HSBC reported a 70 drop in net income for the 2008. Profit for the year totaled $5.7 billion, or 47 cents a share. This compares to 19.1 billion, or $1.65 a share, in 2007.
The company said the decline was largely attributable to a $10.6 billion goodwill impairment tied to the personal financial services business in North America. This resulted in a $15.5 billion loss for the North American operations as a whole, which offset gains in other parts of the world.
“In light of this, we have taken the difficult decision that, with the exception of credit cards, we will write no further consumer finance business through the Household Finance and Beneficial brands in the U.S., and will close the majority of the network,” said Stephen Green, group chairman for HSBC.
Related posts:
