Omaha Public Radio News
Mon October 13, 2008
Omaha area businessmen offer their take on financial crisis
By Katie Knapp
Omaha, NE – Three Omaha-area businessmen are providing their unique perspectives on the financial crisis.
Patrick Miner of Mutual of Omaha, Mike Gallagher of Harrah's Council Bluffs, and Eric Bunderson of American National Bank were the featured speakers at a business discussion last week. Bellevue University hosted the financial crisis discussion.
Miner says the financial crisis built over several years and was triggered by subprime mortgages. He says it's now a global issue, and the markets will take a while to recover. Miner identifies four waves of the crisis, with the last, and most severe, happening in September.
Gallagher says when financial crises happen, businesses have one of three reactions. The first is to do nothing. The second, according to Gallagher, is to take a tactical, short-term approach to reduce expenses. The third reaction is for a business to do things simultaneously and re-invent themselves long-term. He says that's what Harrah's is doing.
Bunderson says the financial crisis began in late 2006 and early 2007. He says banks are no longer comfortable lending to each other. Both Bunderson and Miner believe it'll become difficult for potential homeowners to get loans, even with good jobs and good credit.