Related News
French lender returns to a loss
By Greg Keller |
May 8, 2009, Friday
|
Print Edition
Print Edition
FRENCH bank Societe Generale said yesterday that it returned to a loss in the first quarter after the further fall of its United States real estate-linked assets caused it to take 2 billion euros (US$2.7 billion) in new writedowns and provisions.
Paris-based Societe Generale, which had struggled to return to profitability last year after losing billions of euros in a massive trading scandal, reported a net loss of 278 million euros in the first quarter, down from a 1.1-billion-euro profit a year earlier.
The bank, whose chairman announced his resignation last week, blamed the downturn in the US real estate market, ratings downgrades of bond insurers, and what it called its own "tighter valuation assumptions" for 1.5 billion euros in new losses and writedowns in its investment banking division.
Societe Generale's loss comes in stark contrast to larger French rival BNP Paribas, which on Wednesday reported a quarterly profit of 1.56 billion euros.
In a statement, it forecast the global economic recession would continue to weigh on banks' performance this year and said "Societe Generale will not be immune from this trend."
The loss is also contrasted with reassuring comments from Societe Generale's chief executive during the quarter.
Paris-based Societe Generale, which had struggled to return to profitability last year after losing billions of euros in a massive trading scandal, reported a net loss of 278 million euros in the first quarter, down from a 1.1-billion-euro profit a year earlier.
The bank, whose chairman announced his resignation last week, blamed the downturn in the US real estate market, ratings downgrades of bond insurers, and what it called its own "tighter valuation assumptions" for 1.5 billion euros in new losses and writedowns in its investment banking division.
Societe Generale's loss comes in stark contrast to larger French rival BNP Paribas, which on Wednesday reported a quarterly profit of 1.56 billion euros.
In a statement, it forecast the global economic recession would continue to weigh on banks' performance this year and said "Societe Generale will not be immune from this trend."
The loss is also contrasted with reassuring comments from Societe Generale's chief executive during the quarter.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 娌狪CP璇侊細娌狪CP澶05050403鍙-1
- |
- 浜掕仈缃戞柊闂讳俊鎭湇鍔¤鍙瘉锛31120180004
- |
- 缃戠粶瑙嗗惉璁稿彲璇侊細0909346
- |
- 骞挎挱鐢佃鑺傜洰鍒朵綔璁稿彲璇侊細娌瓧绗354鍙
- |
- 澧炲肩數淇′笟鍔＄粡钀ヨ鍙瘉锛氭勃B2-20120012
Copyright 漏 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
