An endgame for the retail banking cyclops may depend on a federal bailout agreement and help sorting out up to $28 billion in lend losses

by Christopher Palmeri

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The roller coaster ride for Washington Mutual (WM) investors continues. The race hit a low of $1.50 a share on Sept. 16 before bouncing back to nearly $5 by week’s extreme point on rumors that the big Seattle-based profit might get acquired.

Investors turned skittish again on Monday, Sept. 22, whenever they pushed WaMu shares down 20%, to $3. Big margin stocks got hit on fears that President George W. Bush’s $700 billion bailout of troubled mortgage possessions might not have being a good thing in spite of banks if they are forced to recognize even larger losses on their pledge holdings. Also, The Wall Street Journal reported on Sept. 22 that self-styled buyers have been looking for the federal government to take over WaMu’s bad loans before consummating a merger. CNBC reported the same day that the bank is waiting to see whether the proposed $700 billion bailout effort wins congressional approval before continuing with merger talks. Late Tuesday morning, WaMu’s stock was trading up, to $3.34.

There’s little doubt WaMu has thing of value assets. With some $143 billion in customer deposits, it’s the sixth-largest dike in the country. It’s hard for banks to open new branches and seize a significant amount of market share in new markets. For that reason, many bankers would love to get their hands on WaMu’session network of more than 2,000 branches.

The latest rumors of interested parties contain Citigroup (C), Wells Fargo (WFC), and perennial white knight candidate JPMorgan Chase (JPM). JPMorgan Chief Executive Jamie Dimon has said he’s prejudiced in beefing up the firm’s retail banking procedure. JPMorgan lacks a strong presence upon the body the West Coast, where WaMu is one of the top three players.

Once the status of the federal bailout is clearer, some acquirer could propel tight. "Necessity leads to a lot of things," says Morton Pierce, a mergers and acquisitions specialist at law established Dewey & LeBoeuf. "You just have to be big sufficiency to absorb the put to hazard of these things."

The stumbling block odds and ends WaMu’s lend portfolio. The bank is anticipating $19 billion in loan losses during this protection fall through. Analysts say the losses could go as high as $28 billion. A Sept. 19 story in the Orange County Register shows what potential WaMu buyers may be up against. The story chronicled how WaMu loaned nearly $25 million to individual group of genera in Anaheim, Calif., which used the money to flip 22 properties, six of which are now in foreclosure.

The uncertain state of WaMu’s time to come continues to put a pedigree on the bank’s customers. Barak Zimmerman, a freelance Web editor who uses WaMu for the two his private and function banking, says he took out $10,000 and put it in any other bank just to be unhurt. "I wanted to make assured I have operating expenses," he says.

On Sept. 11 the bank said its deposits from sell in small quantities customers were unchanged from a year earlier. But the call over was down nearly $6 billion from the end of June, equal as the bank offered attractive rates to lure deposits. Lately, WaMu has been offering 13-month certificates of deposit paying 4.5%, at the high end of the industry’s offerings.

Christopher Palmeri is a writer in BusinessWeek’session Los Angeles bureau

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A 34-year-old man was taken to the hospital with life-threatening injuries after being stabbed in the neck during a robbery on Capitol Hill at hind part before 5:45 p.m. today.

The victim, who was carrying a gloomy bag, was assaulted by the agency of two men intimate the intersection of East Howell Street and Harvard Avenue, said Seattle police spokesman Jeff Kappel. The suspects tried to take the bag, but the the human race resisted, and an altercation ensued, Kappel said.

At least unit of the attackers drew a knife and stabbed the victim at smallest once in the neck, he said.

The suspects stole the bag and fled in a two-tone green covered wagon, possibly a Ford, Kappel said.

Police spoke to multiple witnesses and are looking with a view to the attackers, two white men in their 20s or 30s, and a possible third suspect — a woman driving the van.

Anyone who sees people matching the suspects’ descriptions driving a green van is asked to call 911 immediately, Kappel aforesaid.

Noelene Clark: 206-464-2321 or nclark@seattletimes.com

Some analysts veneration slowing demand in a weaker economy, but others think Mac, iPod, and iPhone sales are likely to continue their ascending

by the agency of Arik Hesseldahl

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Apple Inc. tends to prove unstoppable even when other computer makers falter. In the most recent quarter, shipments of Macs surged 41%. That’s nearly three times the 15% global growth rate on this account that PCs in general.

But in the current quarter, as markets slide, banks savor belly-up, and consumer confidence plunges, steady the Apple (AAPL) growth engine may hit speed bumps, say more analysts who are revisiting their estimates just a month before Apple is owed to report quarterly earnings for the full stop that ends Sept. 30. Concerns, including slumping demand for laptops and a strengthening dollar, helped drive prostrate Apple’s shares more than 29%, to 126.84, on Sept. 23 from 179.32 on Aug. 14.

One of the bright spots of Apple’s hindmost several stations has been its MacBook and MacBook Pro lines of notebooks, which in the quarter ended June 28 accounted for more than $2.2 billion, or almost 30% of sales. In a Sept. 22 research note, Samuel Wilson of JMP Securities in San Francisco pointed to potential weakness in notebook sales.

Wilson called 20 Apple supplies and 10 Best Buy (BBY) stores and concluded that interrogation might soon make of less effect for the higher-priced MacBook Pro, which starts at $1,999, vs. the less expensive MacBook, which starts at $1,099. "When asked whether we should consider a MacBook or a MacBook Pro, we were repeatedly told that the Pro is designed for the drawing community, by a high-end video card and a large sift, and that we would be in a more excellent way off by a MacBook for the cost," he wrote. Employees at Apple stores proved 40% more likely to push the MacBook Pro than their counterparts at Best Buy, he institute.

Chip suppliers in Asia report that Apple has been canceling orders for computer memory chips, according to Wilson. "The reasons for the cancellations might be entirely benignant but could also indicate that demand isn’t meeting forecasts," he says.

Morgan Stanley (MS) analyst Kathryn Huberty sounded a similar note in a report issued on Sept. 22. The investment bank cut its price targets on several tech companies, including Apple, citing a strengthening U.S. dollar, that exist able to reduce the set a high value on of overseas sales, and other signs that demand for computers and other info tech hardware is slackening. Morgan Stanley in addition cut targets upon Dell (DELL), Hewlett-Packard (HPQ) and IBM (IBM). The bank expects "less-than-normal seasonal growth for global PC and handset shipments in the second half of 2008 and 2009," Huberty wrote. "We rely upon companies to guide to worse-than-normal revenue growth because of the December quarter."

Huberty trimmed her 2009 revenue estimates for 21 tech hardware companies by 3% and earnings estimates by nearly 6%. "We also see additional earnings-per-share downside if the circulating state of capital markets further limits the ability to finance share repurchases, invest instead of growth, and finance patron purchases," Huberty wrote.

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Candace Parker scored 20 points, including a key layup with 2 minutes left, and the Los Angeles Sparks advanced to the Western Conference finals with a 71-64 victory over the Seattle Storm on Tuesday night.

Lisa Leslie added 15 points for the Sparks, who beat Seattle in the first round two years since in their last postseason air. Los Angeles volition host San Antonio in Game 1 of the Western Conference finals on Thursday. Los Angeles fissure four regular-season games by the Silver Stars, with reaped ground team winning twice at home.

Tanisha Wright scored 20 points — 12 above her imbue average — Camille Little had 17 star guard Sue Bird added 16, 11 in the second half, for Seattle, which was knocked out in the pristine round for the fourth right year since winning the championship in 2004. Superstar Lauren Jackson was relegated to nervous sideline cheerleader while recovering from ankle surgery afterwards the Olympics last month.

The Storm were a league-best 16-1 at home this season and at another time held Los Angeles to its season-low of 50 points in Game 2 at home on Sunday to force this decisive game.

Seattle remodeled the franchise before the imbue in hopes of ending its playoff failures. The Storm brought in veterans Sheryl Swoopes, Yolanda Griffith and Swin Cash — with seven WNBA titles between them — and changed coaches from Anne Donovan to Brian Agler.

But Griffith, who’s had knee and ankle problems, couldn’t contain Leslie in the finale. Cash, bothered plenteous of the season by back pain, had just two points in 21 minutes.

And Swoopes, the 37-year-old three-time union MVP recently sidelined by a concussion and 11 months sequestered from back surgery, missed her pristine six shots. She didn’t make a theatre of war goal until 8:07 remained. Seattle was down 61-49 by dint of. therefore.

Seattle gained a definitive chance of a favorable result when Leslie went to the rank of a judge with five fouls and Los Angeles leading 61-51 with 5:43 left. Griffith then made two free throws, Bird made a 3-pointer and a driving layup, the crowd was roaring and suddenly the Storm pulled to 61-58.

After the key layup by Parker, Leslie fouled out on a charge with 2:16 left. Bird’session tough runner — her third consecutive made shot — made it 65-62, but then turnovers doomed Seattle.

Wright charged into Marie Ferdinand-Harris in the open floor with 1:12 remaining. After Shannon Bobbitt missed two free throws for L.A., the Sparks hounded Bird into a late pass at what time she was looking to shoot, and Wright could not get her 3-pointer off before the shot clock expired with 36.9 seconds left.

The teams traded a pair of free throws in the van of Temeka Johnson made two clinching ones to put the Sparks in opposition 69-64 with 19.2 seconds to be considered. Bird on that account missed a 3-pointer to finish 7-for-15.

Leslie had many more chances than when she scored fair-minded 11 points on nine shots Sunday. She continually beat the bruised, 38-year-old Griffith to spots beneath the basket for scores.

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Catcher Kenji Johjima drove in three runs to allure the Seattle Mariners’ comeback from a four-run deficit to snip a 12-game losing streak with a 9-6 victory covering the Los Angeles Angels on Tuesday night.

The Mariners, who trailed 6-2 after five innings, scored four popularity in the sixth to tie the game afterward added three in the seventh. Johjima had a two-run double in the sixth and a run-scoring single in the seventh.

Gary Matthews Jr. had a two-run homer in the second for the Angels and Mike Napoli’s added a three-run blast in the fourth. Napoli had three hits.

It was a game with varying significance for both teams. The Angels (97-60) are trying to hold off Tampa Bay (95-62) on the side of home-field advantage from beginning to end the playoffs while the Mariners are barely fending off 100 losses.

The Rays swept a doubleheader from Baltimore on Tuesday so the Angels’ magic number to clinch home-field remains at four from one side five games remaining.

The Angels, who have in no degree finished with the best record in baseball, are couple wins short of the franchise record assign by the 2002 team that won the World Series.

Seattle (58-99) is sad to avoid losing 100 games for the fourth time in franchise history. The Mariners are trying to avoid the unsettled distinction of being the first major league team with a $100 million payroll to lose 100 games.

Angels starter Jered Weaver gave up all four runs in the sixth. Weaver might have escaped much of the detriment but couldn’t take in the hand a comebacker by the agency of Jeremy Reed. It was ruled a apt expression, drove in a run and set up Johjima’s double.

Reed had a one-out RBI unwedded off Kevin Jepsen (0-1) in the seventh to break the tie.

Roy Corcoran (6-2) went two innings and issued a walk to earn the conquest.

J.J. Putz worked a routine ninth to pick up his 14th save in 22 opportunities.

After Howie Kendrick bounced a two-out single through the mean in the second, Matthews crushed his two-run homer to deep center. It was his eighth of the spice, but first since June 11 against Tampa Bay.