JPMorgan and Fed Rush in to Rescue Bear Stearns from Financial Disaster
(NewsVisual, powered by IntellectSpace) -- As decision-makers continued to seek solutions to the current crisis roiling the financial industry, JPMorgan Chase & Co (NYSE: JPM) and the Federal Reserve Bank of New York made concurrent announcements that they were providing the troubled investment-banking firm The Bear Stearns Companies Inc (NYSE: BSC) with an infusion of cash.
Bear Stearns has been suffering a major liquidity crisis as a result of its huge investments in real estate-related securities.
JPMorgan and the Fed have “agreed to provide secured funding to Bear Stearns, as necessary, for an initial period of up to 28 days. Through its Discount Window, the Fed will provide non-recourse, back-to-back financing to JPMorgan Chase,” said JPMorgan in a Friday morning press release.
The question of how Bear Stearns reached out to JPMorgan remains a mystery.
Therefore, NewsVisual created an IntellectSpace Knowledge Map to show who the behind-the-scenes interlocutors that worked out this rescue package could be.
The Knowledge Map illustrates several sets of personal connections between the current members of the two financial institutions’ Board of Directors, including board-room connections that run through the University of Chicago, the Con Edison Company of New York Inc, and a nonprofit named NYC2012 Inc.
To see the details of these connections, click here for an interactive and fuller version of this IntellectSpace Knowledge Map.
(Note: the information contained and presented in Knowledge Maps is public information from the Securities and Exchange Commission of the United States of America).
pay them more and they keep taking more. About time ceo's make a regular pay and let the stock price go on its own. The more they make they screw up the country.
Posted by: joe | March 14, 2008 at 06:22 PM
They can bail out a bank but not the people who were took be the mortgage industy and now if the DONT help the people with there homes, this will be the worst crisis since 1928. The goverment better open there eyes but of course they are not suffering, they have jobs. We can send money all over the world but they won't help there own people at home. Discusting.
What they don't relize it if all these people lose there homes, is that then the property values of every home goes down, then no one has any equidy,
then more people will not be spending money. They will save banks, airlines and auto companys, but not the tax payers flipping the bill. This is headed for the worst case and all these people will have an eye opening experiance waiting in line with hundreds of thousands for food.
4$ dollar a gallon for gas, prices going up for everything. We as a nation are in BIG troulbe unless they get this houseing mess cleaned up quick. They will loss more in taxes then it would take to fix it, Good luck America, the worst isn't even here yet.
Posted by: Kurt | March 16, 2008 at 07:21 PM