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...forced to write down $4.4 billion in loans, or about 1.8% of its loan portfolio. Compared with what some of its competitors wrote down, that wasn't a heck of a lot; Citigroup, for instance, had a $13.2 billion charge in the same quarter, primarily related to loan losses. But the relatively small loss took BofA's thin tangible equity, the type of capital that matters most to shareholders, down to a ratio of just 2.6% of loans, according to FBR. By that measure, Bofa was a weaker bank than any of its rivals, including Citigroup. But since the market...

Author: /time Magazine | Title: Why Your Bank Is Broke | 1/31/2009 | See Source »

...switch to doing more lending through investment-banking operations has only made matters worse. For deposit-based loans, the banks have wide discretion as to when they record a loss. Some do it after a borrower misses his first payment. Other banks wait until the loan is 120 days past due. But for loans made through a firm's investment-banking division, the bank has to reduce the value of those debts according to what similar pools of loans are worth. This is known as mark-to-market accounting. And when investors grow increasingly nervous that borrowers will...

Author: /time Magazine | Title: Why Your Bank Is Broke | 1/31/2009 | See Source »

...Tight throughout a second half that saw three ties and six lead changes, the Quakers (5-10, 1-0 Ivy) took the lead in the final two minutes and held on to it to give the Crimson (9-7, 1-2 Ivy) its second-straight home Ivy loss. Harvard got 14 points and six boards from junior forward Doug Miller and 13 from junior guard Jeremy Lin, but the team was killed by abysmal free throw shooting, hitting just 7-of-16 attempts, including missing the front ends of four one-and-one chances. This came on the heels...

Author: By Ted Kirby, CRIMSON STAFF WRITER | Title: Crimson Pipped by Penn in Final Minutes | 1/31/2009 | See Source »

...year, the Crimson used a 20-8 run in the last seven minutes to force overtime and win. Sufficed to say, the Harvard faithful have seen some of the team’s greatest highs and lowest lows in its battles against the Tigers. After a devastating 77-71 loss Saturday night, the Crimson (9-9, 1-3 Ivy) is as close as it’s ever been to being down and out. Expectations were high coming into the weekend, as Harvard was poised to vault itself into the upper echelons of the Ivy standings. After two crippling defeats...

Author: NO WRITER ATTRIBUTED | Title: Harvard Falls to Princeton, 77-71 | 1/31/2009 | See Source »

...days following John McCain's loss to Barack Obama, Steele declared on Fox News his interest in the RNC chairmanship - even though the sitting chair had not said he was leaving at the start of the new presidential Administration (and indeed, Mike Duncan was one of the candidates Steele defeated in Friday's vote). In a TIME interview during that period, Steele praised Obama's election as America's first black President. He made clear that as RNC chairman, he would move to temper the party's rigidity and truculence. In particular, one of the models he pointed...

Author: /time Magazine | Title: Steele Makes History, but Can the New Party Chief Remake the GOP? | 1/31/2009 | See Source »

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