From the PD --
When the National City-PNC deal was announced Oct. 24, PNC had justified offering almost 20 percent less than what National City shares were trading for at the time because, in part, it expected big losses from National City.
The issue of National City's projected losses has been a touchy issue because three days before the sale announcement, National City had forecasted losses of $3.5 billion to $4 billion from its riskiest loans. But when the deal was announced, PNC estimated $11 billion in losses from the risky portfolio.
PNC is revising its gloomy projections now that its management has had more time to dig into National City's books, the Pittsburgh bank said. More...
I am far from a banking expert - but if the bank was not as bad off as portrayed and outgoing NCB executives were able to pad their pockets with $50 million Golden Parachute's - was the sale needed or or did the fat cats just take their money and run?
During discussions about the sale, Rep. Steve LaTourette fought tooth and nail against this buyout and was thrown under the bus by NCB executives - who as it appears were on board with the buyout for obvious personal financial reasons.
The moral of the story - Cleveland & Cuyahoga County residents get screwed again!
jj
The Cleveland business community lending a "helping hand" to themselves and from the taxpayers pocketbooks. I bet Sam Miller is somewhere stomping up and down right now because someone besides him was able to rape Cleveland on the MedMart fiasco. Great business leaders we have here.
ReplyDeleteit seems the helping hand we get from leaders around here is on the back of our necks shoving our head deeper under the frigid waters of Lake Erie.
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