$1 Billion in a Month? Wachovia Loan Loses Pile Up

Wachovia reported more than $1 billion loss in October alone, as loan-related losses hit the bottom line of the nationwide bank. That October loss comes on the top of $1.3 billion loss taken by Wachovia in the 3rd quarter. These losses are in line with most analyst estimates that the 4th quarter is going to be far worse in terms of losses than the brutal 3rd quarter was for those companies with exposure to the mortgage markets. Due to the October market deterioration, Wachovia's asset-backed collateralized debt obligations, or CDOs, experienced further declines in value in October 2007 by an amount it currently estimates to be approximately $1.1 billion pre-tax, the filing said. In the third quarter, market losses totaling $1.3 billion pre-tax included $347 million of subprime-related va