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http://www2.fdic.gov/qbp/2007dec/qbp.pdf
Some selected highlights (lowlights)
Quarterly Net Income Declines to a 16-Year Low
One in Four Large Institutions Lost Money in the Fourth Quarter
Margin Erosion Persists
Full-Year Earnings Fall to Five-Year Low
Net Charge-Off Rate Rises to Five-Year High
Growth in Noncurrent Loans Accelerates
Large Boost to Loss Reserves Fails to Stem Decline in Coverage Ratio
Some selected highlights (lowlights)
Industry Earned $5.8 Billion In Fourth Quarter
Noncurrent Rate On Mortgage Loans Reaches New High
Pace Of Reserve Building Picks Up
Quarterly Net Income Declines to a 16-Year Low
Fourth-quarter net income of $5.8 billion was the lowest amount reported by the industry since the fourth quarter of 1991, when earnings totaled $3.2 billion. It was $29.4 billion (83.5 percent) less than insured institutions earned in the fourth quarter of 2006.
One in Four Large Institutions Lost Money in the Fourth Quarter
Margin Erosion Persists
The average NIM in the fourth quarter was 3.30 percent, compared to 3.36 percent in the third quarter. Except for the fourth quarter of 2006, when the accounting treatment of a few large corporate restructurings resulted in a reduction in reported net interest income, this is the lowest quarterly NIM for the industry since 1989. Almost 60 percent of all institutions had their margins decline from third-quarter levels. Margin erosion was especially pronounced at large mortgage lenders.
Full-Year Earnings Fall to Five-Year Low
Net Charge-Off Rate Rises to Five-Year High
Growth in Noncurrent Loans Accelerates
Large Boost to Loss Reserves Fails to Stem Decline in Coverage Ratio