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Bond Holders
Latest Headlines
Latest Headlines
U.S. Bancorp sues Bank of America for putbacks
The Bank of America litigation pile-on continued this week, as U.S. Bancorp, in its role as trusted for the HarborView Mortgage Loan trust, filed another suit over warranty and representation issues related to a $1.75 billion pool of mortgage-backed bonds, according to media reports.
We presum
Government ponders refinancing incentives
What would be the single best thing for the government to do right now to help the mortgage industry survive, give mortgage holders in good stead a break and help revive the economy?
We've long thought that the best answer would be to incentivize refinancing for the millions of mortgage holder
Bank of America's Moynihan a model of CEO compensation
No issue has been more rancorous in the banking industry than executive pay, CEO pay in particular. The rhetoric has been heated on all sides.
But as stock prices have tanked, we're seeing a de facto change in the compensation structure of a few CEOs, chief among them, Brian Moynihan, of Bank
New York AG complicates Bank of America putback settlement plans
It looked like quite a coup when Bank of America announced a deal in June to settle putback claims with a marquee list of bond holders. The agreement called for the maligned bank to pay just $8.5 billion to settle claims on mortgage-backed securities that comprised roughly $175 billion in unpaid p
Jefferson County muni default could be largest in history
If bond holders and Jefferson County, Alabama officials cannot come to an agreement, the county will soon have the dubious distinction of being the largest muni default in the history of the United States.
That default would pale of course in the face of a default by the U.S. government, which
Bank of America hits snags on road to settlement
So who exactly is behind the Walnut Place investors group, which has gone to court to block the much-ballyhooed $8.5 billion settlement of various putback claims? No one seems to know, but the big question is whether there are other investors who ended up with tainted MBS that also feel the settle
Banks dodge class-action lawsuits over foreclosure practices
Many people predicted a legal tsunami over banks' foreclosure practices. To some extent, that is playing out. Civil enforcement actions are a distinct possibility, lots of individuals have filed suits, and big bond holders may file suits seeking more putbacks (though this is more of a warranty iss
The de facto end of too big to fail?
The debate about too big to fail has been raging, with no end in sight. But have the credit rating agencies already made up their mind on the outcome? Standard & Poor's has revised its outlook on Bank of America ( BAC ) and Citigroup ( C ) to negative from stable. A negative outlook indica
Should Citigroup be allowed to fail?
We've gotten accustomed to good earnings. The first quarter results have been "good," even at the most troubled big banks such as Citigroup and Bank of America. But you have to wonder if all this stock rallying amounts to a mere dead cat bounce, a sucker's play.
Citigroup certainly gave u
A tough time to be a bank bondholder
There's a lot of uncertainty these days if you're a holder of big banks bonds. The nervousness is apparent from the soaring CDs spreads and tanking prices of subordinated debt. Breakingviews notes that most likely the worst-case scenarios will not come to pass. The government certainly seems b
