More Turn Around Talk

You know, I said it first but John agrees with me :-)

Biz break: Cisco CEO foresees economic turnaround in 8 or 9 months, optimistic about stimulus plans - San Jose Mercury News

Biz break: Cisco CEO foresees economic turnaround in 8 or 9 months, optimistic about stimulus plans

Compiled by the Mercury News
Posted: 04/24/2009 01:50:43 PM PDT

This too shall pass: Cisco Systems CEO John Chambers said today he believes the global economy will begin to recover in December or January.

That view is based on the performance of the stock market and his personal experience, Chambers told reporters at a news conference in Mexico City. The remarks have no bearing on Cisco's financial results, he said.

Mixed Emotions

TEXAS BORROWERS RECEIVE RESTITUTION


DALLAS (Dallas Morning News) – As part of the largest predatory-lending lawsuit in history, Countrywide will use $8.4 billion to modify mortgage terms for 400,000 borrowers in Texas and ten other states who received unaffordable loans from the lender.

The settlement has reserved $7.5 million for Texas to distribute restitution payments worth $2,300 to help borrowers who already lost their homes or are near foreclosure — 120 days or more delinquent on payments.

About 3,260 Texans are eligible for restitution, according to a spokesman with the Texas Attorney General's office.

Under the settlement, borrowers could get the $2,300 payment if their first loan payment was due between Jan. 1, 2004, and Dec. 31, 2007, and they made six or fewer payments before losing their home.

For borrowers who can't afford to refinance their mortgage and have to leave their home through a foreclosure sale, the settlement provides relocation assistance of $2,000 per borrower.


My first impression is that we are a bunch of big irresponsible babies. We can't drive with coffee in our laps. We can't take responsibility for our MEGA consumption and ruin of the earth. Now we also can't be expected to actually read what we're signing. Who are these people that bought houses that they could only afford for 6 months?

I honestly don't know the extent of this lawsuit. I haven't read what the complaint was. I haven't done any research. All I know is that a few people that overextended without considering the consequences have now made getting a loan so hard that it's considered a heroic event!

I'm blaming it on all the Jocks in high school. The ones that would do anything to bed a cheerleader :-)

More Credit Crunch - FYI

Banks Make it Tougher to Get a Loan

http://www.bloomberg.com/apps/news?pid=20601087&sid=aBVR4W34oDrY&refer=home

It got tougher for U.S. companies and consumers to get loans in the last three months, a survey released by the Federal Reserve on Monday shows.

The survey, conducted in January, was available to Fed policymakers last week and helps explain its total 1.25 percentage point rate cut in the last month.

The survey showed that 80 percent of banks raised standards on commercial-property loans — a record. About 55 percent of banks toughened terms for prime home loans, up from 40 percent in October, while 85 percent of respondents made it tougher to get nontraditional loans, up from 60 percent, the survey said.

"It's definitely a broader-based tightening than we've seen before," says Edward McKelvey, senior U.S. economist at Goldman Sachs Group Inc. in New York. "The economy is weakening, and weakening in a pretty substantial way."

Source: Bloomberg News (02/05/08)