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Investment bank Lehman Brothers filed for bankruptcy, and federal regulators said that the firm owned so many toxic assets that a bailout attempt would be futile.
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Frantic bailout attempts failed.
Although Europe has no plans for a coordinated measure on the level of the $700.0 billion "Paulson plan" in the U.S., Europe's finance ministers on Tuesday raised the minimum guarantee of bank deposits to 50,000 euros, from 20,000 euros, and assured member states that rules on state aid and budget deficits would not get in the way of bailout attempts.
The Cypriot government is now faced with a tough choice - return to the troika and try and renegotiate the terms of the bailout, or attempt to find other sources of finance, possibly from Russia.
Instead, 70% of voters supported parties that promised to tear up the bailout and attempts may be made to negotiate a gradual "disengagement" from the harshest austerity measures of Greece's €130 billion ($168 billion) bailout.
Chancellor Angela Merkel of Germany and Mr. Sarkozy made a joint statement that they would categorically veto any further bailouts or attempts to spend our way out of debt, and then a mere 24 hours later they were beaming and shaking hands over an extra trillion-dollar binge.
Finance minister Wolfgang Schäuble called the third bailout a "final attempt" to solve an "extraordinarily difficult problem", but one which he said he was convinced could work.
If you're an American taxpayer, you've just become the owner of a brand-new $700 billion attempted bailout of the U.S. financial system.
Skeptics have called the all-stock deal an attempted bailout for both companies because each faces a cash-flow crunch.
Financial analysts have called the $2.6-billion 2.6-billioneal an attempted bailout for both companies: Each faces a cash-flow crunch.
Greece has submitted an application for a third bailout programme, in an attempt to avoid crashing out of the eurozone.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com