Carlyle Capital To Liquidate What Is Left

[ozymandius]

Source: Wall Street Journal

Carlyle Capital Corp. announced late yesterday that it would wind down operations and liquidate the remaining assets in its mortgage fund.

The news, which was widely expected, comes less than two weeks after its lenders began to pull support for the fund, which owned about $22 billion in highly rated mortgage-backed securities issued by Fannie Mae and Freddie Mac.

"All remaining (Carlyle Capital) assets will be liquidated," the fund said in a statement. The company said it "believes that its lenders have now taken possession of substantially all of its" securities.

The fund's collapse has roiled the financial markets, demonstrating how Wall Street banks -- concerned with their own wobbly balance sheets -- are refusing to cut even prized clients any slack on its lending terms, even when the clients hold what are thought to be safe securities. In recent weeks, the prices on Carlyle's mortgage securities have dropped to levels not seen in more than 20 years. This worried the banks, which held the securities as collateral.

Read more: http://online.wsj.com/article/SB120572975692141167.html?mod=googlenews_wsj

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It's really hard to feel sorry for these guys.

[better tomorrow]

1. Is this the same Carlyle that Bush family is tied to? If so, is it a way to

cover their records? Just wondering? It talks about them near the bottom of the article.....

http://en.wikipedia.org/wiki/Carlyle_Group

***********************

[ingac70]

2. Yep, a subsidiary . n/t

[better tomorrow]

3. and a Clinton connection, too?

William Kennard, Chairman of the U.S. Federal Communications Commission (FCC) under President Bill Clinton, Carlyle's Managing Director in the Telecommunications & Media Group from 2001 to the present.
Arthur Levitt, Chairman of the U.S. Securities and Exchange Commission (SEC) under President Bill Clinton, Carlyle Senior Advisor from 2001 to the present
Mack McLarty, White House Chief of Staff under President Bill Clinton,

[Wilms]

6. Madeline Albright, too. n/t

[Tellurian]

9. Yes, Clinton advisers followed the money.. doesn't mean Clinton was welcome at Carlyle..

I doubt he was..Many of Clinton's old advisers are working for Obama. Is Clinton welcome in the Obama Camp?

[roguevalley]

10. how much money do all these turds lose? That is what I want to know.

[Hekate]

4. Is this going to wound the BFEE, or are they so diversified they can't be hurt?

Just call this morbid curiosity... and bring over Mme Defarge with her knitting.

Me, I'll just :popcorn:

Hekate

[Kolesar]

5. I heard on DU that the bushies sold their interest in Carlyle in the last few years...eom

[heliarc]

8. I would assume they had to the moment it was linked to the Bin Ladin Family nt

[stubtoe]

7. K&R!

[populistdriven]

11. does this mean i can eat dunkin donuts again?