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Strategies & Market Trends : Turnaround Stories -- Ignore unavailable to you. Want to Upgrade?

To: Sam Citron who wrote (7)	4/22/2009 11:46:02 AM
From: Sam Citron	Respond to of 8

Dick Bove [on CNBC currently]: "I think Sorkin is dead wrong. I think he's fighting MTM accounting. If he had argued when the write-downs in assets were occurring that they were were wrong then I would accept his view that the write-up in liabilities using exactly the same techniques is wrong. But when you argue on the one side that marking down the value of securities is incorrect using MTM accounting and it's also wrong to mark up liabilities at the same time, you have a conflict in what you're saying. The core is that these companies [banks] are showing significant increases in cash-on-cash earnings and that was seen in the trading results, their improvement in investment banking, the increases in returns on deposits, increase in activity in mortgage refi sector. The banks are definitely earning more money and I don't think there's any question about that."