Sillybank (Citigroup) Misses Big
Citigroup, #1 US bank, missed earnings estimates,
revenue -48%; $5.1 billion loss; $16 billion writedown;
9000 job cuts. $7.6 billion of writedowns and credit costs on mortgages and bonds...
$1.5 billion on leveraged buyout loans and $1.5 billion on auction-rate securities.
Marked down the value of bond insurance contracts by $1.5 billion. Set aside about $1.8 billion to increase reserves for bad consumer loans.
The bank cited increased delinquencies on mortgages, unsecured personal loans, credit cards and auto loans,
as well as the "housing market downturn and rising unemployment," in the U.S.
The Nattering One muses... an unmitigated disaster and it can only get worse.
Well medicated and delusional investors greeted this news with a resounding applause and +200 pt DJIA gain.
Our next post opines as to why anyone with their wits about them might take this "suckers rally" as an opportunity, to get out while they still can.
revenue -48%; $5.1 billion loss; $16 billion writedown;
9000 job cuts. $7.6 billion of writedowns and credit costs on mortgages and bonds...
$1.5 billion on leveraged buyout loans and $1.5 billion on auction-rate securities.
Marked down the value of bond insurance contracts by $1.5 billion. Set aside about $1.8 billion to increase reserves for bad consumer loans.
The bank cited increased delinquencies on mortgages, unsecured personal loans, credit cards and auto loans,
as well as the "housing market downturn and rising unemployment," in the U.S.
The Nattering One muses... an unmitigated disaster and it can only get worse.
Well medicated and delusional investors greeted this news with a resounding applause and +200 pt DJIA gain.
Our next post opines as to why anyone with their wits about them might take this "suckers rally" as an opportunity, to get out while they still can.
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