BACK FROM THE DEAD...AND SO IS THE BEAR

Coinciding with my return to the markets after some well deserved RnR, the Bear decided to cut his winter sleep short. Scandi banks taking major hits and SWEDA SS trading well below rights issue price. SEBA SS is said to be needing capital infusion as well as Nordea. Down some 25% on the year. SHBA SS taking less of a beating, but still down abot 16%. Don´t really know where to start on banks, but baltics obviously a huge concern. SWEDA SS stating no predictions as to how big credit losses will be 09 and forward is possible due to lack of visibility. Well, I beg to differ. Visibility is clear as day. Things are getting worse and fast. SWEDA SS and SEBA SS have made commitments to the IMF, but refuse to give details on just how much capital they have pledged to their Baltic adventure. I speak to employees of said banks on a regular basis and they just can´t understand why the stocks are taking such a beating. Profitability is great they say, but they simply do not get it. I for one will not be at all surprised if the Swedish government end up taking a chunk of SWEDA SS in the inevitable second rights issue. SEBA SS may turn out to be able to take market share once Investor recapitalize it. Nordea is facing similar problems, but have a better ownership structure than that of SWEDA.