Seeking Alpha- - - Market Currents
Analyst Dick Bove doesn't think any banks should be repaying TARP loans until it's clear this crisis is over. But if Goldman Sachs (GS) does feel compelled to pay back its $10B, it should first buy back Warren Buffett's (BRK.A) $5B stake - which is more dilutive. You shouldn't be diluting existing shareholders to pay off TARP so you can pay management more money.
Interesting comment that there is much more interested in bonus payments than shareholder value. It's a shame that managers don't feel some obligation to take some pain on behalf of shareholders, who they drove off a Cliff with CDO's.
4 comments:
On CNBC they said that Buffett's GS tranche is getting a 10% dividend and the govt preferred shares are only getting 5%, so you would think that GS would want to pay Buffett off first.
This just shows how much management hates-- hates-- having the US govt in their boardroom looking at salaries. And you know that GS isn't the only that hates this, so maybe the pitchforks were a good incentive after all.
Or, to be cynical, GS and others are just lying about their earnings (that doesn't happen, does it?) in order to get the stock offering out and the govt off their backs.
These guys are jonesin'-- tremors and cold sweat, bug-eyed jonesin'-- for their $3 million dollar bonuses.
3 mill.... how about the 10 mill.
I'm getting that.... These fucking thieves feeling about companies again.
Does that mean we are in a new bull?
My suspicion is banks with the up move in the near term
I also now think that we have had a short term top
Post a Comment