Merrill Lynch posts loss of nearly $2 billion

April 17, 2008
Merrill Lynch posts loss of nearly $2 billion

NEW YORK (MarketWatch) - Ongoing write-downs for soured mortgage investments and other bad credit bets continued to plague Wall Street icon Merrill Lynch, leading to an almost $2 billion first-quarter loss and a planned 4,000 job cuts, the company reported Thursday.

But new Chief Executive John Thain said core businesses continued to operate well. "Despite this quarter's loss, Merrill Lynch's underlying businesses produced solid results in a difficult market environment," he said. "The firm's $82 billion excess liquidity pool has increased from year-end levels, and we remain well-capitalized."

Thain's comments are likely to calm some market jitters sparked by stubborn talk the firm may need to raise new capital. In recent weeks, Thain has repeatedly reassured investors that the firm will not need new capital.

Merrill Lynch: $15 Billion Loss

January 11, 2008

Merrill Lynch: $15 Billion Loss

Merrill Lynch is expected to suffer $15 billion in losses stemming from soured mortgage investments, almost double its original estimate, prompting the firm to raise additional capital from an outside investor.

Merrill, the nation's largest brokerage firm, is expected to disclose the huge write-down when it reports earnings next week, according to people who have been briefed on its plans. The loss far exceeds the $12 billion hit many Wall Street analysts had forecast.

Merrill Lynch: Recession 'has arrived'

January 8, 2008
Merrill Lynch: Recession 'has arrived'

The feared recession in the US economy has already arrived, according to a report from Merrill Lynch.

It said that Friday's employment report, which sent shares tumbling worldwide, confirmed that the US is in the first month of a recession.

Its view is controversial, with banks such as Lehman Brothers disagreeing.