YO: Bank of America to take $3 billion debt-related writedown

Developing News: Bank of America to take $3 billion debt-related writedown
Top storiesas of 11:19 a.m. Tues., Nov. 13, 2007
New York, NY

Top of the MSNBC website, no actual link yet.

http://www.msnbc.msn.com/

Eep.

It just sounds less bad when you wrap it technical euphemisms.

:evilfrown:

Stay tuned...

there will be lower yield for a quarter or two or three but they have about $15B in quarterly cash flow so in the long run it's not too bad. Everyone is going to take a hit from playing loose with mortgage underwriting.

"Reducing the book value of an asset because it is overvalued compared to the market value."

Um... the dog ate my 3 billion dollars.

:blush:

to make your banking experience more enjoyable.

one of the best financial decisions I ever made.

So don't go thinking about any doom or gloom type things.

Keep accentuating the positive! (At least through Christmas!) Your retailers thank you. :)

started laying off thousands two weeks ago.

huge bonuses for stemming the losses associated with their mistakes. See, that's easy.

http://biz.yahoo.com/ap/071113/bank_of_america_writedown.html

:kick:

wouldn't this kind of be like Enron.

http://www.spiegel.de/international/business/0,1518,517139,00.html

The effects of the disaster on almost every major Wall Street institution and many European banks have been far more severe than previously supposed. The 10 biggest losers have already reported losses of more than $40 billion, and even this is only the beginning.

"I believe that we are still not aware of all the risks," said Alexander Dibelius, the head of investment bank Goldman Sachs's German office, only two weeks ago -- shortly before the CEOs at Citigroup and Merrill were let go.

Economists and central bankers are already predicting total losses in excess of $200 billion. "The bloodbath in credit and financial markets will continue and sharply worsen," Nouriel Roubini, a highly regarded American economist, recently wrote on his blog.

His fears stem from the fact that so far banks have only published their results for the third quarter of 2007, which, for most institutions, ended in August or September. The real estate crisis has worsened since then, with even greater losses expected for the fourth quarter.