SIENA, Italy (Reuters) - Italian bank Banca Monte dei Paschi di Siena is dealing with customers concerns over losses linked to derivative trades and will complete a review of those deals by February 10, its chief executive Fabrizio Viola said on Friday.
"The last three days have been complicated and difficult...there is the problem of our customers' concerns which we need to deal with in the best of ways," Viola told a shareholder meeting on Friday.
The Tuscan bank, Europe's oldest, which is already seeking a 3.9 billion euro ($5.2 billion) government bailout, this week revealed derivatives and structured finance trades that could cost it as much as 720 million euros.
Viola said the bank's recent problems did not put into question its solidity nor its ability to function as a bank.
The coupon on the so-called Monti bonds of the government bailout will be at 9 percent for 2013 and rise by 0.5 percentage points every two years to a maximum of 15 percent, Viola said.
He also said the sale of Italian government bonds was not on the board's agenda.
Reporting By Silvia Aloisi, writing by Danilo Masoni