Lehman Brothers bank to go into insolvency (maybe)

[ace00]

Possible buying opportunity?

If you like playing with fire. There are British banks / building socs in your high street that will go bust and soon.
But American banks might be worth a look now.

[Moscow Mule]

They had loaned billions to subprime borrowers who are unable to pay them back. So Northern Rock was insolvent and belonged in the garbage can.

No they hadn't, and no they weren't. The reasons for their downfall are well documented.

[aceboy]

If you like playing with fire. There are British banks / building socs in your high street that will go bust and soon.
But American banks might be worth a look now.

All of them? RBS are looking pretty good at the moment, stock price aside....

[Cyberman]

There are some banks that Mervyn was right to give loans to, but many that he has not been right to.

Yes giving loans to banks with assets is fine, but I don't agree that Northern Rock's assets exceeded liabilities - the reverse was the case. They had loaned billions to subprime borrowers who are unable to pay them back. So Northern Rock was insolvent and belonged in the garbage can.

You're a fool because you have believed New Lie propaganda. Look at their balance sheet before Nationalisation and you will see that Northern Rock had massive assets. Without those assets how do you think the Rock would have already have paid off 10 Billion of loans in 9 months, and is due to clear all outstanding loans from the BofE by the end of 2010.

HMG have made a major mistake and by insisting on repayment of loans they are denying around 60 Billion pounds of extra lending to UK mortgage holders by forcing the Rock to call in its debts from those people, which at this time is plainly stupid. The first court case(Judicial Review) which New Lie will have to answer to is in January 2009.

[Cyberman]

Kent Philip..... please stop quoting rubbish on Northern Rock. Try educating yourself !!

http://www.uksa.org.uk/

[Bob Dalek]

I see that the City whizz kids are playing "Destroy HBOS" again.

[Cyberman]

I see that the City whizz kids are playing "Destroy HBOS" again.

HBOS allegedly has loans of 200 Billion approx. coming up for renewal which it would normally refinance from the money markets, which is a delayed Northern Rock scenario. Come on Mervyn.... get your wallet out !!!