By Associated Press & Amy Sienicki
 
September 17, 2008
 
NEW YORK -- A person close to the banking crisis says the U.S. government has been contacting large banks in an effort to organize a buyout of beleaguered Washington Mutual, which has a large banking presence in Oregon.
 
The source says nobody is really sure what's on the bank's books and that there could be a minimum of value there. There are no firm signs that talks with other banks are actually in progress.
 
Seattle-based Washington Mutual has been among the banks hardest hit by the slumping housing and mortgage markets as homeowners default on mortgages. Stock prices have fallen 49 percent in the past month and are off 83 percent for the year.
 
Meanwhile, Wall Street's financial woes is leaving Southern Oregon investors concerned.
 
However, local financial experts say not to panic, but tell investors to be cautious. They say for the high population of retirees in the Rogue Valley who may have limited financial options it is especially important for them to know their individual financial situation and ensure their retirement money is secure. However, they say it's not just retirees that should be concerned.
 
"The person that's living paycheck to paycheck probably isn't paying a lot of attention, but should because this ultimately could affect them in the amount of taxes they pay," says Jan Safley with Consumer Credit Counseling Service.
 
Southern Oregon University business professors say it's a good time to learn about investing, the financial structure, and money banking. They say investing in the short term is risky, but long investments, such as 401k's, is wise.