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: Wall Street Law BlogThe first subprime boom and bust - WSLB Time Machine
By Brett D. Sherman
In 1998, the first wave of big subprime profits (Yankee fans should remember Phil Rizzuto commercials for The Money Store) came to a sudden end when subprime lenders lost their financing as investors fled to quality in the wake of Russia's unforeseen default on it's debt and the bailout of Long Term Capital Management.
As it turned out, there were massive default rates during the first wave. Nearly all major subprime lenders went bankrupt before the end of the 1990s.
Full post as published by Wall Street Law Blog on March 29, 2010 (boomark / email).
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