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- Jackson Hewitt faces de-listing from the New York Stock Exchange. The NYSE requires that companies maintain an 30-day average outstanding capitalization of $50 million. Jackson Hewitt, priced at about $1.15 share, is well short of that matter. JTX plans to give the NYSE a written plan outlining its strategy to enhance equity. The NYSE has the option of accepting that plan, or going ahead with the de-listing.
- Pacific Capital Bancorp management reminded investors that the feds "don't take over strongly capitalized banks." Yes, that is true. But what about a bank that says that still can't make its TARP dividend payouts?
- City Holding Company (CHCO), a small bank with the 5th largest deposit share in West Virginia, generates a 6 percent yield on its deposits. Read that carefully. City Holding is not paying its depositors 6 percent. It is pulling in fees off of those accounts that are equal to 6 percent of the sum of deposits, year over year. Most of that income comes from overdraft fees. Only two other banks, out of more than 8000 in the US, generate more than 3 percent in fees relative to deposits. More than 60 percent of all of CHCO's earnings come from overdrafts.
- Brookings estimates that an unbanked household spends about $1,000 per year on financial services. That is almost 5 percent of the median income of $22,000 among unbanked.