Jiahui Chen Susan Finnerty BUS101 K 2014/9/11 Moody’s Credit Ratings and the Subprime Mortgage Meltdown 1.What did Moody’s do wrong‚ if anything? Moody’s committed no crime or infraction. Moody’s had decreased its ratings on lots of mortgage-backed bonds causing them to underestimate essential risks in these securities. 2.What stakeholders were helped‚ and which were hurt‚ by Moody’s actions? There are so many stakeholders benefited‚ they are shareholders‚ institution investors‚ and
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and bankrupt financial institutions. These seemingly invincible investment firms‚ especially Goldman Sachs‚ were at the center of the financial meltdown. Goldman continued to knowingly package and sell mortgage loans to smaller banks‚ despite the failure rate. To this day‚ Americans ponder why such a trustworthy institution contributed to a financial meltdown for the sake of profit. Goldman Sachs‚ one of the largest and oldest investment banks in the world‚ was charged by the Federal Government with
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and expectations‚ but don’t interfere in how people do their jobs”‚ lead by example ( “actions of executives”) ‚ focus on empowerment and trust‚ “ opportunity culture”‚ teamwork. Growth: Fleet size expansion; destinations expansion; alliance with JetBlue. Alternatives. Flying larger
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assumption that home prices only go up. The problem in this economy is that foreclosure rates were a few years ago at an all time high‚ where banks couldn’t afford to give out anymore loans and were increasing Americans mortgages. This caused a financial meltdown where not only was the housing crisis hitting families hard but the rest of the financial institutions were as well. Banks were being shutdown‚ major companies were collapsing‚ gas‚ oil‚ and food prices were all at an all time high. So naturally
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value of sub-prime mortgages caused a liquidity crisis. This ... New Evidence on the Foreclosure Crisis - WSJ.com online.wsj.com/article/SB124657539489189043.html Jul 3‚ 2009 – Zero money down‚ not subprime loans‚ led to the mortgage meltdown. ... must face up to the actual causes of the mortgage crisis‚ not fictitious ... No Joke: The Regime Replicates the Policy That Created the ... www.rushlimbaugh.com › Archives (Jul 27‚ 2012) Jul 27‚ 2012 – This is the subprime mortgage
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Alaska Airline & Corporate Culture A unique cultural characteristic of Alaska Airline would be the benefits they allot their employees. After 90 days of working with Alaska Airline‚ an employee earns benefits which allows him or her to fly anywhere at anytime with 1 other individual. In addition to this‚ the employee is given 6 “buddy passes” each year which allows the employee to give 6 roundtrip tickets to people other than himself or the 1 person he chooses to travel with. The best part
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Situational Analysis: Internal factors: Strengths: Joint Venture with Japanese Airline Partnership with JetBlue Member of oneworld alliance International - Flies to North America‚ the Caribbean‚ South America‚ Europe and Asia Number of routes AAdvantage frequent flyer program Weaknesses: Older airplanes Unstable chairs on their airplanes Current financial situation External factors: Opportunities: Merge with another airline Reorganization of their company Successful retrenchment
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Goldman Sachs is a giant investment bank that has recently proven itself and its ability to be one of the most successful banks of all time by not just surviving the recent financial meltdown but overcoming the odds and managing to be at the forefront of banking industry. Goldman managed to survive the financial meltdown with some help from the government by changing itself into a commercial bank holding firm in 2008. Goldman Sachs engages in investment banking‚ securities and investment management
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operating costs. Southwest has the lowest costs‚ adjusted for stage length‚ on a seat mile basis‚ of all the major airlines. Among the factors that contribute to its low cost structure are a single aircraft. Other major discount airlines‚ such as JetBlue (JBLU)‚ AirTran (AAI) and SkyWest (SKYW) are also in the mix‚ and represent some serious competition. Through out the analysis the company is to be compared to Skywest airlines‚ the airlines industry‚ and the S&P500 index . Southwest Airlines’ ROE
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subsidiary‚ is the threat to Delta’s bottom line by low-fare airlines who occupy important market share in that low-cost segment. Delta initially failed the establishment of Delta Express as a major low-fare airline and was not able to compete with JetBlue or Southwest Airline. The attempt to establish its own low-cost airline had not worked out as the Express line had not properly been seperated from the Delta mainline and still was too intertwined with the mainline to be considered a successful subsidiary
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