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Non-Tech : NetBank(NTBK)-formerly Atlanta Internet Bank
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To: Benny Baga who wrote (603)6/3/1998 3:47:00 PM
From: peter michaelson  Read Replies (1) of 2414
 
It is my understanding (from old memory) that capital need not mean equity capital alone. Debt and preferred can be a part of the underlying capital as it is below the depositor's capital in seniority.

There are limitations on use of debt for banks, and my vague memory says it would be around 50% of total capital.

Nevertheless, I think that Yahoo poster is on the right track in trying to determine eventual earnings and eventual potential growth.

Peter
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