WaMu gets Chased into history

WooHoo:

JPMorgan Chase became the biggest U.S. bank by deposits, acquiring Washington Mutual's branch network for $1.9 billion after the thrift was seized in the largest U.S. bank failure in history.

Customers of WaMu withdrew $16.7 billion from accounts since Sept. 16, leaving the Seattle-based bank "unsound," the Office of Thrift Supervision said late Thursday. WaMu's branches will open today and depositors will have full access to all their accounts, Sheila Bair, chairman of the Federal Deposit Insurance Corp., said on a conference call.

Well, there go WaMu's socially liberal policies. I had what some may consider a lot of money (and some would think a mere pittance) in WaMu, but never worried about it, even when I learned that the FDIC itself was undercapitalized. I knew the feds would never let them go belly-up, and I knew that before they began rescuing mortgage companies and insurance companies.

WaMu turned down offers of $8 a share earlier this year and $4 a share just a few weeks ago. Today...

... WaMu, down 95 percent in the past year, dropped to 45 cents in extended trading following the announcement, which came after the close of regular trading.

David Bonderman's TPG Inc., which led a $7 billion capital infusion for WaMu earlier this year, lost most of its initial $2 billion investment. TPG, based in Forth Worth, Texas, said in a statement Thursday it was "dissatisfied with the loss" and that the WaMu investment was a "small part of assets."

New York-based JPMorgan, which separately announced plans to raise $8 billion by selling common stock, had its outlook lowered to negative by Moody's Investors Service. Moody's left its Aa2 rating on JPMorgan unchanged.

JPMorgan won't acquire WaMu's liabilities, including claims by shareholders and subordinated and senior debt holders, the FDIC said. JPMorgan paid $10 a share for Bear Stearns in March as the New York-based securities firm teetered on the brink of bankruptcy.

"This is one of the reasons I own JPMorgan: They're going to win from all this," said Anton Schutz, president of Mendon Capital Advisors Corp. in Rochester, New York. "They're taking on credit risk, but they're not taking on any debt obligations."

JPMChase has bought Bear Stearns and WaMu in the past two months; Bank of America owns Countrywide and Merrill Lynch. The last remaining independent brokerage houses in the US, Morgan Stanley and Goldman Sachs (Henry Paulson's former employer), have been OK'd to become banks themselves. But the Chinese are turning off the spigot, so who knows where it goes from here, especially if John McInsane and the House Republicans succeed in derailing Bush's bailout.

And in other news, the stock market is rocketing downward again this morning. Update (at market closing): A nice finish to a wild day.

Putin rears his head and comes into the air space

I'll bet he can see Sarah's house from there ...


Every single time that poor ditz opens her mouth it's a field day.

Harris County election details

Kuffner beat me to it, but I have some information he doesn't (it comes from time spent at the logic and accuracy testing for Hart InterCivic's e-Slates, which took place last week at Beverly Kaufman's office) ...

-- There will be 874 voting precincts in the nation's third-largest county. Some precincts will be combined in polling places, being determined by your respective county commissioner even now.

-- There are 263 ballot versions in the general election, and more than a hundred others for "limited" voting (for example, someone from out-of-state voting just a presidential and/or federal candidate ballot).

-- There are thirteen different election entities, which split precincts in some cases (such as school districts and MUDs).

-- The special election for SD-17 (79 precincts in Harris, but also on ballots in Jefferson, Brazoria, Fort Bend, and Galveston counties) will be at the very top of the ballot, above the presidential candidates and even the straight-party button. Alan Berstein explains:

The contest will appear before the "straight ticket" option that allows voters, with a single physical motion, to vote for all candidates of a particular party, from president to justice of the peace. But, since there are multiple Democrats and Republicans in the SD 17 race, the straight ticket vote would not apply to it anyway. Voters in the district can mark their choice in that race and then get on with the businesses of voting "straight ticket" or cherrypicking their way down the ballot.

Chris Bell will appear first on the ballot in Fort Bend, Galveston and Jefferson counties, in the third position in Brazoria County, and in Harris County Bell's name appears as the last one listed in the SD-17 contest. As I have previously noted -- and despite what you may have read elsewhere, like in Al's post above -- he is the one true Democrat in the race.

-- Here's a sample ballot, listing all of the races. You will obviously get to vote for a single Congressional and statehouse candidate to represent your area, but all of the judicial candidates and all of the Harris County executive races will appear on your ballot (if you're voting in Harris, of course).

-- The deadline for voter registration is October 6. Register, verify your registration, or learn which candidates represent you through the various links listed here. Early voting begins October 20. Here are the EV locations, hours, and more useful information.

-- Harris County election officials project that 1.2 million votes will be cast here. If that holds historically accurate it would represent about 20% of the statewide tally, which works out to six million Texas votes.

-- Finally, Harris County will be parallel-testing its voting machines for the first time ...

Parallel testing, also known as election-day testing, involves selecting voting machines at random and testing them as realistically as possible during the period that votes are being cast. The fundamental question addressed by such tests arise from the fact that pre-election testing is almost always done using a special test mode in the voting system, and corrupt software could potentially arrange to perform honestly while in test mode while performing dishonestly during a real election.

And I will be present as they do.

Update: Kuff points out in the comments that I have significantly understimated the statewide turnout.

So do we have a deal or not?!?

At 1 p.m today we had "fundamental agreement on a set of principles". At 5 p.m today John Boehner spoke on behalf of House Republicans declaring no deal.

Cleared and queered in a matter of hours.

(Please, no one take offense at my use of the phrase "queering the deal". Except for you queers in the Congressional Republican delegation.)

This crisis is tailor-made for the free marketeers: if the deal passes, every one of them can point and scream "Socialist!" at their Democratic opponents. If it fails they can declare that they fought the good fight to the voters (since public opinion is running overwhelmingly against the bailout).

So to recap -- Bush insists the Democratic Congress bail out all of his Wall Street buddies, so that the Republicans in the Senate and House can both vote against it and continue taking the campaign contributions from their Wall Street buddies. It's really a perfect scenario; that is, if you're the prototypical conservative hypocrite.

And of course, we all continue to wait while McCain stalls on showing up for tomorrow night's debate.


Get more yard signs here.

McLame needs a timeout

While he figures out how to walk and chew gum at the same time.

Maybe he should send his running mate to stand in for him. No time like the present to see if she would be ready on Day One.

Post-Ike traffic snarls make Houston's roads even worse

Last Thursday evening I left my house -- ten minutes before the electricity was restored -- and drove from West U to Copperfield, near 290 and 6 on the northwest side, a distance of about 40 miles that takes normally an hour at posted speeds with some traffic.

It took two hours and fifteen minutes. I regularly travel to Beaumont, a hundred miles away, in an hour less than that.

Over the weekend we ventured out for food a couple of times and instantly regretted it: four-way stops at nearly every intersection, with gridlocked cars clogging the lanes at each crossing that had a functioning traffic signal.

Yesterday the Chronic reported that the traffic jams on Monday, with many employees and school children returning for the first time in a week, were among the worst ever across the city:

Metro officials on Tuesday agreed to open high-occupancy vehicle lanes on U.S. 59 and U.S. 290 after traffic on many freeways came to a complete halt during the rush hour Monday, the first day many Houstonians went back to work after the storm.

Today we learn that our county judge -- "recognized worldwide as a transportation expert" -- won't have all the traffic lights restored before oh, maybe Election Day:

With darkened intersections leading to traffic snarls on freeways and city streets, officials are searching for at least some relief by putting more officers on traffic-directing duty and reopening high-occupancy vehicle lanes.

Traffic signals at about 1,200 Houston area intersections were not yet working Tuesday but should all have at least a flashing red light by the end of next week, said Mike Marcotte, the city's director of public works and engineering. ...

Getting all the city's traffic lights functioning at pre-Hurricane Ike levels could take until November, Marcotte said.

That article is sprinkled liberally with the same feel-good BS that last week's all-GOP press avails were similarly full of. Go read it. You'll get diabetes from the candy-coated smarm:

"I've been amazed with the courtesy our drivers have been showing," Marcotte said.

"More and more signals are being put in working condition every day, hour by hour almost," said Harris County Judge Ed Emmett, who convened a meeting of transportation officials Tuesday afternoon to seek solutions to the problems. "The flow in the community is getting better."

"For the most part, Houston is behaving extremely well," said Art Neely, who has driven a cab for 25 years.

A cab driver complimenting Houston drivers. That's wow-worthy all by itself. (Have you seen how those crazy cabbies cut through traffic? They're worse than the wrecker drivers. But I digress.)

Ed Emmett led the parade of Republican officials running for re-election across every local teevee channel last week: Rick Perry (yes, he's running for re-election), Bill White (yes, he's a Republican and he's running for governor in 2010 too), John Cornyn, Michael McCaul, John Culberson (who at least publicly bitched a little when his command center ran out of pizza) and even that Michelin Man Tuffy Hamilton from washed-out Orange County managed to get some face time with the cameras. They cried out in unison "All is Well!" even as two million people had no electricity and the PODs couldn't get any ice.

I say we elect a few Democrats to county offices so that they can at least share some of the blame come the next hurricane, eh?

Floating bodies roundup

"After the water started going down the next day, I spent two or three hours clearing debris from the floor inside of the house to where I could get my wife down out of the attic," he remembered. "Then I climbed down a pole into the water and the mud and scavenged around and found a ladder where she could come down eventually. Then I walked the roads up there until I found enough water and stuff for us to survive." ... (Bolivar Peninsula survivor Frank) Sherman believes several close friends died in the storm, but officials have not confirmed any deaths on Crystal Beach.

Post-storm rescuers in Galveston and the peninsula removed about 3,500 people, but 6,000 refused to leave.

Nobody is suggesting that tens of thousands died, but determining what happened to those unaccounted for is a painstaking task that could leave survivors wondering for years to come.

Authorities concede that at least some of those who haven’t turned up could have been washed out to sea, as at least one woman on the peninsula apparently was, and that other bodies might still be found.

“I’m not Pollyanna. I think we will find some,” said Galveston County Judge Jim Yarbrough, the county’s highest-ranking elected official.

Pustilniks’ office brought in two refrigerated tractor-trailers to store bodies until autopsies are performed. One sat in front of the medical examiner’s office Wednesday morning with a sign on the side: “Jesus Christ is Lord not a cuss word.”

By the afternoon, five deaths had been reported in Galveston County: one man who drowned in his pickup, another found inside a motel, two dialysis patients who could not get to their treatment, and a woman with cancer whose oxygen machine shut down.

Many of you have probably seen the photo of Gilchrist, Texas showing complete destruction of the town of 750 people, save for one lone home. High-resolution satellite imagery made available by NOAA's National Geodetic Survey (Figure 1) confirm that of the approximately 1000 structures existing in the town before Hurricane Ike, only about five survived the hurricane. Approximately 200 of these buildings were homes, and it is thought that some of the residents attempted to ride out the storm in their homes. According to media reports, about 34 survivors from Gilchrist and the neighboring communities of Crystal Beach and Port Bolivar have been fished out of Galveston Bay in the past few days. Rescuers who have reached Gilchrist have not been able to find any victims in the debris because there is no debris. Ike's storm surge knocked 99.5% of the 1,000 buildings in Gilchrist off their foundations and either demolished them or washed them miles inland into the swamplands behind Gilchrist. Until search teams can locate the debris of what once was Gilchrist, we will not know the fate of those who may have stayed behind to ride out the storm.