Comments on: The Rise & Fall of WaMu http://www.ritholtz.com/blog/2009/02/the-rise-fall-of-wamu/ Macro Perspective on the Capital Markets, Economy, Geopolitics, Technology, and Digital Media Tue, 14 Feb 2012 16:30:00 +0000 hourly 1 http://wordpress.org/?v=3.0.5 By: Pat Shuff http://www.ritholtz.com/blog/2009/02/the-rise-fall-of-wamu/comment-page-1/#comment-143619 Pat Shuff Wed, 04 Feb 2009 13:12:38 +0000 http://www.ritholtz.com/blog/?p=17816#comment-143619 http://isteve.blogspot.com/2009/02/how-to-guide-to-being-community.html Sailer has been table pounding the low-income housing angle for several years. I understand that this blogspot has a differing view, know that I don't know and allow others the same. http://isteve.blogspot.com/2009/02/how-to-guide-to-being-community.html

Sailer has been table pounding the low-income housing angle for several years.
I understand that this blogspot has a differing view, know that I don’t know and
allow others the same.

]]> By: MinnItMan http://www.ritholtz.com/blog/2009/02/the-rise-fall-of-wamu/comment-page-1/#comment-143544 MinnItMan Tue, 03 Feb 2009 21:31:26 +0000 http://www.ritholtz.com/blog/?p=17816#comment-143544 CRA is a "factor," but not exactly a cause. The causes were far more obvious and direct, and furthermore, had there been no CRA, the same thing would likely have occured. Much as I would like to have a partisan rejoinder to Barney & Co., this is not it. VDARE didn't convince me of anything other than that CRA was part of it. CRA is a “factor,” but not exactly a cause. The causes were far more obvious and direct, and furthermore, had there been no CRA, the same thing would likely have occured. Much as I would like to have a partisan rejoinder to Barney & Co., this is not it. VDARE didn’t convince me of anything other than that CRA was part of it.

]]> By: MikeG http://www.ritholtz.com/blog/2009/02/the-rise-fall-of-wamu/comment-page-1/#comment-143324 MikeG Mon, 02 Feb 2009 21:33:47 +0000 http://www.ritholtz.com/blog/?p=17816#comment-143324 <i>Killinger, in awe of the management at companies like General Electric...</i> Famous last words. Why he would emulate Welch's House of Sleazy Earnings Massage is beyond me. Perhaps he read a hagiographic article in Fortune and thought it would be cool to bask in that kind of glory. Corporate America has driven out independent thought and deep analysis in favor of shallow, management-fad-chasing hucksters. Killinger, in awe of the management at companies like General Electric…

Famous last words.
Why he would emulate Welch’s House of Sleazy Earnings Massage is beyond me. Perhaps he read a hagiographic article in Fortune and thought it would be cool to bask in that kind of glory.

Corporate America has driven out independent thought and deep analysis in favor of shallow, management-fad-chasing hucksters.

]]> By: Chris Whalen http://www.ritholtz.com/blog/2009/02/the-rise-fall-of-wamu/comment-page-1/#comment-143316 Chris Whalen Mon, 02 Feb 2009 20:39:44 +0000 http://www.ritholtz.com/blog/?p=17816#comment-143316 The funny thing about WaMu is that if you were really watching the business, they had started shrinking the bank at the end of 2005. From a peak of $350 billion, WaMu's lead bank wobbled around but steadily fell until it was just $300 billion at resolution. Other business model indicators were unstable through 2006-2007 for those who cared to look. Neither TPG nor the bond holders have anyone to blame but themselves. The funny thing about WaMu is that if you were really watching the business, they had started shrinking the bank at the end of 2005. From a peak of $350 billion, WaMu’s lead bank wobbled around but steadily fell until it was just $300 billion at resolution. Other business model indicators were unstable through 2006-2007 for those who cared to look. Neither TPG nor the bond holders have anyone to blame but themselves.

]]> By: Dr. Kenneth Noisewater http://www.ritholtz.com/blog/2009/02/the-rise-fall-of-wamu/comment-page-1/#comment-143310 Dr. Kenneth Noisewater Mon, 02 Feb 2009 20:17:27 +0000 http://www.ritholtz.com/blog/?p=17816#comment-143310 I wonder if he has a <a href="http://au.youtube.com/watch?v=M9M4WnUmV0w" rel="nofollow">magic murder bag</a> like his uncle? I wonder if he has a magic murder bag like his uncle?

]]> By: The Curmudgeon http://www.ritholtz.com/blog/2009/02/the-rise-fall-of-wamu/comment-page-1/#comment-143294 The Curmudgeon Mon, 02 Feb 2009 19:17:01 +0000 http://www.ritholtz.com/blog/?p=17816#comment-143294 Thisson (off-topic as well) but run the numbers on health care and college tuition, adjusted for inflation. The financial services industry bubble is rapidly deflating (but still has a ways to go). Health care and education are next. Thisson (off-topic as well) but run the numbers on health care and college tuition, adjusted for inflation. The financial services industry bubble is rapidly deflating (but still has a ways to go). Health care and education are next.

]]> By: E http://www.ritholtz.com/blog/2009/02/the-rise-fall-of-wamu/comment-page-1/#comment-143284 E Mon, 02 Feb 2009 18:46:15 +0000 http://www.ritholtz.com/blog/?p=17816#comment-143284 Actually, that vdare piece is pretty good. It acknowledges the baseless and partisan motivation for most of the blame on CRA, but explains the mechanics of how CRA infected the "crazy" banks. Sailer is a fringe conservative and borderline racist, but he's onto something with that piece. Actually, that vdare piece is pretty good. It acknowledges the baseless and partisan motivation for most of the blame on CRA, but explains the mechanics of how CRA infected the “crazy” banks. Sailer is a fringe conservative and borderline racist, but he’s onto something with that piece.

]]> By: doug http://www.ritholtz.com/blog/2009/02/the-rise-fall-of-wamu/comment-page-1/#comment-143270 doug Mon, 02 Feb 2009 18:03:47 +0000 http://www.ritholtz.com/blog/?p=17816#comment-143270 BR, are you going to rise to the vdare bait? or has that crap been disproved enough? Please keep up the good work. BR, are you going to rise to the vdare bait? or has that crap been disproved enough?
Please keep up the good work.

]]> By: Thisson http://www.ritholtz.com/blog/2009/02/the-rise-fall-of-wamu/comment-page-1/#comment-143252 Thisson Mon, 02 Feb 2009 17:08:04 +0000 http://www.ritholtz.com/blog/?p=17816#comment-143252 Off topic, here's a really interesting item that shows just how overpaid Wall Street is on an inflation-adjusted basis: http://finance.yahoo.com/news/How-Wall-Street-Continues-To-usnews-14209399.html Excerpt: "Wall Street bonus pool in 1985: $1.9 billion Value in 2008, if indexed for inflation: $3.75 billion Actual 2008 bonus pool: $18.4 billion Amount by which bonus pool exceeded inflation: 490 percent Average Wall Street bonus, 1985: $13,970 Value in 2008, if indexed for inflation: $27,580 Actual average bonus, 2008: $112,000 Amount by which average bonus exceeded inflation: 406 percent" Off topic, here’s a really interesting item that shows just how overpaid Wall Street is on an inflation-adjusted basis:

http://finance.yahoo.com/news/How-Wall-Street-Continues-To-usnews-14209399.html

Excerpt:
“Wall Street bonus pool in 1985: $1.9 billion
Value in 2008, if indexed for inflation: $3.75 billion
Actual 2008 bonus pool: $18.4 billion
Amount by which bonus pool exceeded inflation: 490 percent
Average Wall Street bonus, 1985: $13,970
Value in 2008, if indexed for inflation: $27,580
Actual average bonus, 2008: $112,000
Amount by which average bonus exceeded inflation: 406 percent”

]]> By: Pat Shuff http://www.ritholtz.com/blog/2009/02/the-rise-fall-of-wamu/comment-page-1/#comment-143246 Pat Shuff Mon, 02 Feb 2009 16:08:47 +0000 http://www.ritholtz.com/blog/?p=17816#comment-143246 http://vdare.com/sailer/090201_meltdown.htm http://vdare.com/sailer/090201_meltdown.htm

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