Whitney: Banks Still Under Strain

Oppenheimer & Co. analyst Meredith Whitney has been hammering home a simple theme for a number of months: Banks don’t have enough money, and they’re going to continue to need to raise more money. She does not see a respite in 2009.
“When a security is downgraded, a higher level of capital is required by banks to be held against that security,”
“Aside from the greater than $40 billion in write-downs and provisions we expect for the group of bank stocks under our coverage, and earnings pressure related to chronic negative operating leverage, we also expect capital strains to become apparent from ratings change pressures,”
http://blogs.wsj.com/marketbeat/2009/01/07/whitney-banks-still-under-strain/