Again the idea was to break up Brierley to extract value from its vast under-performing assets.
In time, it would expose the long tail of non-performing assets in their portfolios.
But it's going to take a long while: At JPMorgan and other banks, charge-offs and non-performing assets are increasing and won't peak anytime soon.
At the same time, he's still hammering away on U.S. targets like JPMorgan Chase, whose non-performing assets exceed tangible equity, according to his own calculations.
Here's how it worked: In exchange for setting up partnerships that would allow Enron to "sell" poorly performing assets at a profit, Fastow would get cash payments up front.
The prosecutor then connected the dots for the jury, and in order to hide these under-performing assets, you put them into the Raptor vehicles, isn't that correct Mr. Skilling?
The former, arguably the US case, leads you to pump liquidity into the system holding the non-performing assets (the banks, in our case) until normal credit operations can resume.
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Both men have a reputation for paring costs and for pouncing on under-valued companies, which they then turn into machines for generating cash with which to buy yet more under-performing assets.
For instance, prosecutors say, he was involved in manufacturing earnings and concealing debt through sham sales of poorly performing assets to an off-balance-sheet partnership run by Andrew Fastow, Enron's former chief financial officer.
Fastow also described a meeting in which Lay and Enron spokesman Mark Palmer discussed a list of 25 detailed questions from the Wall Street Journal about partnerships that bought poorly performing assets from Enron.
According to ICRA, the gross non performing assets ratios of state-run banks was stable at 2.4% for the first half of the fiscal year, while the same number for the State Bank of India Group rose to 4.3% from 4%.
Corporations have begun to realize the influence of non-performing patent assets on their balance sheets.
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Conventional wisdom has it that AOL Time Warner shares are so low that the market has assigned zero value to the America Online unit--indeed, Mark contends that even the strongly performing Time Warner assets are undervalued right now.
From a strictly business standpoint, these varied settlements may still be welcome milestones for Bank of America, as is the ongoing divestiture of non-performing mortgage-related assets.
Top performing funds routinely gather the most assets as investors pile in.
Over half of its property assets are non-performing.
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As it applies to Lehman and others, whether the assets on their books were performing at the time of their struggles or not seems immaterial.
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It cut its non-performing loans to 2.9% of assets in March, down from 8.1% two years earlier.
T-Mobile USA is currently performing its annual assessment of the indefinite-lived assets recorded in its financial statements.
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This is fine in a busy market, but when there's little or no trading, the deeply discounted "sale" price becomes the value for any similar assets, even if the security is performing well.
As a result of the market downturn and weak-performing proprietary products, brokers have seen the fee-based compensation they receive related to client assets drop dramatically.
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