Deutsche Bank Thought Trump Might Default On Loan, Mulled Deferment Until 2025

The CEO of Germany's biggest lender Deutsche Bank Christian Sewing addresses the media during the company's annual financial statement at its headquarters in Frankfurt, Germany, on February 01, 2019. - Deutsche Bank ... The CEO of Germany's biggest lender Deutsche Bank Christian Sewing addresses the media during the company's annual financial statement at its headquarters in Frankfurt, Germany, on February 01, 2019. - Deutsche Bank reported a 2018 bottom line in the black for the first time in four years, with a cost-cutting drive delivering results even as revenues fell. The firm reported 267 million euros ($305 million) net profit, compared with a loss of 751 million in 2017. (Photo by Daniel ROLAND / AFP) (Photo credit should read DANIEL ROLAND/AFP/Getty Images) MORE LESS
Start your day with TPM.
Sign up for the Morning Memo newsletter

Executives at Deutsche Bank — which House Democrats plan to probe over its financial dealings with President Trump — considered pushing back repayment dates for Trump Organization loans until 2025, after a possible second term for Trump, Bloomberg News reported.

According to people with knowledge of the conversations who spoke to Bloomberg, executives were worried the Trump Organization might default on about $340 million in loans while Trump was in office, so they considered the deferment, but ultimately decided against it. Instead, the bank decided it wouldn’t take on any new business with the Trump Organization while he’s in office.

Eric Trump, who’s the executive vice president of the company while Trump is President, called the developments “nonsense” in an email to Bloomberg.

“We are one of the most under-leveraged real estate companies in the country,” he told Bloomberg. “Virtually all of our assets are owned free and clear, and the very few that do have mortgages are a small fraction relative to the value of the asset. These are traditional loans, no different than any other real estate developer would carry as part of a comparable portfolio.”

Latest News

Notable Replies

  1. I forget, is Eric Trump the stupid one or the asshole one?

  2. Both.

  3. Avatar for theod theod says:

    Depends on the day and the type of lickspittle that flows from his mouth.

  4. Avatar for dwward dwward says:

    Just how ‘underleveraged’ depends on the ownership details.

    For instance, to what extent doe the Trump Org own these ‘free and clear’ properties versus partners who may have put up the cash to buy the properties retaining ownership rights inside complicated LLP/LLC’s? This is where I would start were I a lawyer on the House oversight committee. I’m guessing there are a LOT of K1s to sort thru.

  5. We need a thorough investigation of the relationship between Deutsche Bank, former Justice Kennedy, his son Justin, russian money laundering, and loans to the abomination.
    Corruption in conservative circles runs deep and has penetrated every branch of our government, including SCOTUS.

Continue the discussion at forums.talkingpointsmemo.com

43 more replies

Participants

Avatar for system1 Avatar for paulw Avatar for old_curmudgeon Avatar for ncsteve Avatar for clemmers Avatar for skippyflipjack Avatar for sickneffintired Avatar for fiftygigs Avatar for gharlane Avatar for dommyluc Avatar for misterneutron Avatar for texacali Avatar for ljb860 Avatar for jacksonhts Avatar for lizzymom Avatar for tiowally Avatar for michaelryerson Avatar for coimmigrant Avatar for sadieholly Avatar for drtv Avatar for evave2 Avatar for outis Avatar for rascal_crone Avatar for enceladus

Continue Discussion
Masthead Masthead
Founder & Editor-in-Chief:
Executive Editor:
Managing Editor:
Deputy Editor:
Editor at Large:
General Counsel:
Publisher:
Head of Product:
Director of Technology:
Associate Publisher:
Front End Developer:
Senior Designer: