US aerospace giant Boeing has secured commitments on over $12 billion in financing from more than a dozen banks, the media reported citing people familiar with the matter.
The company buys back their own stock with cheap money from the Federal Reserve, Max Keiser said on RT’s Keiser Report. The money which was supposed to help the struggling firm is in fact disenfranchising it. “On the other side are executives, who are getting that money from the Fed directly into their pocket..,” Keiser notes.
He says “Boeing now is no longer a viable company,” explaining: “So bad in fact that even money at zero percent is not going to help them recapitalize this garbage company now, Boeing, that’s worthless, essentially it’s insolvent.”
There are a lot of zombie companies in the S&P 500 that are like Boeing, he adds. “Executives stole all the equity passed through cash from the Fed at zero percent interest rates… and now they are just this walking zombie…”