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Realistbear

F S A Is Pushing For A B & B Takeover As They Are Another N R

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http://www.telegraph.co.uk/money/main.jhtm...3/cnbrad113.xml

FSA to pursue Bradford & Bingley takeover
By Mark Kleinman, Louise Armitstead and Philip Aldrick
Last Updated: 1:30am BST 13/07/2008
The City regulator will accelerate efforts to broker a potential takeover of Bradford & Bingley once the mortgage lender's crisis-hit rights issue is completed, The Sunday Telegraph has learned.
The Financial Services Authority (FSA) is understood to have signalled to major lending banks and prospective bidders that it wants to resolve the immediate uncertainty surrounding the future of B&B, Britain's biggest buy-to-let mortgage firm, by successfully completing its £400m capital-raising.

Gordon cannot afford another NR so he expects the other insolvent banks to help out? Its like asking a drowning man to rescue the last remaining passengers on board a ship that is about to go under. The banks are all pulling each other down and none want to throw their last remaining lifeboats away.

Edited by Realistbear

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Whom is going to buy in?

Who CAN buy in?

Mike

The "solvent" banks are failing in their rights issues and existing stock prices are still plunging. I cannot think of any way B&B can stay afloat much longer unless Gordon steps in and orders his bank to bail them out. There is simply no cash to rescue failures like B&B, whatever ammunition the banks have left will be required to make payroll each week.

Its all going according to predictions made at the beginning of the year: NR and then B&B and then A&L.

Don't forget, there is, I believe, only a 35k deposit guarantee on these banks! If you have more than that in there it might be wise to spread it around a little.

I wouldn't be surprised if we don't see some Queues forming outside B&B this coming week. Who on earth is going to leave savings in a bank that is this close to the brink?

Edited by Realistbear

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I'm not actually advocating it but is there some reason why the government couldn't just take up the B&B rights issue themselves to avert having to take on the liabilities of the entire bank when it goes bust?

350 million quid or whatever is chump change compared to the amount spent on supporting the whole of NR as they ended up having to do.....

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I'm not actually advocating it but is there some reason why the government couldn't just take up the B&B rights issue themselves to avert having to take on the liabilities of the entire bank when it goes bust?

350 million quid or whatever is chump change compared to the amount spent on supporting the whole of NR as they ended up having to do.....

The problem is their books both B&B and A&L have accounting issues, you havent heard it here.

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I'm not actually advocating it but is there some reason why the government couldn't just take up the B&B rights issue themselves to avert having to take on the liabilities of the entire bank when it goes bust?

350 million quid or whatever is chump change compared to the amount spent on supporting the whole of NR as they ended up having to do.....

Maybe this is what is happening in a back-door sort of way. None of the banks has any business interest in owning B&B. Its biggest asset is high street presence, which they already have.

Even the FSA is only looking at buying a 'breathing space'. B&B's prospects long term are even worse than in the short term. It doesn't have a credible management, a business plan or the kind of portfolio anyone wants. If there was some way of splitting the savings off from the mortgage arrears, I assume it would have been done already.

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Secure the deposits and just let the BTL to rot in a market firesale.

The whole system is bankrupt, the banks know it, the politicians know, the clever people on here know it, Joe Public is still in the dark about what's happened.

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So how much do we recon the taxpayer is going to end up paying for all this?

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  • 399 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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