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August 21, 2009
FDIC and Private Equity
When will this new bunch learn. Ms. Blair, the head of the FDIC, is running out of money to bailout the depositors of failed banks and will attempt to push failed bank purchases by healthy banks. The problem? She needs buyers. She has attacked and imposed heavy capital requirements on one of the best group of buyers, private equity funds. Now, she must eat crow and reduce the requirements and beg, beg the private equity funds back into the bank purchasing game. The private equity folks did not cause the current crisis, traditional financial institutions, regulated by the likes of the FDIC, did. Pick the right target folks.August 21, 2009 | Permalink
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