{"id":197033,"date":"2008-03-06T21:29:00","date_gmt":"2008-03-07T02:29:00","guid":{"rendered":"https:\/\/www.panix.com\/~msaroff\/40years\/2008\/03\/06\/they-sold-me-to-buy-dunkin-donuts-and-they-have-defaulted\/"},"modified":"2008-03-06T21:29:00","modified_gmt":"2008-03-07T02:29:00","slug":"they-sold-me-to-buy-dunkin-donuts-and-they-have-defaulted","status":"publish","type":"post","link":"https:\/\/www.panix.com\/~msaroff\/40years\/2008\/03\/06\/they-sold-me-to-buy-dunkin-donuts-and-they-have-defaulted\/","title":{"rendered":"They Sold Me To Buy Dunkin Donuts, and They Have Defaulted"},"content":{"rendered":"<p>Not joking.  I used to work at United Defense, and the Carlyle Group sold us BAE to buy Dunkin Donuts, at DFA meetings, I&#8217;d introduce myself, and say, &#8220;I work for the Carlyle Group&#8221;, just to see the double takes.<\/p>\n<p>It now appears that the <br \/><a href=\"http:\/\/online.wsj.com\/article\/SB120479022207116361.html\">Carlyle Capital Corp. division has defaulted on about $21 billion in loans<\/a>.<\/p>\n<p>They invested in &#8220;high quality&#8221; mortgage backed securities from the GSEs (Fannie and Freddie), but they have not been able to sell them in order to pay some notes coming due.<\/p>\n<p>Not surprising.  $21.7 billion backed by $670 million in equity is a 32.3:1 leverage, which means that if things tend down about 3%, you are broke.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Not joking. I used to work at United Defense, and the Carlyle Group sold us BAE to buy Dunkin Donuts, at DFA meetings, I&#8217;d introduce myself, and say, &#8220;I work for the Carlyle Group&#8221;, just to see the double takes. It now appears that the Carlyle Capital Corp. division has defaulted on about $21 billion &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1261,973,975,1004],"tags":[],"class_list":["post-197033","post","type-post","status-publish","format-standard","hentry","category-bubble","category-economy","category-employment","category-finance"],"_links":{"self":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/197033"}],"collection":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/comments?post=197033"}],"version-history":[{"count":0,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/197033\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/media?parent=197033"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/categories?post=197033"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/tags?post=197033"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}