Bloomberg was running an article about the non performing loans on the bankbooks. You can find the article here.
Remember: US lenders that own non performing loans that equal 5 percent or more of their holdings are in danger of being shut down, because this level is considered as critical for the survival of a financial institution.
Nonperforming loans can eat into a company’s earnings and deplete cash, leaving banks below the minimum capital levels required by regulators. Three lenders with nonaccruing ratios of at least 6.2 percent as of March were closed last week. In addition, Chicago-based Corus Bankshares Inc., Austin-based Guaranty Financial Group Inc. and Colonial BancGroup Inc. in Montgomery, Alabama, each with ratios of at least 6.5 percent, said in the past month that they expect to be shut
Well, Colonial BancGroup was shut on Friday.
Even better: another 150 public traded companies seem to be in danger.
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Remember: US lenders that own non performing loans that equal 5 percent or more of their holdings are in danger of being shut down, because this level is considered as critical for the survival of a financial institution.
Nonperforming loans can eat into a company’s earnings and deplete cash, leaving banks below the minimum capital levels required by regulators. Three lenders with nonaccruing ratios of at least 6.2 percent as of March were closed last week. In addition, Chicago-based Corus Bankshares Inc., Austin-based Guaranty Financial Group Inc. and Colonial BancGroup Inc. in Montgomery, Alabama, each with ratios of at least 6.5 percent, said in the past month that they expect to be shut
Well, Colonial BancGroup was shut on Friday.
Even better: another 150 public traded companies seem to be in danger.
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