by Calculated Risk on 8/25/2009 12:43:00 AM

Some people knew this was coming ...

From Reuters: Deutsche Bank plans Tier 1 issue, reopens market

Deutsche Bank AG plans to raise new Tier 1 debt ... as banks seek to rebuild balance sheets in the wake of the financial crisis.

The German bank confirmed it planned to issue euro fixed-rate perpetual notes, with annual call dates beginning from March 2015, and said it was managing the issue. ... the first of an expected series of new Tier 1 notes to hit the market in coming months from banks ... The deal would be smaller than 1 billion euros as the bank was seeking to test the market's appetite ...

And SunTrust hints at raising new capital, from Bloomberg: U.S. Banks Face More Loan Losses, SunTrust Chief Says

“The industry is a long way from declaring any sort of victory, especially regarding credit issues,” Chief Executive Officer James Wells III said today in a speech to the Rotary Club of Atlanta. “This credit cycle has yet to play itself out. We do not expect things to improve for the banking industry in the very near future.”
...
“The industry has moved from a potentially cataclysmic scenario to one that is merely very difficult,” Wells said. “The industry is back from the brink of a potential global financial-system meltdown.” ... “Even if the economy begins to improve modestly, commercial real estate conditions will probably deteriorate until 2010.”
...
Wells said SunTrust may repurchase $4.9 billion in preferred shares sold through the U.S. Troubled Asset Relief Program “as soon as possible,” without being more specific.

Ahhh ... just prudent balance sheet management!