Last Wednesday, representatives from Wheels Up revealed that the company is doubtful of its ability to continue operations despite securing short-term funding from major U.S. carrier Delta Airlines. The Atlanta, Georgia-based airline revealed that its capital infusion in Wheels Up came in the form of a secured promissory note. Neither company disclosed the funding amount.

In addition to securing funding from Delta, Bain Capital, and MSD Capital, Wheels Up has implemented several cost-cutting measures in an effort to improve its financial situation. These include management changes, job cuts, and changes to private jet traffic, which soared during the pandemic and have since dropped in demand.

The post Wheels Up in Talks With Lenders Amid Cash Crunch appeared first on theprimarymarket.com.

Nationwide bank credit rose to $17.31 trillion in the week ending June 28 on a non-seasonally adjusted basis; up from $17.29 trillion a week earlier. While credit contracted slightly on a seasonally adjusted basis, both measures remained higher when compared to the first week of June.

In contrast, commercial and industrial lending, which is indicative of the lending activities of small and medium businesses, edged lower from $2.78 trillion to $2.77 billion.

The uptick in credit is unexpected given the tight fiscal policy being implemented by the Federal Reserve. Since the start of the inflation crisis last year, U.S. interest rates have been increased by the central bank on a regular basis.

The post U.S. Bank Credit Expands Despite Drop in Lending appeared first on theprimarymarket.com.

PacWest is expected to sell the unit to real estate financing firm Roc360, with the latter company confirming this news late on Tuesday. The unit offers loans to landlords and investors for the purpose of purchasing homes, which could be used for renovation or sale. The price of the deal remains undisclosed.

This is the second asset sale that PacWest has performed this week as the company looks to bolster its balance sheet. On Monday, PacWest announced the sale of $2.6 billion worth of real estate construction loans at a discounted price.

Despite remaining lower since the start of the year, PacWest’s stock has nearly tripled in value since slumping to a record low on May 4 after it was publicly revealed that the lender was exploring strategic alternatives in an effort to remain financially afloat.

The post PacWest Bancorp Shares Rise Following Agreement to Sell Lending Unit appeared first on theprimarymarket.com.

Commercial bank lending declined by $15.7 billion for the week ending May 3. This comes after lending increased by $41.9 billion the previous week. On an unadjusted basis, however, loans and leases were up slightly.

Deposits also declined on a seasonally adjusted basis for the week ending May 3. Without adjustments, however, they were up by $67.3 billion.

This data comes after a Fed report revealed that nearly half of U.S. banks have tightened terms on their commercial and industrial loans for medium and large businesses in the first quarter.

Using a report known as an H.8., economists and policymakers have been monitoring loan and deposit data to gauge the overall stability of the banking sector. The divergence between adjusted and unadjusted data has made it challenging for them to draw conclusions.

The post U.S. Bank Lending Fell Marginally Following Failure of First Republic Bank appeared first on theprimarymarket.com.

According to Federal Reserve data, lending in the U.S. had a $105 billion slide over the last two weeks in March, the most since 1973. The lending decrease was widespread, affecting commercial, industrial, and real estate loans. Commercial and industrial lending fell by around $68 billion, while commercial real estate loans dropped by $68 billion.

The smaller US banks, which are considered the most important providers of credit overall, significantly attributed to the drop, accounting for $73.6 billion. The 25 of the nation’s biggest banks, on the other hand, experienced a $23.5 billion decrease in lending while lending by foreign institutions fell by a combined $7.5 billion.

You can read detailed data and access Fed’s full report here.

The lending has already experienced tightening in recent months due to interest hikes the Fed employed in an attempt to fight inflation. Analysts expect a similar trend to continue in the future, with businesses and households facing even bigger challenges in order to secure credit.

The post U.S. Bank Lending Experiences Record Drop in Late March appeared first on theprimarymarket.com.

Last Wednesday, representatives from Wheels Up revealed that the company is doubtful of its ability to continue operations despite securing short-term funding from major U.S. carrier Delta Airlines. The Atlanta, Georgia-based airline revealed that its capital infusion in Wheels Up came in the form of a secured promissory note. Neither company disclosed the funding amount.

In addition to securing funding from Delta, Bain Capital, and MSD Capital, Wheels Up has implemented several cost-cutting measures in an effort to improve its financial situation. These include management changes, job cuts, and changes to private jet traffic, which soared during the pandemic and have since dropped in demand.

The post Wheels Up in Talks With Lenders Amid Cash Crunch appeared first on theprimarymarket.com.

Nationwide bank credit rose to $17.31 trillion in the week ending June 28 on a non-seasonally adjusted basis; up from $17.29 trillion a week earlier. While credit contracted slightly on a seasonally adjusted basis, both measures remained higher when compared to the first week of June.

In contrast, commercial and industrial lending, which is indicative of the lending activities of small and medium businesses, edged lower from $2.78 trillion to $2.77 billion.

The uptick in credit is unexpected given the tight fiscal policy being implemented by the Federal Reserve. Since the start of the inflation crisis last year, U.S. interest rates have been increased by the central bank on a regular basis.

The post U.S. Bank Credit Expands Despite Drop in Lending appeared first on theprimarymarket.com.

PacWest is expected to sell the unit to real estate financing firm Roc360, with the latter company confirming this news late on Tuesday. The unit offers loans to landlords and investors for the purpose of purchasing homes, which could be used for renovation or sale. The price of the deal remains undisclosed.

This is the second asset sale that PacWest has performed this week as the company looks to bolster its balance sheet. On Monday, PacWest announced the sale of $2.6 billion worth of real estate construction loans at a discounted price.

Despite remaining lower since the start of the year, PacWest’s stock has nearly tripled in value since slumping to a record low on May 4 after it was publicly revealed that the lender was exploring strategic alternatives in an effort to remain financially afloat.

The post PacWest Bancorp Shares Rise Following Agreement to Sell Lending Unit appeared first on theprimarymarket.com.

Commercial bank lending declined by $15.7 billion for the week ending May 3. This comes after lending increased by $41.9 billion the previous week. On an unadjusted basis, however, loans and leases were up slightly.

Deposits also declined on a seasonally adjusted basis for the week ending May 3. Without adjustments, however, they were up by $67.3 billion.

This data comes after a Fed report revealed that nearly half of U.S. banks have tightened terms on their commercial and industrial loans for medium and large businesses in the first quarter.

Using a report known as an H.8., economists and policymakers have been monitoring loan and deposit data to gauge the overall stability of the banking sector. The divergence between adjusted and unadjusted data has made it challenging for them to draw conclusions.

The post U.S. Bank Lending Fell Marginally Following Failure of First Republic Bank appeared first on theprimarymarket.com.

According to Federal Reserve data, lending in the U.S. had a $105 billion slide over the last two weeks in March, the most since 1973. The lending decrease was widespread, affecting commercial, industrial, and real estate loans. Commercial and industrial lending fell by around $68 billion, while commercial real estate loans dropped by $68 billion.

The smaller US banks, which are considered the most important providers of credit overall, significantly attributed to the drop, accounting for $73.6 billion. The 25 of the nation’s biggest banks, on the other hand, experienced a $23.5 billion decrease in lending while lending by foreign institutions fell by a combined $7.5 billion.

You can read detailed data and access Fed’s full report here.

The lending has already experienced tightening in recent months due to interest hikes the Fed employed in an attempt to fight inflation. Analysts expect a similar trend to continue in the future, with businesses and households facing even bigger challenges in order to secure credit.

The post U.S. Bank Lending Experiences Record Drop in Late March appeared first on theprimarymarket.com.