Chapter 2774 Compromise

Because he had not received a clear response from Blackstone today, a vice president of Goldman Sachs called his office at noon. His words were rather tactful, but his meaning was very tough.

Apart from the superficial meanings such as "At this time when everyone is having a hard time, everyone's patience is limited...", his words can be summarized in one sentence, "If you don't drink the toast, then you can only drink the penalty wine."

This is the core meaning that Su Shiming personally summarized after listening to his secretary's retelling twice.

Is he afraid of such threatening words?

I am really a little worried.

Because he knows very well that a company like Goldman Sachs is definitely not a company that can only make empty threats, and recently, because of the difficult situation, Goldman Sachs has become more radical.

The reason why he wanted to express this meaning to them instead of taking direct action is probably because he has taken the overall situation into consideration.

If Goldman Sachs personally goes to target Blackstone when everyone is working hard to save the market, I am afraid that Paulson will not agree.

But if Goldman Sachs is determined, he may really have no scruples. Think about Bear Stearns and Lehman Brothers. The reason why they ended up with one selling and the other going bankrupt was that Goldman Sachs really made great contributions.

If Goldman Sachs really takes action, can we withstand it?

If I just hold on to Hilton, how will Goldman Sachs take action?

No, now we have to count Feng Yiping.

Although he was annoyed with Feng Yiping, he never dared to despise him. When Feng Yiping and Goldman Sachs joined forces, no matter how he thought about it, he was not sure in his heart.

That night, the lights in Su Shiming's office also joined the ranks of Wall Street's sleepless nights.

Almost when the power bank at the Magic Workshop ended the group purchase, his deputy rushed into his office in a panic, "Stephen," the visitor shouted breathlessly.

Su Shiming's heart tightened when he saw his face, "What's the matter?"

"I just got the news," the man sat down and ripped off his tie, "They have decided to forcibly take over Washington Mutual Bank tomorrow,"

"What?" Su Shiming stood up suddenly, "At this time, they take over Mutual Bank?"

The so-called forced takeover is actually an announcement of the bankruptcy of Mutual Bank.

But Mutual Bank is one of the largest savings banks in the United States. Among the savings and loan banks in the United States, it has the most branches, total assets of more than 300 billion US dollars, and tens of millions of customers.

Just when the rescue plan was being discussed intensively, they decided to let Mutual Bank go bankrupt?

"Where did you get the news?"

"Jimmy," the deputy said, "Federal Insurance Corporation and the Federal Reserve asked them if they were interested in the commercial bank subsidiary of Mutual Bank,"

"You know, in order to ensure the safety of depositors' deposits, it is best to completely divest this part of the business of Mutual Bank,"

Su Shiming certainly knew this, otherwise, let alone how much impact the collapse of Mutual Bank would have on the market at this time of panic, if the deposits of Mutual Bank depositors were damaged, it would be hard to say what would happen.

Just like in our country, if a commercial bank goes bankrupt, the upper limit of compensation is 500,000, all countries have similar regulations in this regard, and in the United States, the upper limit is 100,000 US dollars.

Therefore, after the commercial bank goes bankrupt, the ones who suffer the greatest losses in deposits will be large depositors, that is, they are all rich people or rich institutions.

Who knows what those rich guys will do if they suffer such losses when the rescue is already underway?

The important thing is that when depositors suffer losses, the government will also suffer losses.

The first to bear the brunt is the Federal Deposit Insurance Corporation, which is preparing to take over the Mutual Bank. The main responsibility of this company is to protect depositors of insured banks and savings institutions.

If the Mutual Bank goes bankrupt, it is the Federal Deposit Insurance Corporation that will compensate depositors for losses.

The Federal Deposit Insurance Corporation is called a company, but it is actually a federal agency, so its losses are the losses of the federal government.

This year, its losses are already large enough. Just for the collapse of Washington Mutual, they have paid tens of billions of dollars. If there is another larger Washington Mutual, this institution, which did not need government funding before, will probably also need government funding to fill the hole.

For those who are investing in Huahuatun, of course, it is best to separate this part and hand it over to a stable large bank.

"Can you guess how much JPMorgan is going to bid?" The deputy asked himself again, "They said that the maximum is only 1.9 billion US dollars,"

"1.9 billion?" Su Shiming, an outsider, couldn't stay calm either.

He probably knows the scale of the commercial banking subsidiary of Mutual Bank, which includes more than 5,000 outlets across the country. No matter how you calculate it, the assets must be 100 billion US dollars. Why only offer 1.9 billion?

Although JPMorgan must also guarantee the deposits of more than 10 million depositors, this is a very cost-effective deal no matter how you calculate it, because it means that they have more than 10 million more customers.

How can you sell it so cheaply?

The key is that you sell it so cheaply at this time.

Because it is very likely that in a week or two, the rescue plan will be passed and the crisis will be resolved.

Damn White House, damn Congress, damn Treasury, damn Federal Reserve, damn Federal Deposit Insurance Corporation... How can you do this?

Looking at the bright lights outside the window, Su Shiming felt as cold as ice.

If we don’t compromise with Goldman Sachs and Feng Yiping, can we hold on?

"Just wait and see tomorrow," he said, his voice hoarse.

…………

The next day, Thursday morning, this news had become an open secret. Again, before the market opened, the Federal Deposit Insurance Corporation and the Federal Reserve announced the news.

They also announced that Morgan Stanley would take over the commercial banking subsidiary of Mutual Bank at a price of US$1.9 billion, as Su Shiming knew!

And it only needs to guarantee the deposits of mutual depositors without having to bear reciprocal debts.

As soon as the news came out, the market was in an uproar.

And this news completely eliminated any trace of luck in Su Shiming's heart. When the rescue was in full swing, they could really do it to collapse such a large bank.

Bad news always comes one after another. At noon, another big news spread quickly. Under the supervision of regulatory agencies, although the branch size is not as large as that of Mutual Bank, its assets are higher, with total assets of more than 500 billion U.S. dollars. It also has Midland, a commercial bank, capital management, asset management and corporate and investment bank, is in contact with Citigroup to discuss mergers and acquisitions.

It is said that in order to protect the interests of depositors, the Federal Deposit Insurance Corporation hopes to use the same plan to hand over Wachovia's commercial banking business to Citigroup, and the price of this part is also only about US$2 billion!

No matter whether the price finally reached is above US$2 billion or below, Su Shiming knows that the American League is about to collapse.

At this point, he no longer hesitated and immediately called Lord in person, very enthusiastically, "Haha, Lord..."

…………

In Silicon Valley, Feng Yiping was attending a YouTube meeting, smiling like a Maitreya Buddha the whole time.

But not only Ma Ling, but everyone present at the meeting, including many people in the park who had met Feng Yiping, knew that he was in a good mood.

Because when I see him, his smile is always brighter and warmer than the sun.

Who made his harvest so rich this autumn?

Android has finally been adopted on a large scale, and the response has been particularly good.

After years of research and development, Tesla finally launched its first complete vehicle, which also received widespread praise and recognition.

Just because the date of mass production is still uncertain, they are currently not accepting reservations. Otherwise, Tesla can easily receive hundreds of millions in deposits.

Because of the participation of the π department, the research and development process of many products of Magic Workshop has been greatly accelerated, and the two products that have been launched are equally popular.

Of course, it must be said that because he is aware of the trend of international crude oil prices, the current falling oil prices have brought a steady stream of returns to him, a big short seller.

There was also the successful investment in Bloomberg and Goldman Sachs... and Masayoshi Son, who had been plotting against him behind his back, was indeed led into a huge pit by him.

So much so that in the past two days, he had the urge to shout "I love you" to the sky like Collins.

When he saw the caller ID on the mobile phone Wu Qian handed over, he immediately knew that this was probably good news. Sure enough, Lao De said excitedly, "Feng, Su Shiming just called me, haha, That guy bowed his head!"

"You did a good job," Feng Yiping tried his best to look calm and calm, but his raised eyebrows betrayed him perfectly.