“The Office of the Comptroller of the Currency has downgraded J.P. Morgan Chase & Co.’s confidential management rating, a significant slap for the largest U.S. bank.

“Sen. Carl Levin let the penalty slip during a Senate Permanent Subcommittee on Investigations hearing on a series of botched trades that last year cost J.P. Morgan more than $6 billion in losses.

“After Sen. Levin finished his questioning Friday of all witnesses, he noted the OCC had “lowered” J.P. Morgan’s “management rating”—a reference to the “M’ in the so-called “Camels” rating that measures an institution’s overall health.

“Each letter in Camels stands for a different aspect of a bank’s condition—Capital adequacy, Asset quality, Management, Earnings, Liquidity and Sensitivity to market risk.”It is rare for a management downgrade to be discussed publicly. Regulators consider them to be confidential.”

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