Analysts Say More Banks Will Fail - NYTimes.com

Analysts Say More Banks Will Fail - NYTimes.com: "Analysts Say More Banks Will Fail

*
E-Mail
* Print
* Reprints
* Save
* Share
o Digg
o Facebook
o Mixx
o Yahoo! Buzz
o Permalink

Article Tools Sponsored By
By LOUISE STORY
Published: July 14, 2008

As home prices continue to decline and loan defaults mount, federal regulators are bracing for dozens of American banks to fail over the next year.
Skip to next paragraph
Related
Times Topics: Banks and Banking
Add to Portfolio

* Fannie Mae
* Freddie Mac

Go to your Portfolio »

But after a large mortgage lender in California collapsed late Friday, Wall Street analysts began posing two crucial questions: Just how many banks might falter? And, more urgently, which one could be next?

The nation’s banks are in far less danger than they were in the late 1980s and early 1990s, when more than 1,000 federally insured institutions went under during the savings-and-loan crisis. The debacle, the greatest collapse of American financial institutions since the Depression, prompted a government bailout that cost taxpayers about $125 billion.

But the troubles are growing so"