Wachovia's Steel Soothes Street (Update3)

"There is no question that given the cycle in where we are that credit costs will rise as you would expect given these conditions," Steel said during the call. "In summary, we at Wachovia understand our issues and challenges, We are already addressing them and we will be taking further actions period. We believe are facing up to and are realistic with regard to the realities of housing and its expected deterioration. ... We are committed to a strong balance sheet and protecting and creating shareholder value."