"History is a wonderful thing, if only it was true"
-Tolstoy

Sunday, March 16, 2008

Whoopsie ... yet more

JPMorgan Acts to Buy Ailing Bear Stearns at Huge Discount - New York Times:

"The all-stock deal values Bear Stearns at about $2 a share, based on JPMorgan’s closing stock price on Friday, the companies said. In contrast, shares of Bear Stearns, which fell $27 on Friday, closed at $30."

and

"JPMorgan’s bid of $2 a share for Bear Stearns represents a gigantic 97.5 percent discount to the $80 book value that Bear Stearns has reported, reflecting the broad view that the fallout from the credit crunch has permanently devastated Bear’s core mortgage operations."

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