FDIC Releases Revised 4Q08 Quarterly Banking Profile

The FDIC has release a Revised 4Q08 QBP with the explanation:

Shortly after the original release of the Fourth Quarter 2008 Quarterly Banking Profile, amended financial reports were received that significantly changed aggregate fourth quarter and full year earnings. Accordingly, this issue has been updated from the original release to reflect the changes. Updated results include substantially higher charges for goodwill impairment in the fourth quarter, which affected the industry’s aggregate net income and total equity capital. As a result of the amended reports, the industry’s fourth quarter net loss widened from $26.2 billion to $32.1 billion, and net income for all of 2008 was revised from $16.1 billion to $10.2 billion.

The cheery headlines are:

  • Industry Reports First Quarterly Loss Since 1990
  • Provisions for Loan Losses Are More than Double Year-Earlier Total
  • Average Net Interest Margin at Community Banks Falls to 20-Year Low
  • Full-Year Earnings Fall to Lowest Level in 19 Years
  • Quarterly Net Charge-Off Rate Matches Previous High
  • Noncurrent Loans Register Sizable Increase in the Fourth Quarter
  • Reserve Coverage Ratio Slips to 16-Year Low
  • Goodwill Writedowns Produce Drop in Total Equity Capital
  • Balances at Federal Reserve Banks Increased by $342 Billion in the Quarter
  • Deposit Share of Asset Funding Rises
  • Trust Activities Receded in 2008
  • Failures and Assistance Transactions Rose to 15-Year High in 2008

The breakdowns by type of bank are fascinating. For instance, almost all of the industry’s (8,305 institutions, assets $13,847-billion) profits were made by 26 credit card banks (assets $513-billion) and 5 international banks (assets $3,410-billion).

One Response to “FDIC Releases Revised 4Q08 Quarterly Banking Profile”

  1. […] Note that the release of the statistical data has been previously discussed on PrefBlog. […]

Leave a Reply

You must be logged in to post a comment.