Sunday, June 15, 2008
A Franco-Prussian Ratings Agency?
Germany's chancellor, Angela Merkel, called for a European ratings agency to counter, in her words, "a strongly Anglo-Saxon dominated system" of credit ratings, referring to Standard and Poor's and Moody's. (We'll leave aside for the moment that the Anglo-Saxons were in fact German.)
She went on to say that "in the medium term Europe will need a working ratings agency because the robust currency system of the euro has not yet secured sufficient influence over the rules governing financial markets."
Ms. Merkel need look no further for a partner in her new Eurozone ratings agency than neighboring France. As it turns out, French conglomerate Fimalac SA is majority owner of Fitch Ratings, which, according to Fimalac's website, is "la 3ème agence mondiale du secteur [the world's third largest ratings agency]."
If Ms. Merkel's nationalistic fingerwagging is taken at face value, we may soon witness the transformation of Fitch into a Franco-Prussian credit ratings empire, the likes of which the world has never seen.
However, don't expect a triple-A credit rating to be any more credible just because it's written in Blackletter Gothic script. --GAHjr
She went on to say that "in the medium term Europe will need a working ratings agency because the robust currency system of the euro has not yet secured sufficient influence over the rules governing financial markets."
Ms. Merkel need look no further for a partner in her new Eurozone ratings agency than neighboring France. As it turns out, French conglomerate Fimalac SA is majority owner of Fitch Ratings, which, according to Fimalac's website, is "la 3ème agence mondiale du secteur [the world's third largest ratings agency]."
If Ms. Merkel's nationalistic fingerwagging is taken at face value, we may soon witness the transformation of Fitch into a Franco-Prussian credit ratings empire, the likes of which the world has never seen.
However, don't expect a triple-A credit rating to be any more credible just because it's written in Blackletter Gothic script. --GAHjr
Thursday, June 05, 2008
Why Hillary Fights On: Update
On the same day that Hillary Clinton announced her withdrawal from the presidential campaign, Bloomberg News reports that Obama's campaign may help Hillary's campaign pay off its $20+ million of debt.
According to the article, Hillary has until the Democratic convention to pay herself back the $11 million she lent to her campaign; otherwise, it becomes a campaign contribution, and she can only recoup $250,000.
All becomes clear.
According to the article, Hillary has until the Democratic convention to pay herself back the $11 million she lent to her campaign; otherwise, it becomes a campaign contribution, and she can only recoup $250,000.
All becomes clear.
Sunday, June 01, 2008
Why Hillary Fights On
Where does Hillary Clinton get the willpower to fight on for the Democratic Party nomination, when it's pretty clear she's lost?
She proclaims herself a "fighter" who wants to get her message to the people.
But the April 30 Federal Election Commission filings paint a different picture.
Hillary has lent her campaign over $10 million. The campaign is $20 million in debt, in addition to millions in accounts payable. Her Senate campaign fund only has $300,000 on hand.
As long a Hillary keeps running, she can keep raising funds... and hopefully pay herself back some of that $10+ million. If she quits, it would be hard to raise enough funds to cover her debts. She'd be out a lot of dough -- and so would many of her supporters, who extended her credit. According to the New York Times, those supporter-creditors include the firms of Mark Penn and Harold Ickes.
It's all about the money. -GAHjr
She proclaims herself a "fighter" who wants to get her message to the people.
But the April 30 Federal Election Commission filings paint a different picture.
Hillary has lent her campaign over $10 million. The campaign is $20 million in debt, in addition to millions in accounts payable. Her Senate campaign fund only has $300,000 on hand.
As long a Hillary keeps running, she can keep raising funds... and hopefully pay herself back some of that $10+ million. If she quits, it would be hard to raise enough funds to cover her debts. She'd be out a lot of dough -- and so would many of her supporters, who extended her credit. According to the New York Times, those supporter-creditors include the firms of Mark Penn and Harold Ickes.
It's all about the money. -GAHjr
