It looks like you're using an Ad Blocker.
Please white-list or disable AboveTopSecret.com in your ad-blocking tool.
Some features of ATS will be disabled while you continue to use an ad-blocker.
(visit the link for the full news article)
Billionaire investor Warren Buffett, calling the market turmoil “an economic Pearl Harbor,” said Treasury Secretary Henry Paulson’s $700 billion proposal to prop up the U.S. financial system is “absolutely necessary.”
“The market could not have taken another week” like last week, Buffett told CNBC today, a day after saying his Berkshire Hathaway Inc. will buy a $5 billion stake in Goldman Sachs Group Inc. “I think it was the last thing Hank Paulson wanted to do, but there’s no Plan B for this.”
“I am betting on the Congress doing the right thing for the American public and passing this bill,” Buffett said. The economy is “everybody’s problem,” he said, likening it to “a bathtub — you can’t have cold water in the front and hot water in the back.”
The Shameless Buffett Deal
Henry Paulson wants the taxpayers to pay some $700+ billion for trash paper currently held by his old company Goldman Sachs and others. The deal will likely bring a 50% or bigger loss for the taxpayers.
At the same time Warren Buffet buys a $5 billion stake of Goldman Sachs that practically guarantees him a return of some 17-20% per year plus possible upsides in the stock price. This because Goldman will likely be the one profiting the most from the big bailout.
[Buffett] made it very clear that he would not have bought anything right now if he wasn't confident Congress will do the "right thing" and approve the financial bailout proposal put forward by Treasury Secretary Henry Paulson.
As he himself admits, Buffett and the other Berkshire shareholders will make $500 to $1,000 million profit per year because the taxpayer will pay for the big losses Wall Street made.
Originally posted by Lebowski achiever
It is a vile analogy. I bet that he was one of the Kamikaze pilots dive-bombing the economy with his disgusting greed and fraudulent practices. Yes, he enjoyed the hot water alright when the going is good, and is a bit squeamish to dip his rotten toes in the cold. I hope he drowns in his friggin bath.