Sunday, February 28, 2010
Saturday, February 27, 2010
"Tough shit" is what Retiring Sen. Jim Bunning, R-Kentucky said to Oregon Senator Jeff Merkley, as Sen. Jeff Merkley, D-Oregon, criticized Bunning's stance on the package.
Pay attention, old man
Wednesday, February 24, 2010
Whale of a problem
Sunday, February 21, 2010
literally laid up...
Friday, February 19, 2010
The Grinch Memo
Wednesday, February 17, 2010
take this job & shove it
Tuesday, February 16, 2010
Monday, February 15, 2010
Canada Oh Canada!
Sunday, February 14, 2010
What is Love?
Friday, February 12, 2010
Farewell old friend...
Never thought this day would arrive. My Mom's house has finally sold. It took almost 2 years to sell it, awash in a sea of foreclosed homes. It is a place we moved to when I was 5 years old. My Mom still lived there till a few years ago when too many health issues landed her in a care facility- not her own choice, but a necessary one none the less. The place is full of memories for me. When we first moved there the lot next door was an empty, grassy field, except for a garage. Our own back yard had a hand made stone bbq, and a wishing well- full sized w 2 wooden pillars and a conical roof. Over the years the wood rotted, so the roof & pillars had to go, but the stone base of the well remained-- Mom wound up using it as a giant planter. As a kid I remembered planting flowers in the yard, and when we first moved there, we saw a few wild rabbits running around in the yard. It seemed huge to me as a kid... a vast expanse of space to play & run around in. One magical winter, we had a big snowfall, a flash warm spell and then a hard freeze. Without doing a thing ourselves-- Mother Nature had created our own personal ice skating rink right in my own back yard. Of course I put on my ice skates & enjoyed the gift.
Wednesday, February 10, 2010
Tuesday, February 9, 2010
If he only had a brain
WaPO reports this gem:
Monday, February 8, 2010
Favorite Superbowl ads
Sunday, February 7, 2010
16 banks have failed in 2010...so far
|1st American State Bank of Minnesota||Hancock||MN||15448||February 5, 2010||February 5, 2010|
|American Marine Bank||Bainbridge Island||WA||16730||January 29, 2010||February 3, 2010|
|First Regional Bank||Los Angeles||CA||23011||January 29, 2010||February 3, 2010|
|Community Bank and Trust||Cornelia||GA||5702||January 29, 2010||February 3, 2010|
|Marshall Bank, N.A.||Hallock||MN||16133||January 29, 2010||February 3, 2010|
|Florida Community Bank||Immokalee||FL||5672||January 29, 2010||February 3, 2010|
|First National Bank of Georgia||Carrollton||GA||16480||January 29, 2010||February 3, 2010|
|Columbia River Bank||The Dalles||OR||22469||January 22, 2010||February 2, 2010|
|Evergreen Bank||Seattle||WA||20501||January 22, 2010||February 2, 2010|
|Charter Bank||Santa Fe||NM||32498||January 22, 2010||February 2, 2010|
|Bank of Leeton||Leeton||MO||8265||January 22, 2010||February 2, 2010|
|Premier American Bank||Miami||FL||57147||January 22, 2010||February 2, 2010|
|Barnes Banking Company||Kaysville||UT||1252||January 15, 2010||February 3, 2010|
|St. Stephen State Bank||St. Stephen||MN||17522||January 15, 2010||January 26, 2010|
|Town Community Bank & Trust||Antioch||IL||34705||January 15, 2010||January 26, 2010|
|Horizon Bank||Bellingham||WA||22977||January 8, 2010||January 12, 2010|
FDIC’s problem bank list grows to 552, DIF now negative
FDIC published its quarterly banking profile today. Here are the latest banking industrystatistics at a glance. A few interesting takeaways I’d like to highlight. First, the problem bank list grew again. And it still understates total problem assets…both Citi and Bank of America should also be on this list.
The number of institutions on the FDIC’s “Problem List” rose to its highest level in 16 years. At the end of September, there were 552 insured institutions on the “Problem List,” up from 416 on June 30. This is the largest number of “problem” institutions since December 31, 1993, when there were 575 institutions on the list. Total assets of “problem” institutions increased during the quarter from $299.8 billion to $345.9 billion, the highest level since the end of 1993, when they totaled $346.2 billion. Fifty institutions failed during the third quarter, bringing the total number of failures in the first nine months of 2009 to 95.
Also, what will get lots of headlines today is that the Deposit Insurance Fund went negative as of September 30th. We already knew this to be true, and it’s not totally fair to report the negative balance without noting that FDIC does have cash. That said, the DIF is still in a very precarious position.
As projected in September, the FDIC’s Deposit Insurance Fund (DIF) balance – or the net worth of the fund – fell below zero for the first time since the third quarter of 1992. The fund balance of negative $8.2 billion as of September already reflects a $38.9 billion contingent loss reserve that has been set aside to cover estimated losses over the next year. Just as banks reserve for loan losses, the FDIC has to set aside reserves for anticipated closings over the next year. Combining the fund balance with this contingent loss reserve shows total DIF reserves with a positive balance of $30.7 billion.
Chairman Bair distinguished the DIF’s reserves from the FDIC’s cash resources, which stood at $23.3 billion of cash and marketable securities.To further bolster the DIF’s cash position, the FDIC Board approved a measure on November 12th to require insured institutions to prepay three years worth of deposit insurance premiums – about $45 billion – at the end of 2009. “This measure will provide the FDIC with the funds needed to carry on with the task of resolving failed institutions in 2010, but without accelerating the impact of assessments on the industry’s earnings and capital,” Chairman Bair said.
The DIF will continue to be negative after FDIC gets the additional $45 billion at the end of 2009. That’s not a “special assessment,” it’s the next three years’ regular assessments being collected up front. The distinction is crucial. Because it’s a regular assessment, FDIC won’t count it as new reserves for the DIF. Instead it will be counted as deferred revenue on the DIF’s balance sheet.
Why is that important? Because unlike the $5.6 billion special assessment in Q2, banks don’t have to take a hit against their capital all at once for this assessment. They get to treat it as a prepaid expense.
Although they tell us the FDIC fully insures bank accounts. The standard insurance amount currently is $250,000 per depositor.
All well & good, but at this rate & at some point the FDIC insurance $ well will run dry.
Maybe the mattress industry would do well to invent a fireproof safe/vault built into mattresses to avoid losing it all in failed banks that eventually result in a failed FDIC?
Potential names for this new mattress style:
The "Bank on It"