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Sunday, March 01, 2009

HSBC Update

by Calculated Risk on 3/01/2009 03:15:00 PM

As we discussed yesterday, AIG will not be alone in the confessional tomorrow. HSBC is about to announce a £17bn hit on bad loans.

Now the Financial Times reports: HSBC to scale back US lending

HSBC will on Monday announce plans to scale back its US consumer finance operations as the bank launches a £12bn-plus ($17bn) rights issue ... HSBC is expected to say that it is further shrinking HSBC Finance Corporation, its US-based credit card and mortgage lender ...
The WSJ has a headline only: HSBC plans to cease U.S. personal loans and mortgages but will continue to provide credit cards.

I'm sure HSBC regrets the Household International acquisition!