By Reuters* Back in black as loan loss provisions drop sharply* New CEO: Likely no need to raise capital again* Q2 EPS 12 cents vs Wall St estimate of 11-cent loss* Shares jump 7 percent after hoursNEW YORK – Online broker E*Trade Financial Corp surprised Wall Street by posting its first quarterly profit in three years, helped by a far smaller provision for loan losses than analysts had expected, and its shares rose 7 percent.A sharp trading spike also helped snap 11 quarters of losses for the E*Trade, whose shares were hammered in recent years as its mortgage-related loans soured.Company executives told Reuters on Thursday it was now unlikely to need to raise external capital — a marked change from a year ago when bankruptcy seemed a possibility.”It’s quite a substantial improvement, and I reckon it will be quite a pleasant surprise for the Street.” said Chief Executive Steven Freiberg, who took the reins in April.E*Trade’s shares rose 7 percent after hours after closing up 4.46 percent at $13.35.The company set aside $166 million for loan losses in the quarter, compared with $268 million in the previous quarter.
Posts Tagged ‘Loan Losses’
E*Trade Posts Surprise Profit After Three Years of Losses
July 23rd, 2010 
Before You Invest 
Posted in Finance Fraud 
Tags: Charge Offs, Citadel Investment Group, Company Executives, E Trade, E Trade Financial, E Trade Financial Corp, Freiberg, Loan Loss Provisions, Loan Losses, Morningstar, Online Broker, Quarter Charge, Quarterly Profit, Reins, Reuters, Second Quarter, Shareholder, Straight Quarter, Substantial Improvement, Trade Posts 
Comments OffFeds seek bids for up to seven Chicago-area banks
March 11th, 2010 Before You Invest (Crain’s) — Federal banking regulators are seeking bidders for as many as seven troubled local banks, including Rockford-based Amcore Bank.Bids for Amcore are due April 15 to the Federal Deposit Insurance Corp., Crain’s has learned. Amcore, which has been buried under mounting real estate-oriented loan losses, at yearend had $4.1 billion in assets and 66 branches in northern Illinois and Wisconsin, including 24 in Chicago’s suburbs.If Amcore, which has been trying to raise capital to stave off seizure by the FDIC, can come up with the needed funds before the end of next month, it still could avoid the fate that befell the only other large, publicly traded local bank to fail since the financial crisis erupted in 2008 — Chicago-based Corus Bank, which had $7 billion in assets.A spokeswoman for Amcore declined to comment.Sources say that the FDIC has begun the process of auctioning up to six other, smaller local banks, but their identities could not be verified.
Posted in Finance Fraud Tags: Amcore Bank, Asset Bank, Bank Transaction, Bidders, Broadway Bank, Chicago Area, Corus Bank, Equity Groups, Fdic, Federal Deposit Insurance, Federal Deposit Insurance Corp, Investor Groups, Loan Losses, Local Bank, Northern Illinois, Private Equity, Real Estate Loans, Seizure, Senate Nominee, U S Senate Comments OffDiscover Financial hikes exec salaries in response to bailout restrictions
February 23rd, 2010 Before You Invest Learn Financial Services Inc. has sharply raised the base salaries of CEO David Nelms and other senior management as it contends with bonus restrictions imposed by the federal Troubled Asset Relief Program.But the Riverwoods, Illinois -based credit card company is making most of the increases in the form of company stock rather than cash.Mr.
Posted in Finance Fraud Tags: 30 Million, Bailout, Base Salaries, Base Salary, Chief Operating Officer, Company Stock, David Nelms, Executive Salaries, Guthrie, Hochschild, Holding Periods, Loan Losses, Preferred Shares, Proxy Statement, Riverwoods Illinois, Senior Executives, Senior Management, Top Lieutenants, Treasury Department, Visa Network Comments OffMB Financial rejiggers CEO Feiger’s pay to meet TARP rules
December 7th, 2009 Before You Invest (Crain’s) — MB Financial Inc. CEO Mitchell Feiger will see his salary jump 58% to $1.1 million next year as the Chicago-based bank holding adjusts senior executives’ pay to reflect the inability to pay bonuses, a restriction the federal government imposes on lenders participating in the bailout program.In addition, Chief Financial Officer Jill York will get a $156,000 raise to $450,000, the bank told in a Securities and Exchange Commission filing late Monday.The bank is trying to inject a performance-based component into the pay raises by making 60% of the increases in company stock.
Posted in Finance Fraud Tags: Acquirer, Bailout, Bonus Payments, Capital Position, Chief Financial Officer, Company Stock, First Nine Months, Jill York, Loan Losses, Lucrative Deals, Mb Financial Inc, Mitchell Feiger, Pension Contributions, Preferred Shares, Regulators, Restricted Stock Awards, Securities And Exchange Commission, Senior Executives, Treasury Department, Vests No Comments »International Monetary Fund now estimates global bank losses at $3.4 trillion
November 8th, 2009 Before You Invest The International Monetary Fund (IMF) has reduced its estimate of global bank losses by $600 billion – but warned the new figure of $3.4 trillion could rise further due to high unemployment rates across the world pushing up loan losses.Rising security values combined with a new way of calculating losses are to thank for the improvement on the original $4 trillion deficit calculated in April.But the IMF says that around another $1.5 trillion worth of loan writedowns will hit banks by the end of 2010.
Posted in Finance Fraud Tags: Banks, Brink, Earnings, Economic Recovery, Financial Institutions, Financial Meltdown, Global Bank, Global Financial Stability, Global Financial Stability Report, Government Support, Imf Report, International Monetary Fund, International Monetary Fund Imf, Jose Vinals, Loan Losses, Policymakers, Public Purse, Reuters, Trillion, Unemployment Rates No Comments »Five banks shut down by regulators on Friday
August 1st, 2009 Before You Invest Mutual Bank was closed Friday by the Illinois Department of Financial Professional Regulation’s division of banking, which appointed the Federal Deposit Insurance Corp. as receiver.United Central Bank of Garland, Texas, is assuming Mutual’s $1.6 billion in deposits and essentially all of its $1.6 billion in assets.In addition, the FDIC and First United Central Bank entered into a loss-sharing agreement covering $1.3 billion of the assets of Mutual Bank.
Posted in Finance Fraud, bank shut downs Tags: Bancorp, Bank Failures, Cease And Desist Order, Delinquent Loans, Deposit Insurance Fund, Fdic Estimates, Federal Deposit Insurance, Federal Deposit Insurance Corp, Federal Reserve Bank, Federal Reserve Bank Of Chicago, First Three Months, First United, Garland Texas, Illinois Department, Illinois Inc, Loan Defaults, Loan Losses, Professional Regulation, Regulators, Regulatory Action No Comments »
