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It's Time For A New Kind Of Bank Of America Solution—The Right Kind

It's Time For A New Kind Of Bank Of America Solution—The Right Kind

2011-08-23


Bank of America's stock continues to tank despite management's assurances that the bank has enough capital.

Now the stock has plunged below $7 and looks to be on its way below $6.

Bank of America's stock is tanking because Bank of America's investors don't believe its assets are worth what Bank of America says they are worth.

In other words, it's the fall of 2008 all over again.

Well, we've seen enough.

We're so angry at Bank of America, Treasury Secretary Tim Geithner, and other folks responsible for the Bank of America debacle right now that we can hardly see straight, so this plan may take the form of a rant. But so be it.

(Yesterday, we were concerned about figuring out a solution for the U.S. economy. Today, thanks to the ongoing implosion of Bank of America, we have a far more pressing and annoying concerna concern that should have been taken care of two years ago, a concern that is a colossal waste of our time and your time.)

Treasury Secretary Tim Geithner and many other Wall Street boosters have long contended that if Bank of America fails, the world will end.

We're skeptical about that. In our experience, the world is pretty resilient. But we're going to accept that, if Bank of America does collapse in a pile of wreckage, the way Lehman did, the world will get messy for a while. And we're going to accept that there's a better way out of this mess.

Here's what it is...

 




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