FOR IMMEDIATE RELEASE
Friday, September 19, 2008

Isakson, Chambliss Statement on Treasury Plan to Remove Bad Assets from Financial Institutions

WASHINGTON – U.S. Senators Johnny Isakson, R-Ga., and Saxby Chambliss, R-Ga., today released the following statement concerning Treasury Secretary Paulson’s announcement that the administration will seek to implement a program to remove bad assets off the balance sheets of financial companies and will seek legislation from Congress to help carry out this plan.

The plan also includes establishing a temporary guarantee program for the U.S. money market mutual fund industry to insure the holdings of any publicly offered eligible money market mutual fund that pays a fee to participate in the program. This move is designed to stem the outflow of funds as consumers start to worry about even the safest investments. In addition, the Securities and Exchange Commission has imposed a two-week ban on short-selling the stocks of 799 financial companies.

“I applaud Secretary Paulson and Chairman Bernanke on their commitment to stabilize the financial markets,” Isakson said. “I will work to protect the 401(k)s, IRAs and savings of all Georgians. Next week will be a critical week for our economy. I believe Congressional action is not only necessary but essential. I will work hard to see to it that the action we take provides short-term financial stability and long-term financial security for the taxpayers of Georgia and their families.”

“Following Secretary Paulson’s announcement today and his important work with Chairman Bernanke, I look forward to reviewing the legislative proposal that is forthcoming,” said Chambliss. “Our economy is facing significant challenges and while I recognize the potential costs of government intervention, the cost of doing nothing could be greater to our economy as a whole. I will closely examine the recommendations laid out by the administration to strengthen and stabilize our financial markets.”

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