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NEW -> Contingent Buyer Assistance Program
80 cents. If you play the lottery this is the ticket to buy. Their latest bal sheet says they have $800M in cash. All you need is another year of dividends like they've been paying, and that's a nice return!
 
Senator Schumer wrote some letters today, that may be the reason for the late day tanking of IMB.

Sen. Charles Schumer sent letters to federal regulators asking them to monitor more closely the financial health of IndyMac Bancorp Inc., a mortgage lender and thrift operator based in Pasadena, Calif.

The New York Democrat wrote that he is "concerned that IndyMac's financial deterioration poses significant risks to both taxpayers and borrowers and that the regulatory community may not be prepared to take measures that would help prevent the collapse of IndyMac or minimize the damage should such a failure occur."

The letters, drafts of which were viewed by The Wall Street Journal, were sent Tuesday to the Federal Deposit Insurance Corp. and the Office of Thrift Supervision, which regulate IndyMac, as well as to the Federal Housing Finance Board. The finance board regulates the 12 regional federal home loan banks, which are owned by banks and thrifts but chartered by Congress. Because of their congressional charter and role in providing funds for home loans, investors assume that the government would stand behind the home loan banks in a crisis.

IndyMac had $10.4 billion of loans, or "advances," from the Federal Home Loan Bank of San Francisco at the end of the first quarter. Such loans are backed by collateral, typically mortgage loans. Sen. Schumer's letter asked the bank and finance board whether the credit and collateral terms for IndyMac "accurately reflect the associated risks." He also asked whether the San Francisco bank plans "actions to mitigate the risks of its exposure to IndyMac."

Sen. Schumer also said it is "troubling" that deposits placed by brokers account for about 37% of IndyMac's total deposits. Brokered deposits are considered more susceptible to sudden withdrawals.

I am not saying they are not toast, but this is why they had a drop in share price.
 
lendingmaestro said:
They're screwed. Mortgages in all 50 states and only 31 branches in SoCal to offset those with deposits.

End Game
Click to expand...
The only question in my mind is who implodes first...Wamu, Indy, Wachovia, or Downey Savings??? The bank that I work for just picked up PFF Bank & Trust for pennies on the dollar because they were gonna go bye-bye.
 
Lots of talk about "speculators" being to blame for high oil prices. But the talk is all by people who do not understand diddly about how the futures markets work.

It has been demonstrated time and time again that large commercial investors are always, always on the right side in the futures markets, and the speculators are always, always, always on the wrong side. Considering the rise in the price of oil in the last year, one realizes that the speculators are short. The speculators are not long and they are not driving the price up. The speculators are losing their arses.

http://money.cnn.com/2008/06/27/new...tion.fortune/index.htm?postversion=2008062709
 
awgee said:
Lots of talk about "speculators" being to blame for high oil prices. But the talk is all by people who do not understand diddly about how the futures markets work.

It has been demonstrated time and time again that large commercial investors are always, always on the right side in the futures markets, and the speculators are always, always, always on the wrong side. Considering the rise in the price of oil in the last year, one realizes that the speculators are short. The speculators are not long and they are not driving the price up. The speculators are losing their arses.

http://money.cnn.com/2008/06/27/news/economy/birger_oil_speculation.fortune/index.htm?postversion=2008062709
Click to expand...

I am too lazy to read the article at the moment, but awgee is correct. The commitment of traders show a net long by the commercial traders on NY sweet crude. They also show a heavy, heavy net long on natural gas.
 
I closed some loans for Indymac before the credit train crashed into the mountain

in mid August, 2007. They seemed no worse and no better than all the other fog-a-

mirror lenders. I supposed they started with less to squander.

Somebody on Calculated Risk said that trading was stopped, but I haven't seen

any verification of that.

I might have a nice, juicy subcontractor's lien foreclosure. Bank stopped funding

a high rise. People are unpaid a LOT. Don't know if I'll be able to get anything

back, but at the amount they have at risk, they HAVE to sue.
 
graphrix said:
Senator Schumer wrote some letters today, that may be the reason for the late day tanking of IMB.

Sen. Charles Schumer sent letters to federal regulators asking them to monitor more closely the financial health of IndyMac Bancorp Inc., a mortgage lender and thrift operator based in Pasadena, Calif.

The New York Democrat wrote that he is "concerned that IndyMac's financial deterioration poses significant risks to both taxpayers and borrowers and that the regulatory community may not be prepared to take measures that would help prevent the collapse of IndyMac or minimize the damage should such a failure occur."

The letters, drafts of which were viewed by The Wall Street Journal, were sent Tuesday to the Federal Deposit Insurance Corp. and the Office of Thrift Supervision, which regulate IndyMac, as well as to the Federal Housing Finance Board. The finance board regulates the 12 regional federal home loan banks, which are owned by banks and thrifts but chartered by Congress. Because of their congressional charter and role in providing funds for home loans, investors assume that the government would stand behind the home loan banks in a crisis.

IndyMac had $10.4 billion of loans, or "advances," from the Federal Home Loan Bank of San Francisco at the end of the first quarter. Such loans are backed by collateral, typically mortgage loans. Sen. Schumer's letter asked the bank and finance board whether the credit and collateral terms for IndyMac "accurately reflect the associated risks." He also asked whether the San Francisco bank plans "actions to mitigate the risks of its exposure to IndyMac."

Sen. Schumer also said it is "troubling" that deposits placed by brokers account for about 37% of IndyMac's total deposits. Brokered deposits are considered more susceptible to sudden withdrawals.

I am not saying they are not toast, but this is why they had a drop in share price.
Click to expand...

My question is, who wants to pick up IMB's assets for pennies on the dollar, and was Sen. Schumer visited by their lobbyist? Does someone want to absorb IMB and The Fed to back the assets? Hmm... As the senior senator from New York, he had to know what such a letter would do, especially by naming the bank in question.
 
If IMB is the counterparty to CDSs or if there are CDSs written on Indymac, it will have to be absorbed so the liability is not exposed and the holders do not have to show the losses on their statements; ie, Bear Stearns and JPM.
 
Wider Quarterly Loss for KB Home

The Los Angeles-based builder reported a larger second-quarter loss and a 55 percent drop in revenue. And the housing slump continued to eat away at the value of its assets, prompting it to book charges to account for the lower value of unsold homes, joint venture deals and land option contracts.

linky
 
Little birdie told me that Indymac went kablooie this weekend right along with the fireworks. Wholesale and retail lending now defunct. Big PR release on Monday. I'm amazed that ML-implode seems to be the only place that's caught wind of this...
 
Wow. Are the airplanes smokin' with the weight of all the FDIC folk

traveling to shut'em down.

I couldn't find your source. I checked around and couldn't find anything.

It would hardly be surprising.
 
effenheimer said:
Little birdie told me that Indymac went kablooie this weekend right along with the fireworks. Wholesale and retail lending now defunct. Big PR release on Monday. I'm amazed that ML-implode seems to be the only place that's caught wind of this...
Click to expand...

It's all over the yahoo finance message board. probably accurate.
 
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