Did HBOS take on an excessive amount of risk? Well, that question was decisively answered today. Lloyds, the new owners, report that HBOS will take an eye-watering £10 billion pre-tax loss for 2008.
At one point today, Lloyds shares were down to 54p. They have since recovered slightly. However, you have to feel sorry for Lloyds shareholders. Since August 2007, the share price has fallen 88 percent.