Fortis Bank Belgium posts 20.6 bln euro loss for 2008

15th April 2009, Comments 0 comments

Fortis Bank, the former Belgian banking arm of stricken financial group Fortis, reported a loss of 20.6 billion euros (27.5 billion dollars) for 2008 owing to the group's break-up and losses on toxic assets.

BRUSSELS - The bulk of the loss, which was roughly in line with a previous estimate, came from the "negative impact of 12.5 billion euros" relating to the parent company's carve-up by the Dutch, Belgian and Luxembourg state.

As part of a bailout of the group, the Belgian state took over Fortis Bank and is now in the process of selling a 75-percent stake to French banking group BNP Paribas.

Fortis Bank suffered a further 9.7 billion euros in losses on toxic assets and various other writedowns.

The Fortis parent company's Dutch banking business contributed 700 million euros to Fortis Bank's bottom line during the first nine months of 2008 before it was taken over by the Dutch state.

Excluding exceptional items, Fortis Bank -- the biggest bank in Belgium -- booked a profit of 903 million euros for last year.

Shareholders in Fortis Holding are to vote on the sale of Fortis Bank to BNP on April 28 and 29.


0 Comments To This Article