Fed Races to Rescue Bear Stearns

[75th]

Damn Im smart:

Bear Stearns close to selling to JPMorgan-WSJ
03.16.08, 4:37 PM ET


NEW YORK (Reuters) - Bear Stearns Cos hopes to seal a deal to sell itself to JPMorgan Chase & Co before Asian markets open Monday, the Wall Street Journal reported Sunday.

The deal would save the 85-year old investment bank, which said Friday it had suffered a run on the bank, and had secured emergency financing from the Federal Reserve, which was supplying funds via JPMorgan Chase (nyse: JPM - news - people ).

Bear Stearns (nyse: BSC - news - people ) could fetch around $2.2 billion, or less than $20 a share, the newspaper said. Shares of the fifth-largest U.S. investment bank closed at $30.85 on Friday, down 46 percent from the prior day. Terms were still be hammered out, the newspaper said.

A stumbling block in any deal is the amount of risk JPMorgan Chase would be taking on, the Wall Street Journal reported. The bank is looking for assurances that would limit its liabilities in taking on Bear Stearns, the newspaper said, citing people familiar with the matter. (Reporting by Dan Wilchins; Editing by Tim Dobbyn)

 

[75th]

The one roadblock I see in this deal is that Jamie Dimon is extremely risk averse...which is probably why JPMorgan is the only bank that seems to know what its doing these days.

 

[EnderJE]

So...socialized health care is bad while socialized banking is good?

 

[Spartacus]

Damn Im smart:

it was in friday's WSJ bor

 

[75th]

http://biz.yahoo.com/ap/080316/jpmorgan_bear_stearns.html?.v=22

$2 a fucking share? Jesus.

 

[75th]

it was in friday's WSJ bor

So I was behind the ball. I hate you for pointing this out.

 

[75th]

Seriously, the magnitude of this is astounding. The 5th largest brokerage firm in the US being sold for less than 1% of what it was worth 2 weeks ago.

 

[Wulfgar]

JP Morgan is going to take over the country

i cannot beleive this happened
wtf?

 

[75th]

JP Morgan is going to take over the country

i cannot beleive this happened
wtf?

Wamu is next.

 

[gotmilk]

hey...$3.52 now with some short covering....LMAOOOOOOOOOOOOOOOOOOOOOOOOO