Credit Suisse Bankers Can't Count
Monday, some overly optimistic types hopped on this one from over the weekend...
Credit Suisse CEO sees credit crisis nadir in months. Credit Suisse CEO Brady Dougan was quoted as saying on Saturday:
The worst of the banking crisis resulting from the subprime meltdown is likely to be over in months rather than quarters.
The Nattering One was chuckling out loud, "a few months, I want some of what he is smoking."
What the optimists ignored was a BIG IF:
"There would undoubtedly be much greater confidence IF prices in the U.S. real estate market, where the crisis originated, finally stabilized.
The big problems that set off the crisis have not yet been dealt with. We are preparing for the possibility that the crisis continues for some time,"
Prices are no where near stabilized, and the big problems have NOT been dealt with; and prepare for the crisis to continue for SOME TIME...
Aside from whatever the Credit Suisse CEO had been smoking, it gets better, as this glorified press release also claimed:
"Credit Suisse had suffered only limited fall out from the subprime mortgage crisis, trimming full year 2007 write-downs linked to the debacle to $1.83 billion."
And we had reported that Q4 profit had fallen 72%
The Nattering One muses... Only $1.83 billion in writedowns for the year? Really? Just like our much anticipated actual filing of Wells Fargo felonious 10Q...
and Deutsche Bank reporting ZERO Q4 WRITEDOWN, we take a jaundiced eye to this "it will be over in a few months" hype...
and natter loudly, NO WAY BABY, WE CALL BULLSHIT. Today, DOH!!!!
Looks like Credit Suisse stepped in a big steamin pile and forgot how to count...
Switzerland's 2nd largest bank took $2.85 billion of writedowns on asset-backed securities after an internal review found "mismarkings" by a group of traders and debt markets deteriorated.
Credit Suisse blamed the writedowns on "adverse first quarter 2008 market developments" and pricing errors "by a small number of traders".
Ceo Dougan said he didn't know there were issues related to the pricing of securities when the company reported earnings last week.
The discrepancies were discovered during the bank's "normal" risk management procedures.
Q1 profit will be cut by about $1 billion, but the company estimated that it remained profitable so far in the first quarter.
With oversight like this, what is "normal" and do you believe them?
Stock holders gave a big thumbs down as the stock was punked 6.6% after trading was halted at 7% down.
Wonder what Qatar's prime minister, Sheikh Hamad bin Jasim bin Jaber al- Thani thinks?
He said in an interview two days ago that the Gulf state was buying Credit Suisse shares. DOH!!! I don't think so.
Credit Suisse CEO sees credit crisis nadir in months. Credit Suisse CEO Brady Dougan was quoted as saying on Saturday:
The worst of the banking crisis resulting from the subprime meltdown is likely to be over in months rather than quarters.
The Nattering One was chuckling out loud, "a few months, I want some of what he is smoking."
What the optimists ignored was a BIG IF:
"There would undoubtedly be much greater confidence IF prices in the U.S. real estate market, where the crisis originated, finally stabilized.
The big problems that set off the crisis have not yet been dealt with. We are preparing for the possibility that the crisis continues for some time,"
Prices are no where near stabilized, and the big problems have NOT been dealt with; and prepare for the crisis to continue for SOME TIME...
Aside from whatever the Credit Suisse CEO had been smoking, it gets better, as this glorified press release also claimed:
"Credit Suisse had suffered only limited fall out from the subprime mortgage crisis, trimming full year 2007 write-downs linked to the debacle to $1.83 billion."
And we had reported that Q4 profit had fallen 72%
The Nattering One muses... Only $1.83 billion in writedowns for the year? Really? Just like our much anticipated actual filing of Wells Fargo felonious 10Q...
and Deutsche Bank reporting ZERO Q4 WRITEDOWN, we take a jaundiced eye to this "it will be over in a few months" hype...
and natter loudly, NO WAY BABY, WE CALL BULLSHIT. Today, DOH!!!!
Looks like Credit Suisse stepped in a big steamin pile and forgot how to count...
Switzerland's 2nd largest bank took $2.85 billion of writedowns on asset-backed securities after an internal review found "mismarkings" by a group of traders and debt markets deteriorated.
Credit Suisse blamed the writedowns on "adverse first quarter 2008 market developments" and pricing errors "by a small number of traders".
Ceo Dougan said he didn't know there were issues related to the pricing of securities when the company reported earnings last week.
The discrepancies were discovered during the bank's "normal" risk management procedures.
Q1 profit will be cut by about $1 billion, but the company estimated that it remained profitable so far in the first quarter.
With oversight like this, what is "normal" and do you believe them?
Stock holders gave a big thumbs down as the stock was punked 6.6% after trading was halted at 7% down.
Wonder what Qatar's prime minister, Sheikh Hamad bin Jasim bin Jaber al- Thani thinks?
He said in an interview two days ago that the Gulf state was buying Credit Suisse shares. DOH!!! I don't think so.
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