loan. >> that's part of it u shep. especially since banks have tightened lending standards a lot in the wake of the financial crisis, during the financial bubble, banks were basically standing on street corners handing out cash to anybody with a pulse. their lending standards were very loose. but other reasons for the drop in loans outstanding could be a lot of consumers and businesses are repaying their debts or that banks are writing off more uncollectible debts. also regulators have been pressuring banks to preserve and build capital. that hurts lending. and it appears that some people and businesses just don't want to take on any more debt in this economy so there is less loan demands. shep? >> shepard: this report mentions other big problems that the banks are facing. >> there was bad news and good news in this fdic report. first, the number of banks in trouble on the fdic's problem list jumped to more than 700 in the fourth quarter from about 550 in the third quarter it won't reveal the banks' names by the way. also the percentage of loans