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...Icelandic banks attracted by their high interest rates. Amidst the banking run that immediately followed, the British government transferred authority over an Icelandic subsidiary in the UK, and then sold it to the Dutch firm ING. Because Landsbanki had over 300,000 British depositors through its Icebank subsidiary, Prime Minister Gordon Brown’s government used anti-terrorist legislation to freeze Icelandic assets in the UK, including property of the Icelandic Central Bank. Just a few days later, Chancellor of the Exchequer Alistair Darling added fuel to the fire when he said on BBC Radio that the Icelandic Finance...

Author: By Pierpaolo Barbieri | Title: Gone With the (Arctic) Wind | 10/29/2008 | See Source »

...interviewer from Bain. Case 1 You are advising a major American insurance company headquartered in New York City. This company’s credit rating was recently downgraded because its London unit sold credit default swaps on collaterized debt obligations that lost much of their value when sub-prime mortgages went south. In order to prevent the company’s collapse, the Federal Reserve crated an $85 billion credit line in exchange for an equity stake in the company. Currently the company is faced with another tough decision: should it hold its executive retreat in Cabo or Bali this...

Author: By Jamison A. Hill, CRIMSON STAFF WRITER | Title: How to Rock the Mock Case Interview, FM Style | 10/29/2008 | See Source »

...admitted police director Vladimir Faber in a television interview on Sunday. "So many people only got jobs in police because they had political connections, completely regardless of their qualifications." But critics of Faber point out that he, too, gained his position by virtue of his allegiance to Croatia's Prime Minister, Ivo Sanader...

Author: /time Magazine | Title: Crime Wave Clouds Croatia's Future | 10/29/2008 | See Source »

Indeed, there is a sense of deja vu in the proposals of the government and regulators to stabilize the financial system. On Monday, Prime Minister Taro Aso called for a drafting of emergency measures, such as purchasing stocks held by banks, limiting the short selling of stocks and increasing the amount of taxpayer money to be injected into banks from 2 trillion yen to 10 trillion yen - all reminiscent of Japan's 1990s meltdown. The government action appears to be focused on preempting losses caused by share prices. Declared Aso, "Stock prices greatly influence the real economy...

Author: /time Magazine | Title: Troubles Hit Morgan Stanley's Japanese Savior | 10/27/2008 | See Source »

...Bush Administration's so-called peace road map was already falling to pieces, and the Palestinians are now saying that they might as well go home and wait for Israeli elections to finish and for a new prime minister to take charge. By then, Bush will have packed his bags and left the White House, leaving the challenge to either President McCain or Obama...

Author: /time Magazine | Title: Peace Prospects Dim as Israeli Elections Loom | 10/26/2008 | See Source »

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