Wells Fargo struck a deal to buy ailing Wachovia with no government assistance. Citigroup had been in works to buy them, but the Citigroup would have required help from FDIC. The Citigroup deal was put together by the federal government, and would have allowed Citigroup to sell non-performing loans to the government for a profit if the $700 billion bailout was passed by Congress.
"It provides superior value compared to the previous offer to acquire only the banking operations of the company and because Wachovia shareholders will have a meaningful opportunity to participate in the growth and success of a combined Wachovia-Wells Fargo that will be one of the world's great financial services companies," said Wells Fargo Chairman Dick Kovacevich.
Once again, further evidence there's no need to fleece the American taxpayer to bailout banks.
