The Son of Finance of the Great Age

  Chapter 632 Final Redemption (5)

   It was Aristel Darling who explained his intentions first, "Mr. Minister, I believe you also know that Barclays Bank has plans to acquire Raymond Brothers. To be honest, we are very worried about this transaction."

  Because this kind of merger involves the merger of foreign financial institutions, it is generally necessary to notify the regulatory authorities of the country. It's like Huatou's Zhang Hang team invested in Freddie Mac and Fannie Mae. After negotiating the price with the other party, the transaction still needs to be approved by Huaxia. If Barclays wanted to acquire an American financial institution, it would naturally have to notify the British Treasury and other institutions.

  In fact, it was the previous deputy minister of the British Treasury who gave Bob Dimon the acquisition suggestion. After this person left the officialdom, he worked in a financial institution in the United States, but the connection with the British consortium was still very close. After realizing that the Raymond brothers were looking for support everywhere, he decisively contacted Barclays Bank, which had always wanted to enter the US market, and made a match.

  The relationship between the government and businessmen has always been so close, as is the case with any country in the world.

"Relax, my friend!" Paulson didn't pay too much attention to this sentence, and patiently explained to the other party, "Actually, it is not only Barclays Bank that is interested in Raymond Brothers, but also Bank of America. Based on Raymond Brothers is so important to the market that my colleagues and I don't intend to let it go out of business."

"Mr. Minister, you can rest assured. Regardless of whether Barclays Bank or Bank of America wins the bid in the end, we will give them some help." Paulson said confidently, "We are already working on a plan to help the bid winner A solution to provide liquidity. If Barclays wins the bid in the end, we will help them as promised in the plan.”

To Paulson's surprise, Darling didn't show even the slightest sense of relief, saying in his distinctive Cockney accent: "I'm still worried about Barclays' capital position, they shouldn't be doing anything. A move beyond their capabilities."

"Everything is under control!" Paulson was puzzled by the behavior of this British counterpart, and even thought that the other party was too conservative, although they turned out to be famous for their conservativeness, "Don't worry, Mr. Minister, Chairman Bernanke and I have an agreement on the deal. They are all full of confidence. If necessary, I can report to you the progress of the negotiations at any time, so that you can control the overall situation."

  After hanging up the phone, Paulson thought about it for a while, thinking that there was nothing inappropriate about his answer, and then returned to the conference room.

  In the venue, Geithner was instructing his assistants to distribute the balance sheet of Raymond Brothers.

"If you don't come up with a solution now, everyone's problems are going to get worse," Geithner threatened lightly, before adding, "It's getting worse and worse." .”

"Lehman Brothers' cash account has no liquidity. When the market opens on Monday, if a deal cannot be reached, the last remaining funds will be withdrawn by investors immediately!" Amidst the changed faces of everyone, Geithner He continued, "All of you here have transactions with Leimen Brothers. At that time, your positions will not be closed in time, and it may take months or even years for Leimen Brothers to enter the bankruptcy process and realize the payment later. Time. If your trading positions cannot be settled for such a long time, the consequences will probably be that customers will withdraw cash from your account regardless of the consequences, and eventually you will fall into a dangerous situation like Leimen Brothers Among them. Nobody is immune if confidence crumbles."

"I don't think so!" Goodman's Blankfein muttered quite complacently. "At least for us at Goodman, this kind of problem does not exist. We have long predicted that the Rayman Brothers The financial situation is not good, and they cut their trading positions early. If they do go bankrupt, I believe we can close the position in the shortest time."

"The same is true for us!" **** CEO Jamie Dimon smiled, gloating, "Our risk control department has fully estimated the financial situation of Raymond Brothers, and their bankruptcy is far from being like a vice president. As serious as Mr. Chairman said. We are fully prepared for this."

  The two of them came and went, and the words they exchanged were all gloating about Brother Leimen's poor condition. Geithner has nothing to do about it, he can only helplessly watch the two perform against each other.

   As for the rumor that Goodman Company released the wind to attack Lehman Brothers, everyone here has already heard about it, so it is not surprising that Goodman Company reduced its trading position with Lehman Brothers. On the financial side, Leimen Brothers has long been required to mortgage their trading positions, so it makes sense to reduce the corresponding positions.

  But the "performance" of the two came to an abrupt end the moment Paulson entered the venue again. They dared to provoke Geithner, but they did not dare to be presumptuous in front of Paulson. This is because firstly, Paulson is a high-ranking finance minister, who is their biggest backer in this subprime mortgage crisis; secondly, Paulson was the CEO and chairman of Goodman Company before. Lan Kefein was only a junior, so naturally he didn't dare to make mistakes.

Although he didn't know what they were discussing, when he saw the silent venue, Paulson still guessed some clues. He coughed lightly, sat firmly on the sofa chair in the middle, didn't say a word, just stared at Look at the CEOs here.

  His behavior put a lot of pressure on everyone. During the subsequent meeting process, no one dared to make jokes anymore.

   "I need you to break into three teams!"

With Paulson's backing, Geithner's confidence greatly increased, and he spoke with a lot of confidence, "The first team is responsible for the asset valuation of Lehman Brothers, that is, the part of the assets they announced to split. The second team Check out the structural diagrams of Lehman Brothers and various Wall Street institutions, and estimate the possible losses and subsequent impact of each institution in the extreme case of Lehman Brothers bankruptcy. This can be used as a stress test. The third team has full powers Responsible for the financing amount brought by the results calculated by the first group, this amount will directly determine the share of capital contribution of each bank."

   "Mr. Minister, Mr. Vice Chairman, I want to express my opinion!"

As soon as Geithner's task was assigned, Gregory Cole, director of mergers and acquisitions from Bank of America, said, "Our team at Bank of America has just done a rough assessment of Lehman Brothers' balance sheet. Worse than imagined. The amount of their non-performing assets is far more than disclosed. In addition to bearing a loss of US$1 billion, Bank of America needs at least US$40 billion in liquidity guarantees to acquire all the assets of Lehman Brothers. .”

  Although it is known that the acquisition of Raymond Brothers may require huge funds, the figure of 40 billion US dollars still shocked everyone present. Perhaps when the market is good, any institution here can easily raise this fund from the market, but at this moment, no institution can get out the 40 billion cash at this time.

  Among the group of CEOs who changed their faces, Bob Dimon's face was the most ugly, so gloomy that he almost dripped water. Barclays' team hadn't finished sorting out Lehman's balance sheet yet, but from Bank of America's side, the situation was far more bleak than they had expected. However, if the rescue plan led by the Ministry of Finance can really be implemented, Barclays Bank still has a good chance, and at this time he can only talk about it like this.

   "This is only a preliminary assessment. Due to time constraints, we haven't fully and dutifully assessed Leimen Brothers." Gregory Cole shook his head and curled his lips, shrugging his shoulders in a helpless gesture.

"Well, if the problem is easy and easy to solve, we don't need to convene so many large groups." Geithner looked at the heavy expressions of everyone, and felt that it was necessary to give them a little confidence at this time, "So many Can't the group save a company like Leimen? However, I must reiterate that the government will not give Leimen Brothers any more help."

   "What about AIG?"

   Just as he finished speaking, someone asked, "Should we discuss American International Group? They are also in trouble now. Will the government and the Federal Reserve be helpless?"

   The person who spoke was from Citibank, but the words represent the aspirations of the entire Wall Street, because once they are treated differently, it means that the article is very big. Wall Street giants need to know the rules, and beware of being treated differently by the government one day in the future.

  Gethner was very angry, glared at the person who asked the question, and said angrily: "Now we are discussing Raymond Brothers. I don't want to discuss irrelevant topics."

But this Citigroup director named Verabek Pant obviously refused to let it go, "Mr. Vice Chairman, it is impossible for us to discuss Leimen Brothers alone. You must know that maybe tomorrow, the issue of Leimen Brothers may not be resolved. Existed. But I don't think by next week, AIG's problems will be solved, maybe worse." He meant that Raymond Brothers went bankrupt, so the problem "doesn't exist."

"In my opinion, AIG's problems are still under control!" Jamie Dimon of **** had to stand up to smooth things over for Geithner, "Our **** people are helping AIG, So far, we are looking at ways to help AIG find a solution."

"No, no, our people are also at AIG!" Villabek Pant didn't listen to Jamie Dimon's perfunctory words at all, "Don't forget, our Citigroup also has a team at AIG, but in our opinion, AIG The situation will quickly get out of hand.”

   The two confronted Maimang, and started to quarrel about the current situation of AIG, and soon deviated from their original intention. Because so far, only the investment banking departments of AIG and Citigroup are helping AIG, so there is no way for others to intervene, and the venue will soon become a stage for two people.

   It's just that this kind of quarrel didn't last long. Both of them found something wrong, and they stopped the quarrel by coincidence, and sat down awkwardly. During their quarrel, everyone, including Paulson, had no intention of stopping them, but watched them "perform" with great interest. This mentality quickly made Jamie. Damon and Verabek felt like clowns. Geithner, who was originally the object of questioning, did not answer the questions about AIG positively from beginning to end.

   Immediately afterwards, the relieved Geithner began to assign tasks, assigning members of each consortium to the group, and specifying the corresponding time, contact person, person in charge and other matters. After the task was completely assigned, it was already late at night.

   "Your team, report here at nine o'clock tomorrow morning and start working!" Paulson finally concluded, "This matter is related to our capital market and the entire country, and it is also related to your patriotic responsibilities!"

   "We will remember those who didn't try their best!" He said the last word, and then walked out of the conference room with a blank expression.

   This is a threat, a very serious threat.

   Except for Geithner and Bob Dimon, everyone's hearts sank. The psychological pressure this meeting put on them was too great.

   Thanks to book friend Kun^-^ Kun, book friend 131025103232773, toothless 1, Xingxiyuelang for voting monthly! Thanks to book friend Blooming Zangyu for rewarding this book!

  (end of this chapter)