Washington Mutual kicked out a press release this morning with a big headline announcing they were getting a $7 billion cash injection from buy-out firm TPG Capital Investment. TPG will get a spot on the board in the deal. But while the bank is starting to pave a yellow-brick road out of this mess it got itself into after betting high and losing big in the subprime mortgage market, the whole thing isn't done doing some pretty serious damage to the little guy.
Open the press release and you learn WaMu is expecting to announce a $1.1 billion net loss for the first quarter of 2008 on April 15. As part of the recovery effort, all free-standing home loan offices will be closed as well and they'll get out of the wholesale lending game altogether. Dust off that resume, the AP has it tallied up and reports that about 3,000 people will get the ax. This comes after the bank laid off 3,150 people two weeks before Christmas.