European banks disclose credit losses
5 August 2008Yesterday The largest bank of Europe HSBC has informed on decrease in semi-annual profit almost on third, up to 10,2 billion dollars, on a background of write-offs in the American hypothec business. HSBC became the first of European banks, which this week would open the losses before investors.
Nevertheless analysts mark, that the bank copes with crisis much better the majority of competitors owing to business diversification and good presence in developing markets of Asia.
Meanwhile HSBC only the first in a turn of the European banks which will open the losses from crisis. Analysts expect, that British Royal Bank of Scotland (RBS) will inform on the loss from 1 billion up to 1,5 billion pounds sterling (2-3 billion dollars) in the second quarter, which becomes the largest in history of bank sector of the country. Under analysts’ forecasts on Thursday Barclays will show 35 percent decrease in quarter profit, up to 2,6 billion pounds (5,1 billion dollars).
Besides, today French bank Sosiete Generale can declare falling profit on 69 %, up to 550 million dollars, and BNP Paribas can open, that after write-off 475 million euro its profit has fallen to third, up to 1,5 billion euro. From the beginning of crisis credit losses of the European banks have already exceeded 209 billion dollars.
- UBS, Citigroup and Merrill Lynch can lose 10 billion dollars more
- European banks are looking for way out from crisis
- Credit Suisse will cut 5300 jobs
- Credit Suisse dismisses employees in the USA and Great Britain
