ECONOMIC RESEARCH GROUP

MEETING

October 15, 2008

 

 

On this beautiful fall day 30 of our members were in attendance to listen to Mostyn Lloyd comment on our current economic woes and to partake in a congenial luncheon. Mr. Lloyd was employed with the Barclays Bank for 40 years and represented them in various capacities in the UK, Ghana, Canada and the USA. He headed the San Francisco office of Barclays during the mid 1980’s before moving to New York and Canada. He then became a Director of Barclays Overseas and continued in his capacities until retirement.

 

Mostyn began with a global review of the economic chaos percolating through the financial markets. Starting with the bundling of sub-prime loans with supposedly good loans and then their being marketed by the Wall Street banks as investment grade paper. As we have learned the loose lending practices began in the mid 1900’s but problems were exasperated during the last 5 years and imploded last year. This financial disaster has caused the credit market to dry up with a domino effect spreading across the USA and European financial centers. In addition to the USA bailouts and disappearance of several large banks the UK has had to bailout their commercial and savings banks. Germany has had to aid their banking system and the Swiss were not immune with losses to UBS and Credit Swiss. Of the three Banks that out bid Barclays for ABN last year two have had to increase their capital ratios or risk bankruptcy. What caused this situation to happen was nothing more than greed on a colossal scale and lax supervision.

 

Thank you Lloyd for a wonderful presentation.

 

Our next order of business was the election of officers for the coming year. Nominate and elected by acclimation were:                     Tom Keefer  Chairman

                                                Bob Way      Treasurer

                                                Dale Schmidt            Assistant Treasurer

                                                Bill Schinagl             Secretary

                                                Mort Levinson   Assistant Secretary

 

Several announcements were made. Bob Way said our November meeting Speaker would be Sally Foster who will be giving a talk on the work of Julia Morgan. Tables will not be assigned. The cost will remain at $ 20. Send your check to Bob.

 

Dale Schmidt mentioned there seemed to be confusion as to Econ’s new dress code and when should it start. Members voted to conform to the Branch revised code but no one could define what that was.

 

George Riley, confirmed the date for the Branch Holiday luncheon was indeed on Tuesday December 9, to be held at Dominic’s Coyote Point.

 

Members were encouraged to sign up for the open spots in next years speakers program.