Bank Bailout Not Working

If they actually did think that the bailout was meant to help, I hope they now realize it is a waste of money.  I think the government will have to bite the bullet and acquire Citigroup (and maybe BofA), restructure and break it up, wipe out the shareholders, and make the bond holders whole.  Then, sell the restructured companies back to the public. From yesterday's Washington Post: Shares of Citigroup stock peaked in 2006 at $55.70, which gave the company a market capitalization (price of stock times number of outstanding shares), or value, of $277.2 billion. Today, Citigroup's market cap is $5 billion. But keep in mind that the federal government has already plowed $45 billion into Citigroup, which means the company is worth far less than the actual amount of cash it has received. Astounding. The bank has become a black hole. Cash goes in and never comes out. Citigroup and Bank of America are deemed by most analysts as being the sickest of the big banks -- the ones whose balance sheets are most poisoned by toxic assets.