Thursday, February 28, 2008

Downey Non-Performing Assets Leap Again

Downey Financial Corp. (NYSE: DSL) released monthly selected financial data for the thirteen months ended January 31, 2008.

"Restated NPAs" represents loans modified pursuant to Downey's borrower retention program.

Downey reports NPAs as a percentage of total assets. But not all of a bank's assets are loans. So, to make the NPA statistic more easily comparable across time, you can back out Downey's cash, investment securities, FHLB stock, and other assets that are not loans from the calculation.

The graph above shows NPAs and "adj-NPAs," which is NPAs as a percentage of only loans. (Both data series use Downey's new restated-NPAs numbers.)

They did not break out delinquencies in this report.


Anonymous said...

This data on DSL's NPA was put out by Downey on Feb. 15th. It is old news.

Downey's 10-K may be interesting. The 10-K must be filed within 60 days after the end of the fiscal year, i.e. Feb. 29th, end-of-day.

So, less than 24 hours from this comment.

Anonymous said...

<sigh> All parabolas must end.

Darn. It was so much fun to watch.