6 of the Most Influential Loans of the 21st Century

of the Most Influential LOANS of the 21st Century When you're really big, they call you a bailout. It seems that the largest loans go to countries in crises and the companies that move them. Greece-$170+ billion February 21, 2012 , marked the second bailout to stop the country from defaulting. One of 17 countries in the European Union in deep financial trouble: > Greece was facing default and removal from the eurozone. Greece As part of the deal, private creditors were asked to take 53.5% losses on holdings. Chrysler®/GM® - $80+ billion Two of the "Big Three" U.S. automakers received infusions of government money to prevent bankruptcy. The U.S. Treasury also bought 500 million shares of GM stock - meaning it owns 1/3 of the company. Controversy-did it work? U.S. President Obama contests that the bailout worked, citing the addition of 200,000 jobs. YES > GM showed record profits in the last quarter of 2011. Naysayers warn that the held stock would have to double in price for the taxpayers to break even. NO > Some critics still say that the turnaround would have been better without government involvement. SORT OF While the U.S. taxpayers are out $14 billion dollars, it is less than the $40 billion that the Congressional Budget Office expected. Even the taxpayers are unsure: > A February 2012 Gallup poll showed that 51% of Americans disapproved of the bailouts. > Meanwhile, a Pew Research Center poll showed that 56% say the bailouts were “mostly good" for the economy. NO Portugal-$105 billion Another European country in distress, Portugal was the third to receive the rescue money. Expecting more If Portugal continues to honor the agreements stipulated in the bailout package, lenders have promised another $20 billion. Citigroup® -S45 billion One of the first of the record-breaking private sector bank bailouts by the U.S. government. $25 billion of the money was in the form of Treasury ownership, which the government has since sold. The Treasury is expecting to make back $31.8 billion in the stock sale. AIG® -$182 billiong American International Group so far holds the record for the biggest corporate bailout in history The rescue of AIG covered Goldman Sachs® , Morgan Stanley® , Bank of America® , and Merrill Lynch® plus dozens of European banks. AIG was the largest insurance company in the world and close to bankruptcy. The U.S. Federal Reserve Bank of New York was able to sell securities it traded for cash with AIG, making a net gain of $2.8 billion Fannie Mae & Freddie Mac Two mortgage giants that took on the U.S. housing market, lost big, and made the taxpayers pay. Freddie Mac had a$6 billion net-worth deficit in its 2011 fourth quarter. Fannie Mae had a $4.6 billion net-worth deficit in 2011 Fannie Mae has requested $116.2 billion more since its conservatorship in 2008, having only paid back $19.9 billion Sources plain green [1] http://money.msn.com/busines5-news/article.aspx?feed=AP&Date=20120221&ID=14808687 [1a] http://www.bbc.co.uk/news/business-13798000 [2]http://money.cnn.com/2012/02/28/news/economy/obama_auto_bailout/index.htm [2a] http://money.cnn.com/news/storysupplement/economy/bailouttracker/ [3] http://money.cnn.com/2012/02/16/news/companies/gm_bailout/index.htm?iid=EL [3a] http://money.cnn.com/2011/07/21/autos/chrysler_bailout_costs_gains/index.htm [4]http://politicalticker.blogs.cnn.com/2012/02/24/polls-americans-split-over-auto-bailout-support/ [5]http://money.msn.com/business-news/article.aspx?feed=AP&date=20120228&id=14835520 [6]http://www.bbc.co.uk/blogs/thereporters/gavinhewitt/2011/04/portugal_bailed_out_at_last.html [7] http://www.usatoday.com/money/industries/banking/2010-12-08-citi-bailout_N.htm [8] http://www.thenation.com/article/153929/aig-bailout-scandal [9]http://www.forbes.com/sites/steveschaefer/2012/02/28/ny-fed-done-selling-aig-bailout-portfolio-to uts-2-8b-net-gain/ [10]http://www.forbes.com/sites/steveschaefer/2012/02/29/the-bank-bailouts-ugly-stepsister-fannie-m ae-still-losing-billions/ [11]http://www.washingtonpost.com/business/economy/sandp-considering-first-downgrade-of-us-credi t-rating/2011/08/05/glQAqKelxl_story.html of the Most Influential LOANS of the 21st Century When you're really big, they call you a bailout. It seems that the largest loans go to countries in crises and the companies that move them. Greece-$170+ billion February 21, 2012 , marked the second bailout to stop the country from defaulting. One of 17 countries in the European Union in deep financial trouble: > Greece was facing default and removal from the eurozone. Greece As part of the deal, private creditors were asked to take 53.5% losses on holdings. Chrysler®/GM® - $80+ billion Two of the "Big Three" U.S. automakers received infusions of government money to prevent bankruptcy. The U.S. Treasury also bought 500 million shares of GM stock - meaning it owns 1/3 of the company. Controversy-did it work? U.S. President Obama contests that the bailout worked, citing the addition of 200,000 jobs. YES > GM showed record profits in the last quarter of 2011. Naysayers warn that the held stock would have to double in price for the taxpayers to break even. NO > Some critics still say that the turnaround would have been better without government involvement. SORT OF While the U.S. taxpayers are out $14 billion dollars, it is less than the $40 billion that the Congressional Budget Office expected. Even the taxpayers are unsure: > A February 2012 Gallup poll showed that 51% of Americans disapproved of the bailouts. > Meanwhile, a Pew Research Center poll showed that 56% say the bailouts were “mostly good" for the economy. NO Portugal-$105 billion Another European country in distress, Portugal was the third to receive the rescue money. Expecting more If Portugal continues to honor the agreements stipulated in the bailout package, lenders have promised another $20 billion. Citigroup® -S45 billion One of the first of the record-breaking private sector bank bailouts by the U.S. government. $25 billion of the money was in the form of Treasury ownership, which the government has since sold. The Treasury is expecting to make back $31.8 billion in the stock sale. AIG® -$182 billiong American International Group so far holds the record for the biggest corporate bailout in history The rescue of AIG covered Goldman Sachs® , Morgan Stanley® , Bank of America® , and Merrill Lynch® plus dozens of European banks. AIG was the largest insurance company in the world and close to bankruptcy. The U.S. Federal Reserve Bank of New York was able to sell securities it traded for cash with AIG, making a net gain of $2.8 billion Fannie Mae & Freddie Mac Two mortgage giants that took on the U.S. housing market, lost big, and made the taxpayers pay. Freddie Mac had a$6 billion net-worth deficit in its 2011 fourth quarter. Fannie Mae had a $4.6 billion net-worth deficit in 2011 Fannie Mae has requested $116.2 billion more since its conservatorship in 2008, having only paid back $19.9 billion Sources plain green [1] http://money.msn.com/busines5-news/article.aspx?feed=AP&Date=20120221&ID=14808687 [1a] http://www.bbc.co.uk/news/business-13798000 [2]http://money.cnn.com/2012/02/28/news/economy/obama_auto_bailout/index.htm [2a] http://money.cnn.com/news/storysupplement/economy/bailouttracker/ [3] http://money.cnn.com/2012/02/16/news/companies/gm_bailout/index.htm?iid=EL [3a] http://money.cnn.com/2011/07/21/autos/chrysler_bailout_costs_gains/index.htm [4]http://politicalticker.blogs.cnn.com/2012/02/24/polls-americans-split-over-auto-bailout-support/ [5]http://money.msn.com/business-news/article.aspx?feed=AP&date=20120228&id=14835520 [6]http://www.bbc.co.uk/blogs/thereporters/gavinhewitt/2011/04/portugal_bailed_out_at_last.html [7] http://www.usatoday.com/money/industries/banking/2010-12-08-citi-bailout_N.htm [8] http://www.thenation.com/article/153929/aig-bailout-scandal [9]http://www.forbes.com/sites/steveschaefer/2012/02/28/ny-fed-done-selling-aig-bailout-portfolio-to uts-2-8b-net-gain/ [10]http://www.forbes.com/sites/steveschaefer/2012/02/29/the-bank-bailouts-ugly-stepsister-fannie-m ae-still-losing-billions/ [11]http://www.washingtonpost.com/business/economy/sandp-considering-first-downgrade-of-us-credi t-rating/2011/08/05/glQAqKelxl_story.html of the Most Influential LOANS of the 21st Century When you're really big, they call you a bailout. It seems that the largest loans go to countries in crises and the companies that move them. Greece-$170+ billion February 21, 2012 , marked the second bailout to stop the country from defaulting. One of 17 countries in the European Union in deep financial trouble: > Greece was facing default and removal from the eurozone. Greece As part of the deal, private creditors were asked to take 53.5% losses on holdings. Chrysler®/GM® - $80+ billion Two of the "Big Three" U.S. automakers received infusions of government money to prevent bankruptcy. The U.S. Treasury also bought 500 million shares of GM stock - meaning it owns 1/3 of the company. Controversy-did it work? U.S. President Obama contests that the bailout worked, citing the addition of 200,000 jobs. YES > GM showed record profits in the last quarter of 2011. Naysayers warn that the held stock would have to double in price for the taxpayers to break even. NO > Some critics still say that the turnaround would have been better without government involvement. SORT OF While the U.S. taxpayers are out $14 billion dollars, it is less than the $40 billion that the Congressional Budget Office expected. Even the taxpayers are unsure: > A February 2012 Gallup poll showed that 51% of Americans disapproved of the bailouts. > Meanwhile, a Pew Research Center poll showed that 56% say the bailouts were “mostly good" for the economy. NO Portugal-$105 billion Another European country in distress, Portugal was the third to receive the rescue money. Expecting more If Portugal continues to honor the agreements stipulated in the bailout package, lenders have promised another $20 billion. Citigroup® -S45 billion One of the first of the record-breaking private sector bank bailouts by the U.S. government. $25 billion of the money was in the form of Treasury ownership, which the government has since sold. The Treasury is expecting to make back $31.8 billion in the stock sale. AIG® -$182 billiong American International Group so far holds the record for the biggest corporate bailout in history The rescue of AIG covered Goldman Sachs® , Morgan Stanley® , Bank of America® , and Merrill Lynch® plus dozens of European banks. AIG was the largest insurance company in the world and close to bankruptcy. The U.S. Federal Reserve Bank of New York was able to sell securities it traded for cash with AIG, making a net gain of $2.8 billion Fannie Mae & Freddie Mac Two mortgage giants that took on the U.S. housing market, lost big, and made the taxpayers pay. Freddie Mac had a$6 billion net-worth deficit in its 2011 fourth quarter. Fannie Mae had a $4.6 billion net-worth deficit in 2011 Fannie Mae has requested $116.2 billion more since its conservatorship in 2008, having only paid back $19.9 billion Sources plain green [1] http://money.msn.com/busines5-news/article.aspx?feed=AP&Date=20120221&ID=14808687 [1a] http://www.bbc.co.uk/news/business-13798000 [2]http://money.cnn.com/2012/02/28/news/economy/obama_auto_bailout/index.htm [2a] http://money.cnn.com/news/storysupplement/economy/bailouttracker/ [3] http://money.cnn.com/2012/02/16/news/companies/gm_bailout/index.htm?iid=EL [3a] http://money.cnn.com/2011/07/21/autos/chrysler_bailout_costs_gains/index.htm [4]http://politicalticker.blogs.cnn.com/2012/02/24/polls-americans-split-over-auto-bailout-support/ [5]http://money.msn.com/business-news/article.aspx?feed=AP&date=20120228&id=14835520 [6]http://www.bbc.co.uk/blogs/thereporters/gavinhewitt/2011/04/portugal_bailed_out_at_last.html [7] http://www.usatoday.com/money/industries/banking/2010-12-08-citi-bailout_N.htm [8] http://www.thenation.com/article/153929/aig-bailout-scandal [9]http://www.forbes.com/sites/steveschaefer/2012/02/28/ny-fed-done-selling-aig-bailout-portfolio-to uts-2-8b-net-gain/ [10]http://www.forbes.com/sites/steveschaefer/2012/02/29/the-bank-bailouts-ugly-stepsister-fannie-m ae-still-losing-billions/ [11]http://www.washingtonpost.com/business/economy/sandp-considering-first-downgrade-of-us-credi t-rating/2011/08/05/glQAqKelxl_story.html of the Most Influential LOANS of the 21st Century When you're really big, they call you a bailout. It seems that the largest loans go to countries in crises and the companies that move them. Greece-$170+ billion February 21, 2012 , marked the second bailout to stop the country from defaulting. One of 17 countries in the European Union in deep financial trouble: > Greece was facing default and removal from the eurozone. Greece As part of the deal, private creditors were asked to take 53.5% losses on holdings. Chrysler®/GM® - $80+ billion Two of the "Big Three" U.S. automakers received infusions of government money to prevent bankruptcy. The U.S. Treasury also bought 500 million shares of GM stock - meaning it owns 1/3 of the company. Controversy-did it work? U.S. President Obama contests that the bailout worked, citing the addition of 200,000 jobs. YES > GM showed record profits in the last quarter of 2011. Naysayers warn that the held stock would have to double in price for the taxpayers to break even. NO > Some critics still say that the turnaround would have been better without government involvement. SORT OF While the U.S. taxpayers are out $14 billion dollars, it is less than the $40 billion that the Congressional Budget Office expected. Even the taxpayers are unsure: > A February 2012 Gallup poll showed that 51% of Americans disapproved of the bailouts. > Meanwhile, a Pew Research Center poll showed that 56% say the bailouts were “mostly good" for the economy. NO Portugal-$105 billion Another European country in distress, Portugal was the third to receive the rescue money. Expecting more If Portugal continues to honor the agreements stipulated in the bailout package, lenders have promised another $20 billion. Citigroup® -S45 billion One of the first of the record-breaking private sector bank bailouts by the U.S. government. $25 billion of the money was in the form of Treasury ownership, which the government has since sold. The Treasury is expecting to make back $31.8 billion in the stock sale. AIG® -$182 billiong American International Group so far holds the record for the biggest corporate bailout in history The rescue of AIG covered Goldman Sachs® , Morgan Stanley® , Bank of America® , and Merrill Lynch® plus dozens of European banks. AIG was the largest insurance company in the world and close to bankruptcy. The U.S. Federal Reserve Bank of New York was able to sell securities it traded for cash with AIG, making a net gain of $2.8 billion Fannie Mae & Freddie Mac Two mortgage giants that took on the U.S. housing market, lost big, and made the taxpayers pay. Freddie Mac had a$6 billion net-worth deficit in its 2011 fourth quarter. Fannie Mae had a $4.6 billion net-worth deficit in 2011 Fannie Mae has requested $116.2 billion more since its conservatorship in 2008, having only paid back $19.9 billion Sources plain green [1] http://money.msn.com/busines5-news/article.aspx?feed=AP&Date=20120221&ID=14808687 [1a] http://www.bbc.co.uk/news/business-13798000 [2]http://money.cnn.com/2012/02/28/news/economy/obama_auto_bailout/index.htm [2a] http://money.cnn.com/news/storysupplement/economy/bailouttracker/ [3] http://money.cnn.com/2012/02/16/news/companies/gm_bailout/index.htm?iid=EL [3a] http://money.cnn.com/2011/07/21/autos/chrysler_bailout_costs_gains/index.htm [4]http://politicalticker.blogs.cnn.com/2012/02/24/polls-americans-split-over-auto-bailout-support/ [5]http://money.msn.com/business-news/article.aspx?feed=AP&date=20120228&id=14835520 [6]http://www.bbc.co.uk/blogs/thereporters/gavinhewitt/2011/04/portugal_bailed_out_at_last.html [7] http://www.usatoday.com/money/industries/banking/2010-12-08-citi-bailout_N.htm [8] http://www.thenation.com/article/153929/aig-bailout-scandal [9]http://www.forbes.com/sites/steveschaefer/2012/02/28/ny-fed-done-selling-aig-bailout-portfolio-to uts-2-8b-net-gain/ [10]http://www.forbes.com/sites/steveschaefer/2012/02/29/the-bank-bailouts-ugly-stepsister-fannie-m ae-still-losing-billions/ [11]http://www.washingtonpost.com/business/economy/sandp-considering-first-downgrade-of-us-credi t-rating/2011/08/05/glQAqKelxl_story.html of the Most Influential LOANS of the 21st Century When you're really big, they call you a bailout. It seems that the largest loans go to countries in crises and the companies that move them. Greece-$170+ billion February 21, 2012 , marked the second bailout to stop the country from defaulting. One of 17 countries in the European Union in deep financial trouble: > Greece was facing default and removal from the eurozone. Greece As part of the deal, private creditors were asked to take 53.5% losses on holdings. Chrysler®/GM® - $80+ billion Two of the "Big Three" U.S. automakers received infusions of government money to prevent bankruptcy. The U.S. Treasury also bought 500 million shares of GM stock - meaning it owns 1/3 of the company. Controversy-did it work? U.S. President Obama contests that the bailout worked, citing the addition of 200,000 jobs. YES > GM showed record profits in the last quarter of 2011. Naysayers warn that the held stock would have to double in price for the taxpayers to break even. NO > Some critics still say that the turnaround would have been better without government involvement. SORT OF While the U.S. taxpayers are out $14 billion dollars, it is less than the $40 billion that the Congressional Budget Office expected. Even the taxpayers are unsure: > A February 2012 Gallup poll showed that 51% of Americans disapproved of the bailouts. > Meanwhile, a Pew Research Center poll showed that 56% say the bailouts were “mostly good" for the economy. NO Portugal-$105 billion Another European country in distress, Portugal was the third to receive the rescue money. Expecting more If Portugal continues to honor the agreements stipulated in the bailout package, lenders have promised another $20 billion. Citigroup® -S45 billion One of the first of the record-breaking private sector bank bailouts by the U.S. government. $25 billion of the money was in the form of Treasury ownership, which the government has since sold. The Treasury is expecting to make back $31.8 billion in the stock sale. AIG® -$182 billiong American International Group so far holds the record for the biggest corporate bailout in history The rescue of AIG covered Goldman Sachs® , Morgan Stanley® , Bank of America® , and Merrill Lynch® plus dozens of European banks. AIG was the largest insurance company in the world and close to bankruptcy. The U.S. Federal Reserve Bank of New York was able to sell securities it traded for cash with AIG, making a net gain of $2.8 billion Fannie Mae & Freddie Mac Two mortgage giants that took on the U.S. housing market, lost big, and made the taxpayers pay. Freddie Mac had a$6 billion net-worth deficit in its 2011 fourth quarter. Fannie Mae had a $4.6 billion net-worth deficit in 2011 Fannie Mae has requested $116.2 billion more since its conservatorship in 2008, having only paid back $19.9 billion Sources plain green [1] http://money.msn.com/busines5-news/article.aspx?feed=AP&Date=20120221&ID=14808687 [1a] http://www.bbc.co.uk/news/business-13798000 [2]http://money.cnn.com/2012/02/28/news/economy/obama_auto_bailout/index.htm [2a] http://money.cnn.com/news/storysupplement/economy/bailouttracker/ [3] http://money.cnn.com/2012/02/16/news/companies/gm_bailout/index.htm?iid=EL [3a] http://money.cnn.com/2011/07/21/autos/chrysler_bailout_costs_gains/index.htm [4]http://politicalticker.blogs.cnn.com/2012/02/24/polls-americans-split-over-auto-bailout-support/ [5]http://money.msn.com/business-news/article.aspx?feed=AP&date=20120228&id=14835520 [6]http://www.bbc.co.uk/blogs/thereporters/gavinhewitt/2011/04/portugal_bailed_out_at_last.html [7] http://www.usatoday.com/money/industries/banking/2010-12-08-citi-bailout_N.htm [8] http://www.thenation.com/article/153929/aig-bailout-scandal [9]http://www.forbes.com/sites/steveschaefer/2012/02/28/ny-fed-done-selling-aig-bailout-portfolio-to uts-2-8b-net-gain/ [10]http://www.forbes.com/sites/steveschaefer/2012/02/29/the-bank-bailouts-ugly-stepsister-fannie-m ae-still-losing-billions/ [11]http://www.washingtonpost.com/business/economy/sandp-considering-first-downgrade-of-us-credi t-rating/2011/08/05/glQAqKelxl_story.html