RBS says hasn't cut price goal for insurance arm

LONDON (Reuters) - Royal Bank of Scotland (RBS.L: Quote, Profile, Research) said it is confident of selling its insurance arm for the price it had in mind at the start of its auction, despite continued turbulence in financial markets.

"There are a number of people who would all ostensibly be good owners and capable of paying the price that we're looking for," Fred Goodwin, RBS Chief Executive said.

"We had a price in our minds that we were looking for at the start of the process and that hasn't changed. We're determined not to sell this for an undervalue, but at this point that doesn't look like an option that's going to come to pass," he told reporters on a conference call.

RBS said its performance so far this year remained in line with its previous guidance, but its results are being held back by the impact of a global credit crunch. Goodwin said "there's still more bad news than good news" and the bank is cautious on prospects, but it "remains very much open for business".

(Reporting by Steve Slater)