E*trade at the precipice?

It has been a long, hard road for E*Trade. The rumor mill has been unkind to it, and it still is not out of the woods. Fortune notes that since October, E*Trade has watched $56 billion in customer assets evaporate. On one memorable day, a bearish analyst's report raised the prospect of bankruptcy, which led to customers demanding their money to the tune of $2.5 billion. Unfortunately, E*Trade still is far from working down its exposure to toxic debt. The online brokerage still has $28 billion in mortgage-related loans on its balance sheet and $11 billion in mortgage-backed securities--the legacy of a once-hailed move to push into higher return fare. The story is far from over.  

For more on the run on E*Trade:
- here's the Fortune article

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