"Wamu to exit wholesale JAN 1. Was told by another LO that the word was leaked from a Rep and he was fired the next day. They keep asking for new rep and WAMU keeps blowing them off."
We know that Chase is interested in a western footprint, and WaMu (the largest U.S. savings and loan) is trading at almost rock bottom. If CW announces Jan. 1 they are OUT of wholesale, coupled with the WaMu $783 million downgrades issued tonight by Fitch, doesn't it look more and more like WaMu is done?
And, as quoted by Bloomburg, "Washington Mutual also plans to close WaMu Capital Corp., its broker-dealer business, as well as its mortgage banker warehouse lending unit." Regardless, we understand that WaMu has to spread $10 billion in mortgage-related write-offs in 2008, killing profits in every quarter.
WaMu... the new 'Western' face of Chase. But first you gotta' cut the Wholesale lending division (yes... they lost a lot of money).... put the losses back on the balance sheet to drop the stock even more, then make the move/offer.
ya know, I've been looking forward to 07 being over, (seems me and odd number years just dont get along.. go figure) .. but, 08 espeically the first month, is scaring the c**p out of me.
My buddy at wamu retail isnt saying a word, but then, I dont think he knows anything.
skyview Dud?
Joined: 23 Dec 2007
Posts: 10
Location: Long Island, NY
"Wamu to exit wholesale JAN 1. Was told by another LO that the word was leaked from a Rep and he was fired the next day. They keep asking for new rep and WAMU keeps blowing them off."
We know that Chase is interested in a western footprint, and WaMu (the largest U.S. savings and loan) is trading at almost rock bottom. If CW announces Jan. 1 they are OUT of wholesale, coupled with the WaMu $783 million downgrades issued tonight by Fitch, doesn't it look more and more like WaMu is done?
And, as quoted by Bloomburg, "Washington Mutual also plans to close WaMu Capital Corp., its broker-dealer business, as well as its mortgage banker warehouse lending unit." Regardless, we understand that WaMu has to spread $10 billion in mortgage-related write-offs in 2008, killing profits in every quarter.
WaMu... the new 'Western' face of Chase. But first you gotta' cut the Wholesale lending division (yes... they lost a lot of money).... put the losses back on the balance sheet to drop the stock even more, then make the move/offer.
Is going to be a very interesting new year. If CW goes out of wholesale. I think it will be a industry changing event where are major lenders follow suit.
Anyone know how Chase is doing in the market?
_________________ “If you’re not first, you’re last.”
WAMU keeps adding billions (that's a 'b', folks) to its loan loss reserves, and they keep slashing thousands of jobs. No profits after taking the charge(s). Reports indicate that it isn't likely to get better and WAMU will have to add more $$$ to reserves for Q1/2008. It is doubtful they will continue to support this bleeding.
I believe it is safe to say that we will continue to see massive change in 2008 and the future of Wholesale Lending looks, at best, bleak. Countrywide Wholesale is not likely to survive; Chase is likely to hang on to their Wholesale division as long as they can, but Retail is where it's going to be for the unforeseeable future.
WAMU keeps adding billions (that's a 'b', folks) to its loan loss reserves, and they keep slashing thousands of jobs. No profits after taking the charge(s). Reports indicate that it isn't likely to get better and WAMU will have to add more $$$ to reserves for Q1/2008. It is doubtful they will continue to support this bleeding
Countrywide has the same bleed, this is how the banks will die to the point of having to be saved......
their reserves are growing hourly with deteriating loans, all good assets have to go in the closet, the next step in the government "save of these institutions" (and everyone can't make it) will be to suspend reserves. Ouch, slippery slippery slope...........
this is now being compared to the S and L problem, DOUBLE THAT - that time the stock market wasn't taken out too, this is both jumping off the cliff together. It will probably stop the mergers that used to save these bleeding companies in the past, they all have to many losses.
ouch still looks like 10 trillion when it is over....
salemprestamos Cherry Bomb
Joined: 14 Nov 2007
Posts: 109
Location: Salem, Or
Where is the news that CW will exit wholesale at the beginning of the year?
_________________ "There's an old saying in Tennessee—I know it's in Texas, probably in Tennessee—that says, fool me once, shame on—shame on you. Fool me—you can't get fooled again." -—Nashville, Tenn., Sept. 17, 2002
WaMu and Chase out of wholesale? Sounds hard to believe. But what about Citibank? They are getting hammered over this stuff and they are still doing wholesale....or are they getting out also?
INSIDERS HAVE FOUND OUT THAT THEY HAVE A 3.9 BILLION DOLLAR LOSS ALREADY. WAIT TILL AFTER JAN 1 WHEN THIS INFO GOES PUBLIC
A HUGE STOCK LOSS AND MAYBE THE START OF MASSIVE RUN ON THE BANK
INSIDERS HAVE FOUND OUT THAT THEY HAVE A 3.9 BILLION DOLLAR LOSS ALREADY. WAIT TILL AFTER JAN 1 WHEN THIS INFO GOES PUBLIC
A HUGE STOCK LOSS AND MAYBE THE START OF MASSIVE RUN ON THE BANK
think when they looked closer they found about 40 billion more coming next under the sheets, you are right on with this, the big boys are keeping the market up for christmas and to get their money out
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