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Only a few more meters till we reach the white sands of Bermuda...
....EVA save a walk for me
Somethings grow better with age, and others things never change.
I'm exactly like my Father, and my Son is exactly like me, and we all have 30 years between us.
You can have the pick of the litter.
I'm not sure the new family want's to see me sing the old Yahoo Boy'z songs....the old Yahoo site was burned to the ground and all the old songs have been lost.
If you can guess the name of the first song I wrote, I will spin a few tunes for you.
TRENWICK GROUP LTD - IHUB Boardmarks: 89
Been holding for six years for my Bermuda walk with Eva.
It's 89 and growing....should be warm and sunny all next week.
Scotch whisky and hippies all get better with time....and so does the dollar.
Yes, the LaSalle drop-deadline allowed LaSalle to close the LaSalle books, the Trenwick Group Ltd drop-deadline will allow Trenwick Group Ltd to close their books...
LaSalle proposed a Scheme of Arrangement under Section 99 of the Bermuda Companies Act 1981 (the "Scheme") with its reinsurance creditors and the Scheme was subsequently approved by LaSalle's creditors and sanctioned by the Court on April 27, 2007. Under the terms of the Scheme, Scheme Creditors were required to submit all reinsurance claims against LaSalle by August 30, 2007. In January this year, LaSalle paid its final remaining reinsurance liabilities under the Scheme and the Scheme was terminated on January 22, 2008.
Link - http://biz.yahoo.com/e/080708/lsraf.pk8-k.html
We may want to see if EVA has a copy of the Bermuda Court documents to see the Trenwick Group claims deadline.
LaSalle History Lesson: LaSalle Cover Company, LLC was the name of the Group of Investors.
A few Pre-BK LSRAF Preferred shareholders bought at 20 cents, sold into the private $1.00 offer, and then held out for the final $10 cash distribution. (A-gator may be able to confirm)
The Company is playing poker with the policy-holders (Liability) to help shift off the $$$$ from the Reserve Assets to the creditors and shareholders.
The known knowns have beed paid.
If the(known unknown)policy-holders only think that 10 cent on the dollar can be recovered, than this group of people will settle for less...
The other group of (unknown unknown) policy-holders have a deadline to make their $$$$ claims known by the drop-deadline, if not then these Reserve Assets become $$$$ to the creditors and shareholders...
The Unknown
As we know,
There are known knowns.
There are things we know we know.
We also know
There are known unknowns.
That is to say
We know there are some things
We do not know.
But there are also unknown unknowns,
The ones we don't know
We don't know.
—Feb. 12, 2002, Department of Defense news briefing
Yes, plus you mention about the changing tone of the various letters to the shareholders.
I was planning on comparing the 8-K to see what other changes have occurred.
I'm trying to find the April 1st <<Fool>> 8-K filing - this is the one that's kept me in the game all these years.
....plus EVA legs and kisses
As you noted in your early post regarding the change of tone within each of the 8-K releases over the years.
Wording of the Shareholder letter dated 30 March 2005
Link - http://www.sec.gov/Archives/edgar/data/1122211/000095014205001065/ex99-1form8k_033105.txt
PROSPECTS FOR HOLDERS OF COMMON SHARES OF THE COMPANY
Based on what the Joint Provisional Liquidators have learned in their limited role to date, and without conducting any investigation into the issue, it appears unlikely to the Joint Provisional Liquidators that the holders of the Company's common shares will receive any distribution from the eventual liquidation of the Company.
Wording of the Shareholder letter dated March 30, 2006
Link - http://www.sec.gov/Archives/edgar/data/1122211/000095014206000635/ex99-1form8k_033106.txt
PROSPECTS FOR HOLDERS OF COMMON SHARES OF THE COMPANY
Based on what the Joint Provisional Liquidators have learned in their limited role to date, and without conducting any investigation into the issue, it appears unlikely to the Joint Provisional Liquidators that the holders of the Company's common shares will receive any distribution from the liquidation of the Company.
Wording of the Shareholder letter dated May 1, 2007
Link - http://www.sec.gov/Archives/edgar/data/1122211/000095014207001012/ex99-1form8k_050107.txt
PROSPECTS FOR HOLDERS OF COMMON SHARES OF THE COMPANY
Based on what the Joint Liquidators have learned in their role to date, and without conducting any investigation into the issue, it is uncertain to the Joint Liquidators that the holders of the Company's common shares will receive any distribution from the liquidation of the Company.
The key words for the next 8-K should read....it appear certain... or ....it appear likely....
I would expect the 2008 8-K before the end of November
As noted in 8-K filing of May 1, 2007
The Joint Liquidators also notified holders of Common Shares of their intention to disclose any such event to the public by filing with the US Securities and Exchange Commission (SEC) a current report on Form 8-K, and, subject to the resources available to the Company, to report on the status of the Company's affairs at least annually.
Link - http://www.sec.gov/Archives/edgar/data/1122211/000095014207001012/form8k_059107.txt
A few Pre-BK LSRAF Preferred shareholders bought at 20 cents, sold into the private $1.00 offer, and then held out for the final $10 cash distribution. (A-gator may be able to confirm)
I'm bank'n on surrender the booty and divide up the gold between the shareholders
Yep, once the dollar becomes the new currency carry-trade pair...just wait'n for the yearend Hedge Fund redemption to stop.
86 now!
We may get 125 once EVA post her Christmas pictures
Life changing for the MM's when it's cover time for all the naked shares sold the last few Christmas.
....have to be respectful to EVA
Yes, this is the gift gathering of all of the Christmas past from all of the good and bad Subsidiaries.
Less than two months left for the shareholders to gather up the unclaimed Reinsurance gifts (Reserve Assets) from policyholders of Christmas past....
....only five more shopping days left to break 10 cents
...the mistletoe is hung for all of our EVA kisses this year.
I think he did.....I've been reviewing your DD.
As noted on page 59 of the Insurance Act 1978 (2008 Consolidated)
Restrictions as to payment of dividends
31B (1) A Class 3B insurer and a Class 4 insurer shall not in any financial year pay dividends which would exceed 25% of its total statutory capital and surplus, as shown on its statutory balance sheet in relation to the previous financial year...
I would have to agree with your statutory capital and surplus calculation to the shareholders.
Insurance Act 1978 (2008 Consolidated)
Reference Document:http://www.bma.bm/uploaded/Insurance%20Act%201978%20(2008%20Consolidation).pdf
Toasted Turtle....hmmmmmm
Turtle box trap
Level 2 please
(10 Level 2 please request) times (80 people ) is equal to about 800 bonus posts reads per day.
Review the court documents from Marliz, the overall GOOD book/ BAD book plan was spelled out clearly and present to the US Court, the US Judge never focus on this item, but took 90 pages for the US Judge to shift the focus to another topic.
One that everybody has forgotten is the fact that Trenwick Group Ltd split the reserve assets and liabilities into two separate business, the US ReInsurance and UK Reinsurance business.
The UK laws are Re'friendly, and if the policy holders do not make claims against the liabilities then these reserve assets are transfer to the shareholders. The approved off-shore scheme is required by LAW to transfer these assets to the creditors and shareholders. (Creditors are lineup on the Trenwick American side)
Whereas the US are less friendly and the shareholders are less protected.
Why do you think the creditors of Trenwick American was so upset when the parent company Trenwick Group Ltd shift all of the debt to Trenwick America?
The parent company created two sets of Re'books, a GOOD and BAD books, one has the profit and the other has the losses.
The next 8-K will be the TELL ALL for the shareholders.
Good-luck and Hold tight
I would agree, Nov and Dec is normally the time for selling next years reinsurance policys.
If the Re's want our clean books to back their 09 underwriting, and balance the books this is the time to make it happen.
It's the old rally cry from days gone by....$2 friday
good work and thanks for bring your friends to the party
Fun part is I'm one of those pages
....holding out for a 1000 -$2.00 dollar Friday.
Best of Luck
Ms A-Gator redemptions, Mr A-Gator was forced to unwind his 50 percent TWK positions to raise cash....
Unwinding of the Carry Trade Has Finally Hit Currencies
by: Jeffrey Frankel October 29, 2008
Why has the yen strengthened so much this week, even though the Japanese stock market has plummeted?
The financial media have largely got this one right: the answer is the unwinding of the carry trade, and the associated flight to quality, which means a flight to yen and dollar (cash and treasury bills).
This was to be expected. It is an unseemly tooting of ones’ own horn, but earlier this year I wrote in an article in the Milken Institute Review (vol. 10, no. 1, pages 38-45):
The traditional pattern is most clear with the carry from the yen to the euro: it has been predictably profitable for the last five years, and this will predictably end soon, as the yen reverses its depreciation against the euro.
(Getting Carried Away: How the Carry Trade and Its Potential Unwinding Can Explain Movements in International Financial Markets.)
Although the phrase “carry trade” became widely popular in the context of currency speculation, where scholars know it as the “forward discount bias,” its etymological root is in commodity speculation.
The same phenomenon is observable in housing, equities, commercial bonds, and emerging markets: when money is easy and nobody is worried about risk (2002-2005), the search for yield sends the excess liquidity surging out of the low-interest currencies, and into all other assets.
When the process reverses, investors pull out of the risky assets and retreat back to the safe haven of the low-interest-rate currencies. Over the last six months, the reversal of this broadly-defined carry trade hit equities and bonds first, and then commodities (having hit housing earlier, of course).
This month it is finally hitting the high-interest-rate currencies.
Link - http://seekingalpha.com/article/102777-unwinding-of-the-carry-trade-has-finally-hit-currencies?source=article_lb_themes
Ms Buffet spinnen her hamster wheel
Staying alive and preserving capital is my only game plan this year.
After the Central Banks kill off all of the Hedge funds, I may come out to play.....with the wife approval
Minnowaires with wings
News link from prior message
The Fed is expected to cut its target fed funds rate by half a percentage point to 1 percent later Wednesday. Markets are also holding out the hope the Bank of Japan would trim its interest rate a quarter percentage point from the already low 0.5 percent.
The European Central Bank and Bank of England are also expected to follow suit and cut borrowing costs at their next scheduled rate-setting meetings next Thursday.
News Link-
http://biz.yahoo.com/ap/081029/world_markets.html
Nov Fed rate cut (today)- 50 bps
followed by a Friday Yen rate cut of 25 bps, and ECB rate cut of 50 bps.
Dec Fed rate cut - 50 bps
followed by a Yen rate cut of 25 bps, and ECB rate cut of 25 bps.
The Fed is expected to cut its target fed funds rate by half a percentage point to 1 percent later Wednesday. Markets are also holding out the hope the Bank of Japan would trim its interest rate a quarter percentage point from the already low 0.5 percent.
The European Central Bank and Bank of England are also expected to follow suit and cut borrowing costs at their next scheduled rate-setting meetings next Thursday.
Dollar Danger, Will Robinson! Dollar Danger!
No word from Bubba Gump.....
Nope, it's going to $1.50....
....and kkkastle still thinks were a bunch of Mother Clucker's Insiders
Dollar Danger, Will Robinson! Dollar Danger!
Uncle Sam - Hedge Fund
Vetting Uncle Sam Inc., Wall Street's New Top Dog: David Pauly
Commentary by David Pauly
Oct. 28 (Bloomberg) -- Now that American taxpayers have committed hundreds of billions of dollars to save the banking system, it's appropriate to assess what they're getting for their investment.
A prospectus for Uncle Sam Inc. securities would list three areas of potential profit and loss.
Uncle Sam is acquiring a stake in the entire U.S. banking industry. By the end of the year it will have invested $250 billion in preferred shares of banks around the country.
The government also says it might use some of the $700 billion rescue plan approved by Congress to buy stakes in other financial companies, such as insurers. Overall, this looks fairly safe, even if some of the companies fail.
The new financial colossus created by Treasury Secretary Henry Paulson and Federal Reserve Chairman Ben Bernanke also has taken 80 percent equity stakes in three giant companies: Fannie Mae and Freddie Mac, which own trillions of dollars in mortgages good and bad, and American International Group Inc., an insurance company with 2007 revenue of $110 billion.
In no way are these safe investments. All three companies may need additional billions in federal disaster relief. Still, their shares now trade for nickels and might rally if the credit crisis ever ends.
Finally, some or most of the remaining $450 billion in bailout money might be used to buy distressed mortgages that are at the heart of the credit debacle. Exactly how much and at what prices is unknown -- making this the riskiest of Uncle Sam Inc.'s endeavors.
Decent Return
Uncle Sam's preferred stock in banks such as JPMorgan Chase & Co., Bank of America Corp., Citigroup Inc. and Wells Fargo & Co. will pay annual dividends of 5 percent for the first five years, 9 percent after that.
Since the Treasury can now borrow for five years at about 2.6 percent, there's a profitable spread. Banks can buy back the preferred at face value after three years.
At 5 percent, the Treasury gets a steady annual return of $12.5 billion before its interest costs. What's more intriguing for taxpayers is that Uncle Sam gets warrants to buy common shares in all the banks equal to 15 percent of the value of the preferred investment.
The price to be paid would be based on recent values for the banks' common, that is, very low. If banks recover in the months ahead, Uncle Sam will enjoy some great trading profits.
Good and Bad
Uncle Sam is pushing Fannie and Freddie to buy more mortgages. While that might help home buyers and lenders, it adds further burdens to the money-losing mortgage portfolios of both companies. Treasury says it might invest as much as $200 billion in the two companies combined, for a 10 percent return.
AIG, the insurer that lost big selling credit-default swaps, has had to borrow $123 billion from the government and says it may need more.
Uncle Sam earns interest on the $85 billion portion of its loans to AIG at 8.5 percentage points higher than the three- month London interbank offered rate, now about 3.5 percent. AIG wants to repay its borrowing by selling assets, a tough task given current credit conditions.
Even at today's distressed market prices, Fannie, Freddie and AIG have some value. At yesterday's close, the trio's combined market value was about $24 billion, making Uncle Sam's 80 percent share worth about $19 billion.
Uncle Sam may end up with an even larger stake in U.S. banks. Under terms of the rescue, the government will also get equity in any bank that sells distressed mortgage assets to the Treasury. Even if the mortgages eventually produce a net loss, Uncle Sam may recoup something on these stakes.
There's no way to guess at a final result for the taxpayers' commitment. The government will borrow all the rescue money -- including billions more for projects not mentioned in this story. To avoid an overall loss, the government has to get back all the money laid out plus its interest costs.
It's clearly too early for a public sale of Uncle Sam Inc. shares.
Link - http://www.bloomberg.com/apps/news?pid=20601170&refer=special_report&sid=aaGIoDtyHmCo
Short covering prior to the Fed rate dropping to 1 percent.
Need another 1000 point short cover rally.