Amusement park operator Six Flags declared bankruptcy yesterday but says that it will keep its parks open, at least for now. According to the Washington Post, the company is carrying $2.4 billion in debt. Despite the fact that Six Flags reported 25 million visitors and posted record revenues in 2008, the debt is simply unsustainable, the Associated Press reports.
Yesterday, Obama proposed an additional $313 billion in cuts to Medicare, Medicaid, and other programs in order to pay for health care reforms that could cost about $1 trillion over the next 10 years, Reuters reports. "I know some question whether we can afford to act this year," the president said, "But the unmistakable truth is that it would be irresponsible to not act."
Two of the nation's most influential bank regulators are at it again, reports the New York Times. John Dugan, comptroller of the currency, is reportedly feuding with Sheila Bair, head of the FDIC. Dugan has lambasted a proposal to impose harsh insurance fees on banks, which he views as unfair to the largest banks (which he regulates). Bair responded in defense of small banks, charging that the big banks should take the blame for the financial collapse.
Financial leaders from the G8 have offered their most optimistic evaluation of the global crisis yet, the Washington Post reports. They called for an "exit strategy" from stimulus policies that have been instituted to bolster the economy. But not everything is fixed yet, says U.S. Treasury Secretary Timothy Geithner. He called on international banking regulators to devise better ways to "quickly resolve failures of cross-border financial firms."
Television's digital switchover has gone relatively well so far, the Wall Street Journal reports. Though a record 317,000 calls poured into a national call center set up by the Federal Communications Commission Friday from consumers who had trouble to setting up converter boxes, most issues have been quickly resolved.
The Los Angeles Lakers may win the NBA Championship, but some city officials are saying that they might not be able to host a victory parade. The parade could cost more than $1 million, and the city is already squeezed financially, thanks to a deep budget deficit, which might require job cuts, Reuters reports. "We can't afford to cover the costs," City Councilwoman Jan Perry told the Los Angeles Times. She asked, "How could we make a decision about people's jobs and then sponsor the parade?"
http://www.reuters.com/article/newsO...06635020090614