Title 350 billion immediately, another $100 billion on request by president published to feedsfullspeed.
Report sent to feedsfullspeed. about 350 billion immediately, another $100 billion on request by president
This article is located at feedsfullspeed.
The proposal immediately provides $250 billion, and another $100 billion could be used at the request of the president. Congress would have to review the expenditure of the remaining $350 billion, according to an outline distributed to reporters.
The package includes a provision aimed at ``preventing golden parachutes'' for executives of companies who leave firms that have sold troubled assets to the government, said Senator Kent Conrad, a North Dakota Democrat.
Stock Warrants
Companies that sell debt to the government will issue stock warrants to the government so that taxpayers ``can gain as companies recover'' from economic difficulties, Conrad said.
House Republicans initially balked at the cost of Paulson's plan. Missouri Representative Roy Blunt, the lead negotiator for House Republicans, said his colleagues wanted to ``bring both free-market principles and taxpayer protections to the table.''
``I think we will be able to have an announcement'' later today, Blunt said.
Republican leadership aides said that provisions favored by unions that own significant stakes in companies through pension plans were dropped. That includes a requirement for shareholder votes on executive-compensation issues.
At one point during the negotiations, billionaire Warren Buffett spoke by telephone to a lawmaker involved in the talks to offer ``his best thinking about market reaction to various things,'' said Conrad. ``People are trying to reach out to the best minds that they know.''
lawmakers reduced the initial cost by half to $350 billion, with the remainder to be authorized later, and they added provisions creating an oversight structure and help to homeowners facing foreclosure.
The compromise also includes a proposal by House Republicans, whose objections scuttled an earlier agreement in principle, that provides for government insurance for mortgage- backed securities. The plan also imposes limits on the compensation of executives at participating companies.
``It will be the first time in American history that there will be legislative restrictions on CEO compensation,'' said House Financial Services Chairman Barney Frank, Democrat of Massachusetts.
Lawmakers want to announce a firm agreement before Asian financial markets open late today, Senate Majority Leader Harry Reid said. The deadline reflects concern that markets will be further rocked by lack of an agreement after the Standard & Poor's 500 index recorded its largest weekly drop since May.
Treasury Secretary Paulson last night said the proposed deal ``will work and be effective.'' More work needs to be done, ``but I think we're there,'' he said.
Government Bailouts
Paulson and Federal Reserve Chairman Ben S. Bernanke proposed the plan after the collapse and bankruptcy of Lehman Brothers Holding Inc. and the Federal Reserve's takeover of American International Group Inc. earlier this month. They said it was needed to revive lending and restore the flow of credit to the U.S. economy.
Key details of emerging bipartisan bailout plan
... several substantial changes to President Bush 's request. ... with $250 billion available immediately, $100 billion to ... it is needed, and the last $350 billion available with another ...
more ...
go to website
Cached
Key details of emerging bipartisan bailout plan
... to President Bush 's request ... immediately, $100 billion to be released if the Treasury secretary certifies it is needed, and the last $350 billion available with another ...
more ...
go to website
Cached
Key details of emerging bipartisan bailout plan
... several substantial changes to President Bush 's request. ... with $250 billion available immediately, $100 billion to ... it is needed, and the last $350 billion available with another ...
more ...
go to website
Cached
PittsburghTrib.com
... to President Bush's request. Key ... immediately, $100 billion to be released if the Treasury secretary certifies it is needed, and the last $350 billion available with another ...
more ...
go to website
Cached
Federal News Radio - WFED: Key details of emerging bipartisan bailout ...
... several substantial changes to President Bush 's request. ... with $250 billion available immediately, $100 billion to ... it is needed, and the last $350 billion available with another ...
more ...
go to website
Cached
Bank-Rescue Compromise Plan Is Under Review by U.S. Lawmakers
The proposal immediately provides $250 billion, and another $100 billion could be used at the request of the president. Congress would have to review the expenditure of the remaining $350 billion, according to an outline distributed to reporters.
more ...
go to website
Source: Bloomberg
NewsDateTime: 56 minutes ago
Breakthrough Reached in Negotiations on Bailout
But final details were not immediately available. Saturday’s intense ... 250 billion to get the rescue effort under way, followed by another $100 billion upon a report by Mr. Bush to Congress. The president could then request the balance of $350 ...
more ...
go to website
Source: The Ledger
NewsDateTime: 2 hours ago
A Deal On The Bailout
... allowed to buy $250 billion in troubled assets immediately, Conrad said. The president could request an additional $100 billion at any time. Congress has the right to disapprove the remaining $350 ... Banks, unsure of the economic stability of one another ...
more ...
go to website
Source: Forbes
NewsDateTime: 5 hours ago
Congress aims for financial bailout deal by Sunday
... billion bailout for the financial industry that makes several substantial changes to President Bush's request. ... immediately, $100 billion to be released if the Treasury secretary certifies it is needed, and the last $350 billion available with another ...
more ...
go to website
Source: USA Today
NewsDateTime: 18 hours ago
Bailout negotiators to try again
... billion bailout for the financial industry that makes several substantial changes to President Bush's request. ... immediately, $100 billion to be released if the Treasury secretary certifies it is needed, and the last $350 billion available with another ...
more ...
go to website
Source: USA Today
NewsDateTime: 9/26/2008
The details of the bailout deal
From Office of Speaker Nancy Pelosi -- Sept. 28, 2008
REINVEST,
REIMBURSE,
REFORM
IMPROVING THE FINANCIAL RESCUE LEGISLATION
Significant bipartisan work has built consensus around dramatic improvements to the original Bush-Paulson plan to stabilize American financial markets -- including cutting in half the Administration's initial request for $700 billion and requiring Congressional review for any future commitment of taxpayers' funds. If the government loses money, the financial industry will pay back the taxpayers.
3 Phases of a Financial Rescue with Strong Taxpayer Protections
# Reinvest in the troubled financial markets … to stabilize our economy and insulate Main Street from Wall Street
# Reimburse the taxpayer … through ownership of shares and appreciation in the value of purchased assets
# Reform business-as-usual on Wall Street … strong Congressional oversight and no golden parachutes
CRITICAL IMPROVEMENTS TO THE RESCUE PLAN
Democrats have insisted from day one on substantial changes to make the Bush-Paulson plan acceptable -- protecting American taxpayers and Main Street -- and these elements will be included in the legislation
Protection for taxpayers, ensuring THEY share IN ANY profits
# Cuts the payment of $700 billion in half and conditions future payments on Congressional review
# Gives taxpayers an ownership stake and profit-making opportunities with participating companies
# Puts taxpayers first in line to recover assets if participating company fails
# Guarantees taxpayers are repaid in full -- if other protections have not actually produced a profit
# Allows the government to purchase troubled assets from pension plans, local governments, and small banks that serve low- and middle-income families
Limits on excessive compensation for CEOs and executives
New restrictions on CEO and executive compensation for participating companies:
# No multi-million dollar golden parachutes
# Limits CEO compensation that encourages unnecessary risk-taking
# Recovers bonuses paid based on promised gains that later turn out to be false or inaccurate
Strong independent oversight and transparency
Four separate independent oversight entities or processes to protect the taxpayer
# A strong oversight board appointed by bipartisan leaders of Congress
# A GAO presence at Treasury to oversee the program and conduct audits to ensure strong internal controls, and to prevent waste, fraud, and abuse
# An independent Inspector General to monitor the Treasury Secretary's decisions
Transparency -- requiring posting of transactions online -- to help jumpstart private sector demand
# Meaningful judicial review of the Treasury Secretary's actions
Help to prevent home foreclosures crippling the American economy
# The government can use its power as the owner of mortgages and mortgage backed securities to facilitate loan modifications (such as, reduced principal or interest rate, lengthened time to pay back the mortgage) to help reduce the 2 million projected foreclosures in the next year
# Extends provision (passed earlier in this Congress) to stop tax liability on mortgage foreclosures
# Helps save small businesses that need credit by aiding small community banks hurt by the mortgage crisis—allowing these banks to deduct losses from investments in Fannie Mae and Freddie Mac stocks
The administration had initially requested virtually unfettered authority to operate the bailout program. But as they moved toward clinching a deal, both sides appeared to have given up a number of contentious proposals, including a change in the bankruptcy laws sought by some Democrats to give judges the authority to modify the terms of first mortgages. Congressional leaders and Treasury Secretary Henry M. Paulson Jr. emerged from behind closed doors to announce the tentative agreement at 12:30 a.m. Sunday, after two days of marathon meetings. “We have made great progress toward a deal, which will work and be effective in the marketplace,” Mr. Paulson said at a news conference in Statuary Hall in the Capitol. In the final hours of negotiations, Democratic lawmakers, including Representative Rahm Emanuel of Illinois and Senator Kent Conrad of North Dakota, carried pages of the bill by hand, back and forth, from Speaker Nancy Pelosi’s office, where the Democrats were encamped, to Mr. Paulson and other Republicans in the offices of Representative John A. Boehner of Ohio, the House minority leader. At the same time, a series of phone calls was taking place, including conversations between Ms. Pelosi and President Bush; between Mr. Paulson and the two presidential candidates, Senator John McCain and Senator Barack Obama; and between the candidates and top lawmakers. “All of this was done in a way to insulate Main Street and everyday Americans from the crisis on Wall Street,” Ms. Pelosi said at the news conference. “We have to commit it to paper so we can formally agree, but I want to congratulate all of the negotiators for the great work they have done.” In a statement, Tony Fratto, the deputy White House press secretary, said: “We’re pleased with the progress tonight and appreciate the bipartisan effort to stabilize our financial markets and protect our economy.” A senior administration official who participated in the talks said the deal was effectively done. “I know of no unresolved open issues for principals,” the official said. In announcing a tentative agreement, lawmakers and the administration achieved their goal of sending a reassuring message ahead of Monday’s opening of the Asian financial markets. Lawmakers, especially in the House, are also eager to adjourn and return home for the fall campaign season. Mr. Obama and Mr. McCain both expressed support for the rescue package early on Sunday, while adding that it was hardly a moment for taxpayers to cheer. “This is something that all of us will swallow hard and go forward with,” Mr. McCain said in an interview on ABC’s “This Week.” “The option of doing nothing is simply not an option.” Mr. Obama, in a statement, said: “When taxpayers are asked to take such an extraordinary step because of the irresponsibility of a relative few, it is not a cause for celebration. But this step is necessary.” The backing of the presidential candidates will be crucial to Congressional leaders seeking to generate votes for the bailout plan among lawmakers, especially those up for re-election in November. The general public has bristled at the notion of risking $700 billion in taxpayer funds to address mistakes on Wall Street, and many constituents have urged their elected officials to vote against the plan. Among the last sticking points was an unexpected and bitter fight over how to pay for any losses that taxpayers may experience after distressed debt has been purchased and resold. Democrats had pushed for a fee on securities transactions, essentially a tax on financial firms, saying it was fitting that they contribute to the cost. In the end, lawmakers and the administration opted to leave the decision to the next president, who must present a proposal to Congress to pay for any losses.
Videos from YouTube
Title: Bill Clinton On The Bailout
Categories: News,global,clinton,bailout,bill,bank,
Published on: 9/25/2008 7:42:59 AM
Title: Let's Play "WALLSTREET BAILOUT" The Rules Are... Rep Kaptur
Categories: military,economy,congress,taxcuts,gitmo,habeas,News,congresswoman,relief,mama,bush,kaptur,iraq,cheney,bill,corpus,
Published on: 9/22/2008 8:03:52 PM
Title: Ron Paul Fox News 9/17/08 AIG bailout
Categories: News,Fox,Baldwin,Ron,McKinney,News,Paul,Nader,
Published on: 9/17/2008 3:23:30 PM
Title: Congressman Ron Paul Schools Bernanke on the Bailout Plan
Categories: Price,Monetary,Wall,Bail,Constitutionality,News,Bailout,Ron,Bernanke,Street,Out,Authority,Debt,Fixing,Federal,Paul,Depression,
Published on: 9/24/2008 11:32:51 AM
Title: The Dark Bailout
Categories: crisis,economy,obama,movie,president,knight,Comedy,economic,mccain,joker,debate,bailout,dark,bush,presidential,financial,batman,
Published on: 9/25/2008 7:24:57 AM
No comments:
Post a Comment