![](\"https:\/\/live-rush-limbaugh.pantheonsite.io\/wp-content\/uploads\/MarginCallMovieBACK.jpg\"\/)
RUSH: You know, there\u2019s a movie you ought to go see. I like this movie so much I\u2019ve watched it three times.<\/p>\n
Well, next time you see Obama speak, you are looking at the guy who is destroying the country.<\/p>\n
Don\u2019t doubt me.<\/p>\n
As much as you might hate me, don\u2019t doubt me.<\/p>\n
BREAK TRANSCRIPT<\/p>\n
RUSH: What was that? I have changed my mind about something. I\u2019m gonna tell you a little bit about Margin Call because I just figured out you may not, when you watch this, understand what\u2019s going on. It\u2019s one of the failings of the movie. I only did because my job requires me to spend time understanding this stuff, and the movie is not gonna be on DVD until December 20th so it\u2019s available… I guess you get it from Netflix. I know it\u2019s on iTunes for rent only, you can\u2019t buy it. Ticks me off. I hate having to rent stuff. But I put in my order for the Blu-ray version. At any rate, I\u2019m not gonna tell you how it ends, but it\u2019s based on Lehman Brothers, which was allowed — Lehman Brothers was allowed — to go belly up.<\/p>\n
They were the one outfit not bailed out back during 2008, and the whole point in this movie is Lehman Brothers (that\u2019s not the name of the firm in the movie, obviously, but this outfit, based on Lehman Brothers) 93%… No, I take it back. Put it another way. Practically all of the mortgage-backed securities they\u2019ve bought from other people — remember, now, the government made people in the lending industry lend money, mortgages to people that couldn\u2019t pay it back. Those mortgages were worthless from the get-go! You loan money, enough money for a schlub who is either not working or makes 20 grand a year to buy a house, you know you\u2019re not gonna be paid back, but you\u2019re the only one who knows it.<\/p>\n
So what do you do? You pack those mortgages.<\/p>\n
Fannie Mae, Freddie Mac are supposed to buy them. But Fannie Mae and Freddie Mac are not in the equation here. So what you do is you package these mortgages, you pool them into what\u2019s called a mortgage-backed security (i.e., a stock) and you package \u2019em together and you sell them to the unsuspecting in your client base. You\u2019re selling worthless stuff. You\u2019re selling to other financial houses, you\u2019re selling to your mother, you\u2019re selling wherever. So this firm, based on Lehman Brothers, is holding losses greater than the value of the company in mortgage-backed securities. They\u2019re holding losses.<\/p>\n
If current trends continue at the time, the value of these losses is more than the company is worth. So they have to get rid of them, and the movie is all about what the company does and how it does it in off-loading 93% of their bad mortgages — and the speech that\u2019s given to the brokers on the fateful day by Kevin Spacey, at that point it becomes (well, a little bit earlier) clear, but, again, this movie will illustrate that what was happening from the first stage of making a loan to somebody who couldn\u2019t pay it back, what was happening was: Okay, you package this worthless paper. You sell it to some unsuspecting financial house, client list or whatever. You\u2019re lying to them about, “Yeah, there\u2019s an income stream here, these are mortgages.”<\/p>\n
You keep selling worthless paper. The people who buy it, they figure out it\u2019s worthless; they sell it to another unsuspecting group, and that goes on until there\u2019s nobody left to buy it — and that\u2019s what the movie\u2019s about. I still haven\u2019t given you the spoiler alert. Even if you watch this, you will not be able to attack me for telling you how it ends. I haven\u2019t done that. For some reason the movie to me is good. I never heard of this movie until I was just browsing iTunes. I never heard of it, and it was out in October. But I will tell you who got hurt by what Lehman Brothers did. Forget the movie. Lehman Brothers, everybody involved, who was it that was buying these worthless mortgage-backed securities?<\/p>\n
It was not the poor; it was not the middle class. It was the clients of Lehman Brothers. It was the rich! A lot of outfits went bankrupt over this. But these financial houses were selling what they knew was worthless because they had been forced to make these loans by government in the first place, and they were selling worthless paper for high prices (until the end when they were taking 63\u00c2\u00a2 on the dollar). But they were triple A rate, they were triple A rated. But the point is that I\u2019m trying to make here that the poor and the middle class… I\u2019m still bouncing off Obama here. Obama with a speech here saying that the poor and the middle class got burned by this.<\/p>\n
They didn\u2019t buy the worthless paper. The poor and the middle class didn\u2019t have the money to buy worthless paper. The poor and the middle class didn\u2019t buy mortgage-backed securities. What happens was Fannie Mae buys some of it, Freddie Mac buys some of it, and everybody along the trail got bailed out except Lehman. For some reason. Maybe somebody there didn\u2019t like Fuld, maybe somebody didn\u2019t like his house in the Hamptons, maybe Fuld had thrown a Fourth of July party and they didn\u2019t like Hank Paulson. Who the hell knows how this stuff works in this crowd\u2019s circle. But somebody decided that Lehman Brothers wasn\u2019t gonna get bailed out. Bear Stearns did.<\/p>\n
No. No. Bear Stearns does not exist either. But all the others got bailed out that were involved in this. But Lehman didn\u2019t, and my only point to you here is that when you watch this movie if you do you\u2019re going to see that Obama is lying again, it was not the poor and the middle class who were buying this worthless paper. Now, in many ways the poor and the middle class WERE the worthless paper. They were the ones who had been lent money that everybody knew they couldn\u2019t pay back. They\u2019re the ones in houses they couldn\u2019t make payments on, they couldn\u2019t afford upkeep. (sigh) It was such a mess, and it was all brought to us by — I\u2019ll be generous here — a well-intentioned government. It\u2019s just a crock. All this crap Obama\u2019s saying is just a full-fledged crock of crap.<\/p>\n
BREAK TRANSCRIPT<\/p>\n
RUSH: You know, there\u2019s a movie you ought to go see. I like this movie so much I\u2019ve watched it three times. Margin Call, the movie, is meant to be based on Lehman Brothers. Jeremy Irons plays the head of the firm named John Tuld, the Lehman Brothers guy I think was Richard Fuld, F-u-l-d. […]<\/p>\n","protected":false},"author":14,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","ngg_post_thumbnail":0},"categories":[],"tags":[],"yoast_head":"\n