What a superb innings the Regulating body has made!!
It has made 106 runs-mostly singles, occasionally fours and rarely sixes.and still not out.
Much more elegant shots are in store till the year is out.
Well done!
Amazing is it not?
The regulators have closed 106 banks or the year 2009, up to October
Yesterday, it was nine banks.
Friday is the day for winding up failing banks.
There is a Good Friday , during Easter, every year.
But Failed banks Friday is all through the year.
These nine banks will be rebranded as U.S. bank ,which is the California focused unit of U.S Bancorp ,that operates a network of 770 branches across Arizona,California and Illinois.
The status of the employees of these bank is uncertain.
Cal national , the fourth boggest bank that has faced failure , lost $500 millions on heavy investments in Fannie Mae and Freddie Mac.
Banks hold about $1.7trillion in commercial real estate loans or about 15% of their total assets.As these loans weaken ,the banks are losing their credibilty.
Few banks with better diversiication, Zions bancorp,Columbus,Synovus Financial corp, and Commercia Inc.,will survive .
The regulators have pulled down ths shutters of all these 106 banks in quick succession.
What is the government going to do?
What is the destiny of the employees?
What will happen to the deposit holders?
How are they going to resolve the advances and loans ?
By these foreclosures , it is those who had availed financial assistance from these banks are going to gain.Their loans will be classified as bad loans, and will be written off.
Where is it heading too?
Economy has revived , say our financial experts.
But the revival is seen as a masquerading manipulation.
The euphemism is fizzling out.
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