For all the naysayers out there about getting the TARP and other bailout money back and then some...
http://finance.yahoo.com/...
The naysayers say we will never get out money back. I say the brilliance of President Obama and his Treasury Choice is evident in the results...
*************Update#1*********
You guys did it!!! A positive diary on the rec list!!! I am honored but also proud of the Kossack community to have some balance between good and bad news...you are all great!
Anyone who wants to do the honors with my tags being "Recommended" that would be great!!!
Not only are we getting paid back in full, we are making a profit for the taxpayers...
The Treasury said Thursday it sold 272.17 million warrants in an auction held because Bank of America and the government could not agree upon an acceptable price. Warrants are financial instruments that allow the holder to buy stock in the future at a fixed price.
The Treasury correctly told BoA to pound sand when they would not meet their pricing demands and it yeilded great results...
The $1.54 billion total is the largest amount raised from a single institution from the sale of warrants...
This is just a small part of the warrants the Treasury has and it is the largest haul from warrants...even eclipsing the GS Treasury deal by 1/2 Billion dollars...and there is even better news...
In the auction, Treasury sold 150.38 million warrants that it labeled "A warrants" with a minimum bid price of $7 per warrant. It received a price of $8.35 for each for those warrants.
The Treasury got a premium over their minimum price of $1.35 more than they asked for...which is a 19% premium over their minimum asking price!!!
To put it another way...the Treasury made an additional $200 million for taxpayers on this transaction alone!!!
And the good news does not end there...
Treasury set a minimum bid price of $1.50 for the 121.79 million in Group B warrants. It sold those warrants at the auction Thursday for a price of $2.55.
Again doing the math, that is a 70% premium over their minimum price which presumably was a breakeven price. To put dollars on this...that is an extra $128 million for taxpayers...
If this is any indication of how the warrant sales will go, we will not only recoup every penny of the bailout money, but also generate a profit for the treasury...that money can be used for deficit reduction and/or investments in people...
An independent assessment of the process was an "A+"
Linus Wilson, a finance professor at the University of Louisiana at Lafayette and an expert in stock warrants, said he would give Teasury a high grade for how it has handled the auctions so far. "These are great results. I think the auctions have had a significantly positive impact on the prices that Treasury has obtained for the warrants," Wilson said.
Not to be outdone...two more pieces of good news from the stewards of our once broken economy...
http://finance.yahoo.com/...
Optimism about the government's February jobs report sent the Dow Jones industrials back into the black for 2010.
The naysaysers that we are in a double-dip recession are eating their words again, as our genius in chief and his treasury team gets another hit for the team....but that is not all...
http://finance.yahoo.com/...
The economy is showing renewed strength as retail sales surged last month and factory orders also increased. Such gains could lead to more hiring -- if they can be sustained. Retailers said Thursday that store sales rose in February by the largest amount since November 2007. And orders to U.S. factories in January posted their sharpest rise in four months. It was another sign that manufacturing is helping drive the economic recovery.
When 70% of our economy is consumption....this is great news and may finally break the logjam in job creation...
So a great day overall...and cause for optimism both for our country and for the Democrat's future...peace