And so it goes... the Federal Government is planning to rescue Citigroup

I posted earlier about how Citigroup was in huge financial trouble. Well, it seems the government has noticed and is planning to do something about it:

Federal regulators were considering a new rescue for Citigroup on Sunday, a step that could mark a third leg of the government’s broader efforts to bolster the nation’s financial industry, according to people briefed on the plan.

Under the proposal, the government would shoulder losses at Citigroup if those losses exceeded certain levels, according to these people, who spoke on the condition that they not be identified because the plan was still under discussion.

I can't imagine anyone is thrilled about bailing out a failing bank, especially one as mismanaged as Citigroup. But these are desperate times, and it seems Citigroup's failure would be disastrous for the economy, so a bailout seems like a necessary step. I know, I know, I hate the idea of bailing out the super-rich just as much as you do...