One would think that Tim Geitner was tied at the hip with the bad boys of AIG as he became the architect of another bad boy bailout system. Is he to close to his friends to be the agent of change and inflict the penalty deserved by such reckless behavior?
It is obvious that the government through it’s bailout and even more obvious through this latest chest thumping over pay raises is simply trying to buy time to see if AIG can remove it self from the quicksand it created. Yet they are doing so with a mortgage on our entire future. A mortgage the Obama administration and the financial buffoons, whose hands are all over this collapse, have still not offered a plan on how to they plan to pay off this financial hole in our wallets. We may be trading one abyss for another and dooming our country to generations of debt that we may never see the end off. Please take a look back at the posts about Massachusetts Swaptions here on BMG and see the facts that government is working under. You will see through the links that we sent out bonds that are interest only with Principle balloon payments in the final five years and when the annual payments on the interest got to large to handle we went to market to issue bets that would pay us up front a fee on what would happen in the future. Guess what the house is losing on those bets. The point being that Government is hoping if they push the cost far enough down the road we will one forget about it two the economy will grow enough to make the payments smaller as a percentage of income and three that some how some way they will come up with a solution before it all happens. Which is why we are where we are today and we are swapping one bet for another in the case of AIG. We are kidding ourselves our children and our grand children by betting the last dollar in the house that time will heal all wounds. WAKE UP IN WASHINGTON it’s a fools bet.
Don’t believe that for one minute this scratching of the surface of this problem is magically going to make it go away. This is a promise that no one should put a bet down on no matter what the odds. Instead you see talk coming from President Obama and Lawrence Summers and Tim Geitner that we may need a third or fourth round of Bailouts just to (hopefully) stabilize the American banking system. What they are saying between the lines is if they can pay off enough of AIG’s debt to stop banks from around the world from cashing in the Insurance Policies, that AIG wrote against such a down turn, but can not cover.
I have written in the past and I dear say I will repeat myself here again that AIG is not “to big to fail” instead the hole is just “to Deep to Fill” with American tax dollars. We are spending Trillions on AIG to pay off their Mortgage yet Main Street is losing their homes at an ever-growing rate and we have crumbs thrown to us in a bailout and AIG gets $136 Million in bonuses. It is time to take matters into our own hands it is time to demand the bailout to stop it is a time to BOYCOTT all of AIG’s business’s it is time to Demand our State of Massachusetts Cut all ties with AIG if any exist, It is time to close that annuity and role it over to another company, it is time to cash in that stock and take the loss in 2009, it is time to demand that this company be held to the same standard as you and I. You pay the consequences of your actions you lose your job when you screw up just this bad. And it is time to boycott the Obama Administration until they put the same number of Dollars into bail out Main Street as they are into AIG and the problems they have created. The growing amount of evidence is overwhelming.
Look closely at the list being published on where the AIG money went, it went to many of the large banks in the world who bought contracts (insurance Policies) to insure their investments and protect their bottom line but also in the mix are foreign banks, and as of this morning we now know that Billions went to States who also rolled the tax payers dollars into investments that were backed by smoke and mirrors. So not only did California have to demand money from AIG but it also got a lion share of the federal Stimulus and it now has a reported unemployment beyond 10%.
Is AIG the only villain? Well it is unlikely yet they certainly are the poster child for all that has gone wrong and by far they have been the leader of business as usual. We need a change Obama promised Change, I want to see change so far I am only seeing loose change in the sofa and millions in their pockets.
SO lets Start by Boycotting AIG let those who vote speak loudly as a group such actions help defeat Apartheid in South Africa we have the power to make the change we need in our own hands it is time to mobilize and use it.
Call your broker call your Insurance agent call your Rep call you Congressman but do it today!
As Usual just my Opinions but in my opinion today is a need for real Change our future is in our hands!