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Puerto Rico's 3rd Largest Bank Fails

Tyler Durden's picture




 

Based on Bloomberg data, Doral Bank is the 3rd largest (by assets) bank in Puerto Rico...or rather was. After a 58% collapse in the share price today, news broke after the close:

  • *PUERTO RICO'S DORAL BANK PLACED UNDER FDIC RECEIVERSHIP
  • *PUERTO RICO'S BANCO POPULAR AGREES TO BUY DORAL BANK OPERATIONS

Banco Popular will take the deposits (and 8 of Doral's 26 branches) and the FDIC, aka America's bad bank, eats the bad debt estimated to cost the Deposit Insurance Fund (DIF), as in the US taxpayer, some $748.9 million.

3rd largest (by assets) Puerto Rico-domiciled bank based on BBG data....

 

The writing could perhaps have been on the wall...

 

And it seems the news of the FDIC Receivership leaked...

 

What happened is that the FDIC "fatf-fingered" the failure realase just before the market close, with the stock plunging as a reulst, then promptly retracted the release but the damage had already been done. After the close, the FDIC re-informed the public that the bank, which back in 2010 traded at $125, had indeed been liquidated.

From the FDIC Statement:

Doral Bank, San Juan, Puerto Rico, was closed today by the Office of the Commissioner of Financial Institutions of Puerto Rico, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with Banco Popular de Puerto Rico, Hato Rey, Puerto Rico, to acquire the banking operations, including all the deposits, of Doral Bank.

 

Doral Bank's 26 former branches will reopen under normal business hours beginning Saturday, February 28th. Deposits will continue to be insured by the FDIC, so there is no need for customers to change their banking relationship in order to retain their deposit insurance coverage up to applicable limits. Depositors of Doral Bank can continue to access their money by writing checks or using ATM or debit cards. Checks drawn on the bank will continue to be processed. Loan customers should continue to make their payments as usual.

 

Banco Popular will operate eight of Doral Bank's 26 former branches. It entered into separate agreements with three banks to acquire 18 of the remaining locations. FirstBank Puerto Rico, Santurce, Puerto Rico, will operate and assume the deposits of Doral Bank's 10 other branches in Puerto Rico; Banco Popular's affiliated bank, Banco Popular North America, will operate all three locations in New York City; and Centennial Bank, Conway, Ark., will operate and assume the deposits of Doral Bank's five branches in the panhandle area of Florida.All depositors were fully protected.For more information about branch locations and ownership, click here.

 

As of December 31, 2014, Doral Bank had approximately $5.9 billion in total assets and $4.1 billion in total deposits. As part of the transaction with the FDIC, Banco Popular will purchase $3.25 billion of Doral Bank's assets. Banco Popular agreed to pay the FDIC a premium of 1.59 percent for the right to assume Doral Bank's deposits.

 

The FDIC entered into two separate agreements to sell $1.3 billion of Doral Bank's assets to other parties. Those sales are expected to close in 30 days. The FDIC will retain the remaining assets for later disposition.

 

Customers with questions about today's transaction should call the FDIC toll-free at 1-800-887-7340. The phone number will be operational continuously beginning this evening and throughout the weekend until 8:00 p.m. Atlantic Time on Monday. Thereafter, calls will be answered from 9:00 a.m. to 5:00 p.m. Atlantic Time, on weekdays. Interested parties also can visit the FDIC's Web site at https://www.fdic.gov/bank/individual/failed/doral.html to learn more.

 

The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $748.9 million. Compared to other alternatives, Banco Popular's acquisition was the least costly resolution for the FDIC's DIF. Doral Bank is the fourth FDIC-insured institution to fail this year, and the first in Puerto Rico. The last time an FDIC-insured institution was closed in Puerto Rico was on April 30, 2010.

For those trying to back into the level of Non-Performing Loans, here is the rul of thumb: Doral held $5.9 billion in assets at 12/31 over deposits of $4.1 billion implying at least $1.8 billion in asset impairment, and then the FDIC had to eat a $749MM in FDIC losses, so a total of $2.5 billion in non-performing assets which is over 40% of the total.  There are some other banks with NPLs verging on 40%!

 

It appears that at least in some ways, "Puerto Rico is indeed Greece"...

 

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Fri, 02/27/2015 - 17:41 | 5836883 _ConanTheLibert...
_ConanTheLibertarian_'s picture

Did I just hear a domino toppling ?

Fri, 02/27/2015 - 17:49 | 5836920 walküre
walküre's picture

just a teenie tiny domino, but the game has started

Fri, 02/27/2015 - 17:59 | 5836962 fxpmtrader
fxpmtrader's picture

Nope. Business as usual. That is bullish. BTFD.

Monday new ATHs.

Praise Janet Obumer.

Fri, 02/27/2015 - 18:15 | 5837063 Paveway IV
Paveway IV's picture

Any chance we can get the welfare state of Puerto Rico to PRexit from the U.S. economy? 

I know it's effectively a slave colony for a lot of big companies, but slavery isn't legal anymore, is it? Oh, wait... PR isn't IN the U.S. [sigh]

Fri, 02/27/2015 - 18:35 | 5837203 Hohum
Hohum's picture

If it's /sarc I apologize, but PR is in the USA.  Puerto Ricans have a US passport, if they have a passport.

Fri, 02/27/2015 - 18:52 | 5837304 Four chan
Four chan's picture

how does something that creates its product out of thin air ever go out of business?

Fri, 02/27/2015 - 19:53 | 5837634 johngaltfla
johngaltfla's picture

FWIW, Puerto Rico is the Detroit of America's colonies.

It's a disaster. The Pharma industry dominates the landscape but is now looking for other locations overseas thanks to Obamacare taxation.

The citizenry has gone from sortof middle class to sortof dirt fucking poor.

The banking system is a joke there, the casino industry rigged beyond belief, and crime is so off the charts it makes Ferguson look like an Amish convention.

The US should have encouraged them to become their own country so they can get an IMF/UN bailout but of course the politicos in our country blocked it. I'm glad I don't have to go back there any more but it is quite sad. As a colony/state/nation it has a lot of potential but is so corrupt, Mexican drug dealers won't even do business with them.

Fri, 02/27/2015 - 20:25 | 5837771 Pool Shark
Pool Shark's picture

 

 

Is 'Bank Failure Friday' back again???!!!

 

[Makes me nostalgic for 2009...]

 

 

Fri, 02/27/2015 - 22:36 | 5838221 Soul Glow
Soul Glow's picture

At this rate the FDIC will be bankrupt in no time.

Fri, 02/27/2015 - 19:35 | 5837552 Bananamerican
Bananamerican's picture

"estimates to cost the Deposit Insurance Fund (DIF) will be $748.9 million"

Ole', bitches!


Fri, 02/27/2015 - 18:44 | 5837239 TeethVillage88s
TeethVillage88s's picture

I think they have non-voting Congressmen.

Just let Cuba or China try to Claim Rico, and see hissy fits by Obama.

The non-voting delegates and the Resident Commissioner of Puerto Rico are subject to office-holding limits, i.e., they can hold no other federal office simultaneously. They receive compensation, benefits, and franking privileges (the ability to send outgoing U.S. Mail without a stamp) similar to full House members.[2][3] Their travel account is limited to the equivalent of four round-trip flights per year per delegate.[4]

https://en.wikipedia.org/wiki/Non-voting_members_of_the_United_States_Ho...

Puerto Rico at-large Resident Commissioner Pedro Pierluisi

Fri, 02/27/2015 - 19:36 | 5837556 Fukushima Fricassee
Fukushima Fricassee's picture

Obumer? Because that's where he likes to take it?

Fri, 02/27/2015 - 18:01 | 5836979 TeethVillage88s
TeethVillage88s's picture

No word on if the Bank had Fracking Loans??

Fri, 02/27/2015 - 18:03 | 5836986 walküre
walküre's picture

GM subprime car loans on Chevs to Puero Rican customers in FL and NY only.

Fri, 02/27/2015 - 18:31 | 5837165 TeethVillage88s
TeethVillage88s's picture

Ah Doral & Santander together.

Actually we get Porto Rican enlisting in the Military, then they can sign contracts outside the gate to ripoff artists for cars, car stereos, etc. Doral may have taken on some of these sub-prime military loans.

Fri, 02/27/2015 - 19:39 | 5837572 Fukushima Fricassee
Fukushima Fricassee's picture

All I have left now is 100K in FIAT and a small Puertorican flag for my rear-view mirror.

Fri, 02/27/2015 - 18:18 | 5837084 Sam Clemons
Sam Clemons's picture

These parabolic charts then collapse always look the same.  Is this inherent in nature?  

This is why so few of the original Dow 30 companies even exist any more.  This will eventually be Apple.

Fri, 02/27/2015 - 17:42 | 5836889 matinee55
matinee55's picture

print print print print print, everyone to the window for more free money, print print 

Fri, 02/27/2015 - 18:01 | 5836981 Thirst Mutilator
Thirst Mutilator's picture

ANITA
Puerto Rico,
My heart’s devotion--
Let it sink back in the ocean.
Always the hurricanes blowing,
Always the population growing,
And the money owing.
And the sunlight streaming,
And the natives steaming.
I like the island Manhattan,
Smoke on your pipe and put that in.

GIRLS (chorus)
I like to be in America,
Okay by me in America,
Everything free in America -

BERNARDO
For a small fee in America.

ANITA
Buying on credit is so nice.

BERNARDO
One look at us and they charge twice.

ROSALIA
I’ll have my own washing machine.

JUANO
What will you have, though, to keep clean?

ANITA
Skyscrapers bloom in America.

ANOTHER GIRL
Cadillacs zoom in America.

ANOTHER GIRL
Industry boom in America.

BOYS
Twelve in a room in America.

Fri, 02/27/2015 - 18:26 | 5837124 TeethVillage88s
TeethVillage88s's picture

West Side Story??

Fri, 02/27/2015 - 18:32 | 5837182 Thirst Mutilator
Thirst Mutilator's picture

West BANK Story

Fri, 02/27/2015 - 18:55 | 5837320 TeethVillage88s
TeethVillage88s's picture

West Bank is part of Paris, Right?

West Bank is a landlocked territory near the Mediterranean coast of Western Asia, forming the bulk of the Palestinian territories.

West Bank Story a parody of the classic musical film West Side Story, which in turn is an adaptation of Romeo and Juliet. The film follows the romance between the relatives of the owners of rival falafel restaurants, one Israeli and the other Palestinian, respectively named the "Kosher King" and the "Hummus Hut," in the West Bank.

Fri, 02/27/2015 - 20:02 | 5837680 Thirst Mutilator
Thirst Mutilator's picture

I'm not as complicated as that...

 

Basically, I always kinda liked Natalie Wood b4 Bob Wagner tossed her into Catalina Bay...

 

But actually, I liked her SISTER better...

 

http://4.bp.blogspot.com/-yThcfEV6TME/UXXEo2mfuYI/AAAAAAAAKlk/HXTFSPyu7G...(1).jpg

Sat, 02/28/2015 - 04:49 | 5838847 TeethVillage88s
TeethVillage88s's picture

wow

Fri, 02/27/2015 - 17:42 | 5836890 WTFRLY
WTFRLY's picture

This thread needs a Michael Jackson eating popcorn meme.

Fri, 02/27/2015 - 17:42 | 5836891 Hohum
Hohum's picture

Would have been more fun if announced at 3:55 pm EST.

Fri, 02/27/2015 - 17:43 | 5836893 shanearthur
shanearthur's picture

I'm shocked this happened on a Friday. "unexpectedly" even.

,/sarc

 

Fri, 02/27/2015 - 17:44 | 5836899 Who was that ma...
Who was that masked man's picture

The best you can hope for is that your bank fails before the FDIC runs out of money (which won't take long).

Fri, 02/27/2015 - 17:49 | 5836912 Kaiser Sousa
Kaiser Sousa's picture

too late...

question:how can an agency of a bankrupt government guarantee another bankrupt financial institutions deposits????

answer: it cant...

next.

 

Fri, 02/27/2015 - 17:58 | 5836969 cornfritter
cornfritter's picture

rothschilds will clean it up, not like they are really losing.. the drink will flow and the blood will spill, sure, but then that's the best time to buy i hear

Fri, 02/27/2015 - 18:01 | 5836982 Kaiser Sousa
Kaiser Sousa's picture

how likely is it that a market would close at the same phony paper price 3 days in a row????

http://www.kitco.com/charts/livesilver.html

Fri, 02/27/2015 - 18:30 | 5837156 Al Tinfoil
Al Tinfoil's picture

Kaiser:

Now, don't get hung up on reality, logic, or facts.  Take your blue pill, drink your Kool-Aid, and have faith in the Experts who are running the economy and the banking system.  Those Experts are paid huge salaries and bonuses, which proves that they are doing everything right.  Right? Um......., right???

Extend and Pretend, wash, rinse, repeat.

Fri, 02/27/2015 - 19:32 | 5837280 Kaiser Sousa
Kaiser Sousa's picture

countdown has officially begun...game over Anglo European banker fucks....

 

Feb 27 (Reuters) - China plans to launch a yuan-denominated gold fix this year to be set through trading on an exchange, sources familiar with the matter said, as the world's second-biggest bullion consumer seeks to gain more say over the pricing of the precious metal.The Chinese benchmark would be derived from a new 1 kg contract to be launched on the state-run Shanghai Gold Exchange, a senior source directly involved in the process told Reuters.

 

China, also the top producer of gold, feels its market weight should entitle it to be a price-setter for bullion and it is asserting itself at a time when the established benchmark, the century-old London fix, is under scrutiny because of alleged price-manipulation. If the Chinese fix takes off, it could add to the pressure on the London benchmark, which is used worldwide by producers, refiners and central banks to price holdings and contracts, although the two could exist side-by-side.

"We need a renminbi benchmark for Chinese producers and foreign suppliers to the market," said the source, using an alternative name for the yuan. "This renminbi gold benchmark can be complementary to the U.S. dollar gold-fixing in London." The contract for the Chinese fix would be traded for a few minutes each day to make the process transparent - addressing one of the big complaints about the London fix - and the exchange would settle all trades, the source said. One barrier to wider international acceptance is that the yuan is not fully convertible.

A second source with a global bullion bank said trading and settlement could be done in offshore yuan to allow foreign banks and other suppliers to participate, although only domestic players are expected to participate initially. China has already made some efforts to liberalise the yuan and encourage foreign participation in its domestic markets, especially in bullion.

 

Fri, 02/27/2015 - 21:02 | 5837902 logicalman
logicalman's picture

The whole financial system is a total scam.

If a bank prints it, it's money - If you or I print it, we get stripes in our sunlight.

Backed by what?

Fuck All is what it's backed by.

QE = a few mouse clicks - was anything of value created???

Fcuk it!

 

Fri, 02/27/2015 - 19:11 | 5837406 lotsoffun
lotsoffun's picture

the fdic will never run out of money.  never.  i promise you.  the regulations are and will be that the fed will print whatever it takes to make the 250k guarantee per deposit.  the question is, how long after your bank fails will the paper trail get back to you.

nobody at an fdic guaranteed instiution will ever LOSE a penny.  not a penny.  now, what that penny is worth, that's your problem.

otherwise, it is business as usual.

print.  PRINT.  it's only paper, and usually only digital.

 

Fri, 02/27/2015 - 19:43 | 5837586 Fukushima Fricassee
Fukushima Fricassee's picture

They have been out of money for a very long time.

Fri, 02/27/2015 - 19:43 | 5837587 Fukushima Fricassee
Fukushima Fricassee's picture

They have been out of money for a very long time.

Fri, 02/27/2015 - 17:46 | 5836904 Osmium
Osmium's picture

Puerto Rico's third largest bank was trading at a buck and a quarter?

Fri, 02/27/2015 - 18:32 | 5837177 disabledvet
disabledvet's picture

Actively would appear!

 

"They needed that hat tip from the SEC" too apparently.

 

Puerto Rico, Greece, Russia, Turkey...this could really get ugly fast.

 

Oh, yeah.  "Costs."

What do the Germans say?

"Everyone gets whats coming to them."

Fri, 02/27/2015 - 17:46 | 5836906 anonymice
anonymice's picture

See? Greece cannot prosper with a currency it cannot devaluate. Oh wait...

Fri, 02/27/2015 - 17:47 | 5836913 walküre
walküre's picture

40% NPL? Did they agree to make this the Puerto Rican bad bank or something? How bad are the others then if 40% is acceptable until it's not?

Fri, 02/27/2015 - 17:49 | 5836918 pupdog1
pupdog1's picture

40% nonperforming loans?

Who was the bank regulator? Sharpton?

This is Bammy's Free Stuff Army on fucking steroids.

Fri, 02/27/2015 - 18:24 | 5837115 davidalan1
davidalan1's picture

sharpon band regulator, thats some funny shit right there...omg

Fri, 02/27/2015 - 18:54 | 5837317 Osmium
Osmium's picture

YOU get a loan! and YOU get a loan!  EVERYBODY Gets a loan!

Fri, 02/27/2015 - 18:01 | 5836921 Yen Cross
Yen Cross's picture

 Puerto Leako?

  The ~Carribean~ Detroit<>

 Seriously, this shit has been going on since 2012.

 Off cuff` This goes back to '13 Puerto Rico’s debt crisis: Puerto Pobre | The Economist

Fri, 02/27/2015 - 17:49 | 5836924 847328_3527
847328_3527's picture

good for an after hours market rally i suspect.

Fri, 02/27/2015 - 17:55 | 5836948 wmbz
wmbz's picture

Puerto Rico, No problem here, they are under the wing of the USSA! The FDIC has unlimited funds, this minor snafu will be corrected in a jiff!

Carry on!

Fri, 02/27/2015 - 17:56 | 5836958 Frank N. Beans
Frank N. Beans's picture

$749MM in FDIC losses.

Will there be anything left to cover the remaining 3000 banks? 

Fri, 02/27/2015 - 18:09 | 5837016 TeethVillage88s
TeethVillage88s's picture

The DIF's reserves are not the only cash resources available to the FDIC: in addition to the $18 billion in the DIF as of June, 2010;[40] the FDIC has $19 billion of cash and U.S. Treasury securities held as of June, 2010[40] and has the ability to borrow up to $500 billion from the Treasury. The FDIC can also demand special assessments from banks as it did in the second quarter of 2009.[41][42]

as per Wikipedia...

But we have like $10 Trillion in Deposits I believe.

Fri, 02/27/2015 - 17:57 | 5836960 A Lunatic
A Lunatic's picture

American Taxpayers are so generous.......

Fri, 02/27/2015 - 21:04 | 5837918 logicalman
logicalman's picture

US Government is so generous with other people's money, might be more accurate.

I see you omitted the /s

Fri, 02/27/2015 - 17:59 | 5836976 czarangelus
czarangelus's picture

Banks can fail?

I wonder how many billions of derivatives this will disrupt...

Fri, 02/27/2015 - 21:12 | 5837945 logicalman
logicalman's picture

Small banks, small meaning those the FDIC has the 'money' to cover, can be allowed to fail.

Anything over what FDIC can cover are TBTF - to protect the derivitives you refer to.

The day all those derivitives collapse will be a bad day for just about everyone on the planet, but the day will arrive.

I can't figure out how it has been put off for so long.

I guess if you are playing a game and are in the priveleged psoition of being able to change the rules at will and enforce your decisions by force, it's kinda hard to lose.

 

 

Fri, 02/27/2015 - 18:05 | 5836999 Larry Dallas
Larry Dallas's picture

Cockroaches. No self-respecting Manhattanite wants to in NYC during the first Saturday in June. Ever.

 

Fri, 02/27/2015 - 18:29 | 5837155 MrButtoMcFarty
MrButtoMcFarty's picture

Internet tough guy....what a fucking racist piece of shit you are.

Give me a date and time anywhere in the city you chickenshit.

Fri, 02/27/2015 - 19:18 | 5837445 Larry Dallas
Larry Dallas's picture

Really? What is wrong with stereotyping people based on the historical basis of their behavior?

You're the fuckers that caused Guiliani to ban alcohol at all public street events with your roughing or whatever you guys call it.  

http://en.wikipedia.org/wiki/Puerto_Rican_Day_Parade_attacks

Puerto Ricans put the "ass" in class...

 

Fri, 02/27/2015 - 20:10 | 5837713 MrButtoMcFarty
MrButtoMcFarty's picture

An act of idiocy some 15 years ago....

FUCK YOU.

Time and place you racist punk bitch.

Fri, 02/27/2015 - 21:00 | 5837891 Larry Dallas
Larry Dallas's picture

Sure. But before I do that, I have to warn the doorman in Fifth Avenue to board up their windows before your type come in.

Like They Do Before Every Puerto Rican Day Parade. And no other parades. Why is that?

Sat, 02/28/2015 - 04:28 | 5838834 TeethVillage88s
TeethVillage88s's picture

The New York City Police Department was greatly criticized for its handling of the attacks. Eventually, over fifty women reported being harassed or assaulted.

wow, I never heard about that.

Sat, 02/28/2015 - 11:31 | 5839336 MrButtoMcFarty
MrButtoMcFarty's picture

You are a chickenshit racist punk bitch.

Time and place you pussy.

Sat, 02/28/2015 - 11:38 | 5839353 Let Them Eat Cake
Let Them Eat Cake's picture

Bronx zoo, inside the Lion exhibit (jump the fence), 6am Sunday... I'll be wearing a stikingly realisitc looking lion diguise. 

 

Fri, 02/27/2015 - 19:46 | 5837592 Bananamerican
Bananamerican's picture

Maybe he's not a racist.

Maybe he's a "Culturist" like me...

After all, "Thirds gotta world".

At 6:14 p.m. EDT, the first of the violent attacks began.[3] At Simon Bolivar Plaza, near Sixth Avenue and Central Park South, a group of 15 to 20 men descended upon two teenagers, sprayed them with water, and proceeded to grope them. One victim was pushed to the ground and an assailant stole a pocketbook from them before moving on. A few minutes later, the attackers surrounded a French honeymooning couple on Center Drive near the Wollman Rink. The group doused the woman with water, with some men reportedly chanting, "Soak her! Soak her!"[3]

The group then tore off her clothes and undergarments, fondled her, and yanked her jewelry from her neck. Her husband attempted to save her, forcing his way through the crowd, and taking her out of the park to a policeman. The couple was ushered into a police scooter, but the crowd surrounded the scooter and attempted to continue the attack.[4]

Soon after, another victim, skating down Central Park South was assaulted by a group of men. She was pulled to the ground and the assailants attempted to remove her shorts. The men eventually gave up after stealing her cell phone. The victim then attempted to report the attack to a policeman who ignored her.[5] Dozens of women were subsequently mobbed and assaulted. One of the last attacks was on a trio of British tourists at around 6:48 p.m.[3] The three teenagers were sitting on a fence in the park when a group of men began groping them. One of the teenagers was forcibly separated from her group, stripped, and raped. After a brief respite, a second group of men came upon her and assaulted and robbed her.

Manuel Vargas, who was the suspected ringleader, was quoted by the press as saying he "was just having fun".[12] Eventually, 30 people were charged in the assaults, 18 pled guilty or were convicted, one was acquitted, and 11 had their charges dismissed.[13] The longest sentence handed down was five years for Abel Ortiz.[14] Eleven police officers and three 9-1-1 operators were disciplined, and the city paid over $500,000 in lawsuit settlements to victims.[15] Mayor Giuliani banned alcohol at the parade the following year.[16]

Fri, 02/27/2015 - 20:12 | 5837726 MrButtoMcFarty
MrButtoMcFarty's picture

Blahblahblahbittyblah....Assholes who got dealt with accordingly....

Characterizing an ethnicity by the acts of a few assholes is being a racist punk bitch.

 

 

 

Fri, 02/27/2015 - 21:10 | 5837938 Larry Dallas
Larry Dallas's picture

.[15] Mayor Giuliani banned alcohol at the parade the following year.[16] 

... that ruined it for fucking every body becuase hotheads like this bambino can't behave like a gentlemen.

Racism today is the new term for "its true".

Fri, 02/27/2015 - 18:05 | 5837001 Renov8
Renov8's picture

Do you get the picture, when something starts to circle the drain, and it slowly, but surely inches closer and closer to the center, until it finally goes down?

Well, Puerto Rico is that turd that just went down the center.  We, on the other hand, are just starting to circle on the outside, moving ever so slowly towards the center.......

Fri, 02/27/2015 - 19:27 | 5837512 pupdog1
pupdog1's picture

Well, that was repugnant yet precise.

Fri, 02/27/2015 - 18:17 | 5837065 Cthonic
Cthonic's picture

Wow, it only took them ten years to close that one.  Must have made some great campaign contributions.

Fri, 02/27/2015 - 18:16 | 5837073 WTFUD
WTFUD's picture

Another Puppet bites the dust.

Fri, 02/27/2015 - 18:18 | 5837079 davidalan1
davidalan1's picture

"FDIC receivership"...the jokes never end- would love to see the FDIC balance sheet...lmao

 

I think it was 30plus years ago i read in the WSJ the FDIC started using realestate as collateral..hahahaha

we are SOOO FUCKED

p.s. The FDIC = greatest story never told

Fri, 02/27/2015 - 18:20 | 5837095 FreeShitter
FreeShitter's picture

Puto rico aint so rico now...

Fri, 02/27/2015 - 18:22 | 5837105 TeethVillage88s
TeethVillage88s's picture

Typical for Americans to take on too much debt.

Perhaps they are characterized as Petite Bourgeoisie.

Petite bourgeoisie (French pronunciation: ?[p?tit bu??wazi]), also petty bourgeoisie (literally small bourgeoisie), is a French term (sometimes derogatory) referring to a social class comprising semi-autonomous peasantry and small-scale merchants whose politico-economic ideological stance is determined by reflecting that of a haute (high) bourgeoisie, with which the petite bourgeoisie seeks to identify itself, and whose bourgeois morality it strives to imitate.[1]

In political economy, political philosophy, sociology, social sciences, and history, the bourgeoisie (Eng.: /b??r?w???zi?/; French pronunciation: ?[bu??wazi]) is the wealthy stratum of the middle class that originated during the latter part of the Middle Ages (AD 476–1453).[1][2] (Owners of Capital)

- Maybe in America we have a bunch of Posers. So maybe neo-bourgeoisie is a better term

Fri, 02/27/2015 - 18:35 | 5837204 disabledvet
disabledvet's picture

The moon landings were fake, too.

Fri, 02/27/2015 - 19:01 | 5837352 TeethVillage88s
TeethVillage88s's picture

Fake parents, fake middle-high class, fake moon landings, fake wars, fake terror threats, fake conservative banks, fake representation in congress, Faux News, K-12... we do everything fake.

Fri, 02/27/2015 - 18:23 | 5837110 Mi Naem
Mi Naem's picture

Huh, and right after Schiff and Casey just moved down there. 

Fri, 02/27/2015 - 18:27 | 5837129 davidalan1
davidalan1's picture

WAIT...."Banco popular"?   Really?

Fri, 02/27/2015 - 18:27 | 5837133 pauhana
pauhana's picture

Doral Bank had several branches in Panama City, Florida, which will open on Monday as Centennial Bank branches.  Cost to taxpayers?  Close to a billion.

Fri, 02/27/2015 - 18:27 | 5837137 MrButtoMcFarty
MrButtoMcFarty's picture

Puerto Rico needs to restore sugarcane production for biomass/biofuel.
Puerto Rico needs to greatly expand solar power....res and comm.
Puerto Rico needs to explore the possibility of geothermal power.
Puerto Rico needs to explore possibility of tidal power generation.
Puerto Rico needs to legalize weed and promote pot biz/tourism.
Puerto Rico needs to start executing dirty cops and narco traffickers.
Puerto Rico needs to start growing crops and fish for it's population.
Puerto Rico needs to stop importing sugar/fat laden USA garbage food.

Voila....Energy independence + Safety + Health = Wealth

None of which will happen as long as elites in charge of Puerto Rico are allowed to continue the rampant corruption and thievery.
Cut the heads off the snakes once and for all.

Viva Puerto Rico!

Fri, 02/27/2015 - 19:03 | 5837362 TeethVillage88s
TeethVillage88s's picture

The Porto Ricans must pay us back!!

We will use the pitch Forks $ Guillotines!!

Fri, 02/27/2015 - 20:43 | 5837812 Miss Expectations
Miss Expectations's picture

You are clearly familiar with Puerto Rico.

The few times I visited, I spent a lot of time here (locally called Guilligan's Island):

puerto rico gilligan's island pictures

Beautiful, right?

But, then there are the hot springs.  You'd expect something beautiful, right?  But this is what they have and it looks like a strange retaining wall arrangement:

http://home.comcast.net/~oscar.voss/Coamo-publicpool-main-wading-large.jpg

The place is both beautiful and ugly and then there are banditos

(Edit:  GREAT Food)

Sat, 02/28/2015 - 12:07 | 5839425 MrButtoMcFarty
MrButtoMcFarty's picture

You were on South side of PR....Coamo hot springs and Ponce area. I've been many times...never saw a single "bandito".

Should they paint the walls in Coamo so the paint can pollute the springs? Would that be more appealing?

Next time you go to PR check out Rincon area. Then head down the coast to Cabo Rojo and check out Combate and Playa Buye.

Racist dickweeds aren't welcome....they get sniffed out and dealt with quickly.

Sat, 02/28/2015 - 21:11 | 5841125 Miss Expectations
Miss Expectations's picture

I'm ready for another slow drive all the way around the Island!  

Fri, 02/27/2015 - 18:44 | 5837241 MeBizarro
MeBizarro's picture

Puerto Rico is in a world of trouble and because of it doesn't have direct representative status in Congress & its quasi-unique governing status there isn't a more straightforward way out of their morass.  Anyone with any of real motivation and who wasn't elderly has left too too for the US mainland the past several years too.  

Fri, 02/27/2015 - 19:09 | 5837389 TeethVillage88s
TeethVillage88s's picture

Next you will say our GDP is Fake or we need to start remittance/money transfer companies in Porto Rico.

"According to the CIA and the Central Bank of Somalia, despite experiencing civil unrest, Somalia has maintained a healthy informal economy, based mainly on livestock, remittance/money transfer companies and telecommunications.[3][29]"

Don't you know the goal is to keep developing countries from developing??

Fri, 02/27/2015 - 18:53 | 5837308 FrankDieter
FrankDieter's picture

No problemo, just ship a bunch of PR folk up to NYC and sign them up for welfare.

Cubans next.  We can always use some more lazy folk.

Fri, 02/27/2015 - 19:37 | 5837563 venturen
venturen's picture

EVERYTHING IS AWESOME....Just ask Janet!

Fri, 02/27/2015 - 19:39 | 5837569 q99x2
q99x2's picture

Can we get even 1 Puerto Rican bankster to jump. They all seemed to quit jumping in the Fall of last year. Then when I saw them in NYC on New Years Eve they were jumping for joy at the parties and we haven't had one jump since.

Fri, 02/27/2015 - 19:57 | 5837644 Fukushima Fricassee
Fukushima Fricassee's picture

Sangano carajo , pendejos. Obama se mama susio pinga y no aye con que pagar.

Fri, 02/27/2015 - 20:33 | 5837801 Puerto Rico is ...
Puerto Rico is worst than Greece's picture

Thanks, gringos for your money!

Fri, 02/27/2015 - 20:50 | 5837856 Downtoolong
Downtoolong's picture

So, is Moody's rating of the FDIC now going to Baa or just fucking Baad.

Fri, 02/27/2015 - 21:47 | 5838089 nuke ISIS now
nuke ISIS now's picture

Doral doing a bit too many, or the wrong MBS.CDO Deals, reference HMC Assets and Corona Asset Managmnt deals...

 

just sayin

Fri, 02/27/2015 - 22:35 | 5838239 Soul Glow
Soul Glow's picture

Bullish for pensions.

Fri, 02/27/2015 - 23:39 | 5838400 FrankDieter
FrankDieter's picture

Good one !

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hackne's picture

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