SunTrust Banks: Financial Analysis

As the world emerges from the global financial crisis, banks find themselves in a challenging environment. Low interest rates are making it difficult to generate

In 2008 the world faced the worst financial crisis since the great depression. Many banks closed their doors for good that year. Among them were both small and large banks. One specific bank that collapsed that year was IndyMac, one of the largest banks in the United States. IndyMac marked the largest collapse of a Federal Deposit Insurance Corporation (FDIC) insured institution since 1984, when Continental Illinois, which had $40 billion in assets, failed, according to FDIC records (“The Fall of IndyMac 2008). This paper will talk about the cause of the collapse of IndyMac in 2008, the handling of the issues, as well as the aftermath of the collapse.

** Wells Fargo’s decentralized corporate structure gave the Community Banks Leadership the freedom to manage as they pleased and created an environment that rejected any oversight from outside the community banks ranks. Lack of centralized reporting and oversight made it difficult for the corporate office to identify trends or warning signs that lead to issue. Most of the warning signs were occurring at the local level, but there were a few major signs of a problem that bubbled up to the corporate which they seemed to ignore or did not identify as a potential problem.

SunTrust Bank is one of the nation 's largest financial institutions established in 1891and has it 's headquarter stationed in Atlanta Georgia. The bank offers a wide range of financial services from personal checking, mortgages, credit cards, investments and loans to consumers, businesses, commercial and corporate firms and has several branches and ATM across parts of the country but mainly in the Southern States like Georgia, Maryland, Washington D.C and Virginia. During the fiscal year in 2012, SunTrust netted revenue of $10,475 million increase of 23.4% over the fiscal year in 2011 (SunTrust Bank Inc, 2013). In 2012, SunTrust bank became the seventh financial institution in the U.S history to be affected by a "distributed denial of service attack (DDos) orchestrated by the hacktivist group Izz ad-Din al-Qassam" (Kitten, 2012).

"The prolonged low-interest rate environment is transforming the banking industry from savings and loans to service and loans," said Dan Geller, executive vice president of research firm Market Rates Insight in San Anselmo, Calif. (Fitzpatrick) Consumers may think that the continued low interest rates are a profound thing, but banks on the other hand think much differently. Consumers are refinancing their houses at rates as low as 2.875%, while big banks like Hudson City Bancorp Inc., a mortgage lender, are being forced to sell themselves to M&T Bank Corp. These super low interest rates are complicating the industry’s journey to a recovery from the financial crisis. In the article” Low Rates Pummel

The two largest modern bank runs in American history were the Savings & Loans Crisis of the 1980’s and the Financial Crisis in 2008-2009. Both crises left permanent scars on our financial system and provide important lessons moving forward. In this paper, I will provide a comparative analysis of the various causes, economic effect and regulatory responses, in an attempt to perhaps display a pattern for these crises that we can lean on to prevent future ones. Ultimately, the analysis yielded that at the core both crises were caused by regulatory negligence, attempting to cheat the system and government policy mistakes regarding financial policy, all contributed to the rise of these crises. Both had detrimental economic effects, and both regulatory

Bank of America Corporation, a multinational banking and financial services organization that is the second largest holding company in the entire United States by assets, and the fourth largest bank by capitalization. Headquartered in Charlotte, North Carolina, the banks serves clients in more than 150 countries and has a business relationship with over 99 percent of U.S. Fortune 500 companies and 83 percent of the Fortune Global 400. As of 2010, the bank is the 5th largest company in the United States by total revenue, as well as the 2nd largest non-oil company in the United States, while Forbes listed it as the 3rd biggest company in the world. Its acquisition of Merrill Lynch in 2008 made it the world's largest wealth management corporation. B of A holds about 13 percent of all bank deposits in the United States with a retail footprint that covers about 80 percent of the U.S. population or about 57 million consumers at over 6,000 banking centers making it one of the most powerful banking forces in the contemporary industry (Bank of America, 2011; The Global 2000; Fortune 500).

Bank of America Corporation (BOFA), comprised of Bank of America and Merrill Lynch, is a multinational company that provides financial services to “people, companies, and institutional investors.” (Bank of America's Strategy of Responsible Growth, 2017) In the U.S. BOFA serves all three customer groups, and outside the U.S. BOFA “serves larger companies and institutional investors. This business model simplifies our operations and reduces our risk profile.” (Bank of America's Strategy of Responsible Growth, 2017) Within the three pillar strategy points, BOFA seeks to aid people, companies, and institutions with their financial needs to obtain the largest customer exposure. Personal banking and wealth-management services assist the individual

After reviewing the Georgia Clerk of Courts website your property located at 970 Sidney Marcus Blvd, #1308, Atlanta, GA 30324 was foreclosed July 3, 2012. SunTrust Bank held both a first and second mortgage on the property. The principle balance on the first mortgage was $101,417.82 and the principle balance on the second mortgage was $40,721.00.

With Bank of America’s earnings release approaching, investors and analysts continue to wait and see if the “too big to fail” bank will ever pick itself up from the financial crisis of 2008. Although banks such as Wells Fargo & Company dug themselves out of the hole long ago, Bank of America cannot break free from the chains of a recession that has long since passed. Over the years, the bank struggled with legal fees and expenses incurred from the financial crisis of 2008, and the bank still cannot shake off the problems of the past some eight years later.

          Before the arrival and leadership of Stuart Adam (“Adam”), Bank Julius Baer, North America (“BJB-NA” or the “Company”), the largest independently-owned European private bank in the United States, faced financial difficulties. By mid-2001, a worldwide market downturn caused a significant decline in Julius Baer Group’s (“JB” or the “Parent”) performance. In 2001, JB’s stock price was down by over 40% while the Parent experienced a 39% decline in net profits, 9% increase in operating expenses and an increase of 14% in employee headcount. BJB-NA, the “crown jewel” of JB, was barely profitable but no one inside the Company knew its true financial

In 2008 the world faced the worst financial crisis since the great depression. Many banks closed their doors for good that year. Among them were both small and large banks. One specific bank that collapsed that year was IndyMac, one of the largest banks in the United States. IndyMac marked the largest collapse of a Federal Deposit Insurance Corporation (FDIC) insured institution since 1984, when Continental Illinois, which had $40 billion in assets, failed, according to FDIC records (“The Fall of IndyMac 2008). This paper will talk about the cause of the collapse of IndyMac in 2008, the handling of the issues, as well as the aftermath of the collapse.

Assess, adapt and overcome has been the strategic game plan for financial institutions during the historical economic, regulatory and cybercrime roller coaster. Unfortunately, the strategy has been mostly defensive due to historically low interest rates, high unemployment, poor performance in Gross Domestic Product (GDP) growth, heavy regulatory burden and increased risk in cybercrime activity. The roller coaster has caused uncertainty and distrust among consumers and has contributed to the increase of failed banks across the country. However, the United States is on a slow path to recovery adding optimism for offensive strategic planning for the future.

In depressed economic times, Banking is an industry that is prone to substantial financial losses, from customer’s closing their depository account to an increase in outstanding loan delinquency. An increase in consumer and commercial loan defaults can damage the integrity of a Bank’s outstanding loan portfolio. Such deterioration can lead to an increase of “Non-Performing Assets”.

been rapidly declining profitability of the traditional banking activities. Thus, in a bid to survive and