Bank Failure #22: Rainier Pacific Bank, Tacoma, Washington
Submitted by
CalculatedRisk on Fri, 02/26/2010 - 6:14pm (111 comments)
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Umpqua Loompqua
59% Say Cut Taxes to Create Jobs, 14% Expect Congress to Listen - Rasmussen Reports™
This has gotta be worth a good 30 seconds on mp's mad max clock.
Umpqua wants to grow to be very big--wonder why?
Sheila needs to get paid for piece work. This banking collapse is going to take forever at we're going now.
Because in a feudal society, there are only two kinds of people
What time zone is Puerto Rico?
yuan wrote:
Tax cuts: that's the first thing the Japanese tried. And the second. And the third.
But don't worry their debt won't reach 200% of GDP for another year, probably.
Nemo wrote:
Except that it's uuuuuuhhhm-kwa, like uuuuuhhhm, your pants are brown...
Mel wrote:
Every small bank dreams of being TBTF.
Rasmussen is pretty awful with polling. I think the last decade should put to rest that whole "tax cuts create jobs" theory. I've been waiting 30 years for something to trickle down on me and now I find the only thing golden I'll be getting is a shower.
I got
Nemo wrote:
The defeated and the paranoid?
Ahhhh, this feels so nice, so warm ...... to glow in the warmth of another closure ....
Rajesh wrote:
That's it, Doc. Throw another couple of loans on the FIRE and get comfortable.
Let me see if I have this right. The FDIC is short $95.2 million on covering $446.2 million in deposits. So they are thinking the assets are worth $351.0 million.
The assets were "on the books" at $717.8 million. So they were really only worth about 49% of book value?
At this point, the only thing stopping Japan from liquidating part of its reserves to repay debt are personal relationships
Agree / Disagree?
EvilHenryPaulson wrote:
Can't I just waffle?
?
Annual Inflation Chart
United States Inflation Rate
sportsfan wrote:
Do you see a problem? You just need to adjust your glasses.
The FDIC has it covered with their negative DIF.
The banking system is fine.
So how big is Umpqua already, and how do they keep swallowing these turds? Don't they get bankindigestion or has JPM given them the secret potion?
Bunch of financial coprophages.
C
Umpqua - A tribe in Oregon on the Umpqua River. ... a Mohegan ally of the English against King Philip, name of the "Last Of The Mohicans"
Comrade Kristina wrote:
CK, consider your audience. Some of these guys, well.
Yep, yep. Nothing to see here...Well except maybe that inflation chart...
EvilHenryPaulson wrote:
The debt is in Yen; the Reserves are in dollars. If they sold the bonds and bought $700 billion of yen, I think the markets might have a hard time swallowing that particular trade. Can Japanese exports really compete with 10 yen to the dollar?
At two per week it will only take... well forever to clear the bad bank list that is growing faster than two per week. Job generation! Heckuva job Sheila.
However the real "Last Of The Mohicans" will be the fucking
and 19 too big too fail banks courtesy of Wash DC scum that is in collusion
It's a new research project named TOP Secret Shit ..... possibly related to:
Historical Inflation Rates: 1914-2010, Annual and Monthly Table - US Inflation Calculator
Rob Dawg wrote:
I was just doing the math on that. 2.75/week = 143 for the year. At this pace, I don't think we will even match last year.
Probably the weather.
sportsfan wrote:
was kicking around soaking up the olympics on a date, went to a kind of carnival area that had stalls selling everything you would find at a good street market, and food stands
had bubble cake for the first time
imagine a waffle, but instead raised ridges and cubic cavities they're flat ridges and air filled bubbles
I can't disrespect a good Belgian Waffle, they're just each good in their own way
the waffle is masculine, you heap the toppings on it, the crust has a crunch
the bubble cake is feminine, it's delicate so you eat it one bubble at a time, you wouldn't use a fork and knife on it, a softer texture
Nemo wrote:
Because in a feudal society, there are only two kinds of people
Master and slave, dominant and submissive. The entrenchment and triumph of the lizard brain.
At this pace, I don't think we will even match last year.
Well, that was unexpected.
Rajesh wrote:
Agree, and what would that do to the Fed and the dollar? The dollar price of bonds would go down, theoretically, but dollars are backed by the treasuries (and GSE paper, etc.) that would be sold. Is there any way out for anybody?
Maybe, just maybe the FDIC is too low on man power, maybe they need to replace Sheila (with a man that will do the F'ing job) .......LOL!
Sheila's making sure her job lasts a long, long, time. She's paid an hourly rate, not per bank.
Actually, they don't have to do it all at once ... and they don't have to buy all 7 bills worth ...
to leave a pretty good sized impact crater.
EvilHenryPaulson wrote:
Glad to hear you let your feminine side emerge once in a while.
Seriously, I imagine the street scene has been worth experiencing.
Rajesh wrote:
Well they benefit because China is #1 in that exposure. They do have to consider the forex exposure going against them. By moving earlier, they have more slack capacity to take advantage of. Do you really think it would be 10 yen to the dollar if Japan's export economy was taking it on the chin? Let the system balance itself out, keep what's needed to smooth flows and maintain relative stability. Furthermore, because their debt is mostly domestically held it would be a stimulus to their economy. If the Yen has to appreciate to equalize PPP, then get it out of the way, it's doubtful there will be the accelerating growth necessary to sustain interventions when even the smallest returns are going to have a swarm of desperate money circling it.
sportsfan wrote:
Probably accurate. When the figures are bogus, there is usually a loss sharing arrangement to help disguise that they are actually worth even less. I don't see that here.
sportsfan wrote:
It's been a great atmosphere, but the downside is a 2 hour lineup for anything mildly interesting
Imagine the level of private investment if the government stopped selling treasuries. Say you've got $500K and the last bit of news you saw is that the books of entire countries are being cooked (ahem Greece ahem)...
Every time you get the itch to cash out of T-Bills and put the cash into private enterprise, you turn on Bloomberg and 5 minutes later.... T-Bills are looking pretty good for another 6 months.
The best things the FEDs can do is shut down all public sales of T-Bills. Have the Federal reserve buy every new issue and every dollar worth of maturing to drive the supply down and force the capital into the wild.
Ok, back to the inflation rate: Does this print right?
Then we just F'ing pop in: oh shit, now I need Excel and a bag of
http://www.ustreas.gov/offices/domestic-finance/debt-management/interest-rate/yield_historical_2008.xml
Oh dear, this is going to be a mess ... never mind.... let's just say the discount rate is way the fuck off, and call it a night!
familyblogfamilybolgfamilyblogfamilyblog, km4.
But don't fret, there's a workaround.
longwaver wrote:
With capacity utilization low, and not due to lack of funding, where would all that cash go? Stocks and commodities. Serious price increases without corresponding wage increases, at least for awhile.
Mr Slippery wrote:
Sheila's ego that prevents her from going to the Treasury with a big problem until she is forced to go to the Treasury with an intractable problem. Until we get BFTuesday in addition to BFF and they are both double digit events we are not addressing the problem.
…My heart’s in Accra » Internet Freedom: Beyond Circumvention
marginal revolution had this one up today.
.
Right but every-time I see the machinations of
at work with the full support of Wash DC supplicants well lets just say 
Mr Slippery wrote:
Doesn't matter where it goes. I trust the free market infinitely more than I trust the FEDs.
China and Japan have actually increased their Treasury holdings from Dec. 2008 to Dec. 2009. China holds more than Japan, but not massively more. In fact, lots of nations have increased their holdings.
http://www.ustreas.gov/tic/mfh.txt
scone wrote:
I find all the talk about Chinese owned T-Bills funny. They own $800B? So create $800B in new cash and buy them all. We spent more than that on a single stimulus bill. And right before that $700B on TARP...
Now if they owned $3-4T.. that would be interesting..
The weather has been down right spring like up here in the Pacific Northwest this year. Cherry blossoms are already blooming!
there will be bubbles, but on net a bubble technically produces no returns
so what you have is the new money, getting no return in the interim (because demand isn't growing, the only returns are from stealing wallet-share which is to say there is an equal or greater corresponding loss elsewhere in the system), and eventually being used to recognize losses on other assets
so the printing does nothing
until the loss recognition winds up
at which point you would have an inflationary financial meltdown
if they print too little money, the debt-deflation cycle will be in effect and that would on its own lead to a deflationary financial meltdown without intervention
so Bernanke has to run faster and faster, while his path narrows and the cliffs becoming sharper on either side
Canada TCB
Shea Weber has been impressive, same with Drew Doughty
You evoked this from my post Bank lending plummets as Wall Street strangles economy - Viewsflow this morning.....
the Oligarchs and the U.S. government have demonstrated that they are willing to sacrifice all the rest of the U.S. economy – solely to prevent the banksters from drowning in their own financial feces.
EvilHenryPaulson wrote:
It would work too - if they refocused their economy away from 'exports'. If they didn't it would make more problems that it fixed.
EvilHenryPaulson wrote:
On net, a bubble produces negative returns as it draws investment away from productive economic activity. If the net return on a bubble were zero than policy makers would not care if there was a bubble or not.
Washington state is the new Georgia!
Maybe because the governors name is Gregoire.
Marleau goal
if this pace keeps up, it will be USA vs CAN sunday
NBC will air it live nationally (not on tape delay or CNBC) in the USA 12:15 PST / 3:15 EST, 2.5-3h for a game
it's 30 years since the Miracle on Ice by the way
Just hypothetically speaking, what if C's ratio is about the same?
speed racer wrote:
Please, they just announced two PCA against Georgia banks today. Don't try to compete with the big boys.
Rob Dawg wrote:
We need a dollar turns and institution turns chart... with a great big long axis.
Rajesh wrote:
True, although there are varying degrees of losses and the logic holds even with zero returns so I used the limit case to make the strongest point
Seagulls the world over return to Scotland each year to teach their young how to sing. This is why.
Only two failures? I can't stop at two shots.
I've had four, cuz I figure I get a two for one for living in Washington state. And I'm on the I-5 corridor too. And, and, well it's friday, that's probably worth two more.
threetorches wrote:
They call that a 'good day' at the Federal Reserve, the sole arbiter for the TBTF 13
EvilHenryPaulson wrote:
For some of us, that is like yesterday, almost!
longwaver wrote:
They wouldn't want the USD - but might accept say 700M troy oz of
instead.
A mellow BFF - Go figure ...
Guess we're saving PR for Spring Break.
dryfly wrote:
We have lots of nukes. They'll take the dollars.
seems like India and now China are both chiming in on IMF gold sales...
looks panicky to me.
think about it.
retail OTC gold sales from banks in China to the plebes, India (if they step in again, cuz they bought the last lot) outa the IMF sales...you got Euro gold at ALL TIME HIGHS, electronic bank runs in Greece, Spain and France are not far off, Sterling in the crosshairs...
selling gold and oil, and still buying dollars...I dont care if traders took Euro/Dollar shorts off today or not. anyway my 2cents.
longwaver wrote:
They got nukes too - make my day.
They won't take the dollars - already had them once [that's what they bought the T's with]... and actually churn them pretty fast because the maturities are fairly short. And they get more every F'ing day due to the ongoing CAD - they know all about dealing with dollars. Its like being Micky the Magician's Apprentice & the flood.
Rajesh wrote:
But then the one time they failed to renew a tax cut in 1997, well, that uniquely distinguishes their situation from ours.
dryfly wrote:
Take $1T and offer Goldman $200B in fees to spin the paperwork so that the Chinese think they bought gold. In 2-3 years when they figure out how to read all the paperwork from GS, the Chinese will figure out that they own the right to sit under a Cherry tree in DC for 3 days per year.
That's the real question here. What side is Goldman Sachs on.. That's who wins.
"We have lots of nukes. They'll take the dollars."
when the US makes this thread they should make sure to do it publicly.
The Chinese aren't big in the concept of face and always buckle under.
poic wrote:
Comrade Kristina wrote:
Waiting and praying yield the very same results.
longwaver wrote:
Chinese aren't rubes - they'll be waiting for the boat before they cancel the debt.
Thing people have to get their head around is - Chinese don't hold the treasuries & dollars as an investment - its the 'tooling' they use to help turbocharge their exports.
Comrade Kristina wrote:
Squid ink's a bitch to get off your silk purse.
dryfly wrote:
Goldman Sachs can do anything they want and make it stick.. You don't mess with them..
GS is like Enron, but completely legal, approved and back by the largest / strongest military every created. We just better hope they aren't double agents.
The star quarterback takes his choice of cheerleader and the coach looks the other way.
How much you want to bet that GS has a thumbdrive for every major economy in the world?
"Execute trading program on this drive to destroy the economy of ____"
longwaver wrote:
GS can do what they want - shit their bed if they want - Chinese will still be there. China will still be there when no one alive even knows what GS is - as long gone as Florence & Milan. They were there when the ribbon was first cut on the Silk Road.
GS has magic in DC - not so much in Beijing.
dryfly wrote:
We just saw their magic in Athens... They reach far and wide...
longwaver wrote:
Athens? LOL - it wouldn't make top ten cities in China!!!
Only 2? Bah.
To make up for its name?
"Goldman Sachs can do anything they want and make it stick.. You don't mess with them.."
you really don't understand the Chinese. Everyone else in the world farted around about the derivatives issue. The Chinese government allowed multiple Chinese companies to unilaterally cancel currency hedging contracts. What happened?
FT.com / UK - Morgan Stanley settles derivatives lawsuit with Chinese company
and I like Nip banks, Marc Fabar isnt wrong.
so I just want to add that I never intended to invest in MS, but when MTU mailed the check, I got long.
Ummm, 2 kinds of people. Certainly not normal or abnormal.
Those who like charts and graphs. . . and those who don't.
There was an anti GS thing by a Young Person who was maybe an intern
there (only heard part). On the lines of we Young People will not sacrifice out
morals to them.
GS vs China? Does GS have a secure firewall around their programs? You think nukes are bad, what about a weapon no one can trace back?
Ahh, a marriage made in hell. Deserving of each other.
Great link, poic. Love the quote:
As opposed to fighting cases, er, elsewhere, where judges are appointed by local corporatist leaders who are often controlled by large companies in their areas.
Couldn't have that.
So who's left for BFF, maybe HI only? Must remember next time that PR is an hour ahead of EST.
C
lawyerliz wrote:
I heard that piece. It was of "We Young People don't want to work for crooks who get caught."
Agree...selling T's would make everyone in Japan's leadership look bad.
rosethorn wrote:
The value of the Yen on March 31 (when most companies fiscal year ends) is the key focus of policy makers. After April 1, they can let it climb again.
True but the GS == bad ==
meme is spreading.
NYT getting more circular and referential. Andrew Ross Sorkin blogs Norris, links Dash, nothing new, more like a Friday reminder that there might have been some broad attempts at journalism in the previous few days. Preparations for BFF, perhaps, although he probably can't come out and admit he trolls CR too.
Page not found - DealBook Blog - NYTimes.com
C
Don't know if this was posted earlier...
Lone senator blocks unemployment benefit extensions
Sometimes I think Bunning is the gift that just keeps giving - for Democrats anyway.
One more example of the utter dysfunction of the congressrabble.
why does natural gas seem worthless?
dryfly wrote:
If the Dems are stupid enough to take the bait the Reps will laugh all the way to a majority. Think about it. If the Ds accuse the Rs of obstructing then the Ds are taking sole possession of all that's happened.
Why do you think there's so much begging for bi-partisanship?
I miss my uncle.
famblyblog
bANK fAILURE wrote:
:Prop 13: ?
dryfly wrote:
Another wildcard pissed off with both Republicans and Democrats.
Do they need Bunning's vote to pass the bill?
Rob Dawg wrote:
Bunning picked the wrong horse to shoot - seriously - threatening to derail UE benefit extension via procedural loophole? In an election year? That wouldn't even fly in his own high UE conservative state. GOPers almost have a lock on a HUGE November unless they steal defeat from the jaws of victory - Bunning is threatening to do just that on his way out. Reid is prolly lighting candles and saying prayers in thanks.
Its stuff like that why M McConnell [fellow Bluegrass stater] made sure he didn't run again. The GOPers deep sixed his dreams of reelection - not liberals. It almost looks like he's getting back at them.
EvilHenryPaulson wrote:
USA better win - I am so tired of Mike Millbury sucking on Cindy Crosby's....
REBear wrote:
A block is a procedural way to hold it up. It can be forced around him but will require 60 votes [cloture]. That puts a lot of fellow GOPers in some very high UE states on the spot. For Dems its a no-brainer... drag the fight out as long as possible and keep the spot light off them & on GOPer Bunning as much as possible.
Bunning really dropped the
in it this time.