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Pastimes : Clown-Free Zone... sorry, no clowns allowed -- Ignore unavailable to you. Want to Upgrade?

To: mishedlo who wrote (181616)	7/20/2002 1:07:25 AM
From: Perspective	Read Replies (3) \| Respond to of 436258

No comparison. KRB is small potatoes. They issue credit cards. MBI is at the heart of the bubble. They are one of the key facilitators of credit creation, and they have single-handedly accepted HALF the financial guarantee insurance risk in this country. If - no, when they go under, they take away a huge source of credit creation, but more importantly they result in an immediate downgrade to $450 BILLION in debt that will suddenly be uninsured. Do you understand the ramifications of having $450 billion of AAA-rated debt downgraded simultaneously? Not many people do. It hadn't occurred to me until just a few days ago, as I said in my post. No doubt about it for me any more - MBIA is the soft underbelly of the bubble. BC