Back then, STI was $94 a share. The "management" was buying stock at that price. JPM wanted SunTrust.
After that the price went down. The management told people "Don't worry, the dividend is safe, we don't have subprime loans".
All kinds of shareholder held their stock and BELIEVED what maangement was telling the shareholders.
No need to say more
Geezo fitforsports - Angry much??
Subprime, Subprime, Subprime, Subprime,Subprime, Subprime,Subprime,
Subprime....there... that ought to keep your spittle and frothings going for a few more name calling posts.
I believe that "fitforsports" was one of those that missed the opportunity to sell at $90, simply because he thought it would continue to go higher. Now, he's living in a "self denial" state, just like management. Greed kills people.
I'm sorry, but I think you are the one who is very confused about all of this. The fact of the matter is the federal and state governments for many years have focused on democratizing credit, rather than safety and soundness of the banking system. The result is a set of credit standards and an impersonal credit scoring system that is the same for all lenders. So there are no conservative lenders. SunTrust's management chose a high loan ratio at a time when property values were experiencing a balloon. This became a high risk proposition for the entire banking system. SunTrust became just like all the others, pushing and stretching for higher earnings and dividends at a time when prudence was required. That's the bottom line. Banks have become like public utilities and lemmings rushing to go off the cliff. I don't think you seem to see this. The tone of your comments is over-the-top and can't be helping you in the grand scheme of things.
Wow, if you are going to post at least have some facts, knowledge or at least an intelligent viewpoint.
STI has been the subject of buyout rumors forever. That is all. Nothing came to fruition.
How would you know JPM wanted STI? You know nothing. That is complete innuendo and nothing factual.
STI never had a "sub prime" loan. Moron. Do you even know what constitutes a sub prime loan.
STI got hit because the footprint they are primarily in got destroyed as a whole. So, did ever bank and many businesses.
You could have held Washington Mutual stock? Every bank basically got killed during that period.
You sound like a 3 year old whining about believing management said. What you want them to say child? Run run for the hills. Of course they are going to give you corporate America positive jargon.
The whole country got killed. So, yeah the stock dropped. At least its now around 25.
You buy an investment - it may go up or down. You 3 years old? If you are an adult make your own decisions. You could have been a adult rather than a whining child and looked at, studied taken advice about the economic situation and made a decision on your own.
Win, lose or draw. Be a grown up and take responsibilty for your own decisions. You idiot you.
Don't buy stock. Stick your money in a CD and shut up.
Trees don't grow to the sky and stocks don't always go up.
Waaaaa my stock went down let me blame everyone. I have no ability as a veal chop to make decisions on my own. I want to sit on couch eat bon bons all day and collect checks...waaaaa
Gosh,that was an awfully long comment, filled with all kinds of wild assumptions without any basis. You know nothing about my investment decisions. The Chairman of JPM stated and it was reported in the financial press several times that he wanted to be in the Southeast, especially Florida, and he mentioned SunTrust a few times. The 2007 - 2008 crash went far beyond the subprime mortgages. Management should have realized it had a very heavy concentration of mortgage risk in those markets that you mentioned and they could have done something about it. Yes, other banks did just as bad or worse, but a lot of them didn't fall apart anything like SunTrust. BB&T is one example. SunTrust may be all the way "back" to $25, which I suspect is temporary, and we do have an election coming up. But SunTrust has lost its formerly prestigious reputation. And by the way, the financial meltdown is not even close to being over and I wouldn't recommend holding any bank stocks at this time.
I remember those days. I was kind of upset because I sold 90% of my STI shares at $85...in retrospect, a very good thing.
Because of lies like these, I don't trust management or believe their comments. They'll do anything to save their butts. Also made me realize that the top guys in Atlanta were completely oblivious to the condition of this bank. I hope things have changed, but I doubt it.