Chris Whalen On Wells Fargo & BofA: "They've been pulling reserves out of loss provisions to goose their earnings and hit the analyst targets"

Editor's Note: The video is full-size...it just appears small before playing.  

Brand new from the world's best independent banking analyst.  Truth and transparency are in short supply at Wells Fargo.

Bloomberg Video - Chris Whalen - Feb. 16, 2011

Christopher Whalen, managing director of Institutional Risk Analytics, talks about Howard Atkins's highly suspect and suspicious decision to resign from his position as chief financial officer of Wells Fargo.

• "There is constant discussion of both Wells Fargo and Bank of America disclosure.  I think that they are understating their losses.  As a result, they've been able to not only improve their earnings, but they've been pulling reserves out of loss provisions to goose their earnings and hit the analyst targets, which I think is unconscionable.  I think these banks should be looked at very hard by federal regulators to see if they're not hiding losses in areas like troubled debt restructuring, and in modifications."

Comments

[Dr. Pitchfork]

Wowzers. This could be explosive.

[DailyBail]

IF the regulators pay attention...but they won't...they will allow wells and Bank of America to continue their balance sheet charade...

[DailyBail]

How Goldman Sachs gained from bailout of AIG

Documents given to the Financial Crisis Inquiry Commission show Goldman made $2.9bn on proprietary trades from AIG's bailout cash

http://www.guardian.co.uk/business/2011/jan/27/goldman-sachs-received-aig-bailout-cash

[DailyBail]

Moody's CMBS delinquency tracker tops 9% for first time

http://www.housingwire.com/2011/02/14/moodys-cmbs-delinquency-tracker-tops-9-for-first-time