2011-01-19bloomberg.com

"Wells Fargo & Co., the largest U.S. home lender, posted a fourth-quarter profit that missed some analysts’ estimates as income from mortgage banking weakened." -- Most of the "earnings increase" came from a reduction in loan loss provisions.



Comments:

mtgfactsman at 04:58 2011-01-20 said:
It is all well and good that Wells Fargo posted a profit and refuses to make a settlement with the GSEs on potential buybacks. However, no one has questioned Wells Fargo on the Option ARM Portfolio they received when they acquired Wachovia. Those of you who do not know Wachovia, in all its wisdom, bought Golden West's Portfolio for $24 billion back in 2006, this was a Portfolio of high LTV Option ARMs on Residential Real Estate in CA, NV, and AZ. Need less to say a large majority of these Mortgages are in or will default and Wells Fargo is the one holding the bag. Wells Fargo announced last month they are restructuring about 15,000 of these Mortgages, that is about one fifth of the total portfolio, so it will be interesting to see the profits Wells Fargo reports when they address all the Mortgage losses they actually have, not just the ones they choose to recognize. Permalink
catherine at 07:17 2011-01-20 said:
TIC TOC TIC TOC.............dead bank walking.......... Permalink
achtung at 07:46 2011-01-20 said:
Dead Banks don't make record profits

“Wells Fargo saw solid growth in a variety of businesses, with record net income for the full year as well as the fourth quarter,” Chief Executive Officer John Stumpf said in the statement.

Wholesale banking, the division that includes the investment bank and commercial lending and real-estate divisions, reported $1.6 billion of net income, up 11 percent from the third quarter. Total loans increased less than 1 percent to $757.3 billion from $753.7 billion in the third quarter.

Profit for the full year advanced 1 percent to a record $12.4 billion. Total revenue declined 5 percent in the quarter to $21.5 billion, and income before taxes and provisions slid 17 percent to $8.15 billion. Permalink

catherine at 09:14 2011-01-20 said:
they own the biggest dump OF TOXIC CRAP next to bank of A. Those (foreclosures) rats have not gone thru the snake so to speak, they are languishing in the gut. The taxpayers are giving these dead banks walking the profit you see........

Like I said BEFORE you the taxpayer are helping them show a profit with a straight face - ALL MARKET TO MYTH - by pouring trillions into these dumps and paying full PRICE, FULL DOLLAR FOR WORTHLESS GARBAGE.............

hehehehehe, I always said when AIG got 20 billion and then showed a 9 million dollar profit and paid back money and my 'believing and drinking' friends were so sure they had turned around, sadly they come back for more billions ever other quarter or so, who can keep up.......I always said I could show a 9 billion dollar profit if someone gave me 20 billion.........(but you boys are blinded by the smoke and mirrors)

foreclosures were 1 million last year even WITH THE GOVERNMENT SHUTTING them all down for 4-5 months with election scamming............still THEY WERE AT 1 MILLION :shock: :shock: :shock: ............whatchawannabet that they shut them down SO THEY WOULDN'T HAVE TO REPORT 2 MILLION FORECLOSURES before an election???? :lol: :lol: :lol:

SO we can expect almost 800,000 at the minimum in pent up election foreclosures, let's say we JUST STAY THE SAME, you know hold the pattern

(while 500,000 apply for first time unemployment but NOT JOBLESS ACCORDING TO YOU continues on)

that would be 1.8 million PLUS THE 800,000 in election foreclosures...........2.6 million THIS year........

but you are sure that those numbers don't hurt WF in any way shape or form.........yeah and MR. 'WE ORIGINATED MORE THAN ANYONE ELSE' wells fargo has a lot of toxics buried in thsoe numbers.......

the loans they are writing are dropping in value AS WE SPEAK, and you are spewing their words on their profits............cause they are honest :roll: :roll: .............

sounds just lke bigfib when he was sticking the wachovia boys FAKE PROFITABILITY STATEMENT DOWN MY THROAT..........

you acknowledged that maybe JUST MAYBE IN THIS ONE INSTANCE that housing could be in the DEPRESSION TERRITORY, right?????

so why can't you walk across the street and see that the banks that are buried IN THAT HOUSING INDUSTRY and EVERYTHING ELSE RELYING ON THAT INDUSTRY, (city and state government, pensions, employees) are in Depression era failure.........you can't admit HOUSING IS AND then blow off everything else that depends on housing........and sound credible........

. read up on the depression, they were spouting profits hours, hours before the big crash, the big, smart know everything guys, come on.........this is too easy...........

where in that accounting do you see the garbage that was sold at full price.......they are counting on that to continue to be profitable.......

you have to realize those tax dollars have now been promised to the IMF, not the banks, promised to the states like NY and CA, not the banks, promised to AIG and pensions for the unions, NOT THE BANKS..........

not even the too big to fail ones........the government already picked the bride, BOA....... Permalink

achtung at 05:21 2011-01-21 said:
Not only sure the foreclosures wont hurt WFC, I am positive that the reserves they have, the writedowns they have done, and the modifications they are doing are more than sufficient to buffer the company from increased losses.

This is not 2007. Whole new ballgame here. The banks no longer can be optimistic in lieu of being cautious. The result is that the banks are making good decisions instead of bad ones.

I said we are nearing the severity of the previous depression in terms of housing price decrease, that is correct. I further stated that housing is the only area in which we approach the depression metric. Meaning that I don't feel the entire economy is even close to a depression.

As far as unemployment #'s go, as you must assuredly know, 1 million unemployment claims are contested per year by employers who have fired employees. What I was stating in the post you were referring to, was that this "segment" of the newly unemployed is actually replaced by workers from the general pool of workers. i apologize if i did not state that in terms that you could understand. Permalink

catherine at 07:45 2011-01-21 said:
WHOLE NEW BALLGAME?????:lol: :lol: :lol:

fact::: they are still writing and securitizing debt based on mortgages WRITTEN ON CHAINSAW FALLING COLLATERAL...........

and only 402,000 applied for first time job benefits which does not relate to people losing their jobs............to you :roll: :roll:

................and since they had RETARDED EXPECTIONS, that is somehow GOOD NEWS FOR FINANCIALS, the sweetest cherry kool-aid............

WHOLE NEW BALLGAME??????

NOPE IT JUST SEEMS that you moved up a few rows IN THE SAME GAME and think you are seeing something different...... Permalink

achtung at 07:50 2011-01-21 said:
WHOLE NEW BALLGAME?????:lol: :lol: :lol:

fact::: they are still writing and securitizing debt based on mortgages WRITTEN ON CHAINSAW FALLING COLLATERAL...........

and only 402,000 applied for first time job benefits which does not relate to people losing their jobs............to you :roll: :roll:

................and since they had RETARDED EXPECTIONS, that is somehow GOOD NEWS FOR FINANCIALS, the sweetest cherry kool-aid............

WHOLE NEW BALLGAME??????

NOPE IT JUST SEEMS that you moved up a few rows IN THE SAME GAME and think you are seeing something different......

Certainly a whole new ballgame. Prove me wrong.

Their financials speak for themselves the 8 quarters of profit speak for themselves. The record profit last quarter speaks for itself. Lower loan losses speak for themselves. Fewer foreclosures, late payments, credit impairments etcetcetc...

Seems your screaming the wrong message has left you deaf. Permalink

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