BB&T Corporation (NYSE: BBT) is a bank holding company with operations in 11 Southern states and Washington D.C. ^[1]. The company has $136.5 billion in assets under management, making it the 14th largest bank in the U.S.^[2] The bank mainly serves consumers and small, regional businesses. In the midst of the 2008 financial crisis, BB&T posted a 3rd quarter net income of $358M, a 19% decline from the previous year.^[3] Thus, while it has fared better than many other banks, BB&T has not escaped the effects of the credit crunch. It has suffered $364M in credit-related losses, and 9% of its gross loan portfolio was given to homebuilders, many of whom could not repay BB&T.^[4] In addition, BB&T faces deteriorating economic conditions in many Southern states, which curtail consumers' and businesses' willingness to take out loans with higher interest rates. These factors drag down the company's ability to maintain a high net interest margin, and therefore its profitability. However, in comparison to many other banks, BB&T has managed to retain a healthy margin at 3.7%.^[3]

(Read more at Wikinvest )