VICENZA, Italy, April 28 An outflow of deposits
that helped drive Popolare di Vicenza's direct funding down 14.4
percent last year has now stopped and there has been an
improvement in the past few weeks, the chief executive of the
troubled Italian bank said on Friday.
"Over the past few weeks the loss of deposits has been
replaced by a slow and gradual recovery," CEO Fabrizio Viola
told the lender's annual general meeting.
Viola said it was uncertain whether the bank would be
granted the state bailout it has requested alongside fellow
regional bank Veneto Banca to fill a 6.4 billion euro combined
capital gap and embark on a merger.
The two banks need European Union approval of their
restructuring plan to tap state funds and Viola said it was too
early to say when the process could be concluded though the bank
hoped it may be soon.
(Reporting by Valentina Za)