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Commercial Mortgage

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Is Wachovia’s CMBS Exposure a Problem? 

Dec 31, 2007By

Wachovia’s allegedly aggressive move into underwriting of commercial mortgages may end up costing it as the mortgage crisis extends its reach, according to a report published Friday by Reuters: Analysts have estimated Wachovia’s net CMBS exposure at about $9 billion. They say the Charlotte, North Carolina-based bank could face a related fourth-quarter write-down as large as $1.5 billion.