4 ms·

SVB Fallout Spreads Around the World as UK Firms Plead for Help

22 points by EduardoBautista 4y ago

spacebanana7 4y ago
How is this happening? Wasn’t the UK bank meant to have a separate balance sheet per regulations?
- tough 4y ago
  Probably their UK customers aren't taking them at face value and being precautious and thus causing another cascading bank run in the UK unrelated branch (same name, still, which would make it possible) problem is if monday this shit show ain't fixed and this spreads to any other smaller banks in the us left
  - spacebanana7 4y ago
    The Bank of England is seeking an insolvency procedure [1] which I figure implies there’s a problem with the UK balance sheet beyond short term issues with liquidity [1] https://www.reuters.com/business/finance/bank-england-puts-uk-arm-silicon-valley-bank-into-resolution-ft-2023-03-10/ https://www.reuters.com/business/finance/bank-england-puts-u...
    - roundandround 4y ago
      I think they would choose this method to wind it down independent of whether it will ultimately be able to pay out everything. A Bank in the UK being run by the FDIC is probably not what they want.
- agilob 4y ago
  Isn't that the case that when a HQ of a company/parent company files for bankruptcy, then all UK and EU branches must also immidietly close?
willis936 4y ago
I can't wait for the movie of this whole situation, assuming we still have a society capable of making Hollywood films.
- codeddesign 4y ago
  It could be a movie.. Govt funds a bio-research center. Virus escapes and infects population. Govt locks country down, works with companies and media to stop non-compliance. This forces people out of work, while forcing an untested chemical serum on others. Eventually leading to economic instability around the world creating rapid and inflation. To combat inflation, the govt dramatically increased interest rates. This eases inflation, but perpetuates instability. The end of the movie end Las showing cities on fire and populations walking out of the cities and into the countryside..
  - codeddesign 4y ago
    FADE IN: EXT. BIO-RESEARCH CENTER - DAY A sleek, modern building stands in the middle of a bustling city. A sign reads "Bio-Research Center: Advancing Medicine, Advancing Life". CUT TO: INT. BIO-RESEARCH CENTER - LAB ROOM - DAY Scientists in white coats and goggles hover over petri dishes, pipettes in hand. A virus is being examined in a lab. One of the scientists makes a mistake and the virus escapes, infecting everyone in the lab. CUT TO: EXT. CITY STREETS - DAY People on the streets start to show symptoms of the virus - coughing, fever, and difficulty breathing. Panic sets in as the virus spreads rapidly throughout the population. CUT TO: INT. GOVERNMENT OFFICE - DAY The government declares a state of emergency and orders a lockdown of the entire country. Companies are forced to shut down and people are told to stay home. The government works with the media to stop non-compliance. CUT TO: INT. HOSPITAL - DAY Doctors and nurses are working tirelessly to try and find a cure. They come up with a chemical serum that they believe will cure the virus. However, it is untested. CUT TO: EXT. CITY STREETS - DAY The government forces people to take the serum, causing outrage and protests. Meanwhile, those who refuse are left without work or support. CUT TO: INT. GOVERNMENT OFFICE - DAY To combat inflation caused by the economic instability, the government dramatically increases interest rates. This eases inflation, but perpetuates instability. CUT TO: EXT. CITY STREETS - DAY Cities are on fire and populations are walking out of the cities and into the countryside, seeking a better life. FADE OUT: THE END.
MisterSandman 4y ago
https://archive.is/Yonrq https://archive.is/Yonrq

spacebanana7 4y ago

How is this happening? Wasn’t the UK bank meant to have a separate balance sheet per regulations?

tough 4y ago
Probably their UK customers aren't taking them at face value and being precautious and thus causing another cascading bank run in the UK unrelated branch (same name, still, which would make it possible) problem is if monday this shit show ain't fixed and this spreads to any other smaller banks in the us left
- spacebanana7 4y ago
  The Bank of England is seeking an insolvency procedure [1] which I figure implies there’s a problem with the UK balance sheet beyond short term issues with liquidity [1] https://www.reuters.com/business/finance/bank-england-puts-uk-arm-silicon-valley-bank-into-resolution-ft-2023-03-10/ https://www.reuters.com/business/finance/bank-england-puts-u...
  - roundandround 4y ago
    I think they would choose this method to wind it down independent of whether it will ultimately be able to pay out everything. A Bank in the UK being run by the FDIC is probably not what they want.
agilob 4y ago
Isn't that the case that when a HQ of a company/parent company files for bankruptcy, then all UK and EU branches must also immidietly close?

willis936 4y ago

I can't wait for the movie of this whole situation, assuming we still have a society capable of making Hollywood films.

codeddesign 4y ago
It could be a movie.. Govt funds a bio-research center. Virus escapes and infects population. Govt locks country down, works with companies and media to stop non-compliance. This forces people out of work, while forcing an untested chemical serum on others. Eventually leading to economic instability around the world creating rapid and inflation. To combat inflation, the govt dramatically increased interest rates. This eases inflation, but perpetuates instability. The end of the movie end Las showing cities on fire and populations walking out of the cities and into the countryside..
- codeddesign 4y ago
  FADE IN: EXT. BIO-RESEARCH CENTER - DAY A sleek, modern building stands in the middle of a bustling city. A sign reads "Bio-Research Center: Advancing Medicine, Advancing Life". CUT TO: INT. BIO-RESEARCH CENTER - LAB ROOM - DAY Scientists in white coats and goggles hover over petri dishes, pipettes in hand. A virus is being examined in a lab. One of the scientists makes a mistake and the virus escapes, infecting everyone in the lab. CUT TO: EXT. CITY STREETS - DAY People on the streets start to show symptoms of the virus - coughing, fever, and difficulty breathing. Panic sets in as the virus spreads rapidly throughout the population. CUT TO: INT. GOVERNMENT OFFICE - DAY The government declares a state of emergency and orders a lockdown of the entire country. Companies are forced to shut down and people are told to stay home. The government works with the media to stop non-compliance. CUT TO: INT. HOSPITAL - DAY Doctors and nurses are working tirelessly to try and find a cure. They come up with a chemical serum that they believe will cure the virus. However, it is untested. CUT TO: EXT. CITY STREETS - DAY The government forces people to take the serum, causing outrage and protests. Meanwhile, those who refuse are left without work or support. CUT TO: INT. GOVERNMENT OFFICE - DAY To combat inflation caused by the economic instability, the government dramatically increases interest rates. This eases inflation, but perpetuates instability. CUT TO: EXT. CITY STREETS - DAY Cities are on fire and populations are walking out of the cities and into the countryside, seeking a better life. FADE OUT: THE END.

MisterSandman 4y ago

https://archive.is/Yonrq https://archive.is/Yonrq