Nov 25, 2007

Sovereign Bancorp Inc.

Part of a series The Great American Write-Down

Sovereign Bancorp Inc. (SOV) The Philadelphia-based bank said it would triple its provision for credit losses by adding over $100 million to the reserve fund. Sovereign had gotten out of the sub-prime business in early 2006 and sold $3.3 billion of that portfolio, but retained loans they could not sell, many of them non-prime, which are usually given to home buyers with poor credit records.

Sovereign Bancorp warns of writedowns