For more on the financial crisis, check outGlobeSt.com's Webinar, "Wall Street In a Freefall—TheWinners and Losers."

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BERLIN-Countries around the globe are scrambling to assure theirpeople that bank deposits are safe, as governments agreed to rescuetwo major companies and the US financial troubles, slow to recoverafter the $700 billion bailout plan, spread worldwide. Germany hasagreed to loan $68 billion to save Hypo Real Estate Holding AG, andthe Dutch government, partnered with BNP Paribas, rescued FortisBank Nederland (Holding) NV and Fortis Insurance Belgium for $36.8billion.

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Stocks in the US, reacting to the global news and inpatient forthe $700 billion to be infused into the economy, plunged more than500 points to less than 10,000 points for the first time since2008. President Bush's Working Group on Financial Markets issued astatement to ask for patience. "Conditions in US and globalfinancial markets remain extremely strained," the group said in thestatement, promising to work with market participants andregulators globally to address the current challenges and restoreconfidence and stability to financial markets around the world.

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Foreign governments, including the UK, Germany, Greece, Italyand France, all pledged to protect deposits if banks should fail.The UK's Financial Services Authority increased the compensationlimit for bank deposits to about $87,000 per person, spurred on byIreland's promise for an unlimited deposit protection. "The (UK)chancellor has made clear that the authorities will do whatever isnecessary to maintain financial stability and protect depositors,"according to a UK statement.

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French, German, British and Italian leaders met in Paris onSunday to discuss the crisis. Though the leaders would not committo an EU-wide bailout plan, they did say that more regulation wasneeded, and a task force is needed to look over central banks andindustries. "We have agreed that we must adopt a coherent approach,with each member state accepting national responsibilities," saidGerman Chancellor Angela Merkel after the meeting. "We must,however, also ensure that no EU member state harms any other as aresult of its national procedure."

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Hypo's rescue is solidified with a guarantee of up to $47.3billion by the German government and the German Central Bank. "Weare very grateful for the support of all the parties," said GeorgFunke, CEO, in a statement. "This solution ensures that Hypo RealEstate Group is stabilized, will have access to sufficientliquidity even in an ongoing financial crisis, and can continue tooperate." The company is a heavy commercial real estate investor inthe US, including the recent $130 million loan for 681 Fifth Ave.,a 17-story office building in New York City.

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The Belgian government had agreed to a partial buyout of Fortis'holdings last week. French Bank BNP Paribas came in and has takenmost of the holdings, with the Belgian government holding a 10%minority stake, and Luxemburg holding a smaller stake. "As a resultof this transaction, the Fortis Group is exiting the bankingbusiness and the Belgian insurance business," said Fortis CEO FilipDierckx in a statement. "Given the extremely difficult marketenvironment, the integration of Fortis Bank and Fortis InsuranceBelgium into a truly leading European financial company is in thebest interest of the stakeholders."

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Other companies are also struggling. UBS announced it would layoff 2,000 employees as it tries to recover from investing toomuch in the US sub-prime market.

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More statements and decisions on the world market solutions areexpected in the next few days. The EU will unveil its response tothe financial crisis at a meeting Oct. 15 in Brussells.

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