Assured Guaranty is therefore best placed

The sale of American credit Enhancer Financial Security Assurance (FSA) promised to be a journey of the fighter for Dexia. All prognoses were beaten. The first thing the new Director General, Pierre Mariani, means say internally is: "You will never sell FSA." It was the beginning of October 2008. If the negotiation to find a "deal" lasted that less than one month and a half, the finalization of the agreement has stretched to seven months and a half a quarter more than expected.

Cape Town on New York

While financial markets are traumatized by the bankruptcy of the Bank American Lehman Brothers, Alexandre Joly, Pierre Mariani since mid-October right arm, was quickly sent to New York, at the headquarters of Financial Security Assurance. Advised by Goldman Sachs, he looks at the offers of several funds of "private equity". Among them that of MBIA, the leader of the sector, which crosses a difficult pass, and the Assured Guaranty, the smallest of these "monoline" insurance and less exposed to the toxic debt. Contacts begin with Dominic Frederico, the pattern of Assured Guaranty, to Italian roots, as Pierre Mariani.

The offer of Warren Buffett

The emissaries of Dexia also meet in New York Ajit Jain, brilliant right arm of us Billionaire Warren Buffett. His offer was worthy of the sage of Omaha: he agrees to resume Financial Security Assurance all including the portfolio of financial products ("financial products"), which represents a large liquidity risk if Dexia pays it billions of dollars in cash. Clearly, the proper insurance is valued at zero. Unacceptable to the French. Assured Guaranty is therefore best placed. With an obstacle: he does not want financial products and refuses to even risk of counterparty on Dexia to this title. Bargaining is cut in two.

Tandem Dehaene-Mariani

In Europe, the President of Dexia, Jean-Luc Dehaene, former Prime Minister of Belgium, and Pierre Mariani, former Director of the cabinet of Nicolas Sarkozy to the Budget, activate for a special Belgian and French States guarantee (respectively 62.4 and 37.6) for financial products: close to $ 17 billion with an excess of 4.5 billion to the support of Dexia. In France, must be convinced the Parliament, where some elected officials are very angry against revisable rate of the local bank loans. The Finance Minister, Christine Lagarde, is replayed. Elected officials agree.

The support of Wilbur Ross

In the United States, Alexandre Joly negotiates with Assured Guaranty, "coached" by telephone by Pierre Mariani. Discussions are tight, so that one day the emissary succeeded to open the doors of an aircraft ready to takeoff for Paris to resume more quickly. Assured Guaranty Gets a "back stop" clause of its shareholder Wilbur Ross, famous billionaire of finance, to secure his appeal to the market. The PEAR is cut in two: a price is fixed without waiting for the closing, payable half in cash, the rest part equity. Eight days marathon ends the morning of November 14 and Dexia announces his plan of transformation.

The investigation of Neelie Kroes

The "fence" of the deal involves a much higher number of stakeholders: the obstacle course continues. For legal reasons, need to redefine and renegotiate the guarantee: the key negotiations tight with Bercy and armies of lawyers. On the side of antitrust, American Constable positively statue January 20 one of the latest decisions of the Bush administration. In Europe, the Commissioner for competition, Neelie Kroes, gave the green light to the second guarantee on 13 March, not without launching an in-depth investigation into restructuring of Dexia. End of may, Moody's eventually decide that the combination of the two boosters does not negatively affect notation. Assured Guaranty place successfully his show late June. Educated by experience, Dexia waits for the day of the sale to celebrate its disengagement of its subsidiary FSA.