“We have no way, with any reasonable certainty, to assess the real risk of holding these loans on our balance sheet. The bottom line is that we are flying blind on how these loans will perform in a stressed environment of higher unemployment, reduced values and slowing home sales.” -- Former Countrywide CEO Angelo Mozilo, writing about sub-prime mortgage loans in an e-mail released as part of the Security and Exchange Commission's civil suit against him for securities fraud and insider trading. --- Tim Fernholz
Photo courtesy New York Social Diary.
