Report title: MOODY'S REPORTS: Credit Card Sector Faces Challenging Period Ahead
from Moody's Global Credit Research
4 page (2760 word) report published Oct 17, 2008

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About Moody's Global Credit Research

...Credit card performance deteriorated across all five metrics in August, as tracked by Moody's Credit Card Credit Indices, wh ich tracks over $435 billion of U.S. Bank credit card loans backing securities rate d by Moody's. The charge-off rate index continued to climb in August 2008 and is all but certain to surpass the peak rates following the previous recessions. Moody' s continues to have a negative outlook on the sector and believes that deterior ation will continue into and throughout 2009.Amid a stubborn, worldwide economic crisis and worsening collateral performance, the U.S. credit card industry is bracing for an exceptionally challenging period. Although the balan ce sheet strength and liquidity of the sector's largest credit card issuers re mains quite strong, the uncertainty and tempo of the turmoil will test even the stalwarts' ability to adapt. ...

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