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S&P Board Fires CEO For Telling The Truth, To Be Replaced With COO Of Citibank
Following years of pandering to client demands, and assigning trillions of dollars in fixed income securities with whatever rating money bought (among other things, a factor to the credit bubble and its subsequent implosion) S&P finally tried to do the right thing and tell the truth. However in this case it picked if not the worst, then certainly the most hypocriticial credit in the world to expose - the US itself. Sure enough two weeks after the downgrade, someone made the phone call and the CEO Deven Sharma is no more. As for the kick square in the gonads: Sherma will be replaced with the COO of...you know it... the bank which demanded tens of billions in secret Fed bailout loans itself, Citibank, and whose existence is inextricably tied to America not seeing any more downgrades ever again.
As the FT reports, "The McGraw-Hill board made the decision to replace Mr Sharma at a meeting on Monday, where it also discussed an ongoing strategic review." Alas, this is nothing but a case study of modern corporate reality in America: if you are not with the status quo, you are against it, and you are promptly booted out of it: anyone who does not share the visions of one glorious future built on ponzi schemes, houses of cards, and games of three card monte, will be promptly suicided, either physically or professionally.
We expect that this flagrant example of how the powers that be will deal with any dissenters will instill the fear of god in anyone at either Moodys (or the French sycphants from Fitch) and nobody will ever again menton the words "US" and "downgrade" in the same sentence.
From the FT:
Deven Sharma is stepping down as president of Standard & Poor’s only weeks after the rating agency issued an unprecedented downgrade of the credit of the US, according to people familiar with the matter.
Mr Sharma will remain as an adviser to S&P’s owner, McGraw-Hill, for four months and leave the company at the end of the year, they said.
Mr Sharma will be replaced as S&P president by Douglas Peterson, chief operating officer of Citibank, the banking unit of Citigroup, they said.
As for the official story:
People close to the company said the search for Mr Sharma’s replacement has been going on for six months, and was triggered by the split of its data, pricing and analytics business from its ratings business. The creation of that new group, McGraw-Hill Financial, reduced the scope of Mr Sharma’s oversight, they said.
So let us get this straight: in America when you dare to tell the truth, your career is over, while if you are a corrupt, lying, incompetent tax evader you not only get to be Treasury Secretary but likely will be on for life as long as you do the one duty you are entrusted with: pander to the interests of the Too Big To Fail financial institutions
We should be speechless but at this point we are well beyond the point of even caring.
The only question left in this entire farce is how long before S&P issues the following upgrade of the US:
"Great service, AAA+++ rating, immediate payment, would do business again!!!"
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Ok - the more I think about it the more that I think this might be the 'tipping point' (ok - it was Gladwell - not the greatest but fairly interesting compiler of facts) for the whole kit and kaboodle. As often happens an appropriate song popped into my head - no - not Steppenwolf's "Monster" although that would be a great choice - but a more appropriate one - at least from the point of view from someone who was raised by 'ozzie and harriet' and has been shocked and dismayed on a regular basis since the day Kennedy was shot. Unlike my 'tag' I still think that was a most depressing turn of events - no matter whose side you were on. And at this point - I really have no idea whose side I'm on - I guess I'm on 'my side', but here are the lyrics - from a band that went on to - well 'shark chum' comes to mind but they were able to put together some catchy lyrics and hooks from time to time:
She's come undone
She didn't know what she was headed for
And when I found what she was headed for
It was too late
She's come undone
She found a mountain that was far too high
And when she found out she couldn't fly
It was too late
It's too late
She's gone too far
She's lost the sun
She's come undone
She wanted truth but all she got was lies
Came the time to realize
And it was too late
She's come undone
She didn't know what she was headed for
And when I found what she was headed for
Mama, it was too late
It's too late
She's gone too far
She's lost the sun
She's come undone
Too many mountains, and not enough stairs to climb
Too many churches and not enough truth
Too many people and not enough eyes to see
Too many lives to lead and not enough time
It's too late
She's gone too far
She's lost the sun
She's come undone
(Doe-doe-doe-doe-doe doe un doe-doe-doe un doe-doe-doe)
(Doe doe-doe-doe-doe un doe-doe-doe doe-doe-doe)
(Doe doe-doe-doe doe doe-doe-doe doe doe)
[break]
It's too late
She's gone too far
She's lost the sun
She's come undone
She didn't know what she was headed for
And when I found what she was headed for
It was too late
She's come undone
She found a mountain that was far too high
And when she found out she couldn't fly
Mama, it was too late
It's too late
She's gone too far
She's lost the sun
She's come undone
(No no-no-no-no-no no)
(Doe doe doe-doe)
(Hint - they wrote "american woman")
(Hint #2 - for those under 40 - they AREN'T the 'WHO' - so guess WHO they are? ha haha ha - I still can amuse myself)
I live 2 miles from him hahahahah..............i know
Speculators are betting against the euro, banks are taking incalculable risks and the markets are in turmoil. Three years after the Lehman Brothers bankruptcy, the financial industry has become a threat to the global economy again. Governments missed the chance to regulate the industry, and another crash is just a matter of time. By SPIEGEL Staff.
http://www.spiegel.de/international/business/0,1518,781590,00.html#ref=n...
"The enemy within."
ANYTHING TO DO WITH Citi/SMITH BARNEY C WEALTH MANAGMENT SERVICES/Soverign/primarydealer IS CRIMINAL.
http://www.occ.gov/topics/capital-markets/financial-markets/trading/derivatives/dq111.pdf
Here you have C which has ~ 20T in derivatives yea that is a T. The mark was about 8 c in 2008 and with the FED/treasuary/tarp 1.8T moved the mark to market to 13C.. By inflating and pushing losses on GSE... This is akin to Churchill Clemenceau, George placing the economic burden of a stalled war on Germany. An act that cause misery that allowed Hitler to come to power.. (Oh yea Keynes was in on that one too). So let me get this right the poor sucker that bought an overinflated house with 0-3% down paid hommage to local property taxes then gets total blame for problems... WTF happend to the guys that packaged these over inflated loans and levered them 40 to one? Yea the mark to bonus guys.... Now the FED enablers of these kleptrocrats are going to rate the credit rating of the country? Please order up a straight jacket for me... Extra tight for the empty space where my wallet use to be.... Please Rubin's gang rating anything is ......WTF you tell me how a primary dealer can rate anything objectivly....WHERE IS THE CONFLICT OF INTEREST AND OUTCRY? Can you say moral hazzard? Well the sanity of the American electorate has a chance to bankrupt the culprets that moved the country to
B-3
A short-term obligation rated 'B-3' is regarded as having significant speculative characteristics, and the obligor has a relatively weaker capacity to meet its financial commitments over the short-term compared to other speculative-grade obligors.
S&P is a mess itslf ...
The ratings business faces new regulations because S&P and other agencies gave their highest investment grades to mortgage-related securities which then plunged in value when house prices collapsed.
I'm actually surprised he wasn't found dead of a "heart attack"
Radio ad for CIA recruitment for clandestine operatives. Struck me as odd.
I turned the job down before Peterson took it.
Well I guess getting fired beats getting whacked while playing in the front yard with your kids as the black van pulls away.
And we're in the clear again. All subprime has gone AAA again and Greece has been upgraded to Aa1. In other news, David Copperfield has been appointed to the economic team of Obummer.
Events like this is the main reason I buy clothes at value villiage, eat at home, refrain from buying stupid shit and no watching t.v. except for bloomberg, BNN and russia today, don't have a visa, and keep 0 dollars in my checking account
So I can buy PMs every month!
Enough, I've had enough!
Please, please, oh please tell me this story is from the Onion!! Please, oh please....
This story is from The Onion.
Well, I'm crying
You must not be a wall-streeter
your lie is transparent, yet weirdly unsatisfying
whatever S&P says does not change what is
clearly those in charge are prepared to do what they believe is neccesary in effort to patch this thing together. in the end the only thing that matters in anything like a capitalist system is faith in the system.
Isnt Sharma the Bilderberger front man?
How could he have been canned?
What powerful group opposes the Bilderbergers?
A canned Bilderberger? Would you like Onion with that? (See onion post above).
No
I saw your post earlier. You need to tell us more without telling us more. I'd love to hear evidence that the downgrade was real and this firing is not theater.
So if you were one of the analysts responsible for downgrading the US, what would your preferred exit be - if given any choice whatsoever? Heart attack, car accident, miracle shot to the head? I'd lay very low for a year or so if I were any one of them...
WOW! BUY STOCKS! QE 3
http://www.xtranormal.com/watch/12373724/q-and-a-w-slash-with-larry
Every single one of those S&P board members should be put on trial...The new Nuremburg trials.
Is this really happening? I mean, this is like bad geopolitical camp.
will trade
seals
for silver...
So this is the best shareholder activist Jana aka "Banana" Partners can come up with?
The ticker for McGraw Hill is MHP. S&P is 50% of its revenues and was one of the "crown jewels"
Unless of course if you consider educational text books worth something....just look at Nebraska Book, Cengage and Barnes & Noble for some juicy comps.
"Great service, AAA+++ rating, immediate payment, would do business again!!!"
that made my day!
Remember that scene in the original Willy Wonka movie where they went into the tunnel with the Umpa Loompas and Gene Wilder starts tripping and the walls turn and the colors go faster and faster....
Yeah...
???(?_?)???
This pisses me off. What happened to freedom of speech?
Your freedom of speech is here at Zerohedge !
Read their manifesto
So the US constitution and its first amendment are toast?
artifacts of the debtmoney system...
truth is treason.
he deserved to be fird long time ago...for highest investment grades to mortgage-related securities ...
Shouldn't have to worry about any trouble from Moody's now...
Citi gives blowjobs to the Govt and S&P was open and said what is on their minds.
Boy is the USSA ever exactly like the former USSR... and headed at full speed for duplication of nazi germany.
How blatant can you get?
Hopefully the USSA goes the way of the USSR and nazi-germany... vanish into the pages of [the most abjectly revolting] history.
Time to go write your book Sharma...
Exactly, I have given up on any hope for this soon to be banana republic. Screw it.
NEWSFLASH: Your country is run by criminals. Surprised?
Silver For The People
http://www.youtube.com/user/BrotherJohnF?feature=mhee
So, I'm suppose to believe S&P's CEO Sharma was acting alone in the unprecedented market-rattling historic US downgrade? The S&P Board is suggesting they were not "on-board" with that decision? Hahaaaahaaa!
I wonder who threaten the S&P Board members. Easy to guess the goods "someone" has on these Board members given S&P's track record for fraudulent ratings.
So, now what's the deal. Bernanke jumps out of his tent in JHole, announces QE3, followed thereafter by S&P's rating upgrade? OK. Works for 3-6 weeks? Global calamity resumes.
BTFD! ;-)
I have been meaning to talk to you for a while. I have been kind of shy. Can we exchange digits?
Blue screen coming. Reboot to follow no matter how many of these surreal events happen.
Back when the administration and economists were still dismissing unemployment as a lagging indicator, Ben Stein had a piece in which he claimed those out of work must be difficult to work with. Mr. Sharma must have been difficult to work with.
There is a process of rehabilitation by which people deal with grief and tragedy or such events as the loss suffered during the Great Depression or the Global Financial Crisis for example.
Recovery can only begin after experiencing these five distinct stages of change and realization.
These five stages are: Denial, Anger, Bargaining, Depression, and then finally Acceptance.
So far Wall Street and most of the United States, the UK, Ireland and Japan
are still stuck in deep DENIAL !
There will be no Recovery until this process of rehabilitation is complete !
On the bright side, Douglas Peterson's leaving Citi to go to S&P should raise the average IQ of both organizations.
Probably will be found dead with a suicide note addressed to his wife, but misspelling her name.
Of course, no one will care that much even then because football will be in full swing by then, coincidentally of course.
"Great service, AAA+++ rating, immediate payment, would do business again!!!"
"Reminds me of the little boy in "Christmas Story" who is fantasizing his teachers reaction to the theme he writes regarding his daisy BB gun rifle. In Ralphie's daydream while sitting at his desk the teacher reacts to his theme by turning to the blackboard saying regarding his theme, "I must grade A+++++++!". (Of course when he actually looks at the grade given on his theme the teacher has given him a C+with the written note, "careful, you'll shoot your eye out!":) S&P has just shot its eye out and we must go back again to the Chinese grading agency for truthful ratings. Also, the gold canary in the coal mine is on life support.
"T. D. you magnificent bastard. I read your post!" Tuco
Dear Sharma,
Thank you for supporting the Fed in it's endeavours to find reasons to print more money and launch QE3.
We are getting the COO of Citi to replace you.
I will NOT be announcing QE3 on the 26th so need someone on Monday to deliever a controlled story as they do for me at WSJ. The Citi lads can keep their mouths shut and said nothing about secret bailout loans.
Your truly,
Helicopter
PS. 666 Rules!
Just when you think it hits rock bottom, they reach a new low. How long will it take for them to drop that latest DOJ investigation into S&P past actions? I assume it will just fade off into the sunset.
who luv's ya baby - - -
The writing's on the wall?
Here's Gerald Celente talking with Alex Jones:
http://www.geraldcelente.proboards.com/index.cgi?board=general&action=display&thread=1717
He says the PONZI Scheme is crashing.
But who knows?
Anyway, enjoy.
SEC should revoke their licence, close down S&P completely..
My Dear Friend,
You are an idiot, WTF can the SEC do right? Why toss a few more monkeys in the ring to try to f*ck the football? Entertainment?
Warmest Regards,
H
Who, just who could have seen that one coming? Please go ahead & turn yourself in to the Paranormal Institute as a Precognitive Sorcerer if you did.
And while you're at it, conjure me up some gold, bitchez.
Next Up: U.S.A Credit upgrade! w00t w00t
P.S. CEO - definitely not a bitchass nigga
this is just truly unbelievable...
It would be nice to see the names of those on the board. Yes, I know I could look them up, but thought it might be nice if someone had them handy to post them in a public forum....
Looks like Machiavelli rules.
Let me google that for you:
http://en.wikipedia.org/wiki/McGraw-Hill
Parent company
Worth repeating. Fuck Wall St., the government and the banks. http://youtu.be/nOrxhvAVVRw
"nobody will ever again menton the words "US" and "downgrade" in the same sentence."
Ok, then lets upgrade everyone else between AA to AAAAA+++
There, Eintein and his relativity theory was not limited to subatomic physics.
The action was like banning short-selling -it will only buy them another day, a week tops. Futility, bitchez! woot woot!
www.silverrevolucion.com
At least we still have the Dagong agency to tell us the truth about the U.S...
+1 for the name.
Who has lost the most?
http://capital3x.com/?p=157
QE then and now: Charts
http://capital3x.com/?p=160
This planetary wide dynamic of destruction reminds me of the song and words to the group Styx "The Grand Illusion"
Next thing you know the Vatican and NASA will be telling you ET is coming so,everything before that they told you since time began.... is lies.
Business as usual,nothing has changed.
The announcement is forthcoming on ET believe it.Just when you think ,wow it cannot get any deeper, the hole opens to widen the abyss.
By design.Order out of chaos,problem ,reaction,solution.Black is white,one plus one equals three.There are societies that promote this belief and they are the world leaders.
Epic is just beginning
Hopefully they'll charge that sob with terrorism so justice can be served. Hell why did they even fire him, just get congress to assasinate fools like that.
Now our wonderful syndicate can get back to doing what it does best, fuck-everything-that-moves type thieving <waves flag>.
See you in the internment camps.
A TPTB mistake, showing us how desperate they are. Repression to cling to power has begun in earnest with the regime bullying defectors. They must be holding paper!
With the election of Barack Obama i hoped for better times ahead, i.e. more power to the normal people, less for the money aristrocrats. Well, this is not the case. In fact it worsened. What a tragic disillusion of his words: 'Yes, we can'.
Did anyone else notice the name "McGraw-Hill"? Aren't they also the school textbook producer??
Perhaps the tinfoil hat people are not all wrong.....
http://www.youtube.com/watch?v=YKtlK7sn0JQ&playnext=1&list=PLBFA16D2FF10...
From Harvey Organ's blog. A bank run of a diiferent kind. Customers of Novacotia line up to reteive their gold.
It was all just political theatrics anyway. trying to figure out why and how he was allowed to cut the U.S. credit rating in the first place.
Maybe TPTB wanted to send a message to their employees in Congress that their acting was supposed to have been a little more convincing in the debt ceiling farce.
Chicago economics meets Chicago politics...
Completely out of fucking control. This is a really bad joke!
the truth really does set you free....from employment
Does this debt make me look fat?
are you f'ing kidding me?
How much do you think the corporate interests of INDIA paid Mr. Sharma to downgrade the US? If there is any relative advantage for these burgeoning industrialized countries to see the US downgraded, I would try to connect the dots. He's probably going to live a richly fulfilling life in a mansion back home. Getting "replaced" is not always a bad thing if you can say, "My work here is done."
A little to obvious. Isn't CIti a goverment entity? We are Soviet style now.
Sharma quit, he wasn't fired.
http://www.managementtoday.co.uk/news/1086136/standard-poors-ceo-downgra...
Keep reading this site, you'll learn eventually.
After making an effort to reestablish some credibility, the Board has now obliterated it.
Make you wonder what kind of pressure they were put under to do that!
China was right! The US IS manipulating just about everything. There is NO free market left!
sharma will end up next to jimmy hoffa soon....and yes the upgrade, mirable dictu, will be almost immediate
Have they been passing koolaid around ZH?
How can anything they do now surprise us?
After confiscating our gold, killing Kennedy and all the other shit they do to keep the beast alive, how can they do anything to surprise us?
Please don't drink the koolaid. Anything that you think is too blatant for them to pull off is not only possible but likely. They steal right in front of our eyes.
The only thing that they could do to surprise me is to restore America to what it was.
Hmmmm thinking about it........ They are returning us to the gold standard, albeit a different method than we would like.
The Charging Bull should be promptly substituted by a honorific statue of Carlo Ponzi
I give S&P a AAA rating on insolent audacity.
I think it had something to do with a Predator Drone circling his office and laser dots dancing in his office.
I'm moving my money out of the US s fast as possible. You can't trust the inflation or unemployment numbers, can't trust S&P, it truly is a Ponzi scheme. I'm sure others will join me.
43 years of trading has forced me into paying attention to the details of the FEDs actions and for 30 of them I kept thinking that it just couldn't get any worse, but it does and it WILL!!!