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Russia turmoil hits banks
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September 3, 1998: 6:40 p.m. ET
Major banks, brokerages see losses amid country's economic turmoil
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NEW YORK (CNNfn) - Russia's financial turmoil has meant tough times for a number of banks, whose bottom lines have been weighed down by exposure to the crisis-ridden country.
Here's a look at what they've lost.
BankAmerica Corp. (BAC) -- has $220 million in trading losses so far this quarter, mostly in Russia. (story)
BankBoston (BKB) -- said it lost $30 million in trading so far this quarter, including $10 million in Russia-related loans.
Bankers Trust Corp. (BT) -- blamed a $260 million loss on Russia; has seen trading losses of about $350 million since the end of June. (story)
Barclays PLC (BCS) -- estimating a hit of $252 million (150 million pounds) to annual net profit.
The Bear Stearns Companies (BSC) -- little exposure to emerging markets, but its U.S. bond trading could bring in less cash because these markets are faring poorly.
Chase Manhattan Corp. (CMB) -- trading revenue totaled about $160 million in July and August, suggesting that revenue for the entire quarter will probably fall several hundred million dollars short of recent quarters.
Citicorp (CCI) -- total losses from the Russian situation would reduce after-tax earnings by about $200 million in the quarter. (story)
CS First Boston -- reported that Russian bond losses would cut its net income by $250 million, which implies its gross exposure is more like $800 million.
Donaldson, Lufkin, Jenrette (DLJ) -- said it had $40 million in pretax income in the first two months of the third quarter ending Sept. 30. The lower-than-expected third-quarter net income reflected adverse trading conditions in the global marketplace and turmoil in Russia. (story)
J.P. Morgan & Co. Inc. (JPM) -- said it lost money in Russia but declined to say how much. The company said its exposure in Russia is $160 million and its trading revenue has been hurt during the current quarter, partly as a result of accounting for Russian losses.
Lehman Brothers Holdings (LEH) -- said its third quarter profits would be cut by $60 million to about $151 million due to turmoil in emerging markets. (story)
Merrill Lynch & Co., Inc. (MER) -- minimal exposure.
Morgan Stanley Dean Witter (MWD)- expects third-quarter consolidated net income will be cut by $110 million because of trading losses in emerging markets, including Russia. (story)
Nomura Securities -- said it has accumulated losses so far this year of $350 million because of the Russia crisis.
Republic New York Corp. (RNB) -- said losses on its Russian investments would force it to take a charge of $110 million in the third quarter and wipe out its earnings for the period. (story)
Salomon Smith Barney (TRV) -- $360 million in credit losses due to Russia, overall $150 million net loss in last 2 months. 
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