UPDATE 1-Agricole's Emporiki plans 1 bln euro capital boost

Thu Nov 12, 2009 12:22pm GMT
 
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* Agricole backing Greek Bank's restructuring plan

* Earlier in month Emporiki reported big 9-mth loss

* Emporiki sees profitability in 2011

(Adds details)

ATHENS, Nov 12 (Reuters) - Greece's loss-making Emporiki Bank (CBGr.AT), controlled by France's Credit Agricole (CAGR.PA), said on Thursday it planned to boost its share capital by up to 1 billion euros ($1.50 billion).

The announcement comes after Credit Agricole said last month it was backing the Greek bank's restructuring plan, which included a capital boost of that amount.

"At the board meeting of Nov. 11, it was decided to propose to the upcoming extraordinary shareholders' general meeting of Emporiki Bank to increase the share capital by up to 1 billion euros," Emporiki said in a bourse filing.

Credit Agricole took control of former state-run Emporiki Bank in 2006. It said last month it would also take a writedown of just under 500 million euros linked to restructuring Emporiki.

Earlier this month Emporiki reported a nine month net loss of 472.1 million euros as provisions surged. The company plans to return to profitability in 2011 and in June launched measures to save costs, including 1,500 job cuts. ($1=.6668 Euro) (Reporting by Harry Papachristou; Editing by Ingrid Melander and Jon Loades-Carter)

 

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