Total assets ended the quarter at $47.4 billion, decreasing $3.0 billion from the prior quarter, as the Company completed deleveraging actions of approximately $3.6 billion. Deleveraging included approximately $2.6 billion in brokerage-related customer cash directed to third party institutions, consisting of $1.2 billion in sweep deposits; $0.9 billion in customer payables; and $0.5 billion from newly-opened accounts. Additionally, approximately $1 billion in wholesale funding obligations were reduced in the quarter, resulting in a pre-tax loss of $28 million on early extinguishment of debt. The corresponding reduction to assets resulted in a gain on sale of securities, included in the $62 million of total net gains recorded during the quarter.The Company’s loan portfolio ended the quarter at $10.6 billion, contracting $557 million from the prior quarter and a reduction of $2.6 billion from the year ago quarter, primarily related to $455 million and $1.9 billion of paydowns for the respective periods. Fourth quarter provision for loan losses decreased from $141 million in the prior quarter to $74 million.
E*TRADE Financial Corporation Announces Fourth Quarter And Full Year 2012 Results
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