More Bad News

Just to try and put some perspective on the sub-prime mess in dollar figures I am listing the asset “writedowns and credit losses” as reported at Bloomberg.com this morning. I am posting the complete article

Subprime Losses Reach $195 Billion; German Banks Get Hit: Table
By Yalman Onaran

March 14 (Bloomberg) — The following table shows the $195 billion in asset writedowns and credit losses since the beginning of 2007, including reserves set aside for bad loans, at more than 45 of the world’s biggest banks and securities firms.

German banks reporting earnings this week said they had further losses related to the U.S. subprime market as the value of the assets they owned fell in February.

The charges stem from the collapse of the U.S. subprime- mortgage market. The figures, from company statements and filings, also reflect some credit losses or writedowns of mortgage assets that aren’t subprime. Charges taken on leveraged- loan commitments aren’t included.

All figures are in billions of U.S. dollars, converted at today’s exchange rate if reported in another currency. They are net of financial hedges the firms used to mitigate losses.

Firm                    Writedown     Credit Loss(a)   Total

Merrill Lynch             24.5                          24.5

Citigroup                 19.9            2.5           22.4

UBS                       18.1                          18.1

HSBC                       3.0            9.4           12.4

Morgan Stanley             9.4                           9.4

IKB Deutsche               8.9                           8.9

Bank of America            7              0.9            7.9

Credit Agricole            6.5                           6.5

Washington Mutual          0.3            5.5            5.8

Credit Suisse              4.9                           4.9

Wachovia                   2.7            2              4.7

Canadian Imperial (CIBC)   4.2                           4.2

Societe Generale           3.8                           3.8

JPMorgan Chase             1.6            2.1            3.7

Mizuho Financial Group     3.4                           3.4

Barclays                   3.3                           3.3

Royal Bank of Scotland     3.2                           3.2

Bayerische Landesbank      3                             3

SachsenLB                  2.8                           2.8

Dresdner                   2.7                           2.7

Bear Stearns               2.6                           2.6

Deutsche Bank              2.4                           2.4

ABN Amro                   2.4                           2.4

Fortis                     2.3                           2.3

Natixis                    1.9                           1.9

HSH Nordbank               1.7                           1.7

Wells Fargo                0.3            1.4            1.7

Lehman Brothers            1.5                           1.5

DZ Bank                    1.5                           1.5

National City              0.4            1              1.4

BNP Paribas                1              0.3            1.3

Caisse d'Epargne           1.2                           1.2

Nomura Holdings            1                             1

Gulf International         1                             1

European banks not         7.7                           7.7
  listed above (b)

Asian banks excluding      4.1            0.7            4.8
  Mizuho, Nomura (c)

Canadian banks             2.5            0.1            2.6
  excluding CIBC (d)
                          ____          _____          _____

TOTALS*                  168.8           25.8          194.6

* Totals reflect figures before rounding. Some company names have
been abbreviated for space.

(a) The difference between writedown and credit loss: Investment banks and the investment-banking units of financial conglomerates mark their assets to market values, whether they’re loans, securities or collateralized debt obligations, and label that a “writedown” when values decline. Commercial banks take charge-offs on loans that have defaulted and increase reserves for loans they expect to go bad, which they label “credit losses.” Commercial banks can have writedowns on holdings of bonds or CDOs as well.

(b) European banks whose losses are smaller than $1 billion each are in this group: ING Groep, Allied Irish Banks, Bradford & Bingley, Aareal Bank, Deutsche Postbank, Lloyds TSB Group, Standard Chartered, Northern Rock, HBOS, Dexia, WestLB, Commerzbank, NordLB, Rabobank, HVB Group, Landesbank Baden- Wuerttemberg.

(c) Asian banks with writedowns smaller than $1 billion: Bank of China, Mitsubishi UFJ, Sumitomo Mitsui, Shinsei, Sumitomo Trust, Aozora Bank, DBS Group, Australia & New Zealand Banking Group, Abu Dhabi Commercial, Bank Hapoalim, Arab Banking Corp., Fubon Financial.

(d) Canadian banks included in this group: Bank of Montreal, National Bank of Canada, Bank of Nova Scotia, Royal Bank of Canada.

To contact the reporter on this story: Yalman Onaran in New York at yonaran@bloomberg.net.

There will be another post up later today as more information becomes available in the #21 financial institution (above), Bear Stearns, liquidity problem and the Federal Reserve bailing them out.

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