The government started a horrible precedent months ago when it opened a discount window at the Federal Reserve. Now they have continued down the road of government fixes with bailout after bailout. About a month ago AIG,the big insurance company for investors, came to the govenment in need of help. They saw the government helping others and decided to go that route. The government gave (loaned – yeah right) them $85 billion dollars. As a show of gratitude to the American people who now own 80% of the company, AIG took a bunch of their top sellers to St. Regis Resort which is a posh resort in California. This occured a few days after the bailout. The cost of this little shindig adds up to $440,000 with $23,380 going towards spa treatments. Gosh, how long has it been since I’ve had a spa treatment? Glad I could help them out. And surely you have heard that a motivational retreat is scheduled for next week at the Ritz-Carlton in California’s Half Moon Bay. And now today AIG comes forward and it seems they miscalculated and need a little more money. So the Fed, ha ha get this (imagine me laughing like a crazy woman) designs this little plan that doesn’t sound quite like a bailout. The New York Fed will borrow $37.8 billion from AIG in investment grade fixed securities in return for cash collaterol. Ha ha (still sounding nuts) that’s great, we actually get something for our money!
ARE THEY INSANE!!!??? How much longer are we going to put up with this crap? The government hasn’t learned their lesson yet and keeps trying to twist the market to get it to work. Today the world lowered interest rates .5% to get the stock market up and of course it didn’t work – again. And these companies have learned nothing. I actually agreed with Barack Obama on something last night. AIG needs to cough up $440,000 right now and pay back the government. These CEOs need to cough up their bonuses as well. You don’t get rewarded for driving companies into the ground and setting the free market into a tail spin because of your cheating ways. And the government needs to back away right now. They haven’t even waited long enough to see if the first measures they took will work. And we’re getting screwed!