Tuesday, February 24, 2009
GE Mortgage Exposure
from Q4 2008 http://www.sec.gov/Archives/edgar/data/40545/000004054509000012/frm10k.htm --Non-U.S. residential mortgages: 59,595 (NOTE 12. GECS FINANCING RECEIVABLES ) At December 31, 2008, net of credit insurance, approximately 26% of this portfolio comprised loans with introductory, below market rates that are scheduled to adjust at future dates; with high loan-to-value ratios at inception; whose terms permitted interest-only payments; or whose terms resulted in negative amortization. At the origination date, loans with an adjustable rate were underwritten to the reset value. allowance: 382 mil charge off: 150 mil provision: 323 mil --(Commercial) Real estate(c)(d) : 36,679 GECS investment in real estate consisted principally of two categories: real estate held for investment and equity method investments. Both categories contained a wide range of properties including the following at December 31, 2008: office buildings (45%), apartment buildings (17%), industrial properties (11%), retail facilities (9%), franchise properties (7%), parking facilities (2%) and other (9%). At December 31, 2008, investments were located in the Americas (47%), Europe (31%) and Asia (22%).