This excerpt taken from the STI 8-K filed Jan 22, 2009.
Credit and Market Environment
The Company recorded provision for loan losses of $962.5 million, or $410.0 million in excess of net charge-offs, increasing the allowance for loan losses to 1.86% of total loans during the fourth quarter. Additionally, during the fourth quarter, the Company recorded $236.1 million in operating losses, which were primarily related to losses stemming from borrower misrepresentations and insurance claim denials, and $100.0 million related to mortgage reinsurance reserves.
The worsening economic conditions and resulting affect on asset values also continued to adversely impact the Companys assets carried at fair market value. During the fourth quarter, market valuation
losses on loans and securities carried at fair value were approximately $145 million, of which $44.3 million related to the Companys public debt and related hedges carried at fair value.