Paul Bishop

Trading Wachovia: Very Tight Stops Strongly Suggested

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???