From the Great Orange Satan himself:

<http://www.dailykos.com/storyonly/2008/9/23/14111/2568/498/607662>

"In my last post, I was trying to figure out why we're concerned about  
conditions on the bailout that would reduce participation.
Sources familiar with the Treasury's thinking said warrants would  
limit participation in the program. Only failing banks would be  
willing to give the government stock in exchange for buying up their  
bad assets, these sources said. But key Democrats said the point was  
critical.

As commenter heart of quince asked:

Why do we want to help banks that AREN'T failing?

That's a damn good question, and I thought, "well, maybe that's a mis- 
paraphrase by a reporter". But it's not. Straight from the horses'  
mouth, the White House's press lackey:

--With respect to executive pay, again, I'm not going to get into  
specific, point-by-point details on what our views are on that, other  
than the Secretary of Treasury said it would make more difficult to  
make this plan work and effective if you provide disincentives for  
companies and firms out there who are holding mortgage-backed  
securities and other securities from participating in the program. You  
have to remember, these are not all weak or troubled firms that own  
mortgage-backed securities. A lot of them are very successful banks  
and investment houses that have done very well, have been responsible,  
are holding performing assets that have value. They were not  
necessarily irresponsible players, and so you have to be careful about  
how you deal with them.--

Careful how you deal with them? How about you LET THE FUCKING FREE  
MARKET HANDLE IT then? If they want taxpayer funds to bail out their  
incompetence, they give up equity, they accept limits on executive  
compensation. If they don't want those conditions imposed on them,  
they don't take our money.

Simple, right? And if they don't take our money, who cares? They are  
strong and successful! And the taxpayers don't have to give up a dime.  
Everyone wins!

I am now certain that this is all a giveaway to the GOP's friends on  
Wall Street and an effort to financially handcuff the next  
administration. It has little to do with saving the economy.  
Otherwise, Treasury and White House officials wouldn't be talking  
about bribing and arm twisting these banks into taking government  
handouts."

-- 
Bruce Johnson
University of Arizona
College of Pharmacy
Information Technology Group

Institutions do not have opinions, merely customs



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