Please consider this post a formal statement of my intent to register with the Treasury Department as a bank holding company. As you know, a number of companies, including American Express and several insurers, have transformed themselves to gain access to the Treasury loan facility. These companies have asked for several billion dollars each.
I'd like to point out that I, too, am a highly leveraged entity that in the current economic climate may be only a short time away from defaulting on my obligations. My default would have far reaching effects on the financial system, leading to losses at a minimum of five financial services companies, including all three of the country's largest banks. Conversely, the ability to borrow money from the loan facility at favorable rates would allow me to restructure my debt, assure my continued solvency, and ameliorate any potential damage to the counter-parties in my loan and credit transactions. The improvement in my capital position would allow me to increase my holiday shopping and create positive feedback effects in the retail sector. The beneficial effects of this would require a capital infusion from Treasury no bigger than the low six figures, substantially less than the amounts requested by many other bank holding companies.
I sincerely hope that you will allow this proposed recapitalization to go forward with all deliberate speed. Your prompt attention in this busy post-election season is greatly appreciated.
I'd like to point out that I, too, am a highly leveraged entity that in the current economic climate may be only a short time away from defaulting on my obligations. My default would have far reaching effects on the financial system, leading to losses at a minimum of five financial services companies, including all three of the country's largest banks. Conversely, the ability to borrow money from the loan facility at favorable rates would allow me to restructure my debt, assure my continued solvency, and ameliorate any potential damage to the counter-parties in my loan and credit transactions. The improvement in my capital position would allow me to increase my holiday shopping and create positive feedback effects in the retail sector. The beneficial effects of this would require a capital infusion from Treasury no bigger than the low six figures, substantially less than the amounts requested by many other bank holding companies.
I sincerely hope that you will allow this proposed recapitalization to go forward with all deliberate speed. Your prompt attention in this busy post-election season is greatly appreciated.
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