The U.S. government has ordered GMAC to raise $13.1 billion in new capital. Likely source for that capital? Uh, the U.S. government.
Kenneth Lewis is probably having a pretty crappy day. The government just told him that he needs to find $33.9 billion in order to “withstand any worsening of the economic downturn.” Anybody got any spare change?
The number of banks that will need more capital has grown. Now it looks more like 10 banks that underwent the government stress-tests are undercapitalized, possibly among them Wells Fargo, Bank of America, Citigroup and some regional banks, reports WSJ. The good news seems to be that the problems the stress tests are revealing aren’t as bad as analysts had been saying. Clearing out some of that fear contributed to Monday market gains and the S&P 500 entered positive territory for the year for the first time in months.
AOL’s dial-up customer service department has a reputation for being slow to answer and quick to anger. The Consumerist put one AOL customer service rep, selected at random, to the Stress Test. His name was Aaron.