What Should A “Bad Bank” Pay?
Posted on February 02, 2009 at 19:00 PM EST
The following post highlights these stocks: Goldman Sachs (GS), Berkshire Hathaway (BRK-A), Wells Fargo (WFC), KeyCorp (KEY) and Comerica (CMA). The central problem to the “bad bank” solution is highlighted in this morning’s New York Times http://www.nytimes.com/2009/02/02/business/economy/02value.html?_r=1. Consider the following situation: “The financial institution that owns the bond calculates the value ...