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SunTrust

The Company is SunTrust
Identify several companies that have demonstrated strategic thinking about issues that are similar to those faced by SunTrust Banks, Inc. Provide overview of the issues, identify a total of five different strategies utilized by your selection of companies to address them, and discuss the outcomes. Based on the five strategies, explain how you would adopt them in your selected organization to address the issues you identified.

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The Company is SunTrust
1,000 word paper, identify several companies that have demonstrated strategic thinking about issues that are similar to those faced by SunTrust Banks, Inc. Provide overview of the issues, identify a total of five different strategies utilized by your selection of companies to address them, and discuss the outcomes. Based on the five strategies, explain how you would adopt them in your selected organization to address the issues you identified.
The company identified is SunTrust Banks, Inc. The bank faced issues that were related to the Company's real estate construction, residential real estate, home equity, and run-off portfolio loans. The residential estate loans in Florida have been a source of credit problems for SunTrust Banks, Inc. In addition, even commercial real estate loans in Florida have been a source of credit problems. and losses for SunTrust Banks, Inc. As the company increased it s mortgage repurchases, the firm had to modify billions in mortgages. SunTrust Banks, Inc has reacted by tightening its lending criteria and underwriting, however, the past loans given for residential real estate continue to mount losses for SunTrust Banks, Inc.

Let us consider five different companies that have faced problems similar to those experienced by SunTrust Banks, Inc. The first is Bank of America. The problem with Bank of America is that it is facing a sizeable amount of repurchase and warranty claims by government sponsored enterprises. The point is that when a bank originates a mortgage and sells the loan through securitization, those buyers get a refund if they can prove that the loan had defects that led to mortgage defaults. Bank of America has used the strategy of maintaining adequate provisions to defray claims of refunds. The results are positive and analysts have concluded that the ...

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