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Police accuse bank robbery suspect of gobbling up note (with dashcam video)
Dad accused of forcing son into field, killing him
Man found dead in North Akron home is identified
Victim of beating in Kent last week is declared dead at Akron hospital
Coventry man killed in crash at I-77 ramp
Browns' roster nearly devoid of consistent players
College student mistaken for deer, shot to death
NFL star Chris Spielman's wife loses cancer battle
Blogs:
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Cat-loving chihuahua suckles seven abandoned kittens
The Heldenfiles:
Friday Night Notebook
Patrick McManamon:
For your Saturday entertainment …
Akron Zips:
Hitchens leads Zips in second-half comeback
Tribe Matters:
Seven players added to Tribe’s 40-man roster
Cleveland Browns:
Holmgren expresses interest in Browns position
Kent State Sports:
Kent State blown out in second half, loses to Temple 47-13
Cleveland Cavaliers:
Gameblog: Cavs vs. Philadelphia 76ers
Buckeye Blogging:
OSU – Michigan college football rivals meet in Baghdad
Varsity Letters:
Four area football teams play tonight
All Da King's Men:
Headed For Disaster
Blog of Mass Destruction:
Will Health Care Reform Pass?
Akron Law Café:
Health Care Financing Reform: (69) The Brookings Institute Study on "Bending the Curve" – Four General Strategies
See Jane Style:
Vintage Chic
Car Chase:
TIME TO GET YOUR COLLECTOR CARS WINTERIZED
Let's Talk Real Estate:
Silverdome Potentially SOLD!
Ohio Travels with Betty:
George is looking for a Thanksgiving buffet in Akron.
Sound Check:
Steely Dan Plays "The Royal Scam" at E.J. Thomas Hall
HRLite House:
Colloquium at University of Akron
Akron Gamer:
Nintendo's Mario endures even as games come and go
Mortgage giants called too big to fail, but investors in trouble
By J.W. Elphinstone
Associated Press
Published on Saturday, Aug 23, 2008
NEW YORK: Billionaire investor Warren Buffett said Friday he believes mortgage giants Fannie Mae and Freddie Mac are too big to fail, but shareholder equity in those companies could be wiped out.
Buffett predicted the federal government eventually will have to step in to help because the financial troubles of Fannie Mae and Freddie Mac seem to be growing and feeding on themselves.
''They're looking for help, obviously. And the scale of help is such that I don't think it can come from the private sector,'' Buffett said.
Though the timing was not clear, Buffett acknowledged that he had been approached by the government-sponsored enterprises for help and passed on getting involved.
The Wall Street Journal reported Friday that Freddie Mac has been talking with private-equity firms and other investors about possibly buying common or preferred stock in the company. Calls to Freddie by The Associated Press for comment weren't immediately returned.
Freddie Mac promised in May to raise $5.5 billion to shore up its finances, but hasn't yet and its declining share price makes raising that money less feasible.
Fannie and Freddie's shares have lost more than 90 percent of their value this year.
The pair hold about half of outstanding U.S. mortgage debt and are the largest source of funding for home loans. But defaults in their portfolios are mounting. Losses between April and June for the two totaled $3.1 billion, and investors fear they will continue to grow.
Investors appear to believe existing common stockholders would get nothing if there is a government bailout. What remains unclear is whether investors in preferred shares — a type of investment that incorporates elements of both stocks and bonds — will also be wiped out.
NEW YORK: Billionaire investor Warren Buffett said Friday he believes mortgage giants Fannie Mae and Freddie Mac are too big to fail, but shareholder equity in those companies could be wiped out.
Get the full article here.
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