Research And Markets Research And Markets

Global Financial Institutions Eye Another Wave Of Write-Downs As U.S. Housing Woes Spread Sep 08

  • ID: 1752446
  • September 2008
  • Region: Global, United States
  • Standard & Poors
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  • Banco Santander S.A.
  • BNP Paribas
  • Credit Suisse Group AG
  • ING Bank N.V.
  • Merrill Lynch & Co. Inc.
  • UBS AG
  • MORE

The pain of the global financial industry remains largely linked to the declining fortunes of the U.S. housing sector. Securities backed by U.S. mortgage loans have lost hundreds of billions of dollars in value since summer 2007. The losses have spread beyond subprime, which represents only 10%-15% of residential real estate borrowing in the U.S., to other pressured areas of U.S. housing finance. Three prominent players--Citigroup Inc. (AA-/Negative/A-1+), Merrill Lynch & Co. Inc. (A/Watch Dev/A-1), and UBS AG (AA-/Negative/A-1+)--account for 40% of the more than $300 billion in write-downs of mortgage-backed securities (MBS) and leveraged loans taken through the first half of 2008. Beyond that concentration, the write-downs have been spread geographically and by institution. Intermediaries and investors across the...

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- Credit Agricole S.A.
- Deutsche Bank AG
- Wachovia Corporation
- Merrill Lynch & Co. Inc.
- Bank of America Corp.
- National Australia Bank Ltd.
- Wells Fargo & Co.
- Royal Bank of Canada
- BNP Paribas
- Societe Generale
- Barclays Bank PLC
- Lloyds Bank PLC
- Lehman Brothers Holdings Inc.
- BNP Paribas Fortis SA/NV
- Morgan Stanley
- UniCredit SpA
- JPMorgan Chase & Co.
- Citigroup Inc.
- Banco Santander S.A.
- The Royal Bank of Scotland Group PLC
- Credit Suisse Group AG
- ING Bank N.V.
- The Goldman Sachs Group Inc.
- Caisses d'Epargne Participations
- HSBC Holdings PLC
- Intesa Sanpaolo SpA
- Banco Bilbao Vizcaya Argentaria S.A.
- Mitsubishi UFJ Financial Group Inc.
- Mizuho Financial Group Inc.
- Sumitomo Mitsui Financial Group Inc.
- Barclays PLC

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