WRAPUP 3-BNP profits jump as German rivals show pain

Thu Nov 5, 2009 12:28pm GMT
 
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* BNP Q3 net profit 1.3 bln euros, up 45 pct

* Commerzbank continues to expect loss 2009, 2010

* Postbank has worse-than-expected loss

* BNP shares up 2.3 pct, Commerzbank down 3.9 pct

(Recasts, adds details, updates shares)

By Edward Taylor and Sudip Kar-Gupta

FRANKFURT/PARIS, Nov 5 (Reuters) - France's BNP Paribas (BNPP.PA) beat forecasts with a strong rise in quarterly profits, enhancing its status as one of the winners from the banking crisis just as Germany's Commerzbank (CBKG.DE) slipped further into the red.

BNP Paribas profits were powered by investment banking and acquisitions, while loan defaults from a souring economy meant Commerzbank, with its focus on retail banking and loans to midsized firms, faced losses this year and the next.

The lack of sizeable investment banking operations has left Commerzbank and rival German lender Deutsche Postbank (DPBGn.DE) without a profit engine that has recently boosted the earnings of Goldman Sachs (GS.N) and Credit Suisse Group AG (CSGN.VX).  Continued...

 

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