OTP Romania posts EUR 23mn loss in 2010.

By bne IntelliNews March 8, 2011
The local subsidiary of Hungarian financial group OTP, OTP Romania, posted a EUR 23.2mn loss on high provisions, generated by its exposure to eight large projects, Wall-Street reported, quoting OTP Bank Romania CEO, Laszlo Diosi. The banks total assets increased by 16% y/y to EUR 1.5bn at the end of the year. Diosi forecast that the bank will return to profit in 2011. The stock of non-performing loans increased 3.5-fold y/y to EUR 125mn at the end of 2010, reaching 10.6% of the total stock of loans. The risk cost reached 5.13% of the stock of loans last year. The provisions alone, not including collaterals, covered 70.9% of the bad loans. The bank expects to use no more than half of the provisions, because the collaterals are sound enough and would cover in some cases 100% of the exposure.
Read in IntelliNews Pro
Get IntelliNews Pro

Related Articles

Romania to spend EUR 37mn in 2013 to close down loss-making coal mines.

Romania's government has earmarked RON 163mn (EUR 37mn) worth of subsidies for 2013 under a programme aimed at closing down the loss-making mines of local company CNH located in the southwestern ... more

Romanias Hidroelectrica sells nearly 0.3TWh of electricity on free market.

Romanian state-controlled hydropower company Hidroelectrica sold on Thursday, March 21, in several separate contracts a total of 0.3TWh of baseload electricity deliverable between April 1 and the ... more

Romania to start privatisation of cargo railway company on April 6-8.

The Romanian government will publish the privatisation call for freight railway company CFR Marfa immediately after the consultants complete their work, probably on April 6-8, Romanian transport ... more

Follow Us On

Most Read

  1. Iran vs Israel: Who is better equipped for war?
    6 days ago
  2. Saudi Arabia to scale back plans for Neom city
    10 days ago
  3. Oil continues to flow to Israel via Turkey despite Erdogan’s vehement speeches on plight of Gaza
    5 months ago
  4. BREAKING: Iraq, Syria and Jordan close airspace amid Iranian strike on Israel
    6 days ago
  5. Russia’s war economy boosted by rising oil prices
    4 days ago
  1. Russia could pay off its entire external debt tomorrow, in cash
    20 days ago
  2. Speculation swirls of “Men in Blue” in Crocus City Hall terrorist attack linked to FSB
    25 days ago
  3. Albanians campaign on social media to keep bus bridge created in freak accident
    1 year ago
  4. UBN: Russia could take the Baltic states in 48 hours
    30 days ago
  5. BRICS announce a blockchain-based payment system to create a common currency
    23 days ago

Reports

Dismiss