A New York Post story about J.P. Morgan Chase & Co.'s (NYSE:JPM) plans to sell its outstanding Troubled Asset Relief Program warrants via a Treasury-run public auction has the blogosphere a buzz.
The story notes how J.P. Morgan is taking a starkly different approach from peers:
The bold move stands in stark contrast to the efforts by other TARP recipients that gave warrants over to the government in exchange for rescue cash. Those firms, which include Goldman Sachs, Morgan Stanley and American Express, have negotiated with the Treasury behind closed doors, offering little clues regarding whether the agency struck a good deal for the US taxpayer.
While one would assume this would cut down on media rankle, instead it is raising just as many eyebrows. For example, Minyanville's Megan Barnett took a very cynical view of the news when she wrote:
Perhaps JP Morgan executives believe in karma, hoping that the goodwill accumulated by this stunning public relations coup will translate into more checking accounts and customer loans. Perhaps it's all part of a bigger effort to give Americans a warm and fuzzy feeling when they see the Chase sign down the street.
Indeed, her assertion is not entirely unfounded. After all, Ford Motor Co. (NYSE:F), the only U.S. automaker to avoid bankruptcy, has benefited from its decision to refuse a government bailout as evidenced by monthly sales figures.
So it seems the ever shrewd Jamie Dimon has learned from Ford CEO Alan Mullaly's equally shrewd maneuvering. - Matthew Wurtzel
See story from the New York Post
See story from Minyanville
See related story about Ford from Corporate Dealmaker
See related story about GM and Chrysler bankruptcies from The Deal magazine
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