The Strongest Banks Out There

Earnings performance for the first half of 2008 was inflated by an extraordinary gain of $502 million in the first quarter on loan sales.

General Electric's public filings don't break out the strategy or results for these bank and thrift charters, and while the company did respond to a request for comment, it was unable to make a bank officer available for comment for this article.

It may come as a surprise for readers to see on the list Lehman Brothers Commercial Bank (held by Lehman Brothers Holdings). The bank's president, Julie Boyle, said the institution was not included in the Lehman Brothers Holdings bankruptcy. "We're open for business as usual," she said, and offered no further comment.

Moving back to the top of the list, Silicon Valley Bank of Santa Clara, Calif. (held by SVB Financial Group (SIVB Quote)) ranked the highest for large banks, with an A rating, based on June 30 financials. The bulk of the $6.7 billion institution's lending is concentrated in commercial and industrial (C&I) loans. Loans in this category are not secured by real estate. C&I loans typically have relatively short maturities and relatively high adjustable rates.

They can be considered more risky than real estate loans, since collateral typically consists of a company's accounts receivable, as well as other assets, including offices and equipment. But that risk is mitigated by the high rates and typically short maturities.

While Silicon Valley Bank has experienced a moderate decline in earnings over the past year, it has maintained strong earnings over the past five quarters, with annualized returns on assets exceeding 2% and returns on equity exceeding 20%, even while maintaining strong levels of capital.