WaMu, Regional Bank Woes, The Trifecta
Tech up on currency... IBM, biggest computer-services company, Q4 profit rose 12%, sales +10%...
as growth in Europe and Asia outpaced U.S. sales. Of the 10% sales increase, 6% came from currency benefits.
Regional Bank Slaughter... National City, one of the 10 largest US banks,
said it will cut its common stock dividend 49%, eliminate 900 jobs and sell stock to meet rising reserve requirements.
Huntington Bancshares lost a third of its value last year, and reported a Q4 loss of $239 million.
Sovereign Bancorp, the nation's 2nd biggest publicly traded S&L by assets, pulled out of automobile lending in the U.S. Southeast and Southwest.
Regions Financial, Alabama's biggest bank, told shareholders that $900 million of loans to homebuilders may not be fully repaid.
Capital One, said profit will be 44% below analysts' estimates as auto and credit-card debt collections slowed.
PNC expects to reduce the value of $1.5 billion of commercial mortgages held for sale.
Wachovia, SunTrust. and U.S. Bancorp spent more than $2.5 billion combined to bail out money market funds.
Those three magic little words... not I love you, but, your under investigation...
WaMu, the largest U.S. S&L, under investigation as to how the company set values for mortgages sold to investors.
The SEC is examining loans that New York prosecutors claim were based on inflated home appraisals. If that wasn't enough...
WaMu reported its 1st quarterly loss since 1997, Q4 loss $1.87 billion vs $1 billion profit a year ago.
The lender set aside $1.5 billion for bad debt, wrote down $1.6 billion and slashed its dividend 73%.
The losses are driven by higher reserve requirements ratios. Stock down 7% today, 72% in the last year.
The Nattering One muses... Our trifecta initially called for 08/09 is getting closer,
"a least one major: lender, brokerage house and bank will freeze assets,
and collapse and board up its doors; or will be bailed out by private investors or the government."
Countrywide filled the lender requirement, and we are very confident that by year end...
Merrill Lynch will fill the brokerage slot, and Citigroup or WaMu will fill the bank slot.
We leave you with this, the bottom is as of yet, nowhere in sight. And $150 billion stimulus package will be like putting Phisohex and a bandaid on leprosy.
as growth in Europe and Asia outpaced U.S. sales. Of the 10% sales increase, 6% came from currency benefits.
Regional Bank Slaughter... National City, one of the 10 largest US banks,
said it will cut its common stock dividend 49%, eliminate 900 jobs and sell stock to meet rising reserve requirements.
Huntington Bancshares lost a third of its value last year, and reported a Q4 loss of $239 million.
Sovereign Bancorp, the nation's 2nd biggest publicly traded S&L by assets, pulled out of automobile lending in the U.S. Southeast and Southwest.
Regions Financial, Alabama's biggest bank, told shareholders that $900 million of loans to homebuilders may not be fully repaid.
Capital One, said profit will be 44% below analysts' estimates as auto and credit-card debt collections slowed.
PNC expects to reduce the value of $1.5 billion of commercial mortgages held for sale.
Wachovia, SunTrust. and U.S. Bancorp spent more than $2.5 billion combined to bail out money market funds.
Those three magic little words... not I love you, but, your under investigation...
WaMu, the largest U.S. S&L, under investigation as to how the company set values for mortgages sold to investors.
The SEC is examining loans that New York prosecutors claim were based on inflated home appraisals. If that wasn't enough...
WaMu reported its 1st quarterly loss since 1997, Q4 loss $1.87 billion vs $1 billion profit a year ago.
The lender set aside $1.5 billion for bad debt, wrote down $1.6 billion and slashed its dividend 73%.
The losses are driven by higher reserve requirements ratios. Stock down 7% today, 72% in the last year.
The Nattering One muses... Our trifecta initially called for 08/09 is getting closer,
"a least one major: lender, brokerage house and bank will freeze assets,
and collapse and board up its doors; or will be bailed out by private investors or the government."
Countrywide filled the lender requirement, and we are very confident that by year end...
Merrill Lynch will fill the brokerage slot, and Citigroup or WaMu will fill the bank slot.
We leave you with this, the bottom is as of yet, nowhere in sight. And $150 billion stimulus package will be like putting Phisohex and a bandaid on leprosy.
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