So Wait, Why Didn't We Save Lehman Again?

Wednesday, September 01, 2010 , , , 0 Comments

Because the Fed had too much to do in September of 2008, apparently.

Business Week:

Thomas Baxter, general counsel for the Federal Reserve Bank of New York, said that a credit line for Lehman Brothers Holdings Inc. was pointless because the firm didn’t have a buyer lined up before its 2008 bankruptcy filing.

“We thought it was a bridge to nowhere,” Baxter said today during a hearing of the Financial Crisis Inquiry Commission in Washington. “Lehman was not our only problem during that month.”

LOL no shit, Tom, thanks for the clarification.

How is it Lehman was a "bridge to nowhere" but AIG, Fannie and Freddie, GM, the FHA et al were not?

Jr Deputy Accountant

Some say he’s half man half fish, others say he’s more of a seventy/thirty split. Either way he’s a fishy bastard.