The Residential Real Estate Crash Index Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The Residential Real Estate Crash Index

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

From: ChanceIs	5/16/2008 7:18:34 AM
	Read Replies (2) of 306849

"Our view is that the (CFC) stock is worth $0." From an email I received from PRMIA: ___________________________________________________________ Over the past several weeks, we have published a series of articles about the situation facing Countrywide Financial (NYSE:CFC) and Bank of America (NYSE:BAC). The former agreed to be acquired in January 2008 for $7 per share, but since then BAC has made several statements in filings with the SEC suggesting that it will not stand behind CFC's liabilities, even after closing an acquisition. Simply stated, our view is that CFC cannot be acquired by BAC or any other bank w/o a restructuring of the company's current and contingent liabilities. CFC is facing hundreds of lawsuits, civil inquiries by the SEC, and criminal probes by the DOJ and state attorney's general. BAC rightly is reluctant to pull the trigger on this deal given the uncertainty regarding the valuation. Our view is that the stock is worth $0. Click on the links below to read the items in The Institutional Risk Analyst, starting with our first comment back in January: 'Are Countrywide Financial Bonds Bankruptcy Remote?', January 22, 2008 'Update: Are Countrywide Financial Bond Holders Bankruptcy Remote?', May 1, 2008 'An Involuntary Transaction: Why BAC + CFC May Never Close', May 6, 2008 us1.institutionalriskanalytics.com

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next