06 Oct
National City plunges
Shares of National City Corp. plunged more than 30% on Monday, dragging down the broader regional banking sector, after Fitch Ratings downgraded the company’s issuer default ratings. Cleveland-based National City “has been battling asset-quality issues in its mortgage and home-equity portfolios for over a year,” Fitch said in a statement late Friday. National City’s woes are tied to the collapse in real-estate prices and exacerbated by aggressive lending practices across the industry. Like many others in similar situations, the company has been looking for a way to extricate itself from its woes with out cashing out at fire sale prices. More
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