Henry-This is the same old story"the small banks won't make it". Hardly the case at all. I feel quite strongly that only the small banks will make it and consequently will draw many clients away from the big banks.
Now, the question you have to ask yourself is what is behind the bank mega-mergers? These guys realize that there markets will be decimated by Y2K so if you knew well in advance that banks would close why not merge now!
Also,when people wake up and start to ask all the right questions about Y2K,like how could this of happened the big banks will state that because of mega-merger mania in 1998 we had no idea that Bank A which was not compliant ,confonded and corrupted our systems thus making our systems non-
compliant.Furthermore,there is no/no law on earth that compels the banks to become compliant in the first place.Moreover,bankers hate holidays,you know the ones we can't wait for-Well-the Fed is talking about more banking holidays-WHY-because they know the banks won't make it.
Now, the banks won't lend to companies that have extensive Y2K liability or exposure-just ask your friendly bank commercial loan manager to show you the list.Look,when Y2K panic sets in,it will generate more publicity than the O.J. Trials,which as you know we all got tired of listening to.Also,the public will demand answers.Hearing will be held in Washington,like the tobacco industry,the banking elite will to be brought to Washington to explain to the world
how this happened to the banks.
Anyway the worst is yet to come,unfortunately!!!
Regaaards,
Dave |
