If I stand aside, will the government clean my teenage daughter’s room?

Will the hazmat team use that cool yellow caution tape? ;-)

The Venture CEO is living in a delusion fueled by denial. This is probably the first time he has ever had to face not having his parents pick up after his mess. After leaving the safety of the parents’ home, many people look to government to take over the parental duties. That’s why he can’t believe Uncle Sam won’t pick up this mess for him. It’s outside of his realm of imagination.

It’s like when you’re first told there is no Santa Clause. It’s hard to accept at first, but with time you get through it.

That’s just my opinion of course.

Ray, it’s because Seattle is special…Venture neglected to hedge their bets, and are now paying for it. Instead of taking personal responsibility, it’s much easier to blame the gov. I’m sure if Bernie or Paulie were somehow present, Venture wouldn’t have said a word.

That being said, I’m all for local banks (and business in general), and it hurts to see them doing so poorly.

Dr Roubini predicts more, in part:

“…Roubini Says Stocks Will Drop as Banks Go ‘Belly Up’

U.S. stocks will fall and the government will nationalize more banks as the economy contracts through the end of 2009, said Nouriel Roubini, the New York University professor who predicted last year’s economic crisis.

“The stock market is a bit ahead of the real macroeconomic and financial news,” Roubini, a professor at NYU’s Stern School of Business and the chairman of consulting firm Roubini Global Economics, said in an interview with Bloomberg Television in London today. “We’ll have some major banks going belly up that will need to be taken over.”…”

The rst of the URL:

http://www.rgemonitor.com/roubini-monitor/256190/bloomberg_-_roubini_says_geithner_plan_wont_stop_nationalizations

Futhermore, after the event I questioned the CFO as to WHY they sustained such losses in FNM/FRE. Did they not see what was happening in Nevada/Az? Why not stop loss orders in their portfolios?

As usual, NO answers just finger pointing. Better find that buyer quick boys!

This is where the big disconnect took place. The bankers were unable to recognize that much of the inventory (developments they funded for builders accounts) being gobbled up was through the subprime and 100% loans they were so adamant about not participating in. We’ve seen the quotes in the papers….’we just didn’t participate in all that toxic loan and Wall Street stuff.’ Yes, but what was buying your developers housing? Those very loans.

I had one conversation with a bank executive from one of the banks named in the Seattle Times piece. I was very specific in my conversation about the bubble we were in and asked about their exposure to commercial/development/builder accounts. This was late Fall 2006. Today the stock is down 90% +. Who coulda known? The escrow guy or the suits?