So Why Did we Give SunTrust "bailout buying" money?
Via Dr. Black, Alpha Bank and Trust of Alpharetta is now FDIC-owned.
In related news, PNC is paying about $5.6 billion for midwest-based National City, which was a major player in subprime until everyone realized they weren’t any good at it.
As noted previously, the claim was that monies given to “regional leaders” such as Atlanta-based SunTrust would be used to purchase Endangered Banking Species.
You don’t get much closer to Atlanta than Alpharetta. On the other hand, judging by contemporaneous financial analysis, SunTrust may have been more in need of bailing out than able to bail out.
So Another One Bites the Dust. And Main Street can wonder, once more, exactly what that $700 Billion is supposed to do, other than line the pockets of Hank Paulson’s friends.
*See “my” novel Atlanta Nights for details. Or, as a better idea, just check a map.