SOS Earnings

Foreclosure on houses in USA = non performing, but can continue to accrue interest, buy the houses are sold back to the bank at a lower price at a small loss and hold it in their books while accruing interest on the house instead of completely write off as no one wants the houses.

From boom bust blog.

MyView

This is creative accounting. This is a way of delaying the full write down, while the bank continue to make "money" and the executives enjoy more bonuses. Principally, this is a legalised Ponzi scheme.