Wednesday, December 1, 2010

Obscene: Morgan Stanley Took Down One Loan from the Fed of $47.6 Billion!

Via the Fed document dump, we are learning that Morgan Stanley took down one loan, among many, of $47.6 billion. Goldman Sachs'  largest loan was for $18 billion. Between those two loans that's $65.6 billion, for the elitist banks. Do you think you could improve your business with a loan of $47.6 billion or even just $18 billion?

WSJ is highlighting these transactions from the FDD:
Morgan Stanley looks like it needed more help than Goldman Sachs. MS used the Primary Dealer Credit Facility (PDCF) 212 times, Goldman Sachs 84 times. Goldman’s largest single loan was $18 billion, Morgan Stanley’s $47.6 billion. The program closed Feb. 1, 2010.

Not just American banks got help from the Fed. Barclays had the biggest single PDCF loan at $47.9 billion, according to Reuters. UBS borrowed heavily from the Commercial Paper Funding Facility (CPFF), which wound down on Feb. 1, 2010.

Chrysler, GM, AIG, GMAC and GE were among non-banking companies that tapped the CPFF. Only GE averted going kerplunk.

Citi and Bank of America had their hands out for a long time. Citi used the PDCF almost daily until April 2009, BofA used it almost daily until May 2009.

BofA also tapped the Term Securities Lending Facility (TSLF) 23 times and Citi used it 65 times. J.P. Morgan used the facility 23 times. The largest loans for each: Citi $10 billion, BofA $8.75 billion, JPM $5 billion. The program closed on Feb. 1, 2010.

Morgan Stanley tapped TSLF 34 times, its biggest take $10 billion. Goldman used TSLF 52 times, its biggest loan $7.5 billion.

PIMCO was a big user of the Term Asset-Backed Lending Facility (TALF), tapping it for $7.1 billion, roughly 10% of the program. Among smaller fry, MBIA, the municipal bond insurer, owed $87.2 million under the Term Asset-Backed Lending Facility (TALF) as of Sept. 30. Lincoln National owed $317 million under TALF as of Sept. 30


  1. Morgan Stanley board member Erskine Bowles knows how to create a fortune using government funds or protected territory. It's easier to read the tea leaves, when you make them:

  2. Fed lies, price discovery dies: