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SOV's Offering Points to More Downside

By Jim Cramer

 About this article:
 Sovereign Bancorp is offering one of the great indignities of the era: $1 billion in common equity at $7 after one of the most reckless runs in history. I am sure the value guys will lap this up, there's nothing they don't like. Who keeps giving them money? Sovereign's got $13 book, lots of ATMs and some good branches, so I am sure those investors who have been punished endlessly owning this thing will line up for more. It is so pathetic, yet the equity will be priced in the hole and there will be great rejoicing when it is done, so the bank will be saved to lose some more money. You know what's really amazing, though, about these stooges? No, it is not that Santander , a pretty decent bank, had a huge stake and elected to say no to buying it. What's really amazing is...

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