the-ist's picture

Actually beginning of 2k9 for the general public.  Look - the scam was the shysters ability to AAA rate the MBS's to make pensions and the rest of the dumb money buy it (they have to buy AAA rated stuff.)  This is what happens when you have the roosters watch the hen house.  The CUs probably bought it but weren't fortunate enough to unload it like the TBTFs.

Sat, 09/25/2010 - 05:42 | 604118 The Rock
The Rock's picture

Only roosters?

How about roosters AND foxes? >>> fucked AND eaten!

Sun, 09/26/2010 - 01:56 | 605161 spdrdr
spdrdr's picture

Farmer Joe brought another young rooster back to the hen-house - the old rooster looks the newcomer up and down, and says "You think you're going to take over MY job here??"

New young rooster: "That's right, Grandad!"

Old rooster: "Look, I'm a bit old to get into a cock fight, and I'll willingly give up - IF you can beat me racing around the hen-house 3 times.  All I ask is that I get a half-circle head-start."

Young rooster: "Sounds fine to me, Grandad!"

So they both square off at opposite sides of the hen-house, and it's ON!  The old rooster is tearing up the dust, shrieking wildly,  but the young Turk is gaining, round once, round twice, when Farmer Joe comes out of the ranch with his Ruger .22, and shoots dead the young rooster.

Farmer Joe:  "That's the third fucking gay rooster that I've been sold this month!"


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