The number of troubled U.S. banks leaped to the highest level in about five year

[beast]

WASHINGTON (AP) - The number of troubled U.S. banks leaped to the highest level in about five years and bank profits plunged by 86 percent in the second quarter, as slumps in the housing and credit markets continued.

Federal Deposit Insurance Corp. data released Tuesday show 117 banks and thrifts were considered to be in trouble in the second quarter, up from 90 in the prior quarter and the biggest tally since mid-2003.

The FDIC also said that federally-insured banks and savings institutions earned $5 billion in the April-June period, down from $36.8 billion a year earlier. The roughly 8,500 banks and thrifts also set aside a record $50.2 billion to cover losses from soured mortgages and other loans in the second quarter.

"Quite frankly, the results were pretty dismal," FDIC Chairman Sheila Bair said at a news conference, but they were not surprising given the housing slump, a worsening economy, and disruptions in financial and credit markets.

The majority of U.S. banks "will be able to weather" the economic and housing storms, with 98 percent of them still holding adequate capital by the regulators' standards, Bair said.

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Source: http://apnews.myway.com/article/20080826/D92Q653G5.html

[Anonymous]

of course, WE don't get to see that list


I saw an article today that said the FDIC is making plans to borrow from the Treasury because they won't have enough $$ to cover the deposits in these banks once they fail

boy, are we frakked, or what?

[beast]

I saw that and i'm also thinking about the article from a couple of weeks ago when someone said there was going to be a big one going down.