After Rough Year, Nearly Half Of Wall St. Bank Profits Are Gone

The New York Times:

Only a year ago, Wall Street reveled in an era of superlatives: record deals, record profit, record pay. But a mere 12 months later, nearly half of the profits that major banks reaped during that age of riches have vanished.

The numbers are staggering. Between early 2004 and mid-2007, a period of unprecedented wealth on Wall Street, seven of the nation's largest financial companies earned a combined $254 billion in profits.

But since last July, those same banks -- Bank of America, Citigroup, JPMorgan Chase, Lehman Brothers, Merrill Lynch, Goldman Sachs and Morgan Stanley -- have written down the value of the assets they hold by $107.2 billion, gutting their earnings and share prices. Worldwide, the reckoning totals $380 billion, much of which reflects a plunge in the value of tricky mortgage investments.

Read the whole story: The New York Times

Comments

[PepperzMom]

Awwwwwwwwwwwww!

Considering that the take home pay value of most of us has crashed about 50% (inflation, stagnant wages at best, many on unemployment) and you previously earned those profits on my, your employee's, back, gee, my tears just are awash for you poor corporate fools...