WaMu investors: “WhyMe?”

April 8, 2008
ubs | wamu

Washington Mutual’s long-expected capital infusion landed on Tuesday, with the nation’s largest savings and loan set to receive $7 billion from TPG Inc and other investors — well above the $5 billion figure that most expected last week. But the extra cash wasn’t enough to assuage shareholders, who punished the bank’s stock amid concerns about drastic cutbacks in mortgage operations and $3.5 billion set aside for loan losses.

The response stands in stark contrast to a week ago, when UBS’s $19 billion writedown and the departure of its chairman drove its shares up nearly 15 percent and sparked a global stock rally. But even after its eye-popping write-downs, UBS is a big big global bank, while WaMu – the incredible shrinking S&L – is not doing much to convince investors that its moves herald the end of the crisis.

One comment so far | RSS Comments RSS

Wow, I can not believe they can not ask for forgivness and help.TOOO BADDD!!! They almost forcloused on me with NO forgiveness and a 7000.00 refinance. Thank you for a great friend and a honest person We were out of wahington Mutual and thank youin another Banking Institution. Lord.

Posted by Old Wam Customer | Report as abusive

Post Your Comment

We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see