TOKYO -(Dow Jones)- Merrill Lynch & Co. (MER) Chief Executive Office John Thain said Tuesday that writedowns at the brokerage would likely continue to affect its balance sheet but denied the U.S. financial giant would need to raise more capital.
"We deliberately raised more capital than we lost...(but) the shrinkage of our balance sheet will continue," said Thain.
The Wall Street institution raised $12.8 billion in fresh equity over the past five months in a bid to shore up its finances following a $8.6 billion net loss for 2007 it racked up stemming largely from subprime-linked losses.
Many analysts are expecting a further wave in writedowns next week, when the bank is scheduled to report first-quarter earnings for 2008.
http://money.cnn.com/news/newsfeeds/articles/djf500/200804080625DOWJONESDJONLINE000225_FORTUNE5.htm
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