In the euro area, write-downs
so far have totaled $154 billion, with another $750 billion in write-downs
expected through 2010.
In addition, Merrill took write-downs
of $900 million on exposure to Alt-A loans, which are a slightly better credit risk than subprime mortgages, and on mortgages outside the US.
RBS had been under intense pressure to reveal the extent of its liabilities after banking groups including HSBC, Citi-group Bank of America, Morgan Stanley unveiled multi-billion pound write-downs
s Chairman and chief executive officer Charles Prince resigned on Sunday and the bank may suffer up to an $11 billion write-down
for subprime losses, the bank said Sunday.
Notably, voluntary asset write-downs
are one of the few income-decreasing accounting choices studied in the literature.
Other major write-downs
, before taxes, included BHP's Hot Briquetted Iron project at Port Hedland, Western Australia, $A590M; the Hartley platinum project in Zimbabwe, $A357M; the New Zealand Steelworks, $A156M; and the Beenup mineral-sands project in the far southwest of Western Australia, $A150M.
Further, firm A is losing all of its profits and firm B is losing half its profits in write-downs
After adopting a cost flow procedure and determining the inventory's initial basis, the practitioner must determine whether the inventory's basis may be subsequently written down.
This Greek write-down
will be surely accompanied by a new austerity package cutting public sector salaries, suspending employment for tens of thousands of public workers and curtailing pensions to higher income individuals.
The entire amount of the project write-downs
above will be charged in the second quarter of 2012.
The commercialisation of the diamond projects, acquired via the takeover of Isle of Man-registered Pangea DiamondFields plc in March, also failed the company's expectations and entailed a write-down
The investment bank forecast earlier this month its write-downs
on such mortgages will reach about $4.