Thursday, February 12, 2009

Sarkozy Go-It-Alone Aid Defies Rules, Risks Reprisals



More signs of serious breaks from the EU treaty. France is hardly as bad off economically as Spain, Portugal, Italy and Greece. How long before these countries follow? How long before they are forced to abandon the EU altogether and reissue their own, sovereign currencies?

Read story here.

6 comments:

googleheim said...

France's nuclear company is in a bidding war with Warren Buffett for a US reactor that is for sale.

They probably got the money from the US loans. The French outbid Buffett 2:1 for 1/2 as much stock for a 50% stake.

Buffett's stock will do well with the bidding, but why is this not on the radar of the Taxpayer doomsayer ?

Mike Norman said...

Yes! You're right! And Buffet can't outbid the Fed!!

googleheim said...

Link :
http://biz.yahoo.com/ap/081203
/constellation_energy_buyout.html

Caveat :
Maybe there is more current news but the attempt was made!!

Matt Franko said...

Mike yesterday I read Ireland Govt put $9B equivalent in 2 banks ($4.5B each, semi-nationalized). That is over 3% of Ireland GDP, where did they get it?.
Ive been tracking the USD collateralized lending via swap lines at the ecb over at Warren Moslers blog over the last few months and the amounts have been coming down slowly, but yesterday at the regular weekly 7-day auction, the allotments went up by $11B, from 59B last week to 70B this week, same day as Ireland put 9B in their banks...
Just sayin'.
Resp,

googleheim said...

Is France not getting their due for tearing apart Argentina along with Spain and Italy ?

Argentina had the right to default on their debt and line up creditors for a penny on the dollar settlement.

Spain took Aerolineas Argentinas at a profit and then extracted the profit by inserting Spanish debt and then took all the good air plances for Spain. Then Aerolineas was at a massive debt.

Menem sold off the industry in a stroke to get the left aristocracy to open up the country, but it was too much too fast and the country defaulted. The pegged Peso and the flight of capital during the late 1990's did not help.

not exactly 1:1 with what is happening now here - but we can see how privatization leads to failure and re-socialization.

Also as a side note, Argentina is more Italian than New York and Italia itself !!!!!!!

Mike Norman said...

Matt,

As usual, nice find!

-Mike