Northern Rock - a Peek into the Future?

Since writing about resolution authority for WB, I have followed with interest the continued unraveling of Northern Rock which the UK government nationalized back in 2008. Today, FT Alphaville reports that NR's financial health has declined to the point that it can't meet its capital adequacy requirements. So, HM Treasury is planning to split it into two pieces. Northern Rock Bank Co will be the deposit-taking (healthy) bank and all the toxic (or "legacy") assets will be transferred to Northern Rock Asset Co.

Is this the kind of disaster we can expect if the administration gets the power to resolve failing financial institutiuons?