Colonial death watch

The situation grows worse for the Alabama bank. Bank of America (ticker: BAC) has sued Colonial Bank (ticker: CNB) for over $1 billion in loans and cash, according to this report. According to the AP, “The emergency relief is necessary because Colonial appears to be on the verge of collapsing as a going concern and has reportedly been the subject of a criminal investigation for alleged accounting irregularities,” the complaint said. Also, “Shares of Bank of America gained 83 cents, or 5.2 percent, to $16.76 in midday trading, while Colonial shares fell 3 cents, or 5.8 percent, to 49 cents.” You can read the report embedded below.

4 Comments

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  1. 2
    alex f hamilton

    hmmm…. is that a jingle I hear???

    “…Colonial Bank…… They CAN’T do!!!”

    I’d say Lowder lost about $240 million in Colonial stock value and other perks. He’s still wealthier than you or me, but he’s not going to be vacationing at the Hampton’s anytime soon.

  2. 3
    Pluto

    I think that Bobby has laid out a strategy to hold on to his assets. He owns a lot of property and there are myriad ways to shelter and blind trust his wealth.
    There are a lot of Trustees and wealthy Aubies that are going to miss the “money tree”. They might have to do something novel for a change. Like earn a living.
    Just call Donald Watkins when the shit is getting ready to hit the fan…

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