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The Corporate Bank Run Has Started: Siemens Pulls €500 Million From A French Bank, Redeposits Direct With ECB

Tyler Durden's picture





 

In a shocking representation of just how bad things are in Europe, the FT reports that major European industrial concern Siemens, pulled €500 million form a large French bank, which is not BNP and leaves just [SocGen|Credit Agricole] and deposited the money straight to the ECB. The implications of this are quite stunning, as it means that even European companies now refuse to work directly with their own banks, and somehow the ECB has become a direct lender/cash holder of only resort to private non-financial institutions! As Bloomberg reports further on the FT story, in total, Siemens has deposited between 4 billion euros and 6 billion euros, mostly through one-week deposits, with the ECB, FT says, cites the person. It isn’t clear from which bank Siemens withdrew its deposits, per the FT... but it is hardly difficult to figure out. BNP Paribas isn’t the bank involved, FT reports, cites unidentified person familiar with the bank. This story should be having far more impact on the EURUSD than any rumors about Greece lying it will fire all of its public workers only to make sure Eurobanks can survive one more day.

More from the FT:

The company’s move came almost a year after Europe’s largest engineering conglomerate prepared itself for a future financial crisis by launching its own bank, an unusual move for an industrial group outside the car sector, where companies run big car financing and leasing businesses.

 

In an interview last December, Roland Châlons-Browne, chief executive of Siemens’ financial services unit, said its banking business would enable the group to tap the central bank for liquidity and deposit cash at the ECB. 

 

“In the case of another financial crisis, we will be able to broaden our flexibility and take out risk with our own bank,” Mr Châlons-Browne said at the time.

 

Siemens does not only use the ECB as a haven; it also gets paid a slightly higher interest rate than it would get from a commercial bank.

 

The ECB paid an average interest rate last week of 1.01 per cent for its regular offers of one-week deposits, under which it withdraws from the financial system an amount of liquidity equivalent to the amount it has spent on eurozone government bonds.

Update: reader Arnold informs us that Siemens was lucky enough to be the functional equivalent of a Goldman Sachs ATM (you know, Goldman as an FDIC insured "depository" organization) when back in 2010 it got a bank license:

At the end of 2010, Siemens was granted authorization by the German Financial Supervisory Authority (BaFin) to operate banking business in Germany.

Through its loan business, Siemens Bank expands the product range of Siemens’ Financial Services unit, especially in sales financing. In addition, the deposit business of the bank increases flexibility in the area of corporate financing and provides the opportunity for the further optimization of risk management.

Siemens Bank is based in Munich and will be located in Germany only for the time being. Cross-border activities are planned in future. European countries will be the initial focus of such activities. Select emerging markets are additional focal points.

Siemens Bank is a subsidiary of Siemens AG and acts as an independent company. Nonetheless, it profits from its inclusion in the network of Siemens Group’s financial services companies. The bank employs about 100 people, mainly experts from the areas of risk management and risk controlling as well as specialists from loan origination & structuring.

 


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Mon, 09/19/2011 - 15:46 | Link to Comment Irish66
Irish66's picture

market doesn't care

Mon, 09/19/2011 - 15:49 | Link to Comment BigJim
BigJim's picture

And why would they? The ECB will just turn around and use this money to buy bonds... issued by the bank Siemens has just pulled it out of. At 40:1 leverage.

Mon, 09/19/2011 - 15:52 | Link to Comment redpill
redpill's picture

I'm sure the momos would say the death of SocGen is already priced in.

 

Until it isn't!

Mon, 09/19/2011 - 16:16 | Link to Comment I think I need ...
I think I need to buy a gun's picture

turbo timmy was just on bloomberg and everything is strengthened in the united states so there is no need to worry

Mon, 09/19/2011 - 16:18 | Link to Comment redpill
redpill's picture

Oh good, then it must be a good time to raise taxes by $1.5 Trillion.

Mon, 09/19/2011 - 17:16 | Link to Comment clymer
Mon, 09/19/2011 - 18:12 | Link to Comment macholatte
macholatte's picture

Back to Basics

Here's the question the sheeple need to start asking......

If X is a sovereign country then it should have the power to coin its own money. So why does it "borrow" anything from anyone?

 

 No problem can be solved until it is reduced to some simple form. The changing of a vague difficulty into a specific, concrete form is a very essential element in thinking.
J. P. Morgan

Tue, 09/20/2011 - 07:58 | Link to Comment Are you kidding
Are you kidding's picture

To keep them from coining too much too fast.  It's all borrowed from the taxpayers labor.  It's like the SCOTUS is supposed to keep the laws Congress passes in check.  Theoretically, they would tell the Congress...no, you've already borrowed too much...you'll have to wait until you've paid that other thing you "just had to have" back first. 

Mon, 09/19/2011 - 17:15 | Link to Comment LawsofPhysics
LawsofPhysics's picture

Yep, and none of these banks are undercapitalized, especially BAC.  Now where have I heard this all before?

Mon, 09/19/2011 - 16:16 | Link to Comment I think I need ...
I think I need to buy a gun's picture

turbo timmy was just on bloomberg and everything is strengthened in the united states so there is no need to worry

Mon, 09/19/2011 - 16:04 | Link to Comment Belarus
Belarus's picture

SocGen: 50x leverage to be exact. 

Mon, 09/19/2011 - 16:08 | Link to Comment King_of_simpletons
King_of_simpletons's picture

>> somehow the ECB has become a direct lender of only resort to private non-financial institutions

What is new in this ? We make the rules as we go. Ask the Fed and the last five Treasury Secs.

 

 

Mon, 09/19/2011 - 16:11 | Link to Comment redpill
redpill's picture

Of course is there any real difference in the end?  They won't let SocGen fail.  And I wonder how many execs there have also worked at the ECB, and vice versa?

Mon, 09/19/2011 - 16:21 | Link to Comment Careless Whisper
Careless Whisper's picture

SCGLY   who (besides the boyz from jersey) ever heard of a bank that trades on the pink sheets?

Mon, 09/19/2011 - 18:02 | Link to Comment Bwahaha WAGFDSMB
Bwahaha WAGFDSMB's picture

The company’s move came almost a year after Europe’s largest engineering conglomerate prepared itself for a future financial crisis by launching its own bank

 They launched a bank a year ago, that makes them a financial institution.  Increasing their deposits with the central bank could mean they're looking to expand their banking business.  Nothing to see here, move along.

Mon, 09/19/2011 - 18:08 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

That's right BigJim.  Let's get the facts straight people- when you trade paper for paper, the status quo remains.  That is, of course, until inflation eats away at the fiat standard.

You want a real run on the system? 

BUY SILVER

Mon, 09/19/2011 - 15:56 | Link to Comment IQ 145
IQ 145's picture

It's a very significant development and good reportage; I reported here a couple of days ago that WSJ Live from London was carrying this as a story; "various, "large; Euorpean corps. removing funding from large French Banks. Giant Sucking Sound. Not good. Possibilitiy market will care big time; waiting and watching.

Mon, 09/19/2011 - 16:12 | Link to Comment redpill
redpill's picture

Who wants to be the last one out?

Mon, 09/19/2011 - 16:45 | Link to Comment tekhneek
tekhneek's picture

How long does it take to print 500 million euros anyway... An hour?

Mon, 09/19/2011 - 17:17 | Link to Comment baby_BLYTHE
baby_BLYTHE's picture

according to Benocide the ills of too much money printing can be reversed in 15 mins. The initial printing is instantaneous and of no concern to a central banker

Mon, 09/19/2011 - 18:21 | Link to Comment macholatte
macholatte's picture

How long does it take to print 500 million euros

 

ask Switzerland

 

Every crowd has a silver lining.
P. T. Barnum

I did everything by the seat of my pants. That's why I got hurt so much.
Evel Knievel

I got a kick out of having a big bankroll in my pocket. Even if I only made a couple hundred dollars, I'd always keep it in fives and tens so it'd look big.
Mickey Cohen

No one is entitled to the truth.
E. Howard Hunt

 

Mon, 09/19/2011 - 16:20 | Link to Comment readytoleave
readytoleave's picture

Yep ---

I knew the big corps were moving their money ---  But i've got to be honest  --- i never thought they would (could) move directly to the ECB.  Where do I sign up for my account at the fed???

 

 

Mon, 09/19/2011 - 16:47 | Link to Comment Translational Lift
Translational Lift's picture

Great place to put your $ if you never want to see it again.......Oh yea...I forgot they print $ don't they!!

Mon, 09/19/2011 - 18:12 | Link to Comment Prometheus418
Prometheus418's picture

You have to incorporate as a bank- as the article notes Seimens did.

Which is not actually a terrible idea, if you have a lawyer that is willing to arrange it for you.  It is not even necessary to have clients outside of your own family- if you do it correctly, it is possible to incorporate a family bank with FDIC insurance and become a member (however minor) of the Fed.  If you can get that far, you can use the discount window and create your own loans with fractional deposits at the Fed rate- far cheaper than using an outside bank, but you would need to use it enough to justify the legal and accounting expenses associated with maintaining the corporation.

Of course, the odds of getting a 1% reserve are pretty slim if you are not one of the big boys, but even a 25% deposit rate would allow you to print your own money on demand.

All that being said, I would imagine that the process is not as easy as it sounds, and I'm sure you have to have a sizeable amount of capital to begin with.

Mon, 09/19/2011 - 16:24 | Link to Comment kito
kito's picture

did they move the money out of fear, or because the ecb is offering higher deposit rates?

Mon, 09/19/2011 - 16:57 | Link to Comment New_Meat
New_Meat's picture

"teaser rates"

Mon, 09/19/2011 - 19:52 | Link to Comment Isotope
Isotope's picture

With the ECB, they get "Europoints." Watch them grow, cash them in for valuable prizes and travel rewards.

Mon, 09/19/2011 - 21:29 | Link to Comment Ahmeexnal
Ahmeexnal's picture

I bet even DSK has his money out of french banks.

Mon, 09/19/2011 - 16:03 | Link to Comment LeonardoFibonacci
LeonardoFibonacci's picture

I agree.....NO DOOMSDAY TODAY!!!!

Mon, 09/19/2011 - 16:04 | Link to Comment TruthInSunshine
TruthInSunshine's picture

RoboTarder considers today a 0.8% gainer, since the U.S. markets closed 0.8% up off of their intraday lows.

RoboTarder is killing it.

Mon, 09/19/2011 - 16:04 | Link to Comment Stoploss
Stoploss's picture

Holy Shit..

Mon, 09/19/2011 - 16:08 | Link to Comment P Rankmug
P Rankmug's picture

Neither does the Honey Badger.  It doesn't give a shit.

http://www.youtube.com/watch?v=4r7wHMg5Yjg

 

market doesn't care

Mon, 09/19/2011 - 17:05 | Link to Comment Gator8
Gator8's picture

Cash is Trash, accumulate Gold, next target is 2200 in the short term, medium term 2500!!!!!!! Any Comments appreciated

Mon, 09/19/2011 - 17:46 | Link to Comment saulysw
saulysw's picture

Define "short term" and "medium term"

Mon, 09/19/2011 - 15:46 | Link to Comment SheepDog-One
SheepDog-One's picture

But there was a phone call! Didnt Siemens get the word that all is well?

Mon, 09/19/2011 - 16:05 | Link to Comment Mactheknife
Mactheknife's picture

Of course all we heard was the Greek version of that conference call...oh yeah somebody cue the riots.

Mon, 09/19/2011 - 15:46 | Link to Comment Black Forest
Black Forest's picture

You may call this European Integration.

Mon, 09/19/2011 - 16:11 | Link to Comment So Close
So Close's picture

Disntergration

 

Mon, 09/19/2011 - 16:20 | Link to Comment redpill
redpill's picture

Divided we stand and united we fall?  That should be the EU's slogan.

Mon, 09/19/2011 - 15:46 | Link to Comment YesWeKahn
YesWeKahn's picture

Hmmm, I wonder I should deal with ECB directly instead of WFC.

Mon, 09/19/2011 - 15:47 | Link to Comment GeneMarchbanks
GeneMarchbanks's picture

The story of how SocGen was nationalized... {yawn}

Mon, 09/19/2011 - 16:03 | Link to Comment Nate H
Nate H's picture

also the beginning of the story of how EVERYTHING private (ie for profit) will be nationalized..

Mon, 09/19/2011 - 18:37 | Link to Comment NotApplicable
NotApplicable's picture

But they had to do something! The childrens!

Mon, 09/19/2011 - 15:47 | Link to Comment ZeroPower
ZeroPower's picture

How about that ES. Not making anyone in credit much happier today though :/

Mon, 09/19/2011 - 15:51 | Link to Comment firstdivision
firstdivision's picture

Credit is happy and running normal.  Equities on the other hand have offically suffered brain damage.

Mon, 09/19/2011 - 15:56 | Link to Comment ZeroPower
ZeroPower's picture

If by happy you mean generally wider, with ugly spreads, and really small clips going off...then yes. All is not ok in bond-land either.

Mon, 09/19/2011 - 15:58 | Link to Comment IQ 145
IQ 145's picture

They're not Canadian Womens; how can they be truly happy ? No seriously; yes.

Mon, 09/19/2011 - 15:48 | Link to Comment Long-John-Silver
Long-John-Silver's picture

They should have purchased physical Gold with it. Not one single Bank in the world is safe.

Mon, 09/19/2011 - 15:49 | Link to Comment mayhem_korner
mayhem_korner's picture

Maybe the ECB is their gold broker.

Mon, 09/19/2011 - 16:01 | Link to Comment IQ 145
IQ 145's picture

that brings to mind an old English Sarcasm; "And the Best of British Luck to you, Lad". Bout all you could say to someone thought the ECB represented Gold Stabilized Currency.

Mon, 09/19/2011 - 15:48 | Link to Comment mayhem_korner
mayhem_korner's picture

Centralized Mattress Stuffing

Mon, 09/19/2011 - 16:17 | Link to Comment Jumbotron
Jumbotron's picture

<Spit Take>  ROTFLMAO !!!

Mon, 09/19/2011 - 15:48 | Link to Comment sushi
sushi's picture

On the Toika call, Greece appears to be attempting to delay the announcement until after the NA markets  close. Why would they do that if they knew the news would be positive?

As a German firm Siemans likely has had a inside heads up on what this way comes.

 

Mon, 09/19/2011 - 15:50 | Link to Comment scatterbrains
scatterbrains's picture

It really is that simple.. any parent out there sees all these bullshit delays for what they are  lol

Mon, 09/19/2011 - 15:51 | Link to Comment SheepDog-One
SheepDog-One's picture

Yea another after the market close news delay no doubt, in order to be swept under the rug overnite and a new carrot and stick thought up for tomorrows gap up open.

Nevermind just Saturday Germany said it has no support for printing further, or backstopping Greece debt.

Mon, 09/19/2011 - 15:49 | Link to Comment TruthInSunshine
TruthInSunshine's picture

European Banks are fine.*

 

*Famous last words.

Mon, 09/19/2011 - 15:50 | Link to Comment fasTTcar
fasTTcar's picture

Yeah, and I won't come in your mouth either.

Mon, 09/19/2011 - 15:55 | Link to Comment Long-John-Silver
Long-John-Silver's picture

and the check is in the mail.

Mon, 09/19/2011 - 16:08 | Link to Comment I Got Worms
I Got Worms's picture

I'll only put the tip of it in.

Mon, 09/19/2011 - 16:09 | Link to Comment Jena
Jena's picture

This won't hurt a bit.

Mon, 09/19/2011 - 16:12 | Link to Comment jdelano
jdelano's picture

I get tested every six months...

Mon, 09/19/2011 - 16:22 | Link to Comment Manthong
Manthong's picture

We're from the government and we're here to help.

--and you can rest assured that everything will be OK.

Mon, 09/19/2011 - 16:30 | Link to Comment Calmyourself
Calmyourself's picture

Don't worry Hun, I had a vasectomy...

Mon, 09/19/2011 - 16:31 | Link to Comment Dog Paper
Dog Paper's picture

We'll fix the sound in the mix...

Mon, 09/19/2011 - 16:49 | Link to Comment Capitalist10
Capitalist10's picture

"the impact on the broader economy and financial markets of the problems in the subprime markets seems likely to be contained" Ben Bernanke 3/28/07

"we believe the effect of the troubles in the subprime sector on the broader housing market will likely be limited” Ben Bernanke 5/17/07

Mon, 09/19/2011 - 16:34 | Link to Comment Long-John-Silver
Long-John-Silver's picture

or, you can't get pregnant if you're on top.

Mon, 09/19/2011 - 16:43 | Link to Comment Capitalist10
Capitalist10's picture

There are no Americans in Baghdad.  They are on the run everywhere.

Mon, 09/19/2011 - 16:48 | Link to Comment Herman Strandsc...
Herman Strandschnecke's picture

I did send you an email about that.

Mon, 09/19/2011 - 16:55 | Link to Comment CrimsonAvenger
CrimsonAvenger's picture

Actually that one is true, as long as they're both dudes.

Mon, 09/19/2011 - 17:57 | Link to Comment saulysw
saulysw's picture

At this juncture, the impact on the broader economy and financial markets of the problems in the subprime market seems likely to be contained. - Fed chairman, Ben Bernanke, Congressional testimony, March, 2007

Mon, 09/19/2011 - 15:53 | Link to Comment Dick Darlington
Dick Darlington's picture

Truthie, we had STRESS TESTS remember. This year, last year and the findings were that it's all good, all fine baby. 3,5 billion of capital needs among the 90 or so "banks" tested.

Mon, 09/19/2011 - 17:40 | Link to Comment MachoMan
MachoMan's picture

We also had a bank run whereby deposits went straight into the TBTF after it was announced/expected they would be backstopped no matter what...  no reason Europe should be different...  but, I suspect the ECB will have to come out with some type of announcement similar to the FDIC whereby the guaranty on deposits was strengthened/increased, etc.  They'll have to make some type of administrative maneuver or else all of the money will flow to the last backstop...

I thought this same system was going to be used to suck all the decent assets of local and regional banks into the TBTF to shore up the balance sheets for pennies on the dollar...  I guess it could still happen...  or, a variation of it may happen in Europe...  good times.

Mon, 09/19/2011 - 15:48 | Link to Comment SheepDog-One
SheepDog-One's picture

Im really tired of this whole thing that Greece is the black hole of all the Eurozone and world troubles. I remember about a year ago Putins advice to Greece was to tell the ECB and everyone else including the US to go piss up a rope...hell here in the US we;ve got STATES with bigger debt problems than Greece!

Mon, 09/19/2011 - 16:06 | Link to Comment Panafrican Funk...
Panafrican Funktron Robot's picture

Greece is the "rogue trader" in this scenario.

Mon, 09/19/2011 - 15:50 | Link to Comment ToNYC
ToNYC's picture

It's just another way to say, Epic Fail. Slowly, step by step, still time to make our getaway, Kemosabe.

Mon, 09/19/2011 - 19:45 | Link to Comment Bananamerican
Bananamerican's picture

"what do you mean "our" getaway, paleface?"

Mon, 09/19/2011 - 15:49 | Link to Comment PMakoi
PMakoi's picture

Interesting.  Think it's the beginnings of European bank runs?  You know what they say, "It's never good to panic.  But, if there's going to be a panic, it's best to be first to do so."

Mon, 09/19/2011 - 15:59 | Link to Comment X.inf.capt
X.inf.capt's picture

judging by this and 3 month, 6 month tresury yields, the big boys are continuing  the run for cover.

i just dont understand the drop in PM's, maybe this has something to do with more than manipulation and trying to prop up currencies? help me with this.

Mon, 09/19/2011 - 16:15 | Link to Comment Panafrican Funk...
Panafrican Funktron Robot's picture

Gold priced in paper currency is sensitive to paper currency liquidity, though less so than equities.  Expect it to be rangy until Benny's next liquidity dump.  If your trading the paper market, selling OTM puts/covered calls for the weeklies, and some spec long OTM calls around the December 30 opex is a good way to play this.  

Mon, 09/19/2011 - 16:49 | Link to Comment X.inf.capt
X.inf.capt's picture

Thanks, funk

i like physical silver, i dont believe in paper

thank you, again

Mon, 09/19/2011 - 16:22 | Link to Comment CvlDobd
CvlDobd's picture

If you're such a BA gold bug who looks at how much phyz you can buy with an ounce of Franklins then why do you care what the broken paper market thinks about the value of your gold?

Personally I think the Gartman margin call scenario has merit. Gold went down the last time we had a panic. Remember 2008? It wasn't that long ago.

Mon, 09/19/2011 - 16:39 | Link to Comment ParkAveFlasher
ParkAveFlasher's picture

Pierre Lassonde: 20% gold correction, then BOOM.

http://www.kitco.com/falltour2011/

And if you don't like that prediction, just dig Camboner's amazon lips and chin that looks like it can take some abuse.  Love me some Kitco. 

Mon, 09/19/2011 - 17:00 | Link to Comment X.inf.capt
X.inf.capt's picture

i bookmarked it

thanks, park

p.s. kitco rocks!

Mon, 09/19/2011 - 17:36 | Link to Comment DoChenRollingBearing
DoChenRollingBearing's picture

24hgold.com is another good one, their widgets are the ones I use at my blog.  Note the "h" in their name!

Mon, 09/19/2011 - 18:00 | Link to Comment X.inf.capt
X.inf.capt's picture

hey, bearing, got your post yesterday, good stuff.

thanks for the info

Mon, 09/19/2011 - 16:53 | Link to Comment X.inf.capt
X.inf.capt's picture

Good point, cvi
I just wanted to know if you guys saw something I didn't.
Thank you

Mon, 09/19/2011 - 16:14 | Link to Comment jdelano
jdelano's picture

--China commenting on the rationale behind its dumping of the dollar.

Mon, 09/19/2011 - 15:50 | Link to Comment lapedochild
lapedochild's picture

Late afternoon ramp job is being hampered a little... probably only for 10 min. must... close... above... 1200

Mon, 09/19/2011 - 15:50 | Link to Comment Corn1945
Corn1945's picture

Reggie Middleton has been talking about this. Nice call, Reggie.

Mon, 09/19/2011 - 16:06 | Link to Comment Smiddywesson
Smiddywesson's picture

Hee, hee, maybe a little closer to the mark than you know.  This is Reggie's baby.

Mon, 09/19/2011 - 15:50 | Link to Comment Dick Darlington
Dick Darlington's picture

Modern, INDEPENDENT, central bank whose only purpose is to guarantee ZE PRICE STABILITY, impeccably. EU, eurozone and ECB, products of a small elite's political utopia is certainly reaching new levels of insanity before the inevitable demise. What a fooking joke, lol.

Mon, 09/19/2011 - 15:50 | Link to Comment Fips_OnTheSpot
Fips_OnTheSpot's picture

I thought central banks are not supposed to deal with companies?! WTF?

Mon, 09/19/2011 - 15:52 | Link to Comment SheepDog-One
SheepDog-One's picture

Well yea, unless of course theres a lot of money involved. 

Mon, 09/19/2011 - 15:53 | Link to Comment Fips_OnTheSpot
Fips_OnTheSpot's picture

500M are not "a lot of" these days? %-)

Mon, 09/19/2011 - 16:53 | Link to Comment Herman Strandsc...
Herman Strandschnecke's picture

500m is a lot if it's been earned and has finger prints/coke on it. And Siemens earn their money, in fact I'm using one of their hi-end pooters right now.

Mon, 09/19/2011 - 15:52 | Link to Comment Quinvarius
Quinvarius's picture

Unless the ECB wanted the money.

Mon, 09/19/2011 - 16:31 | Link to Comment Dr. Richard Head
Mon, 09/19/2011 - 15:51 | Link to Comment buzlightening
buzlightening's picture

Bank run.  Too bad it's just fiat paper.  Throw it under your mattress and use it for fuel soon.  Won't be paper fiat prices on gold/silver; just ounces one has in their hands out of bankstering criminal syndication robbing citizens blind.  100% possession being the law among the lawless rat bastard bankster gangsters.   

Mon, 09/19/2011 - 15:51 | Link to Comment Quinvarius
Quinvarius's picture

Sounds like the ECB just found 500 million for Greece.

Mon, 09/19/2011 - 16:14 | Link to Comment HoardeBilly
HoardeBilly's picture

Who knew?

500M Euros can put out a Greece Fire?  Maybe its in single EURO notes, smothering it...

Mon, 09/19/2011 - 18:40 | Link to Comment NotApplicable
NotApplicable's picture

Don't forget leverage!

Pick a number between 2 and 200.

Mon, 09/19/2011 - 18:52 | Link to Comment Prometheus418
Prometheus418's picture

If you believe the legends, almost nothing puts out Greek fire.

Mon, 09/19/2011 - 15:52 | Link to Comment robertocarlos
robertocarlos's picture

I was wondering which bank Apple had their 98 billion deposited. And how does a big company trust a bank. Maybe the companies should put some cash in their own safes.  

Mon, 09/19/2011 - 16:14 | Link to Comment Iam Rich
Iam Rich's picture

Apple should buy its own stock!  Its just like a safe.  OMG it's brilliant on so many levels.

Mon, 09/19/2011 - 15:52 | Link to Comment falak pema
falak pema's picture

when thieves fall out...then the writing appears on the wall...Every man for himself may the devil take the hindmost. Meanwhile in Athens... we are running out of medecine in the hospitals as the Pharma companies refuse to deliver pretexting they have not been paid since months. 

Mon, 09/19/2011 - 16:18 | Link to Comment jdelano
jdelano's picture

falek--just post in your native tongue and let us do the work of translating.  It'll be easier and less awkward than watching you consistantly butcher English.  

Mon, 09/19/2011 - 19:17 | Link to Comment falak pema
falak pema's picture

riiiight...lol.

"consistantly"...butcher the english language...of course...not consistently...but then an english butcher sometimes butchers a good piece of meat cutting through the raw nerve instead of through the raw meat. 

You sure you know how to cut the fat from the lean meat? lol, good try at being a you know what. Jingoist, tip top chap, bowler and brolly n all that. Write me a line when you've "consistantly" learnt to shred the fat from the lean.  

Mon, 09/19/2011 - 23:08 | Link to Comment jdelano
jdelano's picture

Lol. Yup--the comsistantly was a particularly unfortunate typo. Got to eat crow. But I'll now posit that your "learnt" combined with the Ritalin-fueled quasi-poetic inchoherence of your response restores the luster of my argument.

You're a strange guy Falek. How is it that you know the correct spelling of consistently yet can't form a cogent sentence? I'm guessing your pals here gave you the ammunition to hit me with--well suppose you must be a decent sort if you've made so many friends. In that case, keep on keepin on with the butchering--I'll suffer in silence from here on out...

Tue, 09/20/2011 - 05:24 | Link to Comment falak pema
falak pema's picture

Take off the blinkers...and maybe some light will enter into your deranged sense of sentence construction. I have no friends here. I just have a rationale that I express in words and that apparently others adhere to, as they do not have some of your prejudices. 

Better than suffering in silence on this blog you should participate and vent your own eloquence on issues close to your heart. WTF, its a free world, at least in thought!

What unites us are very simple things just like what divides us. So say it simply. 

BTW : My "pals" gave me no ammunition. I don't need others to shoot down a clowinsh rant. You did a good job of shooting yourself in the foot.

 

Tue, 09/20/2011 - 11:47 | Link to Comment jdelano
jdelano's picture

Fair enought.  Learnt my lesson.  

Mon, 09/19/2011 - 18:42 | Link to Comment NotApplicable
NotApplicable's picture

Are you forgetting that they don't use letters?

Mon, 09/19/2011 - 16:30 | Link to Comment unky
unky's picture

Months? Some pharma companies have not been paid for years by greek authorities/hospitals.

Mon, 09/19/2011 - 16:58 | Link to Comment Herman Strandsc...
Herman Strandschnecke's picture

Careful with whoyougo with then, eh.

Mon, 09/19/2011 - 15:52 | Link to Comment Pedro
Pedro's picture

I don't have the knowledge (not even close) to process this occurence fully, but, can these people even control consequences to this magnitude?  I have seen in my experience that many things occur as an unintended consequence of peope out smarting themselves.  Whether or not it occurs here, I wouldn't know or even venture a guess

Mon, 09/19/2011 - 18:44 | Link to Comment NotApplicable
NotApplicable's picture

As long as they can keep the train in the tunnel, where it crashes is immaterial, as they have crews waiting at every exit to scoop up the cargo.

Mon, 09/19/2011 - 15:52 | Link to Comment Miss Expectations
Miss Expectations's picture

This will not crash the bank.  It'll be that 20 Euro withdrawal from some ATM that tips things over.

Mon, 09/19/2011 - 17:22 | Link to Comment Panafrican Funk...
Panafrican Funktron Robot's picture

Headline:

Waddell and Reed's European Vacation Goes Horribly Awry, Responsible For Euro Default

Mon, 09/19/2011 - 15:52 | Link to Comment Everybodys All ...
Everybodys All American's picture

If that is true ... the EU Lehman moment is possible.

Mon, 09/19/2011 - 15:52 | Link to Comment unky
unky's picture

I think its the biggest company in Germany. They do their own banking business (partly), as far as I know.

Mon, 09/19/2011 - 15:52 | Link to Comment Lord Welligton
Lord Welligton's picture

Bloody hell.

That is serious.

Wasn't aware that the ECB could take deposits directly from corporates.

Bloody hell.

a corporate run on French banks.

Mon, 09/19/2011 - 16:10 | Link to Comment papaswamp
papaswamp's picture

Apparently Seimens is a bank..in Germany anyway.

Mon, 09/19/2011 - 16:20 | Link to Comment Lord Welligton
Lord Welligton's picture

Yeah. Got the update.

But it seems to me that they are displaying a lack of faith in the Euro banking system.

If other corporates in Europe could do it I imagine they would.

Mon, 09/19/2011 - 16:57 | Link to Comment unky
unky's picture

I am sure they are doing it. We see the ECB deposits on high levels (here on Zerohedge). For example also Daimler (Mercedes) has its own bank. Why wouldnt they park their money with the ECB also?

Mon, 09/19/2011 - 20:29 | Link to Comment Iam_Silverman
Iam_Silverman's picture

"Why wouldnt they park their money with the ECB also?"

Either one of tow reasons:

1 - they might be embarrassed at how little they really have to deposit, or

2 - the FDIC made it more ludicrous to move their assets to BAC?

Mon, 09/19/2011 - 15:59 | Link to Comment TruthInSunshine
TruthInSunshine's picture

In the meantime, the ECB stores its gold/barbaric relic/tradition at an alleged vault, in an alleged location, somewhere (allegedly) in NYC.

Mon, 09/19/2011 - 15:53 | Link to Comment papaswamp
papaswamp's picture

Don't think the algos will figure out in time what this means....

Mon, 09/19/2011 - 15:54 | Link to Comment Flounder
Flounder's picture

Who pays for sewer and trash collection in Greece?

Mon, 09/19/2011 - 17:05 | Link to Comment Herman Strandsc...
Herman Strandschnecke's picture

The Germans?

Mon, 09/19/2011 - 15:54 | Link to Comment Bwahaha WAGFDSMB
Bwahaha WAGFDSMB's picture

I wonder which TBTF Apple's 76B is deposited in.

Mon, 09/19/2011 - 18:45 | Link to Comment LongBallsShortBrains
LongBallsShortBrains's picture

Apple didn't get 76B in cash by being that dumb!

Mon, 09/19/2011 - 15:54 | Link to Comment YesWeKahn
YesWeKahn's picture

For those who lived long enough. BNP used to be owned by the french government.

Mon, 09/19/2011 - 15:57 | Link to Comment SheepDog-One
SheepDog-One's picture

Fukin piece of shit markets just GOT to close above 1,200 of course...these people are delusional if they think theyre fooling anyone any longer.

Mon, 09/19/2011 - 15:57 | Link to Comment the not so migh...
the not so mighty maximiza's picture

This sucks they said they were going to send me a PO to for some rack mount power supplies. (darth vader scream) Nooooooooooooo

Mon, 09/19/2011 - 16:09 | Link to Comment Alvaro de Esteban
Alvaro de Esteban's picture

Really ugly if true.

But EUR/USD not going anywhere

Somebody could inform us if ECB really deals with non bank´s deposits??? 

 

 Now it is clear .Thanks Arnold for your help

 

Mon, 09/19/2011 - 15:57 | Link to Comment Hansel
Hansel's picture

WTF, the ECB now takes corporate deposits.  This is unreal.  What is the definition of "central banking" in this new world?

Mon, 09/19/2011 - 15:57 | Link to Comment Smiddywesson
Smiddywesson's picture

In a shocking representation of just how bad things are in Europe,

Does this mean my gold is going to drop another $100?  If so, just tell me, I can take it.

Mon, 09/19/2011 - 16:19 | Link to Comment CapitalistRock
CapitalistRock's picture

Your gold hasn't changed. Go to your safe and see for yourself. The problem is that people try and value it based on the day to day relative values of different curencies. It's all a side show for the masses as we try and guess who will be the next to debase.

Mon, 09/19/2011 - 16:37 | Link to Comment Long-John-Silver
Long-John-Silver's picture

Just be happy someone is still accepting fiat currencies for physical Gold and Silver, and the even put it on sale every now and then.

Mon, 09/19/2011 - 16:41 | Link to Comment Panafrican Funk...
Panafrican Funktron Robot's picture

This is just another brick in the mortar for "extraordinary fiscal stimulus" to provide "continued liquidity" later this week.  Gold will be rangy until that announcement, after that will either be a slow/steady build above 2K, or a quick jump to 2K.  There really is no other alternative to 2K except a surprise non-call/liquidity crunch, and even there, we're talking maybe a month tops before everyone cries uncle and the spigots turn back on.   

Mon, 09/19/2011 - 16:50 | Link to Comment Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

Hold on Smiddy!  Strong support at $522.00!:)

Mon, 09/19/2011 - 17:01 | Link to Comment unky
unky's picture

Personally I think that Gold will not drop to levels seen before the U.S. downgrade. Because the downgrade had major impact if you remember. The downgrade happened and can not be undone so easily (might take years / even gets worse with more downgrades).

Mon, 09/19/2011 - 15:57 | Link to Comment drswhaley
drswhaley's picture

Germans and French fight all the time. 

Mon, 09/19/2011 - 15:57 | Link to Comment Cone of Uncertainty
Cone of Uncertainty's picture

Fuck Siemens.

Do they really think their fucking money is safe at the ECB--moving money from one bankrupt financial institution to another?

Stupid cunts.

 

Mon, 09/19/2011 - 16:12 | Link to Comment nonclaim
nonclaim's picture

You don't know much about Siemens, do you?

Mon, 09/19/2011 - 15:58 | Link to Comment steveo
steveo's picture

Also big deal today, but Siemens announced they were getting out of nuclear power and going to focus more on renewable.

Mon, 09/19/2011 - 16:01 | Link to Comment Dick Darlington
Dick Darlington's picture

Out of nuclear power and out of nuclear waste (french banks) in same day is quite an accomplishment. ;-)

Mon, 09/19/2011 - 16:05 | Link to Comment Calmyourself
Calmyourself's picture

Well unless that means sustainable Nukes like Throium they are fucked long term..

Mon, 09/19/2011 - 16:09 | Link to Comment CH1
CH1's picture

If they do actually focus on renewables, get ready to short them....

The moment government money stops, the renewable business will crash and burn. Without subsidies, it is a joke.

Mon, 09/19/2011 - 17:02 | Link to Comment unky
unky's picture

Sad but true.

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