this one almost got by me ... and I'm sure that Bank of America, Countrywide and the US Congress are all hoping it gets by most US taxpayers ...
(snip)June 25 (Bloomberg) — Bank of America Corp.’s $3 billion takeover of Countrywide Financial Corp. will be financed by 138 million tax-paying Americans.
Bank of America, led by Chief Executive Officer Kenneth Lewis, can use tax write-offs to pay for Countrywide, the country’s biggest mortgage lender, said Robert Willens, a former managing director at Lehman Brothers Holdings Inc. who now runs his own accounting firm. Taxpayers may pick up about $5 billion of Countrywide’s losses over 20 years, he said. Countrywide shareholders approved the sale today. "(snip)
Translation ... Countrywide has already foisted toilet paper mortgage bonds etc. onto the US FED and/or other gov't agencies which is estimated to result in $5 billion dollars worth of losses when that toilet paper must eventually be sold as a loss by those gov't agencies (with the $5 billion loss to the gov't till then having to be made up for by US taxpayers). But the US taxpayers is going to take a round of 'sloppy seconds' when Bank of America is allowed to write off the paper losses it has / will incur / inherit from buying out Countrywide against future Bank of America corporate tax liabilities ... which will amount to at least another $3 billion in lost corporate tax revenues (that will also have to be made up for by US taxpayers) and possibly $5 billioin or $10 billion over the course of many years.




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