2008–2011 Icelandic financial crisis, Causes
In response to the rise in prices – 14% in the twelve months to September 2008, compared with a target of 2.5% – the Central Bank of Iceland held interest rates high (15.5%). Such high interest rates, compared with 5.5% in the United Kingdom or 4% in the eurozone for example, encouraged overseas investors to hold deposits in Icelandic krónur, leading to monetary inflation: the Icelandic money supply (M3) grew 56.5% in the twelve months to September 2008, compared with 5.0% GDP growth. The situation was effectively an economic bubble, with investors overestimating the true value of the króna.


2008–2011 Icelandic financial crisis, Causes
As with many banks around the world, the Icelandic banks found it increasingly difficult or impossible to roll over their loans in the interbank market, their creditors insisting on payment while no other banks were willing to make fresh loans. In such a situation, a bank would normally have to ask for a loan from the central bank as the lender of last resort.


2008–2011 Icelandic financial crisis, Causes
However, in Iceland the banks were so much larger than the national economy that the Central Bank of Iceland and the Icelandic government could not guarantee the payment of the banks' debts, leading to the collapse of the banks. The official reserves of the Central Bank of Iceland stood at 374.8 billion krónur at the end of September 2008, compared with 350.3 billion krónur of short-term international debt in the Icelandic banking sector, and at least £6.5 billion (1,250 billion krónur) of retail deposits in the UK.


2008–2011 Icelandic financial crisis, Causes
The situation was made worse by the fact that Icesave was operating as a branch of Landsbanki, rather than as a legally independent subsidiary. As such, it was completely dependent on the Central Bank of Iceland for emergency loans of liquidity, and could not turn to the Bank of England for help. The UK Financial Services Authority (FSA) was aware of the risk, and was considering imposing special liquidity requirements on Icelandic deposit-taking banks in the weeks before the crisis.


2008–2011 Icelandic financial crisis, Causes
However the plan – which was never implemented – would have forced the Icelandic banks to cut interest rates or stop taking new deposits, and might even have sparked the sort of bank run it was designed to prevent. The Guernsey authorities were also planning on bringing in restrictions on foreign banks operating as branches and on transfers of funds between Guernsey subsidiaries and parent banks ("parental upstreaming"). Landsbanki operated in Guernsey through a legally independent subsidiary.


2008–2011 Icelandic financial crisis, Causes
The existence of a bank run on Landsbanki accounts in the UK in the period up to 7 October seems confirmed by a statement from the bank on 10 October, which said "Landsbanki Íslands hf. transferred substantial funds to its UK branch during this time to fulfil its Icesave commitments." The transfer of funds from Landsbanki Guernsey to Heritable Bank, a Landsbanki subsidiary in the UK, also suggests a bank run in the UK. A transfer of "substantial funds" from Iceland to the UK would have been a significant downward push on the value of the króna, even before the effects of any speculation.


2008–2011 Icelandic financial crisis, Bank restructuring
Wholesale funding disappeared in September 2008 leading to the collapse of Glitnir, Kaupthing and Landsbanki. Due to the size of the combined balance sheet of those banks the government of Iceland did not have the means to save those banks. They were put into receivership instead with their boards replaced. Nevertheless, the failed banks were restructured by dividing them into a new and an old bank in order to avoid a credit crunch.


2008–2011 Icelandic financial crisis, Bank restructuring
The new state-owned banks took over the domestic activities and have been recapitalised by government with a capital ratio of 16% of all assets. The Financial Supervisory Authority (FME) has acted to "ring-fence" the Icelandic operations of Landsbanki and Glitnir, stating its aim of "continued banking operations for Icelandic families and businesses". NBI (originally known as Nýi Landsbanki) was set up on 9 October with 200 billion krónur in equity and 2,300 billion krónur of assets. Nýi Glitnir was set up on 15 October with 110 billion krónur in equity and 1,200 billion krónur of assets.


2008–2011 Icelandic financial crisis, Bank restructuring
Nýja Kaupþing was set up on 22 October with 75 billion krónur in equity and 700 billion krónur of assets. The equity in all three new banks was supplied by the Icelandic government, and amounted to 30% of Iceland's GDP. The new banks will also have to reimburse their predecessors for the net value of the transferred assets, as determined by "recognised appraisers". As of 14 November 2008, these net values were estimated as: NBI ISK558.1bn (€3.87bn), Nýi Glitnir ISK442.4bn (€2.95bn); Nýja Kaupþing ISK172.3bn (€1.14bn). The total debt of 1173 billion krónur is more than 90% of Iceland's 2007 gross domestic product.


2008–2011 Icelandic financial crisis, Bank restructuring
The international businesses remained with the old banks for winding up. Glitnir and Kaupthing, shorn of their Icelandic operations, obtained moratoria on payments to creditors (similar to Chapter 11 protection) from the District Court of Reykjavík on 24 November.


2008–2011 Icelandic financial crisis, Bank restructuring
The rescue operations of the central bank along with the restructuring and recapitalization of the banks increased the public debt ratio by about 20 percentage points of GDP.


2008–2011 Icelandic financial crisis, Effects, Within Iceland
The current economic climate in the country has affected many Icelandic businesses and citizens. With the creation of Nýi Landsbanki, the new organisation which replaces the old Landsbanki, around 300 employees will lose their jobs due to a radical restructuring of the organisation which is intended to minimise the bank's international operations. Similar job losses are expected at Glitnir and Kaupthing The job losses can be compared with the 2,136 registered unemployed and 495 advertised vacancies in Iceland at the end of August 2008.


2008–2011 Icelandic financial crisis, Effects, Within Iceland
Other companies have also been affected. For example, the private Sterling Airlines declared bankruptcy on 29 October 2008. The national airline Icelandair has noticed a significant slump in domestic demand for flights. However, the airline states that year-on-year international demand is up from last year. Guðjón Arngrímsson, a spokesman for the airline, said "we're getting decent traffic from other markets... we are trying to let the weak króna help us." He has also stated that it is impossible to predict whether the company will be profitable this year. Morgunblaðið, an Icelandic newspaper, is cutting some jobs and merging parts of its operations with the media corporation 365. The newspaper 24 stundir has ceased publication due to the crisis, resulting in the loss of 20 jobs.


2008–2011 Icelandic financial crisis, Effects, Within Iceland
Importers are particularly hard hit, with the government restricting foreign currency to essential products such as food, medicines and oil. The €400 million loan from the central banks of Denmark and Norway is sufficient to pay for a month's imports, although on 15 October there was still a "temporary delay" which affected "all payments to and from the country".


2008–2011 Icelandic financial crisis, Effects, Within Iceland
The assets of Icelandic pension funds are, according to one expert, expected to shrink by 15–25%. The Icelandic Pension Funds Association has announced that benefits will in all likelihood have to be cut in 2009. Iceland's GDP is expected by economists to shrink by as much as 10% as a result of the crisis, putting Iceland by some measures in an economic depression. Inflation may climb as high as 75% by the end of the year.


2008–2011 Icelandic financial crisis, Effects, Within Iceland
Unemployment had more than tripled by late November 2008, with over 7000 registered jobseekers (about 4% of the workforce) compared to just 2136 at the end of August 2008. As 80% of household debt is indexed and another 13% denominated in foreign currencies, debt payment is going to be more costly. Since October 2008, 14% of the workforce have experienced reductions in pay, and around 7% have had their working hours reduced. According to the president of the Icelandic Federation of Labour (ASÍ), Gylfi Arnbjörnsson, these figures are lower than expected. 85% of those registered as unemployed in Iceland stated that they lost their job in October, after the economic collapse.


2008–2011 Icelandic financial crisis, Effects, Within Iceland
On 17 July 2009, lawmakers voted 33–28 (with two abstentions) to approve a government plan for Iceland to apply for full European Union membership. Although Iceland (as a member of EFTA) already had a free trade arrangement with the EU, it had always rejected full membership due to concerns that its independence could be compromised. However, Prime Minister Jóhanna Sigurðardóttir, who was elected in April, had promised to bring Iceland into the EU to help stabilize its economy.


2008–2011 Icelandic financial crisis, Effects, Within Iceland
EU enlargement Commissioner Olli Rehn expressed support for Iceland's membership, stating that as "a country with deep democratic traditions", Iceland will be welcome in the EU's expansion plans. (However, on 13 September 2013 the Government of Iceland dissolved its accession team and suspended its application to join the EU. On 12 March 2015, Foreign Minister of Iceland Gunnar Bragi Sveinsson stated that he had sent a letter to the EU withdrawing the application for membership, without the approval of the Althing, though the European Union stated that Iceland had not formally withdrawn the application.)


2008–2011 Icelandic financial crisis, Effects, Within Iceland
The crisis led to a radical shift in the political landscape of Iceland which until this time had been marked by stability. After the effects of the crisis set in, mainstream parties were discredited as newer parties such as the Left Greens and the Pirate Party moved into the mainstream. During the Social Democrat-Left Green coalition (2009-13) the crisis was blamed on corruption and a lack of transpanecy; in reaction to this the government attempted to reform the constitution and protect the welfare state.


2008–2011 Icelandic financial crisis, Effects, Within Iceland
Joining the coalition resulted in the Left Greens losing their innocence as a party, resulting in voters punishing them at the 2013 election, at which they lost about half of their voter base. Voters were angry that the government had seemingly bowed to the IMF demands and introduced austerity.


2008–2011 Icelandic financial crisis, Effects, Within Iceland
Later on in 2016 and 2017 the Left Greens were able to gain back a sizable proportation of their electoral gains by focusing their campaigns on their historical opposition to the Independence Party and oil drilling off the coast as well as  arguing that the largest state run bank should be converted into a value vased bank.


2008–2011 Icelandic financial crisis, Effects, Outside Iceland
Over £840 million in cash from more than 100 UK local authorities was invested in Icelandic banks. Representatives from each council met to try to persuade the Treasury to secure the money in the same way that customers' money in Icesave was fully guaranteed. Of all the local authorities, Kent County Council has the most money invested in Icelandic banks, £50 million. Transport for London, the organisation that operates and coordinates transport services within London, also has a large investment at £40 million.


2008–2011 Icelandic financial crisis, Effects, Outside Iceland
Local authorities were working under government advice to invest their money across many national and international banks as a way of spreading risk. Other UK organisations said to have invested heavily include police services and fire authorities, and even the Audit Commission. In October 2008, it was hoped that about one-third of the deposited money will be available fairly rapidly, corresponding to the liquid assets of the UK subsidiaries: liquidation of other assets, such as loans and offices, will take longer.


2008–2011 Icelandic financial crisis, Effects, Outside Iceland
In an emergency sitting of Tynwald on 9 October 2008, the Isle of Man government raised compensation from 75% of the first £15,000 per depositor to 100% of £50,000 per depositor. The Chief Minister of the Isle of Man, Tony Brown, confirmed that Kaupthing had guaranteed the operations and liabilities of its Manx subsidiary in September 2007, and that the Manx government was pressing Iceland to honour this guarantee. Depositors with Landsbanki on Guernsey found themselves without any depositor protection.


2008–2011 Icelandic financial crisis, Effects, Outside Iceland
In October 2008, an agreement was reached between the Icelandic and Dutch governments on the savings of about 120,000 Dutch citizens. The Icelandic government agreed to cover the first €20,887 on savings accounts of Dutch citizens held by Landsbanki subsidiary Icesave, using money lent by the Dutch government. The total value of Icesave deposits in the Netherlands were €1.7 billion. At the same time, Iceland and Britain reached an agreement on the general contours of a solution: Icesave deposits in the UK total £4 billion (€5 billion) in 300,000 accounts.


2008–2011 Icelandic financial crisis, Effects, Outside Iceland
The figure of €20,887 was the amount covered by the Icelandic Depositors' and Investors' Guarantee Fund (DIGF; Tryggingarsjóður in Icelandic): however, the DIGF had equity of only 8.3 billion krónur at the end of 2007, €90 million at the exchange rates of the time and far from sufficient to cover the Dutch and British claims.


2008–2011 Icelandic financial crisis, Effects, Outside Iceland
The cost of deposit insurance in the UK was unclear in November 2008. The Financial Services Compensation Scheme (FSCS) paid around £3 billion to transfer deposits from Heritable Bank and Kaupthing Singer & Friedlander to ING Direct, while the UK Treasury paid an additional £600 million to guarantee retail deposits that were higher than the FSCS limit. The Treasury also paid out £800 million to guarantee Icesave deposits that were higher than the limit.


2008–2011 Icelandic financial crisis, Effects, Outside Iceland
A loan of £2.2 billion to the Icelandic government was expected to cover the claims against the Icelandic DIGF relating to Icesave, while the exposure of the UK FSCS is expected to be £1-2 billion. The Supreme Court of Iceland, in 2011, ordered the repayment of "£4.5bn to the UK and €1.6bn (£1.2bn) by liquidating assets". In January 2016, The Financial Times reported that HM Treasury "had been paid £740m from the Landsbanki estate". This payment by the Landsbanki estate was the final repayment to the UK's treasury, which totaled £4.6bn.


2008–2011 Icelandic financial crisis, Effects, Outside Iceland
The crisis also prompted the Ministry of Foreign Affairs to reduce its foreign aid to developing nations, from 0.31% to 0.27% of GNP. The effect of the aid cut was greatly amplified by the falling value of the króna: the budget of the Icelandic International Development Agency (ICEIDA) was reduced from US$22 million to $13 million. Since Iceland's foreign aid is targeted in sectors for which the country has particular expertise (e.g., fisheries, geothermal power), the cutbacks will have a substantial impact in countries which receive Icelandic aid – most noticeably in Sri Lanka, where ICEIDA is pulling out altogether.


2008–2011 Icelandic financial crisis, Effects, Outside Iceland
On 27 February 2009, The Wall Street Journal reported that Iceland's new government was trying to raise $25 million by selling its ambassadorial residences in Washington, New York, London and Oslo.


2008–2011 Icelandic financial crisis, Effects, Outside Iceland
On 28 August 2009, Iceland's parliament voted 34–15 (with 14 abstentions) to approve a bill (commonly referred to as the Icesave bill) to pay the United Kingdom and the Netherlands more than $5 billion lost in Icelandic deposit accounts. Initially opposed in June, the bill was passed after amendments were added which set a ceiling on the payment based on the country's gross domestic product. Opponents of the bill argued that Icelanders, already reeling from the crisis, should not have to pay for mistakes made by private banks under the watch of other governments.


2008–2011 Icelandic financial crisis, Effects, Outside Iceland
However, the government argued that if the bill failed to pass, the UK and the Netherlands might retaliate by blocking a planned aid package for Iceland from the International Monetary Fund (IMF). Under the deal, up to 4% of Iceland's gross domestic product (GDP) will be paid to the UK, in sterling terms, from 2017 to 2023 while the Netherlands will receive up to 2% of Iceland's GDP, in euro terms, for the same period. Talks between Icelandic, Dutch and UK ministers in January 2010 dubbed as "Icesave" did not result in any specific actions being agreed upon.


2008–2011 Icelandic financial crisis, Official investigations, Special Investigation Commission
On 12 December 2008, the Althing established a Special Investigation Commission (SIC), which came to consist of Supreme Court Justice Páll Hreinsson who served as chairman, Parliamentary Ombudsman Tryggvi Gunnarsson and Sigríður Benediktsdóttir associate chair at Yale University, to investigate the causes and lessons of the crisis. The commission released its report on 12 April 2010.


2008–2011 Icelandic financial crisis, Official investigations, Icelandic criminal investigations
The Office of the Special Prosecutor was founded with the passage of a bill in the Icelandic parliament 10 December 2008. The aim was to investigate suspected criminal conduct leading up to, in connection with or in the wake of the banking crisis, whether these relate to the activities of financial undertakings, other legal entities or individuals, and, as appropriate, to follow up these investigations by bringing charges in court against those concerned.


2008–2011 Icelandic financial crisis, Official investigations, Icelandic criminal investigations
In February 2009, Ólafur Hauksson (b. Reykjavík 1964) was appointed; it was the Icelandic government's second attempt to appoint to the role, and Ólafur was one of only two applicants. He had previously been the police chief in Akranes. At the time the unit had four staff members; by September 2013 it had 109, with 140 cases under investigation. By that time, the top managers of all three Icelandic banks which collapsed during the financial crisis had been charged, though the cases progressed slowly.


2008–2011 Icelandic financial crisis, Official investigations, Icelandic criminal investigations
The last active investigation related to the financial crisis concluded in December 2017; 202 cases had been investigated in total over the period, with 23 of them ending up in court. By January 2018, 13 of the court cases ended with guilty verdicts, four with not guilty verdicts and six trials were still pending.


2008–2011 Icelandic financial crisis, Official investigations, Icelandic criminal investigations
The investigation has been focusing on a number of questionable financial practices engaged in by Icelandic banks:


2008–2011 Icelandic financial crisis, Official investigations, Arrests by UK Serious Fraud Office
On 9 March 2011, Robert and Vincent Tchenguiz were arrested in London by the UK's Serious Fraud Office as part of their ongoing investigation in conjunction with Iceland's Special Prosecutor's Office into the collapse of Icelandic Bank Kaupthing. Neither was, however, indicted, and in fact they sued the Serious Fraud Office for wrongful arrest, receiving large sums in compensation.


2008–2011 Icelandic financial crisis, Scrutiny of Icelandic business leaders
Since the crisis began, many of Iceland's business leaders, who had previously been considered financial gurus who greatly developed Iceland's economy, are now under intense public scrutiny for their roles in causing the financial crisis:


2008–2011 Icelandic financial crisis, Scrutiny of Icelandic business leaders
Reportedly, all of those under scrutiny are now rarely seen in public and some have apparently left the country. They are also reportedly the subjects of an ongoing investigation to determine if any of their business practices warrant criminal prosecution.


2008–2011 Icelandic financial crisis, Statements from former politicians
Former Prime Minister Davíð Oddsson has claimed that Iceland needs to investigate "unusual and unconventional loans" given by the banks to senior politicians during the years before the crisis.


2008–2011 Icelandic financial crisis, Statements from former politicians
Björn Bjarnson, the former Minister for Justice and Ecclesiastical Affairs, has started a blog detailing the problems with the business sector and the efforts to cover them up. This was cited as an example of how politicians and businessmen, who traditionally held a tight grip over the Icelandic media, have lost this control and that dozens of similar blogs have been created. Björn stated that:


2008–2011 Icelandic financial crisis, Statements from former politicians
"I have written a lot about problems in the business sector over the last 14 years, and I can only compare some parts of it to Enron. Here companies have been playing a game, using the media and publishing to make themselves look good. We only hope that the foreign media will soon begin to understand what has been going on".


2008–2011 Icelandic financial crisis, Political aftermath
Parts of the Icelandic public have arranged protests against the Central Bank, the Parliament and the government's alleged lack of responsibility before and after the crisis, attracting between 3000 and 6000 people (1–2% of Iceland's population) on Saturdays.


2008–2011 Icelandic financial crisis, Political aftermath
In early November 2008, the President of Iceland, Ólafur Ragnar Grímsson, at an informal lunch with foreign diplomats, criticized Iceland's traditional friends (particularly Britain, Sweden and Denmark) as well as the International Monetary Fund. According to a memo from the Norwegian embassy, he suggested that the Russians might want to use the Keflavík Air Base, the Russian ambassador replied that they had no need for it. The President is quoted to have said that Iceland would soon recover, even if they had to fight alone. The President does not necessarily agree with the government on these issues.


2008–2011 Icelandic financial crisis, Political aftermath
In October 2008, the UK PM Gordon Brown used provisions in part 2 of the Anti- Terrorism, Crime and Security Act 2001 to freeze Landsbanki holdings in the United Kingdom. Iceland's prime minister Geir Haarde protested against what he described as "a terrorist law being applied against us", calling it "a completely unfriendly act". Angered by the British decision, Iceland decided to submit a formal complaint to NATO about their move, and it also provoked more than 80,000 Icelanders (equal to 25% of its entire population) to sign an online petition set up under the heading "Icelanders are not terrorists".


2008–2011 Icelandic financial crisis, Political aftermath
The relationship got even tenser when UK replied a month later by cancelling its scheduled patrol of the Icelandic airspace in December 2008. Iceland has no standing army of its own, and relies on a long-term standing agreement with NATO where a group of member states have committed in turns to defend the Icelandic airspace, and the UK Royal Air Force had now cancelled this after mutual agreement with NATO (presumably with another member state having accepted the responsibility).


2008–2011 Icelandic financial crisis, Political aftermath
According to a poll from late November 2008, 64% were in favour of early elections, with only 29.3% opposed. In a poll from 22 November 2008, the Social Democratic Alliance led with 33.6%, followed by the Left-Green Alliance at 27.8% and the Independence Party at 24.8%; the Progressive Party and the Liberal Party were far behind, with only 6.3% and 4.3%, respectively.


2008–2011 Icelandic financial crisis, Political aftermath
As the Parliament met again on 20 January 2009, there were protests with reinvigorated force and escalation of conflict between protesters and the police. On 22 January, police used tear gas to disperse people on Austurvöllur (the square in front of the Alþing), the first such use since the 1949 anti-NATO protest.


2008–2011 Icelandic financial crisis, Political aftermath, Government resignation
Prime Minister Geir H. Haarde announced on 23 January 2009 that he would be stepping down as leader of the Independence Party for health reasons: he has been diagnosed as having a malignant oesophageal tumour. He said he would travel to the Netherlands around the end of January for treatment. Education Minister and Independence Party vice-chairman Þorgerður Katrín Gunnarsdóttir was to serve as Prime Minister in his absence. The leader of the Social Democratic Alliance, Foreign Minister Ingibjörg Sólrún Gísladóttir, was also unwell, undergoing treatment for a benign brain tumour since September 2008. The government recommended that elections be held on 9 May 2009.


2008–2011 Icelandic financial crisis, Political aftermath, Government resignation
Björgvin G. Sigurðsson, Iceland's Commerce Minister, resigned on 25 January, citing the pressures of the nation's economic collapse, as the country's political leaders failed to agree on how to lead country out of its financial crisis. One of his last acts as minister was to dismiss the director of the Financial Supervisory Authority (FSA). Björgvin acknowledged that Icelanders have lost faith in their government and political system. "I want to shoulder my part of the responsibility for that," he said.


2008–2011 Icelandic financial crisis, Political aftermath, Government resignation
Negotiations on continuing the coalition broke down the next day, apparently over demands from the Social Democratic Alliance to take over the leadership of the government, and Geir Haarde tendered the government's resignation to the President of Iceland, Ólafur Ragnar Grímsson. The President asked the present government to continue until a new government can be formed, and held talks with the five political parties represented in the Althing.


2008–2011 Icelandic financial crisis, Political aftermath, Government resignation
After these discussions, Ingibjörg Sólrún Gísladóttir of the Social Democratic Alliance and Steingrímur J. Sigfússon of the Left-Green Movement were asked by the President to negotiate the formation of a new coalition government. Such a coalition would be five seats short of an overall majority in the Althing, but the Progressive Party (seven seats) was expected to support the coalition without actually joining the government. Neither party leader became Prime Minister: instead, the position went to Jóhanna Sigurðardóttir of the Social Democratic Alliance, then the Minister of Social Affairs and Social Security, who became the new chairwoman of her party on 28 March 2009.


2008–2011 Icelandic financial crisis, Political aftermath, Government resignation
On 8 April 2009, former Prime Minister Geir H. Haarde stated that he was solely responsible for accepting controversial donations to the Icelandic Independence Party in 2006, ISK 30 million from the investment group FL Group, and ISK 25 million from Landsbanki.


2008–2011 Icelandic financial crisis, Political aftermath, Government resignation
Geir was strongly criticized in the April 2010 report of the Special Investigative Commission into the financial collapse, being accused of "negligence" along with three other ministers of his government. Iceland's parliament voted 33–30 to indict Geir, but not the other ministers, on charges of negligence in office at a session on 28 September 2010. He will stand trial before the Landsdómur, a special court to hear cases alleging misconduct in government office: it will be the first time the Landsdómur has convened since it was established in the 1905 Constitution. The trial began in Reykjavik on 5 March 2012. Geir Haarde was found guilty on one of four charges on 23 April 2012, for not holding cabinet meetings on important state matters. Landsdómur said Mr. Haarde would face no punishment, as this was a minor offence.


2008–2011 Icelandic financial crisis, Crisis resolution, Recovery starting in 2011
Iceland's financial position has steadily improved since the crash. The economic contraction and rise in unemployment appear to have been arrested by late 2010 and with growth under way in mid-2011. Four main factors have been important in this regard. First is the emergency legislation passed by the Icelandic parliament in October 2008. It served to minimise the impact of the financial crisis on the country. The Financial Supervisory Authority of Iceland used permission granted by the emergency legislation to take over the domestic operations of the three largest banks. The much larger foreign operations of the banks, however, went into receivership.


2008–2011 Icelandic financial crisis, Crisis resolution, Recovery starting in 2011
A second important factor is the success of the IMF Stand-By-Arrangement in the country since November 2008. The SBA includes three pillars. The first pillar is a program of medium term fiscal consolidation, involving painful austerity measures and significant tax hikes. The result has been that central government debts have been stabilised at around 80–90 percent of GDP. A second pillar is the resurrection of a viable but sharply downsized domestic banking system on the ruins of its gargantuan international banking system which the government was unable to bail out.


2008–2011 Icelandic financial crisis, Crisis resolution, Recovery starting in 2011
A third pillar is the enactment of capital controls and the work to gradually lift these to restore normal financial linkages with the outside world. An important result of the emergency legislation and the SBA is that the country has not been seriously affected by the European sovereign debt crisis from 2010.


2008–2011 Icelandic financial crisis, Crisis resolution, Recovery starting in 2011
Despite a contentious debate with Britain and the Netherlands over the question of a state guarantee on the Icesave deposits of Landsbanki in these countries, credit default swaps on Icelandic sovereign debt have steadily declined from over 1000 points prior to the crash in 2008 to around 200 points in June 2011. The fact that the assets of the failed Landsbanki branches were estimated to cover most of the depositor claims had an influence to ease concerns over the situation.


2008–2011 Icelandic financial crisis, Crisis resolution, Recovery starting in 2011
The third major factor behind the resolution of the financial crisis was the decision by the government of Iceland to apply for membership in the EU in July 2009. While views on the feasibility of EU membership are quite mixed in Iceland, this action has served to enhance the credibility of the country on international financial markets. One sign of the success of the above efforts is the fact that the Icelandic government was successfully able to raise $1 billion with a bond issue on 9 June 2011.


2008–2011 Icelandic financial crisis, Crisis resolution, Recovery starting in 2011
This development indicates that international investors have given the government and the new banking system, with two of the three biggest banks now in foreign hands, a clean bill of health. The first two major measures were implemented by the government of Geir H. Haarde but also carried out by the government of Johanna Sigurdardottir, which then took the step to apply for EU membership.


2008–2011 Icelandic financial crisis, Crisis resolution, Recovery starting in 2011
Finally, the fourth major factor was the sharp rise in foreign tourism, which pumped a large amount of money into the economy; this tourism boom was caused primarily by the 2010 eruptions of Eyjafjallajökull and the rise in popularity of Game of Thrones, which had some scenes that were filmed in Iceland.


2008–2011 Icelandic financial crisis, Crisis resolution, Recovery starting in 2011
Iceland has undertaken recapitalization of lenders such as injection of ISK 33 billion (2.1% of 2010 GDP) into Housing Financing Fund at the end of 2010, under a restructuring plan approved by the EFTSA.


2008–2011 Icelandic financial crisis, Crisis resolution, Aftermath (2012–2013)
By mid-2012 Iceland was regarded as one of Europe's recovery success stories. It has had two years of economic growth. Unemployment was down to 6.3% and Iceland was attracting immigrants to fill jobs. Currency devaluation effectively reduced wages by 50% making exports more competitive and imports more expensive. Ten-year government bonds were issued below 6%, lower than some of the PIIGS nations in the EU (Portugal, Italy, Ireland, Greece, and Spain). Tryggvi Thor Herbertsson, a member of parliament, noted that adjustments via currency devaluations are less painful than government labor policies and negotiations. Nevertheless, while EU fervor has cooled the government continued to pursue membership.


2008–2011 Icelandic financial crisis, Crisis resolution, Aftermath (2012–2013)
Iceland elected a new government in April 2013, which as one of their top priorities wanted to negotiate a debt haircut towards foreign creditors of the three failed Icelandic banks now in receivership, as part of a deal to lift the long enforced (since November 2008) capital controls. The current capital controls ban a swap/exchange of ISK denominated assets to foreign currency, and so by effect has trapped repayment of ISK denominated assets to the creditors – which in theory mean they should be interested to accept a haircut in return for getting the capital controls lifted.


2008–2011 Icelandic financial crisis, Crisis resolution, Aftermath (2012–2013)
The Icelandic government intent somehow to route the saved money from the negotiated debt haircut for creditors into a national household debt relief fund, enabling a 20% debt relief for all household mortgages. In July 2013, Standard & Poors recommended Iceland to drop the debt relief initiative, as it would only result in increased debt for the government – making it even more difficult to lend at credit markets, and it was forecasted also to ignite high inflation along with an economic recession equal to a GDP detraction of 10%. The government has nevertheless appointed a taskforce to present proposals on how best to achieve the government's goal about implementing a combined capital control abolition and debt relief for households, with a reporting deadline in October 2013. Capital controls were eventually ended in March 2017.


2008–2011 Icelandic financial crisis, Crisis resolution, Aftermath (2012–2013)
A significant amount of the capital trapped in Iceland by the capital controls was channelled into property investment, partly by the financial management company Gamma, and was one factor that fuelled rising property prices in Iceland after the crash.


2008–2012 California budget crisis
The U.S. state of California had a budget crisis in which it faced a shortfall of at least $11.2 billion, projected to top $40 billion over the 2009–2010 fiscal years.


2008–2012 California budget crisis, 2008
On September 23, 2008, about 3 months after its due date, Governor Arnold Schwarzenegger signed the 2008–2009 budget. Worsening financial conditions since 2003 left the state with a large shortfall.


2008–2012 California budget crisis, 2008
A two-thirds vote is required to pass a budget, and in both the original budget negotiations and in the attempt to revise the budget no political party by itself had enough votes to pass a budget. The majority Democrats fought to minimize cuts to programs, while most of the minority Republicans refused to accept any tax increase. The original budget was put together by Democrats and some Republicans using spending cuts, internal borrowing, and accounting maneuvers.


2008–2012 California budget crisis, 2008
In November 2008, Schwarzenegger proposed spending reductions including the following measures concerning state employees:


2008–2012 California budget crisis, 2008
In December 2008, Schwarzenegger ordered mandatory furloughs of two days per month for state employees, as well as "layoffs, reductions and other efficiencies" to achieve savings in the General Fund of up to 10%.


2008–2012 California budget crisis, 2009
Labor organizations filed lawsuits and took other actions in an attempt to stop the furloughs of state workers. On Jan. 29, 2009, a Superior Court Judge ruled that Schwarzenegger had emergency furlough power, and on February the 3rd District Court of Appeal in Sacramento said the appeal to the decision came too late and was incomplete, so judges were unable to determine if a halt to state furloughs is legally justified. As part of the furlough, various state offices were closed on the 1st and 3rd Fridays of every month from February 1, 2009 through June 30, 2010, which was estimated to save the State $1.3 billion.


2008–2012 California budget crisis, 2009
By February 2009 California State Controller John Chiang delayed $3.5 billion in state payments (such as state tax refunds) for at least 30 days because the state was experiencing cash flow difficulties.


2008–2012 California budget crisis, 2009
The state legislature passed a budget in February 2009 that depended on the voters approving tax extensions and money redirection into the general fund, which in May the voters did not approve. Governor Arnold Schwarzenegger then proposed $16 billion in cuts and also borrowing money from local governments. In the legislature, the Republicans agreed to lower the income of state employees, but the Democrats resisted these proposals and suggested increasing fees to be paid by smokers and oil wells. Neither party agreed to borrowing money from local governments.


2008–2012 California budget crisis, 2009
On April 1, 2009, the state sales and use tax was temporarily increased by one percentage point.


2008–2012 California budget crisis, 2009
The state had been selling bank-guaranteed short-term notes to get cash, but in June 2009 its credit rating was lowered. When the state asked for a federal guarantee of the notes, the Obama administration said it had no legal authority to back state notes and that the state should solve its own problems.


2008–2012 California budget crisis, 2009
On July 1, 2009, Schwarzenegger ordered state workers to take a third furlough day each month. On July 2, 2009, the state government began issuing IOUs to meet its short term financial obligations. Five days later, Bank of America, Citigroup, Wells Fargo, and JP Morgan Chase announced that they would stop accepting IOUs by July 10. Fitch Ratings dropped California's bond rating from A-minus to BBB.


2008–2012 California budget crisis, 2009
On July 24, 2009, the state government passed a budget that included $15 billion in service cuts, including $8.1 billion in education cuts. Eliminated from the final plan included proposals to borrow money from city and county governments and to drill for oil off the coast of Santa Barbara. Chiang announced in August 2009 that the IOU program would end the next month and that California would pay off 327,000 IOUs worth almost $2 billion.


2008–2012 California budget crisis, 2009
The budget crisis led to cutbacks and many layoffs at state universities in California. In order to curb the budget shortfalls, the California Board of Regents voted on a 32% raise in all tuition costs for state universities. This led to the 2009 California college tuition hike protests.


2008–2012 California budget crisis, From 2012 and into 2013
With the passage of Proposition 30 in 2012 and a steadily improving economy, for the first time in many years, California Governor Jerry Brown's proposed budget plan for 2013 listed a small surplus.


2008–2012 California budget crisis, Causes of budget deficit
A major source of the deficit was a decline in state revenues from more than $100 billion in 2007 to about $85 billion in 2008—mostly due to declines in personal income taxes, corporate taxes and other taxes.


2008–2012 California budget crisis, Causes of budget deficit, Required legislative supermajorities
News reports and commentators have cited the state's various legislative supermajority requirements as a contributing factor to the state budget crisis. The state has a long history of supermajority requirements with a 1933 state ballot measure mandating a two-thirds supermajority to pass the state budget and California Proposition 13 (1978) mandating another two-thirds supermajority to pass tax increases.


2008–2012 California budget crisis, Causes of budget deficit, Required legislative supermajorities
The National Conference of State Legislatures (NCSL) notes that, as of 2008, only 9 states required a supermajority to pass the state budget and of those 9, only 3 (California, Arkansas, and Rhode Island) required a two-thirds supermajority instead of a three-fifths supermajority to pass the state budget. The NCSL also notes that, as of 2008, 15 states required a supermajority to raise taxes and that California was among the 10 of those 15 that require more than a three-fifths supermajority (i.e., a 2/3 or 3/4 supermajority).


2008–2012 California budget crisis, Causes of budget deficit, Required legislative supermajorities, Reforms
Proponents of ending the state's supermajority requirements note that "Since 1980, the California State Legislature has met the June 15 constitutional deadline for sending a budget to the governor only five  times (of thirty budget periods). Only ten times has the brokering been done by the July 1 start of the fiscal year." They sponsored California Proposition 25 (2010), a ballot initiative that changes legislative vote requirements to pass a budget, but not tax increases, from two-thirds to a simple majority. California Proposition 25 (2010) was approved in the state's November 2010 general election ballot.


2008–2012 Cyprus talks
The 2008-2012 Cyprus talks were held as part of the long-going peace process, in order to resolve the Cyprus dispute. The talks failed to achieve their goals. An opinion poll conducted in 2010 reported that 84% of Greek Cypriots and 70% of Turkish Cypriots assumed that: "the other side would never accept the actual compromises and concessions that are needed for a fair and viable settlement". At the beginning of 2013, Cyprus negotiations were suspended because of a change of government in the Greek Cypriot community of Cyprus.


2008–2012 Cyprus talks, 2008 elections in the Republic of Cyprus
In the 2008 presidential elections, Papadopoulos was defeated by AKEL candidate Dimitris Christofias, who pledged to restart talks on reunification immediately. Speaking on the election result, Mehmet Ali Talat stated that "this forthcoming period will be a period during which the Cyprus problem can be solved within a reasonable space of time – despite all difficulties – provided that there is will". Christofias held his first meeting as president with the Turkish Cypriot leader on 21 March 2008 in the UN buffer zone in Nicosia.


2008–2012 Cyprus talks, 2008 elections in the Republic of Cyprus
At the meeting, the two leaders agreed to launch a new round of "substantive" talks on reunification, and to reopen Ledra Street, which has been cut in two since the intercommunal violence of the 1960s and has come to symbolise the island's division. On 3 April 2008, after barriers had been removed, the Ledra Street crossing was reopened in the presence of Greek and Turkish Cypriot officials.


2008–2012 Cyprus talks, Preparatory talks
A first meeting of the technical committees was set to take place on 18 April 2008. Talat and Christofias met socially at a cocktail party on 7 May 2008, and agreed to meet regularly to review the progress of the talks so far. A second formal summit was held on 23 May 2008 to review the progress made in the technical committees.


2008–2012 Cyprus talks, Preparatory talks
At a meeting on 1 July 2008, the two leaders agreed in principle on the concepts of a single citizenship and a single sovereignty, and decided to start direct reunification talks very soon; on the same date, former Australian foreign minister Alexander Downer was appointed as the new UN envoy for Cyprus. Christofias and Talat agreed to meet again on 25 July 2008 for a final review of the preparatory work before the actual negotiations would start. Christofias was expected to propose a rotating presidency for the united Cypriot state. Talat stated he expected they would set a date to start the talks in September, and reiterated that he would not agree to abolishing the guarantor roles of Turkey and Greece.


2008–2012 Cyprus talks, Preparatory talks
After the conclusion of negotiations, a reunification plan would be put to referendums in both communities.


2008–2012 Cyprus talks, Preparatory talks
In December 2008, the Athenian socialist daily newspaper To Vima described a "crisis" in relations between Christofias and Talat, with the Turkish Cypriots beginning to speak openly of a loose "confederation", an idea strongly opposed by South Nicosia. Tensions were further exacerbated by Turkey's harassment of Cypriot vessels engaged in oil exploration in the island's Exclusive Economic Zone, and by the Turkish Cypriot leadership's alignment with Ankara's claim that Cyprus has no continental shelf.


2008–2012 Cyprus talks, Preparatory talks
On 29 April 2009, Talat stated that if the Court of Appeal of England and Wales (that will put the last point in the Orams' case) makes a decision just like in the same spirit with the decision of European Court of Justice (ECJ) then the Negotiation Process in Cyprus will be damaged in such a way that it will never be repaired once more. The European Commission warned the Republic of Cyprus not to turn Orams' case legal fight to keep their holiday home into a political battle over the divided island.


2008–2012 Cyprus talks, Preparatory talks
On 31 January 2010, United Nations Secretary-General Ban Ki-moon arrived in Cyprus to accelerate talks aimed at reuniting the country.


2008–2012 Cyprus talks, Preparatory talks
The election of nationalist Derviş Eroğlu of the National Unity Party as president in Northern Cyprus on 18 April is expected to complicate reunification negotiations. Talks were resumed after the elections in late May, however, and Eroǧlu stated on 27 May 2010 he was now also in favour of a federal state, a change from his previous positions.


2008–2012 Cyprus talks, Preparatory talks
In early June 2010, talks reached an impasse and UN Special Advisor Alexander Downer called on the two leaders to decide whether they wanted a solution or not.


2008–2012 Cyprus talks, Tripartite meetings
On 18 November 2010, 1st tripartite meeting (Ban, Christofias, Eroglu) occurred in New York City without any agreement over the main issues.


2008–2012 Cyprus talks, Tripartite meetings
On 26 January 2011, 2nd tripartite meeting (Ban, Christofias, Eroglu) occurred in Geneva, Switzerland without any agreement over the main issues.


2008–2012 Cyprus talks, Tripartite meetings
In March 2011, United Nations Secretary-General Ban Ki-moon reported, "The negotiations cannot be an open-ended process, nor can we afford interminable talks for the sake of talks".


2008–2012 Cyprus talks, Tripartite meetings
On 18 March 2011, Greek Cypriots and Turkish Cypriots realised 100th negotiation since April 2008 without any agreement over the main issues.


2008–2012 Cyprus talks, Tripartite meetings
By mid-2011, there was a renewed push for an end to negotiations by the end of 2011 in order to have a united Cyprus take over the EU presidency on 1 July 2012.


2008–2012 Cyprus talks, Tripartite meetings
On 7 July 2011, the 3rd tripartite meeting (Ban, Christofias, Eroglu) occurred in Geneva, Switzerland without any agreement over the main issues.


2008–2012 Cyprus talks, Tripartite meetings
On 30–31 October 2011, the 4th tripartite meeting (Ban, Christofias, Eroglu) occurred in New York City without any agreement over the main issues. Ban said that the talks are coming to an end.


2008–2012 Cyprus talks, Tripartite meetings
On 23–24 January 2012, the 5th tripartite meeting (Ban, Christofias, Eroglu) occurred in New York City without any agreement over the main issues. Ban said "I will be providing a report to the Security Council on the status of the negotiations at the end of February. At the end of March, I will seek a review of the process from my Special Adviser, Alexander Downer. If his report is positive, consistent with relevant Security Council resolutions and following consultations with the two sides, I intend to call a multilateral conference in late April or early May".


2008–2012 Cyprus talks, Tripartite meetings
On 21 April 2012, United Nations Secretary-General Ban Ki-moon said "there is not enough progress on core issues of reunification talks for calling an international conference". International observers qualified the situation as the "collapse of reunification talks", "last chance for Cyprus reunification lost", "UN-led rounds of talks have failed" and the "failure of UN Cyprus campaign for reunification". On 27 April 2012, Special Advisor of the Secretary-General Alexander Downer said "If the Greek Cypriot and Turkish Cypriot Leaders cannot agree with each other on a model for a united Cyprus, then United Nations cannot make them".


2008–2012 Cyprus talks, Breakdown of talks
At the end of September 2012, Turkish Republic of Northern Cyprus President Dervis Eroglu said that joint committees with the Greek Cypriot side had been set up to take confidence-building measures.


2008–2012 Cyprus talks, Breakdown of talks
In 2012, the European Union(EU)-funded project "Reconciliation and Peace Economics in Cyprus" found that "There was little hope for a settlement in the island and the UN-sponsored talks again failed".


2008–2012 Cyprus talks, Breakdown of talks
At the beginning of 2013, Cyprus negotiations were suspended because of a change of government in the Greek Cypriot community of Cyprus.


2008–2012 Cyprus talks, Aftermath
On 29 May 2013, President of Rep. of Cyprus, Anastasiades, said "Any new round of talks will not begin from the point they ended in 2012". On 11 February 2014, Alexander Downer, UN Secretary-General's special adviser, stepped down.


2008–2012 Cyprus talks, Aftermath
In February 2014, the Greek and Turkish Cypriot leaders declared a Joint Communique. leading to a new round of talks.


2008–2012 legislature of the Romanian Parliament
In Romania's 2008 legislative election, held on 30 November, no party won an outright majority. The Democratic Liberal Party won the largest number of seats, closely followed by the Social Democratic Party + Conservative Party Alliance. It was thought that the third-placed National Liberal Party would hold the key for the new government. It asked for the post of Prime Minister in its negotiations with the two parties.


2008–2012 legislature of the Romanian Parliament
In the end, the Democratic Liberal Party and Social Democratic Party signed a coalition agreement, with Theodor Stolojan as Prime Minister designate. Two days later, inexplicably, Stolojan renounced this designation, and was quickly replaced by Emil Boc, Democratic Liberal Party president and incumbent Mayor of Cluj-Napoca. The National Liberal Party, Democratic Union of Hungarians in Romania, and the 18 Minorities Parties formed the Parliamentary Opposition.


2008–2012 legislature of the Romanian Parliament
The coalition originally had approximately 70% Parliament support, but the Social Democrats pulled out of the coalition on 1 October 2009, in protest of the sacking of interior minister Dan Nica, and the government fell in a vote of no confidence on 13 October.


2008–2012 legislature of the Romanian Parliament, Senate
The President of the Senate for this legislature was Mircea Geoană, former president of the Social Democratic Party, between 19 December 2008 and 23 November 2011. He was replaced by Vasile Blaga on 28 November 2011. In 3 July 2012, Crin Antonescu replaced Blaga at the Senate Presidency. During Antonescu's tenure as interim President, the business of the Senate was carried by Vice President Petru Filip. Filip switched parties from the Democratic Liberal Party (PDL) to the Social Democratic Party (PSD) during the no confidence vote for the Ungureanu Cabinet. He also served as interim President of the Senate between the removal from office of Geoană and Blaga's election in 2011. At that time he was a PDL Vice President.


2008–2012 legislature of the Romanian Parliament, Chamber of Deputies
On 19 December 2008, Roberta Anastase was elected President of the Chamber of Deputies as  a member of Democratic Liberal Party. She was removed from office on 3 July 2012, and replaced by Valeriu Zgonea, Chamber Vice President at that time.


2008–2012 legislature of the Romanian Parliament, Chamber of Deputies
During the 2009 Spring Session of the Parliament, two Inquiry Committees were constituted, along with an Inquiry Sub-Committee. One Committee was formed to examine Minister of Youth and Sport Monica Iacob-Ridzi, regarding her possible misuse of money spent on Youth Day festivities. The other investigated Minister of Environment and Sustainable Development, Nicolae Nemirschi, regarding the possible misuse of money spent by his Ministry on the promotion of Governmental Programs. The Sub-Committee was formed to review former Prime Minister Călin Popescu-Tăriceanu, regarding the possible fraudulent allocation of oil drilling rights in the Snake Island area, recently gained by Romania.


2008–2012 legislature of the Romanian Parliament, Chamber of Deputies
The Chamber of Deputies was called in an Extraordinary Session in July to receive the reports of the Ridzi Inquiry Committee and Tăriceanu Inquiry Sub-Committee, and the formation of a new Inquiry Committee for the Minister of Tourism, Elena Udrea, regarding the possible misuse of money spent by her Ministry on tourism ads.


2008–2014 Spanish financial crisis
The 2008–2014 Spanish financial crisis, also known as the Great Recession in Spain or the Great Spanish Depression, began in 2008 during the world financial crisis of 2007–08. In 2012, it made Spain a late participant in the European sovereign debt crisis when the country was unable to bail out its financial sector and had to apply for a €100 billion rescue package provided by the European Stability Mechanism (ESM).


2008–2014 Spanish financial crisis
The main cause of Spain's crisis was the housing bubble and the accompanying unsustainably high GDP growth rate. The ballooning tax revenues from the booming property investment and construction sectors kept the Spanish government's revenue in surplus, despite strong increases in expenditure, until 2007. The Spanish government supported the critical development by relaxing supervision of the financial sector and thereby allowing the banks to violate International Accounting Standards Board standards.. The banks in Spain were able to hide losses and earnings volatility, mislead regulators, analysts, and investors, and thereby finance the Spanish real estate bubble. The results of the crisis were devastating for Spain, including a strong economic downturn, a severe increase in unemployment, and bankruptcies of major companies.


2008–2014 Spanish financial crisis
Even though some fundamental problems in the Spanish economy were already evident far ahead of the crisis, Spain continued the path of unsustainable property led growth when the ruling party changed in 2004. In these early times Spain had already a huge trade deficit, a loss of competitiveness against its main trading partners, an above-average inflation rate, house price increases, and a growing family indebtedness. During the third quarter of 2008 the national GDP contracted for the first time in 15 years, and, in February 2009, Spain (and other European economies) officially entered recession. The economy contracted 3.7% in 2009 and again in 2010 by 0.1%. It grew by 0.7% in 2011. By the 1st quarter of 2012, Spain was officially in recession once again. The Spanish government forecast a 1.7% drop for 2012.


2008–2014 Spanish financial crisis
The provision of up to €100 billion of rescue loans from eurozone funds was agreed by eurozone finance ministers on 9 June 2012. As of October 2012, the so-called Troika (European Commission, ECB and IMF) is in negotiations with Spain to establish an economic recovery program required for providing additional financial loans from ESM. In addition to applying for a €100 billion bank recapitalization package in June 2012, Spain negotiated financial support from a "Precautionary Conditioned Credit Line" (PCCL) package. If Spain applies and receives a PCCL package, irrespective to what extent it subsequently decides to draw on this established credit line, this would at the same time immediately qualify the country to receive "free" additional financial support from ECB, in the form of some unlimited yield-lowering bond purchases.


2008–2014 Spanish financial crisis
The turning point for the Spanish sovereign debt crisis occurred on 26 July 2012, when ECB President Mario Draghi said that the ECB was "ready to do whatever it takes to preserve the euro". Announced on 6 September 2012, the ECB's Outright Monetary Transactions (OMT) program of unlimited purchases of short-term sovereign debt put the ECB's balance sheet behind the pledge. Speculative runs against Spanish sovereign debt were discouraged and 10-year bond yields stayed below the 6% level, approaching the 5% level by the end of 2012.


2008–2014 Spanish financial crisis, Property bubble
The residential real estate bubble saw real estate prices rise 200% from 1996 to 2007.


2008–2014 Spanish financial crisis, Property bubble
€651 billion was the mortgage debt of Spanish families in the second quarter of 2005 (this debt continued to grow at 25% per year – 2001 through 2005, with 97% of mortgages at variable rate interest). In 2004, 509,293 new properties were built in Spain and in 2005 the number of new properties built was 528,754. In a country with 16.5 million families, there were 22–24 million houses and 3–4 million empty houses. From all the houses built over the 2001–2007 period, "no less than 28%" were vacant as of late 2008.


2008–2014 Spanish financial crisis, Property bubble
House ownership in Spain is above 80%. The desire to own one's own home was encouraged by governments in the 60s and 70s, and has thus become part of the Spanish psyche. In addition, tax regulation encourages ownership: 15% of mortgage payments are deductible from personal income taxes. Even more, the oldest apartments are controlled by non-inflation-adjusted rent-controls and eviction is slow, therefore discouraging renting.


2008–2014 Spanish financial crisis, Property bubble
When the speculative bubble popped Spain became one of the worst affected countries. According to Eurostat, between June 2007 and June 2008, Spain has been the European country with the sharpest plunge in construction, with actual sales down an average 25.3%. So far, some regions have been more affected than others (Catalonia was ahead in this regard with a 42.2% sales plunge while sparsely populated regions like Extremadura were down a mere 1.7% over the same period).


2008–2014 Spanish financial crisis, Property bubble
Banks offered 40-year mortgages and, more recently, 50-year mortgages. While some observers suggest that a soft landing will occur, others suggest that a crash in prices is probable. Lower home prices will allow low-income families and young people to enter the market; however, there is a strong perception that house prices never go down. As of August 2008, while new constructions have come virtually to a halt, prices have not had significant movements, neither up nor downwards. The national average price as of late 2008 is 2,095 euros/m2.


2008–2014 Spanish financial crisis, Property bubble
Housing priceswere projected to fall another 25%. Government protections allow banks to avoid marking-to-market to postpone losses. "Spanish housing prices are now falling at the fastest pace on record" dropping 15.2% over the last year. Mortgage holders must continue to pay the debt even after a foreclosure. Banks have begun to accept "deed-in-lieu deals" in which the debt is cancelled if the property is surrendered, allowing the bank to quickly sell and recoup a greater percentage of the loan or turn the property into a rental.


2008–2014 Spanish financial crisis, Property bubble
Some developments resemble ghost towns. For instance, the town of Valdeluz was constructed for 30,000 people, but had a population of only 700 people in 2011. Ghost airports such as €1.1 billion Ciudad Real Central Airport, Castellón-Costa Azahar Airport and others were built.


2008–2014 Spanish financial crisis, Prices
Due to the lack of its own resources, Spain has to import all of its fossil fuels, which in a scenario of record prices added much pressure to the inflation rate. Thus, in June 2008 the inflation rate reached a 13-year high of 5.00%.


2008–2014 Spanish financial crisis, Prices
Then, with the dramatic decrease of oil prices that happened in the second half of 2008 plus the confirmed burst of the property bubble, concerns quickly shifted to the risk of deflation instead, as Spain registered in January 2009 its lowest inflation rate in 40 years which was then followed in March 2009 by a negative inflation rate for the first time ever since this statistic was recorded.


2008–2014 Spanish financial crisis, Prices
As of October 2010, the Spanish economy has continued to contract, resulting in decreasing GDP and increasing inflation. From 2011 to 2012 alone, prices rose 3.5% as compared to 2% in the United States. The rise in prices, combined with the recently implemented austerity measures and extremely high unemployment, are heavily impacting the livelihood of Spanish citizens. As the average wage decreases, the buying power of the money decreases as well. The frustration of this decreases in buying power has manifested in several, very large, worker demonstrations.


2008–2014 Spanish financial crisis, Spanish banking system
The Spanish banking system had been credited as one of the most solid and best equipped among all Western economies to cope with the worldwide liquidity crisis, thanks to the country's conservative banking rules and practices. Banks are required to have high capital provisions and demand various proofs and securities from intending borrowers. Nevertheless, this practice was greatly relaxed during the housing bubble, a trend to which the regulator (Banco de España) turned a blind eye.


2008–2014 Spanish financial crisis, Spanish banking system
Spain's unusual accounting standards, intended to smooth earnings over the business cycle, have misled regulators and analysts by hiding losses and earnings volatility. The accounting technique of "dynamic provisioning", which violated the standards set by the International Accounting Standards Board, obscured capital cushions until they were depleted, allowing the appearance of health as problems mounted.


2008–2014 Spanish financial crisis, Spanish banking system
It was later revealed that nearly all the Spanish representatives in Congress had large investments in the housing sector, some owning up to twenty houses. Over time, more and more news has emerged about the informal alliance between Spanish central and regional governments, the banking sector (bear in mind for example the recent government pardon of the second in command at the Santander Bank, while all the major parties are strongly indebted with banks, and such debts are extended from time to time) which increased the bubble size over the years. Most regional semi-public savings banks (cajas) lent heavily to real estate companies that at the end of the bubble went bankrupt, then the cajas found themselves left with the collateral and properties of those companies, namely overpriced real state and residential-zoned land, now worthless, rendering the cajas in essence bankrupt.


2008–2014 Spanish financial crisis, Spanish banking system
In stark contrast to countries like Ireland, no nationalization took place. Instead the problem was rolled-over with the extension of the remaining real estate companies debts, while the central government bailed once and again banks and cajas alike. For more than three years, there has been a steady process of bank concentration. Spain had the densest bank-office net in Europe, which led many bank employees to be dismissed. By contrast, the bank Board of Members have mostly kept their jobs, even those in merged entities. Golden parachutes have been prevalent: it has been speculated that this was because of fear that laid-off senior members would talk about the sector's rampant malpractice. To this date no bankers have been legally charged for having roles in this process.


2008–2014 Spanish financial crisis, Spanish banking system
In May 2012 credit ratings of several Spanish banks were downgraded, some to "junk" status. The Bankia bank, the country's largest mortgage lender, was nationalized on 9 May, and on 25 May it announced that it would require a bailout of €23.5 billion to cover losses from failed mortgages.


2008–2014 Spanish financial crisis, Spanish banking system
In addition to Spanish banks, other European banks have a sizable presence in Spain. German banks lead with an exposure of $146 billion. Germany's Landesbanks "rushed in" during the early 2000s. Barclays, Deutsche Bank, and ING have large Spanish units.


2008–2014 Spanish financial crisis, Spanish banking system
On 9 June 2012 Eurozone finance ministers agreed that Spanish banks would be provided with up to €100 billion of rescue loans. This money is to be distributed via the Fund for Orderly Bank Restructuring, and that the exact amount to be loaned would be determined after audits of the banks. EC President Jose Manuel Barroso and vice-president Olli Rehn welcomed the move, praising the combination of a "thorough restructuring of the banking sector", structural reforms, and fiscal consolidation; U.S. Treasury Secretary Timothy Geithner also welcomed the move.


2008–2014 Spanish financial crisis, Spanish banking system
Recent bank stress tests will enable the Spanish government to make a formal request for the €100 billion credit line. Further analysis and tests will be undertaken prior to restructuring and recapitalization over the next year. Restrictions on the credit line exempting funds from covering "legacy assets" suggests limits to the planned banking bailouts.


2008–2014 Spanish financial crisis, Spanish banking system
In May 2012, Spanish banks lent €1.66 trillion to the private sector and took in €896 billion. Historically it would borrow the difference from foreign banks (i.e., interbank lending) but reduced access has led to a greater reliance on ECB loans. Spanish banks borrowed a record €376 billion (net) from the ECB in July 2012. Depositors are fleeing Spanish banks; deposits have dropped 4.7% from June to July (2012) as money is moved abroad.


2008–2014 Spanish financial crisis, Spanish banking system
On 28 November 2012, the European Commission approved the Spanish government's plan to shrink and restructure three major Spanish banks—Bankia, NCG Banco, and Catalunya Banc—and sell a fourth, Banco de Valencia. This is part of a €37 billion EC bailout or restructuring approved in June. It includes loss-taking by investors of up to €10 billion, the creation of a "bad bank" to absorb up to €45 billion of failed loans, closing thousands of bank branches, and reducing staff.


2008–2014 Spanish financial crisis, Employment crisis
After having completed substantial improvements over the second half of the 1990s and during the 2000s, which put a few regions on the brink of full employment, Spain suffered a severe setback in October 2008, when it saw its unemployment rate surging to 1996 levels. Between October 2007 and October 2008, Spain had its unemployment rate climb 36%, exceeding by far the unemployment surge of past economic crises like 1993. In particular, in October 2008, Spain suffered its worst unemployment rise ever recorded and, the country has suffered Europe's biggest unemployment crisis during the 2008 crisis.


2008–2014 Spanish financial crisis, Employment crisis
Spain's unemployment rate hit 17.4% at the end of March 2009, with the jobless total now having doubled over the past 12 months, when two million people lost their jobs. In this same month, Spain had over 4 million people unemployed, By July 2009, it had shed 1.2 million jobs in one year and was to have the same number of jobless as France and Italy combined. By March 2012, Spain's unemployment rate reached 24.4%, twice the eurozone average.


2008–2014 Spanish financial crisis, Employment crisis
In 2012, unions organized a general strike to protest proposals to weaken union power, enable cuts in wages, and lower firing costs.


2008–2014 Spanish financial crisis, Employment crisis
By the end of 2012, Spain's unit labor costs improved. It narrowed the gap with Germany by 5.5% and 4.6% with respect to France. Spain's policy of internal devaluation cut public sector salaries by 5% with an additional 7.1% cut consisting of a suspension of the "14-month bonus".


2008–2014 Spanish financial crisis, Employment crisis
Spain, as in other southern European nations, relies heavily on the inter-generational family structure for a significant portion of the social safety net. Employment expectations should be adjusted for this cultural ethos. The unemployment rate for the "principal breadwinner" is 12.4% less than the 25% overall rate (June 2012.) Employment is also found in the underground economy, which is estimated to be as large as 20% of the economy during the boom years.


2008–2014 Spanish financial crisis, Employment crisis, Youth unemployment
Unemployment for those under 25 has been reported to be 50%. Spain's current generation is considered the most educated that the country has ever had, yet it faces the greatest rate of unemployment in Europe. Roughly 68% of young people are willing to leave the country to search for a job, and those with college degrees are willing to settle for working at so-called minijobs for a paycheck.


2008–2014 Spanish financial crisis, Employment crisis, Youth unemployment
The State Secretary for Unemployment states that higher education is a way for the current generation to battle this issue; however, government cuts are occurring that slash university staff salaries and increase the number of students per class. For those paying their own way through college, the tough economy has made it nearly impossible to find a job and study simultaneously. Hopes for the future are dwindling as Spain's unemployment rate is almost as high as it was for the United States during the Great Depression.


2008–2014 Spanish financial crisis, Employment crisis, Youth unemployment
People are beginning to fear the transformation of this generation into one referred to as a "Lost Generation" that is constantly looking for work and whose futures are closed off from "good careers". The stress of unemployment has also affected personal relationships, with many young adults separating from partners. Youth unemployment is about double overall unemployment.


2008–2014 Spanish financial crisis, Employment crisis, Youth unemployment
The high unemployment rate, at 56% as of June 2013, is overstated. Subtracting students and young mothers not looking for jobs, the actual number is closer to 22%.


2008–2014 Spanish financial crisis, Employment crisis, From immigration to emigration
Large-scale immigration continued throughout 2008 despite severe unemployment, but by 2011 the OECD confirmed that the total number of people leaving the country (Spaniards and non-Spaniards) had over taken the number of arrivals. Spain is now a net emigrant country. There are now indications that established immigrants have begun to leave, although many that have are still retaining a household in Spain due to the poor conditions that exist in their country of origin.


2008–2014 Spanish financial crisis, Employment crisis, From immigration to emigration, Tourism
As the financial crisis was getting started in Spain, it was already underway in the United States and other western countries. The decrease in disposable income of consumers led to a sharp decrease in Spain's tourist industry, a rarity in a country with so many coastal towns. Indeed, the EU as a group saw a decline in tourists coming to their countries in 2008 and 2009, with −13% tourism growth in coastal Spain. Despite its traditional popularity with Korean and Japanese tourists, the relatively expensive cost of holidaying in Spain led many to pursue "sun and beach" Mediterranean getaways in Turkey, Spain's tourism rival.


2008–2014 Spanish financial crisis, Employment crisis, From immigration to emigration, Tourism
However, Spain has also seen the largest growth in tourism since 2011 and 2012. Its geographic advantages, the Arab Spring, and other non-economic factors are contributing to its resurgence as a tourist destination. While Spain's economy itself is not doing well, purchasing power parity is generally rising again. Furthermore, violent unrest in North Africa and the Middle East is redirecting tourists towards stable countries like Spain.


2008–2014 Spanish financial crisis, Public debt
Spain entered crisis period with a relatively modest public debt of 36.2% of GDP. This was largely due to ballooning tax revenue from the housing bubble, which helped accommodate a decade of increased government spending without debt accumulation. In response to the crisis, Spain initiated an austerity program consisting primarily of tax increases. Prime Minister Mariano Rajoy announced on 11 July 2012 €65 billion of austerity, including cuts in wages and benefits and a VAT increase from 18% to 21%. The government eventually succeeded to reduce its budget deficit from 11.2% of GDP in 2009 to 8.5% in 2011 and it is expected to fall further to 5.4% in 2012.


2008–2014 Spanish financial crisis, Public debt
As of 15 June 2012, Spain's public debt stood at 72.1% of GDP, still less than the Euro-zone average of 88%. If Spain uses the €100 billion credit line to bail out its banks, its debt will approach 90% of GDP. To avoid this, the EU has pledged to lend to banks directly although it now appears that the Spanish government may have to guarantee the loans.


2008–2014 Spanish financial crisis, Public debt
In June 2012, the Spanish 10-year government bond reached 7%, 5.44% over the German 10-year bond. As Spanish credit default swaps (CDS) hits a record high of 633 basis points and the 10-year bond yield at 7.5% (23 July 2012) Spain's economic minister travels to Germany to request that the ECB facilitate government bond purchases to "avoid an imminent financial collapse". Promised borrowing by the ECB has enabled Spain's 10-year yield to stay below or close to the 6% level and settling below the 5% level in the spring of 2013.


2008–2014 Spanish financial crisis, Ratings
For the third time in 13 months, Moody's Investors Service has cut Spain's rating. On 18 October 2011 Moody's Rating cut Spain's rating by 2 notches to A1 from Aa2 with the outlook remaining negative. Standard and Poor's has downgraded Spain on 14 October 2011 and Fitch Ratings cut it to the same level on 7 October 2011. On 14 June 2012, Moody's downgraded Spain to Baa3, just one notch above "junk". Standard and Poor's downgraded Spain to BBB- (one notch above junk) on 11 October 2012.


2008–2014 Spanish financial crisis, Ratings
DBRS downgraded Spain to single-A, which remains higher than the major credit rating agencies. This rating allows the ECB to use a lower margin for banks that borrow with Spanish debt as collateral. After a recent review, Moody's maintained Spain's investment-grade credit rating, removing the pressure on the country's debt. This decision by Moody's assures that Spanish bonds will continue to gain investor support; yields feel 5.50%, a level last seen in April. Although Moody's can still downgrade the country's ratings in the future, the decision to not downgrade will encourage the buying of Spain's bonds.


2008–2014 Spanish financial crisis, 2012 financial bailout
On 9 June 2012 the Eurogroup held an emergency meeting to discuss how to inject capital into Spanish banks. The IMF estimated the capital needs of the Spanish banks to be about 40 billion euros. The Eurogroup announced intentions to provide up to 100 billion euro to the Fund for Orderly Bank Restructuring to the Spanish government. The Spanish government is then expected to give the appropriate amount of money to the respective banks. On 21 June 2012 it was decided that 62 billion euros would be shared among the Spanish banks in need.


2008–2014 Spanish financial crisis, 2012 financial bailout
The European Union warned that rescued banks are subject to control and Union experts would meet stringent requirements. Since then, the country's borrowing costs have reached levels deemed unsustainable in the long run, raising the prospect of a second aid program for Madrid following the 100 billion euro lifeline it obtained for its banks in June. Spain expects the European Commission, to approve the restructuring plans of the banks needing aid on 15 November 2012 and then to authorize the disbursal of the first credit line of up to 100 billion euros within three weeks after that.


2008–2014 Spanish financial crisis, 2012 financial bailout
A larger economy than other countries which have received bailout packages, Spain had considerable bargaining power regarding the terms of a bailout. Due to reforms already instituted by Spain's conservative government less stringent austerity requirements are included then was the case with earlier bailout packages for Ireland, Portugal, and Greece.


2008–2014 Spanish financial crisis, 2012 financial bailout
As the EU's fifth largest economy, Spain remains a large concern. In 2011 Mariano Rajoy took over the government with his conservative views, pushing out José Luis Rodríguez Zapatero and his left-wing views. Trying to get Spain out of the highest unemployment rate in the European Union was proven to be harder than expected. The bailout for Spain has been estimated to not be enough to restore the economy. There is a serious debt in the country, and substantial cuts would have to be put in place to restore the economy at this point.


2008–2014 Spanish financial crisis, 2012 financial bailout
Many youths are trying to find jobs abroad, creating a problem for the future domestic economy and job market. Rajoy recently proposed a new budget for 2013 that would be very different and would cut government spending by 8.9%. By April 2013, unemployment had risen to 27%, but is now around 15% – 16.1% as of February 2018 and is one of Europe's fastest growing economies, thus demonstrating that the country is improving.


2008–2014 Spanish financial crisis, Separatist movements
One effect of the financial crisis is an increase in support for independence in Catalonia. The Statute of Autonomy included a package of laws that gave more power to the region and would have recognized Catalonia as a nation, although one still within Spain. As with the rest of Spain, Catalonia has had high levels of unemployment. As many as 22% of the economically active population, which is still lower than Spain's national jobless rate, yet higher than Madrid. In 2010, Spain's Constitutional Court weakened the Statute of Autonomy for Catalonia, which further irritated Catalan secessionist organization.


2008–2014 Spanish financial crisis, Separatist movements
The 2015 regional election was the first to produce a majority for openly separatist parties. Prime Minister Mariano Rajoy insisted that Spain's constitution does not allow a region to secede. Spain's Basque Country unsuccessfully tried to get such a move approved in Parliament in 2008. Catalan president Artur Mas instead scheduled an independence referendum for 2014, which was downgraded to being a more informal ballot after further intervention by the Constitutional Court. The dispute remains unresolved, as of March 2015.


2008–2016 United States ammunition shortage
The 2008–2016 United States ammunition shortage was a shortage of civilian small arms ammunition in the United States that started in late 2008, and continued through most or all of 2010, with an additional shortage beginning in December 2012 and continuing throughout 2013.


2008–2016 United States ammunition shortage
The 2008 election of President Barack Obama triggered increased sales of both firearms and ammunition. USA Today reported that in Wyoming, the "run on bullets and reloading components" reached such a "frenzy" that a Cheyenne retailer began rationing sales and said she was also selling semiautomatic rifles as fast as she could put them on the shelves.


2008–2016 United States ammunition shortage
In December 2012, a new wave of panic buying was driven by the perceived likelihood of new firearm control laws being passed by Congress and state governments in response to the Sandy Hook Elementary School shooting. This led to a severe shortage of ammunition for most handgun calibers and some rifle calibers, especially the previously easy-to-find and cheaply priced .22 LR.


2008–2016 United States ammunition shortage
By August 2013, the rate of consumer purchases of most types of ammunition was receding, but prices continued to be above those found before December 2012 and ammunition for some calibers continued to be difficult to procure.


2008–2016 United States ammunition shortage, The first shortage (2008–2010)
Most people attributed the ammunition shortage to reaction of gun owners and other groups to the election of U.S. President Barack Obama, claiming that these people feared more restrictive gun laws, ammunition taxes, and social decay. An October 2009 Gallup poll found that "Many Gun Owners Think Obama Will Try to Ban Gun Sales" completely, and similar themes were struck in an Associated Press report:  "Shooting ranges, gun dealers, and bullet manufacturers say they have never seen such shortages." The Gallup report said, "although the survey did not ask directly whether those who hold the belief that Obama wants to ban gun sales have acted on that belief in terms of increased purchases of guns and ammunition, a connection between the belief and the behavior is a logical hypothesis."


2008–2016 United States ammunition shortage, The second shortage (2012–2016)
After the Sandy Hook Elementary School shooting in Newtown, Connecticut on December 14, 2012, new attention was paid to firearms laws in America. The perpetrator had used a Bushmaster XM15-E2S semi-automatic rifle. Certain AR-15 rifles were considered assault weapons under the federal Assault Weapons Ban of 1994, which expired in 2004, and some are considered assault weapons in states that have such bans in force. In the wake of the shooting, there were calls for new or stricter gun control laws.


2008–2016 United States ammunition shortage, The second shortage (2012–2016)
In response to concerns that the federal and state governments would limit the sale of firearms and ammunition, sales of firearms hit an all-time high in December 2012, with the FBI reporting that 2.8 million NICS background checks were performed that month, with the vast majority after the date of the shooting. A corresponding large increase in ammunition sales also occurred during this time, with some retailers reporting in January 2013 that they had already sold stock that had been expected to last for a couple of years, sometimes in the span of a single day.


2008–2016 United States ammunition shortage, The second shortage (2012–2016)
On April 17, 2013, the main Congressional action introduced after the shooting, the Manchin-Toomey amendment, failed in the Senate, marking the end of the strongest push to implement new firearms laws on a federal level. However, many states passed new firearms restrictions, such as Colorado, Connecticut, Maryland, and New York. Regardless, the massive increase in ammunition sales earlier in the year had severely limited the continued availability of these products in the market, with many ammunition manufacturers unable to keep up with the demand even after running 24/7 shifts at all of their factories. Additionally, despite the defeat of the federal bill, a significant number of firearms owners remained concerned about the possibility of future actions to limit the availability of certain firearms and ammunition, and continued to accumulate ammunition well into the later parts of 2013.


2008–2016 United States ammunition shortage, The second shortage (2012–2016)
The clearest explanation of the problem, according to The Motley Fool, comes from Hornady Manufacturing's president, Steve Hornady:


2008–2016 United States ammunition shortage, The second shortage (2012–2016)
People walk into the store, they don't see as much as they want so they take everything they can get. The next guy who comes in can't get anything, so he panics. ...this shortage] is purely a consumer driven shortage.


2008–2016 United States ammunition shortage, The second shortage (2012–2016)
In 2016, certain calibers of ammunition, most notably .22 long rifle, were still reported as being in short supply.


2008–2016 United States ammunition shortage, Response by manufacturers and distributors
Remington Arms Chief Executive Officer Ted Torbeck said "Since the U.S. presidential election, demand for (ammunition) has risen amidst concerns that the new administration will further restrict the use or purchase of firearms and ammunition and levy additional taxes on these products. Since that time we have responded by ramping up production, providing for additional employee overtime, establishing additional production shifts, and expanding our supply chain, none of which has required significant capital." However, in August 2013 Remington broke ground on a $32 million expansion of their ammunition plant in Lonoke, Arkansas.


2008–2016 United States ammunition shortage, Response by manufacturers and distributors
Due to the very small profit margins on .22 caliber ammunition, manufacturers could not justify the costs they would incur by expanding production capacity.


2008–2016 United States ammunition shortage, Response by manufacturers and distributors
In response to the shortage, some ammunition distributors reduced shipments to individual stores. Some retailers raised prices substantially. Nevertheless, some merchants reported increases in sales between 15% and 100%.


2008–2016 United States ammunition shortage, Price increase
Between 2007 and 2012 the dollar value of ammunition doubled in price in most cases. In certain areas, the price of .22LR caliber ammo increased from 5¢ per round to upwards of 12¢ per round. Following the Sandy Hook shooting in 2012, public concerns on how government officials would legislate bans on specific calibers led to an increase in demand for ammo, motivating the price to increase, the continuation of which held some responsibility for the ammo price bubble that was created.


2008–2016 United States ammunition shortage, Price increase, Gray market
The increased demand for ammunition not only contributed to inflated prices but also created an opportunity for gray market vendors to arise. Many of these vendors were able to obtain ammunition in bulk and sell at an exorbitant price. The increase in gray market sales fed public suspicion that government was intervening with ammo supply, since ammo that was once easy to come by was now barren.


2008–2016 United States ammunition shortage, Price increase, Gray market
The shortage resulted in adverse consequences for law enforcement agencies. Several police departments delayed or reduced firearm training programs for officers. The U.S. military was unaffected by the shortage, as its ammunition is produced by dedicated plants.


2009
2009 (MMIX) was a common year starting on Thursday of the Gregorian calendar, the 2009th year of the Common Era (CE) and Anno Domini (AD) designations, the 9th  year of the 3rd millennium, the 9th  year of the 21st century, and the  10th  and last year of the 2000s decade.


2009, Events, Unknown
The flu pandemic in 2009 begins in Mexico, soon spreading to the U.S. and then around the world.


2009 (Glee)
"2009" is the twelfth episode of the sixth season of the American musical television series Glee, and the 120th episode overall. Written by the show's co-creators Ryan Murphy, Brad Falchuk, and Ian Brennan and directed by Paris Barclay, it aired on Fox in the United States on March 20, 2015, along with the next episode, "Dreams Come True", as a special two-hour season and series finale. The episode features a flashback from the show's pilot episode that explores the reasons why the original five members of the New Directions glee club decided to join.


2009 (Glee), Plot
In 2009,  Will Schuester (Matthew Morrison) announces to his wife Terri Schuester (Jessalyn Gilsig) that he is now running the McKinley High glee club.


2009 (Glee), Plot
Kurt Hummel (Chris Colfer) is depressed as he starts his second year at McKinley High. Guidance Counselor Emma Pillsbury (Jayma Mays) notices him looking at a pamphlet about suicide, and calls his father Burt Hummel (Mike O'Malley) to the school. Afterward, Burt tells Kurt that he has to join a team by the end of the week and start making friends.


2009 (Glee), Plot
At lunch, Kurt sits at a table with Rachel Berry (Lea Michele), and tells her that he needs to join a club; after finding out that he can sing, she suggests the new glee club. The two of them meet and sing but when Kurt suggests they audition together, Rachel refuses: stars shine separately, and she plans to shine. Kurt then asks Mercedes Jones (Amber Riley) for advice, since he has heard that she is a star of her church choir, and also recruits her to audition for the glee club. He auditions, and tells his father that he has joined the club. Burt is unsure but happy for his son, but Kurt hesitates to tell his dad that he is gay.


2009 (Glee), Plot
Rachel tries to befriend Mercedes, and asks to come to her church to hear her sing. When she does, Rachel is worried, and tells Mercedes that she has a great future as a soul singer, but Mercedes tells her that whatever type of music is being sung, Rachel will have to compete with her for it.


2009 (Glee), Plot
Tina Cohen-Chang (Jenna Ushkowitz) is rebelling by using a fake stutter to drive most people away, and dressing as a goth. She is friends with Artie Abrams (Kevin McHale), who really likes her as she is the only one at the school who treats him like a regular human being despite his being in a wheelchair. In the cafeteria, a couple of Tina's goth friends dump food on Rachel and Kurt as a dare, and one dares Tina and Artie back to try out for the glee club. They both do, supporting each other, and each is impressed by the other's singing ability.


2009 (Glee), Plot
The first meeting of New Directions is a tense one: Will gives the first solo to Artie, but Rachel insists that she should be getting the solos as she has the best voice, a claim immediately disputed by Mercedes. That night, Terri finds Will working on music for the glee club, and she is concerned that Will's commitment to glee club may cause future issues with their marriage, but Will promises to put her first. Rachel is pleased when Will gives her the next solo, but Mercedes is very upset. She is talked out of quitting by her church choir director (April Grace), who urges her to stay, and predicts that competing with Rachel will ultimately make Mercedes a better singer.


2009 (Glee), Plot
Principal Figgins (Iqbal Theba) and Sue Sylvester (Jane Lynch) praise Sue's leadership of the Cheerios cheerleaders to five consecutive national championships. Sue wonders about the revival of glee club, but Figgins assures her that they are of no concern and that Sue and the Cheerios will always be the center of McKinley High. During her weekly one-on-one basketball game with Will, Sue tells him that it is wrong to encourage the dreams of such young minds, but Will disagrees, and says that glee club could be even more important than cheerleading. Sue gives him an ultimatum: her friendship or the glee club. Will picks the glee club, adding that he just recruited Finn Hudson (Cory Monteith), the quarterback of the football team. Sue is furious.


2009 (Glee), Plot
Hearing that Terri is pregnant and that Will may be leaving as glee club director to become an accountant, Rachel goes to see Terri to convince her that Will needs to stay at McKinley. Terri is not persuaded in the least. Mercedes and Kurt are having issues with Finn, which they talk over at a coffee shop, where Mercedes has a chance encounter with Blaine Anderson (Darren Criss).


2009 (Glee), Plot
Artie, Kurt, Mercedes, Rachel, and Tina meet on whether or not to kick out Finn, but they realize that he belongs in glee club as much as they do, and they unanimously vote to keep him in. Emma begs Figgins to give Will a raise so that he can stay on as glee club coach, but Figgins instead finds an old video of Will competing in a glee club championship, which Emma shows to Will. Sue congratulates Will on his departure from teaching, but as he is leaving, he hears the sound of the glee club singing "Don't Stop Believin'" in the auditorium, and he stays to watch them.


2009 (Glee), Production
Although this was the twelfth episode aired in the sixth season, it was the ninth episode to be produced. It was initially announced as airing ninth, set for February 27, 2015, but was rescheduled as part of the finale. The episode was written by the show's three co-creators, Ryan Murphy, Brad Falchuk, and Ian Brennan, and directed by Paris Barclay, who described it as the "most unusual episode of Glee I have ever directed".


2009 (Glee), Production
The episode was filmed in early December 2014. The filmed material is supplemented by the inclusion of the entire original performance of "Don't Stop Believin'" from Glee's pilot episode, which features Cory Monteith and Lea Michele on lead vocals.


2009 (Glee), Production
Recurring characters appearing in this episode include new McKinley High glee club member Tina Cohen-Chang (Ushkowitz), students Noah "Puck" Puckerman (Salling), Dave Karofsky (Max Adler) and Matt Rutherford (Dijon Talton), guidance counsellor Emma Pillsbury (Mays), Principal Figgins (Theba), Will's wife Terri Schuester (Gilsig), Kurt's father Burt Hummel (O'Malley) and Terri's co-worker Howard Bamboo (Kent Avenido). New characters introduced for this episode were April Grace as Mercedes' church choir director and Bex Taylor-Klaus as a goth student. Natalija Nogulich, while given a guest star credit, does not appear in the broadcast episode. Dianna Agron as Quinn Fabray and Naya Rivera as Santana Lopez appear in the footage from the pilot episode performance of "Don't Stop Believin'", but are not credited.


2009 (Glee), Production
Five of the six songs from the episode have been released on a digital five-track EP with the title Glee: The Music, 2009. These are: "Popular" from the musical Wicked sung by Michele and Colfer, Zella Jackson Price's "I'm His Child" performed by Riley, Katy Perry's "I Kissed a Girl" sung by Ushkowitz, Ginuwine's "Pony" performed by McHale, and Journey's "Don't Stop Believin'" in the original version from the pilot episode of the series. The sixth song, "Mister Cellophane" from the musical Chicago sung by Colfer, is not on the EP.


2009 (Glee), Reception, Ratings
The episode was broadcast an hour earlier than the show's usual Friday timeslot, with the second episode and series finale airing in that usual timeslot. "2009" received a season high 0.8/3 Nielsen rating/share in the 18–49 demographic and attracted 2.69 million American viewers during its initial broadcast. Its ratings and viewership were higher than the final episode of the series, "Dreams Come True", which aired immediately after and was watched by 2.54 million viewers and received a 0.7/2 rating/share.


2009 (Glee), Reception, Critical response
Andy Swift of TVLine wrote that the episode "tackled flawlessly" the "tricky" task of doing a flashback to the year 2009 without Cory Monteith, who had played Finn Hudson until his death in 2013, both in alluding to "iconic moments" in the pilot and by mentioning Finn at a number of points in the dialogue. He described the inclusion of the "Don't Stop Believin'" footage from pilot as "absolutely gut wrenching in every sense of the word". Time's James Poniewozik wrote that it was an "ingenious move" to make the episode "essentially an alternative version" of the Glee pilot, which had been "one of the best TV pilots of the last decade". He called the episode "sweet and nostalgic and tearjerking".


2009 (album)
2009 is a collaborative studio album by American rappers Wiz Khalifa from Pittsburgh and Curren$y from New Orleans. It was released on February 8, 2019 via Jet Life Recordings and Atlantic Records. Production was handled by Cardo, Dame Grease, DJ Fresh, Harry Fraud, Monstabeatz, Ricky P, Sledgren, Van Gogh and Z Cook. It features guest appearances from Problem and Ty Dolla $ign.


2009 (album), Commercial performance
In United States, 2009 debuted at number 35 on the Billboard 200 with 16,000 album-equivalent units.


2009 1. deild karla
This is the current revision of this page, as edited by Frietjes (talk | contribs) at 21:16, 14 April 2020 (→References). The present address (URL) is a permanent link to this version.


2009 1. deild karla
The 2009 season of 1. deild karla was the 55th season of second-tier football in Iceland.


2009 1000 Guineas
The 2009 1000 Guineas Stakes was a horse race held at Newmarket Racecourse on Sunday 3 May 2009. It was the 196th running of the 1000 Guineas.


2009 1000 Guineas
The winner was Hamdan Al Maktoum's Ghanaati, an American-bred bay filly trained at Lambourn by Barry Hills and ridden by her trainer's son Richard Hills. Hamdan Al Maktoum was winning the race for the fifth time after Salsabil (1990), Shadayid (1991), Harayir (1995) and Lahan (2000), the last two of whom were ridden by Richard Hills. Barry Hills, who retired shortly after the race, had trained Enstone Spark to win the classic in 1978. Ghanaati's win was achieved in race record time.