Would tend to agree. But, the set-asides for NPLs has been very aggressive and, I hope, proactive. Over $800mm coverage for these assets would affect any reit's income statement, particularly if it is done in 2 or 3 quarters.
That being said, survivability is the key metric for SFI. Regardless of 09 returns, focus must be on that, and I as an investor am willing to wait it out for the upside. :O}