World Tracker

3 Comments

    • Wachovia on the Cheap? Think Again [view article]
      when is someone going to look at how this all happened? Jeremy Gitt former Merrill Lynch Bank Analyst added to World Board 9/8/05, Wachovia buys GDW ( World's parent) for 1.051 WB shares and $18.75 in cash, $25.5 Billion on 5/8/06 - a mere 8 months later. WB says they are acquiring a "pristine balance sheet", and 238 operating branches and a presence in the West. Herb & Marion Sandler owned 90 million shares each of GDW, 90mm X $58 + 90mm X $18.75= A big number EACH. Who was the Banker for WB in the deal? SURPRISE, Merrill Lynch. June of '07 James Judd former Pres. of World, quietly removed from his job ( first hint of a problem, similar to Enron's Jeff Skilling resigning in Aug. months in front of the implosion) The $125 billion portfolio riddled with sub prime borrowers, all allowed in due to World Underwriters "exception to policy" OUR MONEY OUR RULES- mantra Begins to unwrap. Did anybody look at the escalating NEGATIVE AMORTIZATION amounts on the balance sheet, ( a number that has to be broken out, per GAAP, and indicates the clearest sign that borrowers cannot meet current mortgage obligations. Wachovia's new management has to ask some very serious questions, this Bank was decimated along with it's shareholders. The answers were there, people were complaining, was Wachovia made completely aware of all the issues. $100 Billion in losses later, I think there is more to be told. Jul 16 01:09 PM
    • Walking Away: The Next Mortgage Crisis [view article]
      Ken Rosen who you reference in this article sat on the Board of Golden West (GDW) parent to World Savings, one of the "portfolio lenders" who allowed a great many of these ARM's and at the height of the insanity handed all their molten loans and $125 billion dollar portfolio to Wachovia for $25.5 B Do you think long term Board member Rosen profited from that at all??? For him to be sanctimonious now and take the appearance that he was not involved is beyond the pale. Google his name and check his remarks in the WSJ in '03,'04,'05,'06 (when they sold to Wachovia) The Sales force for his Company World Savings was doing $4 B of loans a month, a large majority of which were no doc or QQ ( quick qualifier, World's term) those are a lot of the $8 + billion that Wachovia is going to eat. Not to mention the destruction of good neighborhoods, families credit, cities tax base, and the general decline in value. Rosen was right in the middle of all of it. Apr 19 01:20 PM
    • Trading Wachovia: Very Tight Stops Strongly Suggested [view article]
      WB is just beginning to understand how badly they were taken by those wonderful folks at GDW. $25.5 B and it's been straight down ever since. 99% of the loans were ARM's, and record numbers sold in '04,'05, and '06, Jeremy Gitt (former Merrill Lynch Banking analyst) added to GDW Board in early Sept. '05, shortly there after GDW, it's $125 Billion portfolio, and 230 + Branches were acquired by unsuspecting Wachovia ( represented by ??? Merrill Lynch, I do declare) Herb & Marion, converted their 180 million shares, started a foundation, and slipped away. Pres. of GDW Jim Judd was left behind to pull the pin, the rest is history, a lot of WB investors were blindsided. I'm wondering when WB will put all the pieces together and go to court. Judd can't be accounted for, some say he's retired as announced last summer, others stipulate that he's still employed as Sr. Exec. advising the Mortgage Division, ( like asking the Boston Strangler to massage your neck), he never surfaces, and he has all the answers.
      Meanwhile the portfolio of loans keeps blowing up, and should it be marked to market would show serious shrinkage. Now investors and unhappy ARM clients are finding their way to Attys. offices, as the word predatory starts to emerge, it is simply a matter of time. One or two classes get certified, and this stock will be a teenager. The Board is rallying behind Thompson, it is folly, Calif. 60% of the loan volume, and a decimated Central Valley are set to explode. Calif. litigation is a little slow to get going, but will make Enron look like a "tea party" once some of the nasty practices are highlighted. Did all the Execs. from GDW keep their stock, or did they let WB take the ride alone??? Herb??? Marion???, Jim???       Apr 18 03:34 AM
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