Iceland announces Russian loan, nationalizes bank

Source: biz.yahoo



Tuesday October 7, 8:13 am ET
By Jane Wardell, AP Business Writer
Iceland nationalizes major bank under emergency law, announces $5.4 billion loan from Russia

REYKJAVIK, Iceland (AP) -- Iceland nationalized its second-largest bank Tuesday under emergency legislation and said it had negotiated a 4 billion-euro ($5.4 billion) loan from Russia to shore up the nation's finances amid a full-blown financial crisis.
--snip--

Iceland is paying the price for an economic boom of recent years that saw its newly affluent companies go on an acquisition spree across Europe and its banking sector grow to dwarf the rest of the economy. Bank assets are nine times annual gross domestic product of 14 billion euros ($19 billion).

--snip--

One of the country's biggest companies, retailing investment group Baugur, owns or has stakes in dozens of major European retailers -- including enough to make it the largest private company in Britain, where it owns a handful of well-known stores such as the famous toy store Hamley's.


Read more: http://biz.yahoo.com/ap/081007/eu_iceland_banks.html

---

My, how the World has changed in a couple of decades......

All your base are belong to us!

were mostly bought up by the corporate oligarchs and their friends using loans from Russian banks, with the now-depressed stock as the only collateral, according to Steve Pearlstein of the Washington Post.

Freedoms is on the march!

Russia will own Iceland in no time.

With all of Russia's natural resources now being fully exploited, looks like Russia has become a major financial player.

If this works out, it could be a major blow to the established European and American institutions.

lay to waste all our oil companies by making them obsolete.

I predict, the ZPE stuff will be chinese-made.

at the rate the ice in Iceland is melting, ice will be a memory. they just grew a crop of wheat for the first time ever - it is so much warmer there now.


on edit:

have the count wrong, its 3 Russia 0 neo cons.