Monday, September 29, 2008

Wachovia Eated

Wachovia eated by Citigroup. FDIC involved in deal, though unclear if they ever officially hit the failed bank list.

...yep, eated:

Citigroup Inc. will acquire the banking operations of Wachovia Corp. \ , the troubled Charlotte, N.C.-based bank, according to a press release from the Federal Deposit Insurance Corp. on Monday morning. Citi will acquire "the bulk of Wachovia's assets and liabilities," the FDIC statement said. Under the agreement, Citigroup will absorb up to $42 billion of losses on a $312 billion pool of loans, while the FDIC will take losses beyond that. Citigroup has granted the FDIC $12 billion in preferred stock and warrants to compensate the FDIC for bearing the risk, according to the press release.

...I guess that means the CoreStates First Union Wachovia Center becomes the Citigroup Center.