Commercial Lending Review articles from September 2001

Commercial Lending Review archives from September 2001

Risk management for a risky age.(Editorial)
September 22, 2001... All of us at Institutional Investor extend our deep sympathy to the families, friends, and colleagues of those lost, injured, or missing as a result of our national tragedy. Our hearts go out to you. An important article in this issue of...

Using models in managing credit-risk portfolios.
September 22, 2001... About a decade ago, some financial institutions began to use credit-risk-measurement models in their corporate lending decisions and portfolio models to attempt to optimize their loan assets. This article addresses the use of default...

Building a credit-risk-valuation framework for loan instruments.
September 22, 2001... Since its application to derivatives valuation in the early 1970s, no-arbitrage pricing has become the basis for managing the risk of the trading and investment books of financial institutions. No-arbitrage techniques are used to price and...

The impact of customer information technology on the lending decision.
September 22, 2001... The ability to measure, manage, monitor, and mitigate risks comprehensively requires skills that go far beyond the historical credit reviews and relationship instincts of the past. As borrowers increase their reliance on information technology...

Case study: how OneCore serves small businesses.
September 22, 2001... The face of small business changes constantly. Banks shift the ownership of the small-business marketplace from their retail divisions to their corporate divisions and back again almost as often. Like a forgotten stepchild, the small business...

FASB rethinks accounting for goodwill.
September 22, 2001... On June 29, 2001, the Financial Accounting Standards Board (FASB) unanimously approved two new Statements of Financial Accounting Standards (SFAS): SFAS No. 141, "Business Combinations," and SFAS No. 142, "Goodwill and Other Intangible Assets."...

Case 01-4: beware the wrath of old article 9: solving crime through knowledge of legal developments in commercial lending.(Column)
September 22, 2001... The fall sky's furious rain and wind toppled various coffee shop chairs and pedestrians with ease. Crossing the torrid currents of the muddy river better known as Second Avenue in October 2001, I, Will K. E. Farr, New York detective with a law...

Managing company and industry diversification.
September 22, 2001... The risk of any commercial enterprise depends on the quality of its management, the condition of its industry, and the general state of the economy. Variations in the economy affect every firm and, regrettably, a bank cannot avoid this general...

Standards for comfort letters clarify their use in credit analysis.
September 22, 2001... Businesses often request CPA attestation services to help meet creditors' demands and regulatory requirements and to gain additional assurance on financial and nonfinancial assertions. For decades, CPAs have issued so-called comfort letters,...

Managing for cash.
September 22, 2001... Beware the hidden cost of success. After the boom years of the 1990s, more and more major corporations now are in financial trouble as the economy slows, profits disappear, and revenues shrink. The executives who looked so good during the good...

Accounting by debtors for a troubled debt restructuring.
September 22, 2001... The Financial Accounting Standards Board (FASB) issued Statement of Financial Accounting Standards (SFAS) No. 15, "Accounting by Debtors and Creditors for Troubled Debt Restructurings," to provide guidance on the financial accounting and...