European banks face bad loan double-whammy 11 Nov 2002 Not only are default rates still on the rise, but recovery rates have plummeted. The effect is to erode bad debt provisions. Banks may need to set aside more.
Commerzbank to cut jobs in investment bank, HQ 11 Nov 2002 The mooted cuts may be raising hackles in Germany, but they won t make the investment bank competitive. Commerzbank needs to explain how it is going to get acceptable returns from the unit in future.
BNP Paribas quietly tears up growth targets 6 Nov 2002 The bank is now clearly in defensive mode, which is probably the most sensible stance it can adopt. Investors can breathe a sigh of relief: it put off its May expansion plans before running up unnecessary costs.
ABN Amro’s 3Q profits rise on lower bad debt charge 4 Nov 2002 It would be more reassuring if other items in the results were improving too. Unless the worst is really past on credit, this profit improvement may be shortlived.
Deutsche Bank turns in a lousy Q3 31 Oct 2002 Deutsche has not managed to escape the troubles besetting its German peers, and has taken a whopping E790m provision for bad debts. On top of that, revenues have slumped. True, planned cost savings are on track. But they were not enough to compensate.
Fiat recapitalises auto business 31 Oct 2002 Actually, all it appears to be doing is cancelling intracompany loans to its ailing auto business, not injecting fresh capital.
Latin America weighs again on SCH and BBVA 30 Oct 2002 Spain s two biggest banks must wish that Latin America was more like Europe. Negative real interest rates in Spain means domestic business is booming. The reverse is true for their Latam businesses.
Credit Lyonnais stalking game enters new phase 24 Oct 2002 Credit Agricole is still the front runner to buy the French bank, eventually. But its fallen share price makes it even harder to do what always looked like a difficult deal. Time for new tactics, then.