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A Non-Performing Loan BWIC Out Of Where!?

For years traders have had to contend with billions upon billions in monthly, weekly and even daily (yes, we all remember 2011) BWICs out of Europe's periphery, as countries from Italy to Ireland to Portugal to Spain to Greece scrambled to find greater fools to offload their non-performing, aka distressed, loans to. One thing that was missing was even the faintest hint of trouble at the European "core" mothership: Germany. That has now changed.

Hm, so €247MM in 31 loans "collateralized" by €4.6MM in rental income? Where does one sign?

But if at least one bank in Germany is choking with NPLs, that means that... Oh no.

So with this rather surprising BWIC, we declare the European NPL floodgates - by some estimates well in the trillions - to be officially open.