Washington Mutual going under:

Federal regulators will take over your credit debts and loans... something you donot want to screw up pal.

 

FDIC squad is just parked outside WMU these days. Look for unmarked cars in the parking lot with official looking suits and ties.

 

you're an idiot and a fraud on so many levels that it's really quite sad.

 

i can confirm it on a personal level. rode it out til indymac fell, and then it became a question of 'do i want to be that dolt who left himself exposed needlessly'. i brought both my personal and biz acct below 100m. talked to a friend who i know has $ and banks with them- turns out he has (HAD) $2.5mm- he yanked 2.4 out today.

obviously it was this kind of run on the bank thinking that made shareholders bolt today. i'd be very interested to see if WM updates their deposit base this week. if they do, it will be a sign that we were an exception, if they don't, then a lot of others are deciding not to roll the dice. frankly, you'd have to be a moron to do so- the risk is great and the reward is, well, NONE. you can get better rates elsewhere- no reason to be a hero...

 

I think Todd Harrison has it spot on - WM is sticking out quite clearly as the worst of the big financials - if that wasn't already obvious

http://www.minyanville.com/articles/wamu-wm-giving-ruby-Amazon-AMZN/index/a/18186/from/yahoo

 

They are pulling an indymac. it will trade at 10c a share in the pink sheets in a while, but this time IB has shares to borrow, nice

 

Are they not big enough?

Honestly, I never viewed WaMu as weak as exposed to subprime as Indy.

 

their problem is the $55B pay option arm that is turning sour
GS estimates losses between $17B and $23B on their entire book of which they only have recognized $3B

 

A lot of financials (not just WM) are guilty of doing the "salami writedown". They slice a big writedown into more manageable slices and just write off a slice each quarter.

If they served up an entire salami, then no one would want to eat it.

 

These guys definitely seem a little too big to be allowed to suffer a run, they might force a transfer to somebody else. I hate to say this but all I care is to where the stock will go and given they have the self implosion provision with TPG it looks like a $0 to me