Royal Fleece

Goldman Sachs Posts First Loss Since Going Public

 

Bloomberg News

Wednesday, December 17, 2008 

Goldman Sachs Group yesterday reported a fourth-quarter loss of $2.12 billion, its first since going public in 1999, as the most profitable of Wall Street's biggest firms succumbed to the global credit crisis. The loss of $4.97 a share in the three months ended Nov. 28 was smaller than analysts' most pessimistic estimates, and the company's shares rose 14.4 percent, or $9.54, to close at $76 on the New York Stock Exchange. The firm reported net income of $3.22 billion, or $7.01 a share, in the corresponding period a year earlier. Chief executive Lloyd C. Blankfein, who led the firm to its lowest annual earnings since 2002, gave up his bonus after converting Goldman Sachs to a bank-holding company and accepting $10 billion in bailout funds from the U.S. government. The firm, which set a Wall Street profit record in 2007, has cut 10 percent of its workforce as its stock has plummeted 65 percent this year and revenue fell by half. 

What you don’t see here is this very same report points out that these guys paid 1% in taxes.  One Percent.  

Rachel M and others figure they are likely sheltering their money offshore somehow. 

At the same time, we gave them (through our elected government representatives) $10 billion dollars as part of the recent bailout?!  What is wrong with this picture?  

Joe the Plumber and you... and me are in the 30% bracket or thereabouts and our government is using the money we pay them to “bail out” an entity that is paying 1% in taxes. Un… Freaking… Believable. 

This is just another of many things that are fundamentally wrong with our system.  We have met the Sheep and the Sheep is us… we are getting a royal fleecing. So for those of us who think the “system” has our back, it’s time to think again. 

I have to turn this all over to the “F-bomb Governor”.  He will set up a deal no one can refuse, as long as we make his wife the Illinois Lottery Chief.