Tuesday, September 30, 2008

Citi will acquire Wachovia... WHAT'S NEXT?

Citigroup Inc. (C, $17.75, -$2.40, -11.91%) agreed to acquire Wachovia Corp.'s (WB, $1.84, -$8.16, -81.60%) banking operations in another deal orchestrated by the federal government, this time by the Federal Deposit Insurance Corporation and one in which the agency could be on the hook for loan losses.
Info provided by Scottrade.

Thursday, September 25, 2008

WaMu operations sold to J.P. Morgan today, September 25th, 2008, at 6:00PM

WaMu, the largest bank in U.S. that could not keep it up anymore in this tought economical times, sold its assets to J.P. Morgan in a bid controlled by FDIC.
J.P. Morgan Chase bought the bulk of Washington Mutual’s banking operations Thursday in a deal orchestrated by federal regulators who had seized control of the troubled thrift based in Seattle, WA.

WaMu’s shares plunged to 45 cents in after-hours trading Thursday as reports of the company’s acquisition began circulating through the media. The stock was worth $1.69 at the close of trading Thursday. The 52-week high for WaMu shares was $36.47.

J.P. Morgan Chase & Co. (NYSE: JPM) will pay $1.9 billion to the FDIC to acquire WaMu’s deposits, branches and a loan portfolio valued at $176 billion. The acquisition doesn’t include some assets and liabilities, which would remain in the holding company, Washington Mutual Inc. (NYSE: WM)

Those with WaMu loans should continue making their payments, as their agreements are still in force acording to FDIC advisors. As for interest rates, JPMorgan Chase will review those rates for WaMu customers starting Friday.

Washington Mutual began life as Washington National Building Loan and Investment Association in 1889, the year of the Great Seattle Fire, and is one of Washington state’s oldest companies.


So sad for those who loved WaMu... and for everyone else!