Author Topic: Fitch Takes Away Berkshire's AAA Rating!  (Read 7214 times)

Parsad

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Fitch Takes Away Berkshire's AAA Rating!
« on: March 12, 2009, 04:18:43 PM »
One of the dumbest things I've seen in the last year (and that says alot), including their reasoning for doing so!  Cheers!

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7b8684919A-8A3A-406D-A69E-0EF5A50A4170%7d&siteid=yhoof2
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Partner24

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Re: Fitch Takes Away Berkshire's AAA Rating!
« Reply #1 on: March 12, 2009, 04:48:51 PM »
I think that cartoons have a better credibility than Fitch.

oldye

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Re: Fitch Takes Away Berkshire's AAA Rating!
« Reply #2 on: March 12, 2009, 04:51:31 PM »
The sec should be investigating the connection between short selling funds and Fitch.  This is financial terrorism. 
« Last Edit: March 12, 2009, 04:55:10 PM by oldye »

oldye

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Re: Fitch Takes Away Berkshire's AAA Rating!
« Reply #3 on: March 12, 2009, 05:06:41 PM »
"Buffett’s role as chief investment officer also puts the company at risk if he becomes unable to do the job, Fitch said in a statement."

http://www.bloomberg.com/apps/news?pid=20601087&sid=ajBmZZIBU9Vk&refer=home

nodnub

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Re: Fitch Takes Away Berkshire's AAA Rating!
« Reply #4 on: March 12, 2009, 05:25:34 PM »
I think that cartoons have a better credibility than Fitch.

you're right...   and the cartoons in the newspaper aren't nearly as funny as this  :)

EdWatchesBoxing

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Re: Fitch Takes Away Berkshire's AAA Rating!
« Reply #5 on: March 12, 2009, 05:29:06 PM »
I don't know what's worse: the article or some of the stupid comments left by some of the readers.

Partner24

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Re: Fitch Takes Away Berkshire's AAA Rating!
« Reply #6 on: March 12, 2009, 05:37:42 PM »
Do you remember the Fitch ratings in the Fairfax case a few years ago?

link01

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Re: Fitch Takes Away Berkshire's AAA Rating!
« Reply #7 on: March 12, 2009, 05:56:41 PM »
this is absolute lunacy!

i dont know what's worse: the rating agencies' decade long slumber thru the bubblefication of housing & credit, or their clueless attempt at a majorly symbolic mea culpa now.

cheapguy

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Re: Fitch Takes Away Berkshire's AAA Rating!
« Reply #8 on: March 12, 2009, 06:21:35 PM »
What does this mean.

Does Berkshire has to post collateral/deposit money for any of the derivatives or puts it has written ?

rmitz

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Re: Fitch Takes Away Berkshire's AAA Rating!
« Reply #9 on: March 12, 2009, 06:29:18 PM »
What does this mean.

Does Berkshire has to post collateral/deposit money for any of the derivatives or puts it has written ?

This, I think, is the big question.  It may not mean that much since the credit spreads were already going up on Berkshire's debt anyway, so I don't think they were going to be interested in issuing more.  I don't know about the financial covenants, though. 

Will it cause problems?  Nothing insurmountable, I'm sure, but it could hurt other opportunities.