Created Mon 6th Oct 2008 4:43am PST by

reuters Level 7, Pro (H$3,320)

What happens to Wachovia?

Settled as Wells Fargo buys Wachovia

Now that Citigroup has decided not to block the merger of Wachovia and Wells Fargo, it can be settled. Settlement requests were made regarding this issue at 4:48 PM CDT so suspension time is set at 4:50 PM CDT, 10/9/08

Background:

Question created by

Background: Wells Fargo and Citigroup spent much of the weekend fighting in state and federal court -- as well as a judge's home in Connecticut -- over which party was entitled to move ahead with a deal to buy Wachovia assets. The Federal Reserve views resolving the dispute as important, having already decided that Wachovia must be sold for the sake of the stability of the financial system, a person familiar with the matter said. Citigroup reached a preliminary agreement to buy Wachovia's banking assets for $2.2 billion in a deal backed by the U.S. government on Sept 29. Wachovia did not sign an official merger agreement with Citi, although it did sign an agreement to negotiate exclusively with Citigroup through Oct 6. But on Friday, Wells Fargo, the seventh-largest U.S. bank by assets, said it signed an agreement with Wachovia to buy the entire company without the government's help, apparently topping the Citigroup offer.

Settlement details:As reported by a major mainstream news source.

Forecast history %

Wells Fargo buys Wachovia

25%

Citigroup buys Wachovia

31%

Fed carves up Wachovia between the two

32%

No agreement is reached

13%

Settled as Wells Fargo buys Wachovia on Fri 10th Oct 2008 4:19am PST

Activity: H$9,005
Predictions: 46
Comments: 2

Suspend date: Thu 6th Nov 2008 3:59pm PST
Settlement date: Fri 10th Oct 2008 4:19am PST
Prediction cut-off: Predictions on this question after Thu 9th Oct 2008 1:50pm PST have been voided because they were made after the question could be settled

Initial likelihoods: Wells Fargo buys Wachovia: 25%, Citigroup buys Wachovia: 25%, Fed carves up Wachovia between the two: 25%, No agreement is reached: 25%

Action history:

Created Mon 6th Oct 2008 4:43am PST by

reuters Level 7, Pro (H$3,320)

Settlement requested Thu 9th Oct 2008 3:38pm PST by

newswrangler [Power User]

: Citigroup Ends Negotiations Over Wachovia Takeover

<http://www.bloomberg.com/apps/news?pid=20601087&sid=a0qyDvwv53LU&refer=home>

I dunno, technically, if this can be settled just yet -- but I'm suspending.

Prediction cutoff 6:02PM EDT or earlier. (market suspended)

Suspended Thu 9th Oct 2008 3:38pm PST by

newswrangler [Power User]

: Suspended pending settlement

Settled as 'Wells Fargo buys Wachovia' Fri 10th Oct 2008 4:19am PST by

bayoubear [Admin]

: Now that Citigroup has decided not to block the merger of Wachovia and Wells Fargo, it can be settled. Settlement requests were made regarding this issue at 4:48 PM CDT so suspension time is set at 4:50 PM CDT, 10/9/08

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Predictions (46)

1 year ago

pita_soup Level 13, Psychic (H$61,069)

predicted Wells Fargo buys Wachovia (H$50 at 27%)

1 year ago

pita_soup Level 13, Psychic (H$61,069)

predicted Wells Fargo buys Wachovia (H$100 at 26%)

1 year ago

cjg999 Level 12, Guru (H$48,944)

predicted Citigroup buys Wachovia (H$250 at 29%)

1 year ago

jolleyjoetolley Level 1, Newbie (H$256)

predicted Fed carves up Wachovia between the two (H$150 at 32%)

1 year ago

scoopboy [Admin]

predicted Wells Fargo buys Wachovia (H$100 at 28%)

Comments (2)

pixelpaws Level 13, Psychic (H$66,864)

There has been quite a bit of discussion about the possibility of a split. This article is just one of many:

http://www.marketwatch.com/news/story/hedge-fund-manager-ackman-sees/story.aspx?guid={2EA08AD8-AC21-41C0-A9F5-5EBE60B551D1}&dist=msr_1

posted 1 year ago

bayoubear [Admin]

Citigroup Inc. walked away from its attempt to buy Wachovia Corp., handing victory to Wells Fargo & Co. in a struggle for the nation's sixth-biggest bank.
http://www.bloomberg.com/apps/news?pid=20601087&sid=a0qyDvwv53LU&refer=home
From today's news....a suspension is definitely correct....not sure if we can settle yet, this has been such a complicated deal

posted 1 year ago

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