Little Versailles Palace in Beverly Hills.

The conference room full of classical charm was already full of people. Andy sat in the main seat, lowering his head and quickly browsed the detailed information of Indy Mac Federal Bank, which the Federal Savings Insurance Company handed over to the think tank.

The number of think tank members that came from New York this time reached 50. The most important thing is that the size of Indymike Federal Bank's branches reached 33. Even if 3,800 employees had been laid off before taking over, this is already half of Indymike Bank's number. He needs enough of his own people to complete the acquisition in a short period of time.

After hitting a high of $50.11 per share on May 8, 2006, IndyMac Bank's stock price plummeted 87% in 2007, and plummeted 95% again this year. On the last trading day before the bankruptcy, its stock closed at $0.28.

The U.S. federal government is expected to lose up to $8 billion from Indymike Bank, which makes FDI eager to find a "takeover" to take over the bank. Time is tight due to a large wave of bank bank failures.

$23.5 billion of IndyMac Bank's main assets are commercial loans, mortgage loans and subprime loans. Whoever takes over the bank will face huge risks.

“I have convinced FDI to sell Indymake Bank for about $1.5 billion, with the sale agreement including Indymake Bank’s branches, deposits and assets.

fdi also agreed to sign a loss sharing agreement…”

Hearing Al's tone in a dull tone, Andy's hand stuttering slightly when he looked through the information, looking at Al with a little stunned, and said uncertainly: "The loss sharing agreement?!"

Alvetle smiled calmly and confidently and said, "Actually, this is what I thought of during my negotiations with FDI. These guys did not think about being idle during the period when they took over Indymake Bank. Not only did they sell large amounts of subprime mortgage loans to reduce their deficits, but they also wanted to provide Fannie and Freddie Mac with a large number of similar mortgage loans. The latter issued securitized mortgage loan prices have been falling sharply. I warned them that if they do so, we will refuse to acquire them.

Based on the detailed information provided by them, we evaluated that the total assets of IndyMac Bank were US$32 billion and the actual assets (loan minus deposits) were US$13.9 billion.

Our advantage is cash payment. I told them that if we want us to pay more cash, we will not accept some serious assets.

In the end, FDI agreed to hold some assets with more serious problems and agreed to sign a risk sharing agreement, under which FDI will bear 95% of the losses once the total loss of IndyMac Bank's loan portfolio exceeds 30%.

Andy's eyes lit up and couldn't help but smile happily: "That is to say, I can only spend $1.5 billion to complete the acquisition of 33 branches of Indy Mac Bank, with deposits and assets!"

"Around $1.3 billion is required to pay the loss risk of the 5% loan portfolio that we bear in advance!"

"They are too brave! Aren't they worried that we will get rid of the burden of high-risk loans directly?" Andy couldn't help but sigh at the courage of these guys.

It should be noted that according to normal procedures, even if the borrower violates the loan conditions, banks usually try their best to avoid losses. For example, if they take back real estate, cars and other mortgages, the loss sharing agreement means that the government will bear the losses in the future.

"Haha, it's not that they are brave, but that there is no way. They have paid 1.3 billion in deposit insurance compensation in the past two weeks. There is currently no determined price to estimate the value of those loan portfolios. The financial market has been shut down and everyone wants to buy anything. FDI also has to sign a risk sharing agreement, but this will not change the fact that we have to bear significant risks."

"Haha, it's okay, isn't it just 1.3 billion... Haha, it's really interesting, it's another 1.3 billion. Anyway, it's not my money, it's all from the Federal Reserve. If you lose, you'll lose it. Haha, that's good. I bought the Indymike Bank with 33 branches with 33 branches with 1.5 billion. It's already a big profit. Just let them take that little money to pay."

Andy slapped the table and laughed. The other people in the conference room were twitching unnaturally. Damn, the boss’s festival is really speechless. Is there no sense of responsibility at all? This is because I made up my mind to get rid of FDI from the beginning!

Well, it seems that if this pit fdi doesn't jump, you have to jump.

"Haha, I think so too!" Alvetre showed a harmless smile on his face, and then handed Andy a document and said: "This is my strategic layout for taking over Indymike Bank, which is divided into three steps."

Andy's mood is so good now that she is so happy. The smile on her face is getting brighter and brighter. She can't hide her big white teeth at all. She takes the document handed over by Al and starts to read it.

"In fact, to achieve the goal of a quick turnaround, we only need to quickly deal with Indy Mac Bank's non-performing loans and other assets. Anyway, the loss sharing agreement signed by FDI will make our work much easier.

In fact, we are already starting to do the first two steps, such as completing the acquisition as soon as possible in the first step, and the second step is to establish the bank's asset base by taking over other bankrupt banks, such as the Miami Valley Bank, Douglas National Bank of Missouri, and Hume Bank of Missouri. In the future, we can continue to acquire bankrupt small banks to expand branches and lay a solid foundation for the third step to establish market share.

Finally, it is to repackage these assets into a new institution, a new bank! The new bank's business returns to a single model, avoiding the non-traditional mortgage loan business that led to Indy Mac Bank's bankruptcy, making it the main provider of high-quality mortgage loans and equivalent priority loans.

I didn’t write the last step, whether you want to turn it into a private bank or relist, this will strengthen your financial capabilities and make it a stable source of deposits!"

Andy looked at the plan, sighed lightly, closed her right hand pressed on the plan, and looked at the chief consultant of his think tank with extremely satisfied praise and said, "If the think tank hadn't left you, I really wanted you to be the eO of the new bank."

"Boss, to be honest, I am not suitable to take charge of the new bank when dealing with the future of non-performing loans and other assets. What we need is a master who can sell the destruction of the economy!"

Hearing Al's words, Andy's expression changed slightly, and his expression became solemn. Members of other think tanks also looked at the boss of his think tank with a serious expression, a little surprised, and did not understand why his boss proposed the direction of choosing such a person.

"Yes, we need someone who can blatantly block the road and rob, to tap the profits in the risk sharing agreement, encourage foreclosure, and trigger the loss sharing agreement..."

Al was like he was talking about something irrelevant, and the smile on his face had not dissipated, even though everyone, including Andy, had already changed his face by his coldness.

To be honest, Andy never thought of using his own bank to trigger a loss sharing agreement, because foreclosure means expelling people from their homes and getting real estate, which will make his new bank notorious, and perhaps in the future occupation of Wall Street, Andy Smith will also become one of the main targets of protest.

Seeing others creating homelessness, Andy may not feel much, but to be honest, he was really hesitant to do this by his bank.

Aar's deep eyes flashed with a bright light. Seeing the young boss who was touching his chin and lowered his head with a serious expression on his face, he knew very well that the boss's heart was not cold enough. Benefit first is the philosophy of life that a successful big capitalist needs to implement. Inexplicable softness and pity will only miss the opportunity. His pupils shrank slightly. Al said lightly: "As long as the bank realizes the right to foreclosure of 50%, FDI expects the total loss of Indymike Bank to reach 10 billion US dollars. As long as we want, this money can be put into your pocket by the boss."
Chapter completed!