Does it frost anyone else’s cookies that the FDIC comes out with a “list” of 252 “problem banks” (up 47% from the third quarter) but refuses to name names? Really, what’s the point? (Yes, we’re aware of the potentially dire consequences of calling banks out but this is about entertainment value.) Anyway, since SheBair insists on keeping it under wraps, let’s decide here who’s on it, or should be. Hopefully a note from the woodland creature will be forthcoming.
Related: “Who Is Next?”
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- Use the Bloomberg command
NH BLG_DEALBREAKER <GO>
to access Dealbreaker
bank of america
Fifth Third Bank
c, bac, wfc…should I go on?
@1 I second that, BAC
@cluzo- yes. 249 to go.
@1 My 3-year-old has $5.78 in his piggy bank. I’m getting in touch with Ken Lewis — if I catch him on a boozy day, we can sell it to him for enough to pay for college tuition.
SheBair (I like that) is loved by the press, but it frosts my cookies that the FDIC has a significant role in this whole mess. They actively encouraged growth of real estate portfolios at banks as the safest asset to hold at the acknowledged expense of other asset classes (especially C&I loans). This left the banks all the more vulnerable to the real estate correction.
We know total assets – the total is much too small for a C or BAC to be on the list.
Fifth Third is a shit bank. Ohio rednecks that think they can be playas in Chicago.
The woodland creature is like E.F. Hutton to me, I listen.
Since a bank can go up to 18 months between reviews, it would be fairly useful if they said which banks they did review in the quarter.
That wouldn’t identify which banks are on the problem list but would tell us which ones have not been checked in a while.
The Bank of Shut, (dramatic pause) Shut your mouth.
Dick Bove sounds like a gay dessert
Does anyone else want to punch Christina Romer right in her fat smiling face? She reminds me of Mrs. Pool from the Hogan Family.
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@13. that’s because he is.
I am starting to think anyone employed by the US Govt is a fucking moron.
It’s now at the stage where people don’t care too much about what bank or company is in trouble. It’s a bit of a blurrr mostly. How many people are going to jump up in shock if they hear of a 50 billion loss?
@17
You’re a fucking moron for just now realizing that.
@17. you’re just “starting” to think this? Where the EFF have you been lately?
Some clown on CNBC just pointed to the strength in teh Venezuela stock market as evidence that we will rally soon.
“bottoming going on in international markets”.
This clown should apply to the Feds for a job. He would be great.
As a bonus Venezuela just reported that their economy GREW in q4 2008 by 3.2%. I am going to guess that, that particular number was crafted by the same people that the came up with the white house forecast of 2010 GDP growth of 3.8%!!!
Juan Valdez is Huey’s Chief Economist and actually, it may be the donkey who came up with those numbers.
Hey Bess, can I show you my “market bounce”? I think you may, perhaps, be impressed. And that dork you went away with over the Valentine’s Day weekend?….dump him!
The Other Guy from Delaware
Confidential to Dr. Phil: Bite me!
M&I is a great bank. They only make good loans.
@17 You might have noticed in the past couple of years that anyone employed by a US bank is also a fucking moron. Any country get’s the govt it deserves. :)
I’m a bank regulator at the State level and can tell you that the FDIC doesn’t even share the list with us. We charter the damn things, but they won’t play ball.
Somehow the FDIC forgot that it is only the insurer and somehow arrogated to itself the role of primary regulator. The only institutions for which the FDIC is primary regulator are those in FDIC receivership. My experience is that the average FDIC examiner is a late-20s/early-30s accounting graduate with absolutely no practical experience in the banking world and with an excessive view of his/her authoritay [/Cartman].
The list is easy to recreate. Banks file regular financial statements which break out loan composition.
Banks usually run at about 8% “equity”, give or take – right?. Go find any bank with more than 15% development / construction loans (as a % of assets), apply a 50% haircut to those loans and, bingo, you’ve got yourself an insolvent bank.