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Re: Bert Sagara post# 59118

Sunday, 09/07/2008 8:51:54 AM

Sunday, September 07, 2008 8:51:54 AM

Post# of 385178
The earlier reports were probably wrong. Either Barney Frank misunderstood the briefing he got, or the Bloomberg reporters just screwed up.

Later news now says the subordinate debt will be protected. The preferred stock is allegedly not protected, but the devil may be in the details... they may well find a way to back-door compensate all those poor dumb regional banks.

OK so if it's a kinder, gentler bailout... my guess, most likely scenario is a gap-up on Monday morning (that's been the response to every govt bail-out so far).

But it's less clear if there will be follow-thru.
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