Diane Ritter

How Much Will a Wells-Wachovia Deal Cost Taxpayers?

Are you crazy? If the Citi-Wachovia merger had gone through the US would have been on the hook for up to $270 BILLION dollars worth of losses from Wachovia worst crap assets. Assets that are still being carried at far over actual value on Wachovia's books, and declining by the day. Including over $100 BILLION dollars worth of option adjustable-rate mortgages from it's doomed acquisition of Golden Western. 100% guaranteed and backstopped by Uncle Sugar. Wells Fargo is willing to take them for nothing, and you are worried about how it will help their tax write-offs? Catch a clue guy, corporate tax rates are on a sliding scale from 15% to 35%. Which means WORST CASE the US taxpayer just got off the hook for 65% of this fiasco.