Toll Bros Dumping, Sallie Mae Down, SCA AAA?, B of A, Wachovia, Chase Downgraded
Toll Dumping... The president of Toll Brothers, the nation's largest builder of luxury homes...
exercised options for 84,032 shares of common stock at $6.39 apiece and then selling 48,000 of them the same day for $22.25 to $22.61 apiece.
Get em hooked on cigarettes and debt early... Sallie Mae #1 US educational lender...
guided Q4 and FY2008 earnings below the current consensus estimate. Earnings have fallen on an increase in borrowing costs and loan defaults. Stock down 11%; since July -45%.
Warnings and famous last words... Six months ago, B of A CEO Ken Lewis: the slowdown in U.S. housing sales was "just about to be over."
Today: "Q4 profits will be very disappointing". BofA and Wachovia CEO's warned of Q4 write-downs and loan losses.
B of A put aside $3.3 billion, Wachovia $1 billion and said Q4 losses already equal Q3 at $1.4 billion.
Moody's downgraded its outlook for Bank of America to "negative," citing the bank's $100 billion in home equity loans.
No doubt some of which were rated AAA by Moody's before being packaged and resold.
Warning! Danger! Will Robinson... Fitch Ratings put Security Capital Assurance's, XL Capital Assurance unit, on "rating watch negative".
XL has insured $154.2 billion of securities, of which 38% are municipal bonds, 46% are structured finance securities and 16% are international transactions.
No doubt many of which were rated AAA by Fitch, before being packaged and resold.
SCA is the 1st top rated bond insurer to be put on notice and may lose its AAA credit rating at Fitch.
Fitch said, the company's capital is $2 billion below what it needs to be to retain the AAA. SCA stock down 15%; YTD down 71%
Pots call kettles black... Morgan Stanley believes Citigroups earnings are deteriorating...
in an effort to raise reserve capital, it expects new management to deliver a dividend cut, and further hybrid issuance, diluting current shareholders.
JPMorgan Chase, Bank of America and Wachovia Bank were downgraded at Merrill Lynch based on credit risks.
exercised options for 84,032 shares of common stock at $6.39 apiece and then selling 48,000 of them the same day for $22.25 to $22.61 apiece.
Get em hooked on cigarettes and debt early... Sallie Mae #1 US educational lender...
guided Q4 and FY2008 earnings below the current consensus estimate. Earnings have fallen on an increase in borrowing costs and loan defaults. Stock down 11%; since July -45%.
Warnings and famous last words... Six months ago, B of A CEO Ken Lewis: the slowdown in U.S. housing sales was "just about to be over."
Today: "Q4 profits will be very disappointing". BofA and Wachovia CEO's warned of Q4 write-downs and loan losses.
B of A put aside $3.3 billion, Wachovia $1 billion and said Q4 losses already equal Q3 at $1.4 billion.
Moody's downgraded its outlook for Bank of America to "negative," citing the bank's $100 billion in home equity loans.
No doubt some of which were rated AAA by Moody's before being packaged and resold.
Warning! Danger! Will Robinson... Fitch Ratings put Security Capital Assurance's, XL Capital Assurance unit, on "rating watch negative".
XL has insured $154.2 billion of securities, of which 38% are municipal bonds, 46% are structured finance securities and 16% are international transactions.
No doubt many of which were rated AAA by Fitch, before being packaged and resold.
SCA is the 1st top rated bond insurer to be put on notice and may lose its AAA credit rating at Fitch.
Fitch said, the company's capital is $2 billion below what it needs to be to retain the AAA. SCA stock down 15%; YTD down 71%
Pots call kettles black... Morgan Stanley believes Citigroups earnings are deteriorating...
in an effort to raise reserve capital, it expects new management to deliver a dividend cut, and further hybrid issuance, diluting current shareholders.
JPMorgan Chase, Bank of America and Wachovia Bank were downgraded at Merrill Lynch based on credit risks.
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