Suck It Up Warren - Moody's Downgrades Bank Of America From A2 To Baa1

Tyler Durden's picture

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BrocilyBeef's picture

might want to turn this article into a template.

SGS's picture

Morgan Stanley is next!

nope-1004's picture

 

more likely now than during the financial crisis to allow a large bank to fail

Was I asleep for 4 years or something?  When did the financial crisis end?

 

BrocilyBeef's picture

*intermission* Dah-du-dah! popcorn++

Careless Whisper's picture

what's the over/under for a new 52 week low for JPM today?

 

BrocilyBeef's picture

Ohh about...

over under a magical feat often depicted in pornos where a both a female's vag and poop shoot are pounded simultaneously

also known as: double penetration; one in the fridge, one in the freezer; mr. jones, mr. anderson; double stuffed; and ball banging (bc the dudes balls often touch) when we proposed the over under to gina, she smiled, dropped her draws, and said "lets get ballz deep". http://www.urbandictionary.com/define.php?term=over%20under

SGS's picture

BOA - "We disagree with Moodys"

 

No shit captain fucking obvious.

Shocker's picture

Yes the financial Crisis ended in 2009, this is old news :) heheheeh

Coldfire's picture

One zombie at a time. Has-been Moron Stanley's time will come, sure enough.

BrocilyBeef's picture

You can also lose in musical chairs when your seat blows up. Money velocity, bitchez.

A lot of history needs to be written. A lot of plot threads need to come together. Finish the movie!

Don Birnam's picture

"Aw, dammit -- where's Becky's rubber ducky ?! Darn it all. And she even autographed it in indelible marker. Where's that manservant of mine who pays a higher marginal rate than I do...Jeeves ! Fetch me a Cherry Coke ! Time for some crisis thinking."

http://www.mogulite.com/wp-content/uploads/2011/08/Warren-Buffett-Bath.jpg

 

Tater Salad's picture

Bend over Oracle of Obama, this is going to hurt you more than me...!

Todd Horlbeck's picture

Warren Buffett's logic is that BAC is backstoped by the US government. This does not mean the stock can't be valued at 0, it can.  Remember, Buffett has preferred stock that has been treated more favorably at times. Remeber certain Citigroup preferreds?

I wouldn't write off his investment so quickly, but that does not mean the common stock holder can't be wiped out. (And I think they will be crushed).

The most striking thing about this is that the only way for BAC to get out of this mess is to lend their way out.  All I have seen them do is cut their capacity to lend.

If you have 5% in bad loans, the fastest way to fix it is to double the amount you lend.  That 5% becomes 2.5%.  BAC is in big trouble if they won't/can't lend.

 

ZeroPower's picture

Warren's $$ taken to the washers

Mercury's picture

I don't think Buffett's looking to flip these things...He's still getting 6% and a par cash-out +5% additional if BAC wants to pull the plug?

His warrents are out-of-the-money but he's still doing OK here.

JSD's picture

Warren is "...doing OK here." regardless of what BAC (Bank of Atlantic City) does. However, I'm less convicnced of that fact being the point. 

Mercury's picture

Hey, just because Obama took his campaign contribution out in trade from the old man (PR mostly) doesn't mean that shit doesn't talk like real money.  I doubt BRK takes a bath on this even if BAC really goes under.

Mr Lennon Hendrix's picture

The illuminatti does not think in dollar amounts, they think in terms of their power to continue the status quo.

FunkyMonkeyBoy's picture

I'd love to see that old cretin die broke... but that's just me.

Belarus's picture

Were it not for his buddies in Govt. and the Fed, he would be broke already. It' no wonder he sucks Ben's dick every time he orally, ergo, speaks of him. He has become one of the greatest American Baffoons only interested in preserving his self-serving and fragile ego at all costs.  

I Got Worms's picture

Once that old bastard craps his adult diapers for the last time, the USA will be better off.

BungaBunga's picture

Maybe Warren knew all along the special tax for millionaires would not apply to himself.

NotApplicable's picture

Well, of course. It is an income tax, after all. Uncle Warren only earns $100k per year in income.

mirac's picture

Didn't Warren and Bill Gates put 30 billion each into a trust together a couple of years ago...that was the tax dodge

Clueless Economist's picture

Warren is the poster boy of Crony Capitalism

GeneMarchbanks's picture

This will probably be the only time in my life I will think of Buffett and smile...

skree's picture

These old rich bastards never die.

Incubus's picture

You can't die broke once you've reached a certain level of recognition.

 

FFS, the guy could go on tv shows and only tv shows and still earn more than you or I. He could bag his shit and sell it for 2,000 dollars a bag, and someone in the world would buy it.

heywood jablowme's picture

Time for a major collateral call.

jdelano's picture

I see the Tylers have recently discovered espresso.  Or meth.  

BrocilyBeef's picture

Espresso meth? Sounds expensive.

dwdollar's picture

Last minute fear mongering...

Coldfire's picture

Bury this foetid fucker, already. It's stinking up the joint somethin' fierce.

doomandbloom's picture

out of bathtub....into the toilet

Volaille de Bresse's picture

Shhhhhhhhhhh... don't tell Reggie Middleton! ;-)

GittyUP's picture

Isnt buffet getting a redic coupon payment on his preferred shares?  I think he is still smiling from ear to ear regardless of share price. 

Dick Darlington's picture

systemically important financial institutions

Lord i hate that phrase! Why don't these idiots call them what they are. A cancer in the body of society.

TradingJoe's picture

To(a)st itos anyone?!?!?

PS Warren is not even close in trouble, he's got the Midas(Gov) Touch!

depression's picture

ridiculous rationale

BOA will be defended

dwdollar's picture

Yep. I'll believe otherwise when pigs fly.