The truth is...the net is 2 billion...if the hedges hold. If they don't...bye bye Stanley. Further, a Moody's downgrade, and a Greek exit from the Euro will spell the end of Morgan Stanley as the firm isn't strong enough to withstand that kind of contagion. Gorman has no business pretending otherwise. But then again, he doesn't have much value as a CEO when his firm can't pay a decent dividend.
Q1 exposure to GIIPS was 2.4B after selling the Italian bonds, so Greece is lower. France was 4.1B. The total being lower than 2011 when Moody's was looking at them. Beleive it was around the stress tests.