Thursday, January 31, 2008

Subprime-related losses may surpass $265 billion....

Standard & Poor's estimates that banks, credit unions and foreign financial institutions may be hit with more than $265 billion in losses from securities tied to subprime mortgages. S&P is reviewing credit ratings on $534-billion worth of CDOs and bonds.

The ratings agency said it expects the next round of writedowns will be by smaller financial firms in the U.S., Europe and Asia.

No comments: