when a pattern of losses occurs in the business, we attempt to reduce our risk. we have reviewed every rmbs and cbo that we wrote from december, 2006, until today. we underwrote approximately $14.5 billion. at the end of june, 2007, we held approximately $2.4 billion of bonds against those cdo s. we bought about 1% of the total amount under written. in the same time, the firm underwrote nearly $47 billion of rmbs. we held about $2.40 billion of in june, 2007. during the financial crisis, goldman sachs lost $1.2 billion in its residential-mortgage related business. we did not bet against the clients and the numbers underscore that fact. we regret that we did not do many things better, like having less exposure to less-leveraged loans, causing us $5 billion in losses, and of course we wish we had seen, more practically, the effects of the housing bubble. we believe that the most important conclusion from a review of the crisis is that the system and the institution needed more