JUNK U.S. RATED
Banks' exposure to junk-rated companies and the oil and gas sector remain high, according to an annual report on loan quality by U.S. bank regulators released Thursday.
The regulators gave a negative classification to $372.6 billion out of $3.9 trillion in loans impacted by the review, or 9.5 percent of the loans. Classified loans increased 9.4 percent from a year ago.
While regulators cited progress by banks in improving their underwriting practices, they still complained of "persistent structural deficiencies found in loan underwriting," according to a press release that accompanied the report.
Log in to read the publication.
An authorized user gets access to four FREE publications per month.
You can also buy a full access to all publications of the site since January 2014.