Merrill admits losses of $5.5 billion on bad loans. Top of the charts!


Merrill admits losses of $5.5 billion on bad loans.


The investment bank Merrill Lynch emerged as one of the worst-hit victims from the summer’s credit meltdown as it revealed that losses of $5.5bn on mortgages and bad loans would push it into the red for the first time in six years.

Merrill Lynch joins only UBS among global investment banks suffering an overall loss from the summer’s credit crunch although others, including Bear Stearns and Morgan Stanley, have suffered sharp deterioration in their profits.

While US lawmakers somehow managed to “overlook” placing any regulations on sub-prime sleaze - not even requiring licensing for storefront mortgage lenders - the highly-regulated banking and investment sector has no one overseeing stupidity and greed.

Posted: Sat - October 6, 2007 at 08:57 AM