September 29th, 2008

Today's Casualty List

Bradford & Bingley: retail operations sold to Abbey (owned by Santander), mortgage book nationalised
Wachovia: taken over by Citigroup with an FDIC cap on losses
Fortis: 49% nationalised by the governments of Belgium, the Netherlands and Luxembourg.
Glitnir: 75% nationalised by the government of Iceland

One suspects that the US bailout is too little too late -- with Northern Rock and B&B, the UK government has already acquired more duff mortgages as a proportion of GDP than the US bailout calls for, and lending practices were nothing like as bad in the UK as in the US.