1. Become the Executive!

2. Congratulations! You and your group mates are the top executives? As Uncle Ben told Spiderman, “With great power comes great responsibility….” You will be in charge of the major financial decisions for your organziation You will be divided into 5 different groups, each with your own idenitity

3. Roles CEO/President: The one in charge! The pay might be nice, but the stakes are high. You might be the one to find yourself with the blame…High risk, high reward. Think big picture, think long term goals. However, big bonuses await you with good stock performance. CFO: You are second in charge, in charge of finances (Chief Financial Officer). How are you going to spend and invest? Think about immediate and long term consequences. Executive VP of HR: You are in charge of Human Resources. How are you going to run personell? PR: You are in charge of public perception of the bank. What sort of statements will you release to the public?

4. Group 1 You are a very large organization, with over 1 trillion dollars in assets You are global bank, but you are seen as of one the most important bank in the US (your name might imply that) You are a Public bank with shareholders You tend to buy out a lot of companies to keep expanding

5. Group 2 You aren’t exactly a bank, but banks have a lot of holdings in your organization. You have engaged in a lot of risky behavior, buying up mortgages and selling them to investors Mortgage backed securities are when people can invest their assets on the open market (invest what your house is worth) In 2004, you were ranked as one of the best companies to work for People are making a lot of money, with a housing boom

6. Group 3 You are a mutual bank, which means you have no shareholders. You are quite large, with about 6 billion dollars in assets. You expand by merging with other mutual banks or buying out shares of smaller banks You are kind of “in between” the Big banks and the Community banks

7. Group 4 You are a small community bank, with about 100 million dollars in assets You have about 3 branches, which serve the local community People are loyal to your bank and have used you for generations You serve a middle working class community

8. Group 5 You are the US government You are the President, the Head of the Fed, and the Secretary of the Treasury

9. Early 2000s Things are going well! There is an economic boom (although we survived the dotcom bubble of 1999- 2001). Housing prices are surging! People are making a lot of money investing—prices are going up, up and up! People still rely on their tellers and their bank branches for their banking serives

10. With the attacks of September 11 and the Iraq War, public support is high for President Bush As time goes on, his approval rating goes down, and the economy takes a hit Bush runs in 2004 against Senator John Kerry (D-MA), and ultimately wins Bush’s tax cuts of over 1 trillion dollars make some people quite wealthy Mr. Bush

11. Your job Consult with your advisors, and draft a course of direction for the next few years

12. War drags on The wars in Iraq and Afghanistan are beginning to be unpopular, and now the Democrats in 2006 take the midterm elections, with majorities in both the House and Senate Congressman Barney Frank (D-MA) of the powerful House Financial Services committees takes the Chairmanship role Prior to this role, Rep. Frank helps pass bills that require more housing lending to low and middle income families, giving many the chance to own homes He supports and passes HR3221, American Housing Rescue and Foreclosure Act, which helps thousands of people from losing their homes

13. 2007 Rumblings of recession start to creep on The housing crisis starts to take place; foreclosures and prices drop Technology is also playing a new important role; ATMs are becoming even more popular

14. Your job What should you do? Should you keep investing in risky loans for big payoffs? How about technology? Will you invest money into fancy ATMs or smart phone technology? Consult with your advisors and come up with a plan

15. Recession We are in a recession, and times are tough Some of you invested well, and others did not Some will have to merge, others will buy out

16. CRISIS In September 2008, Fannie Mae and Freddie Mac file for bankruptcy, and are taken over by the federal government Lehman Brothers, one of the largest financial institutions, goes under

17. WHAT DO YOU DO? Develop a course of action for the short term