Banking Industry

Hungary Sets Aside EUR 50 Mln for Entry in Erste Bank's Unit

Hungary has earmarked some EUR 50.5 million (USD 53.3 million) for the planned acquisition of a stake in listed Austrian bank Erste Group's unit Erste Bank Hungary, Hungarian news agency MTI reported on Tuesday citing information from Hungary's fiscal council.

April 14, 2015

RBI Loss Hit RLB NÖ Wien Hard

RBI's losses of EUR 493 million (USD 520.3 million) following expensive write-offs on businesses in the East affected also RBI's parent Raiffeisen Zentralbank (RZB) with an outflow of EUR 323 million and its main shareholder Raiffeisenlandesbank NÖ-Wien saw a EUR 272.9 million group loss. A year earlier RLB recorded a EUR 145million profit.

April 14, 2015

China Recognizes Austria Officially as a Founding Member of AIIB

Since the weekend Austria is officially, along with Spain and South Korea one of the founding members of the Asian Infrastructure Investment Bank (AIIB). This way the number of founding states of the bank launched by China has risen to 41. On Monday at the Austrian ministry of finance there was nobody who could confirm the news or make a comment on it.

April 13, 2015

RLB NÖ-Wien Dives Deeper in Loss Zone

Raiffeisenlandesbank RLB NÖ-Wien posted losses in 2014. The net loss reached EUR 273 million (USD 289.6 million), down from a profit of EUR 145 million posted in 2013, it was reported on Monday morning. Raiffeisen attributes the losses to the negative results of Raiffeisen Zentralbank (RZB) and listed Raiffeisen Bank International (RBI).

April 13, 2015

Bank Burgenland Makes EUR 25 Million Provisions for Heta

Bank Burgenland managed to post a net profit of EUR 1 million (USD 1.09 million), in spite of setting aside EUR 25.3 million in provisions for Heta, the successor bank of Carinthian debt-ridden bank Hypo Alpe Adria.

April 9, 2015

Carinthia Puts Up With Credit Spread Risk Regarding ÖBFA Loans

Austrian province of Carinthia accepts that there are credit spread risks with regard to financing via the federal financing agency Bundesfinanzierungsagentur (ÖBFA). Meanwhile ÖBFA announced that Carinthia would enjoy the same terms of financing via the capital market as in previous years, though the terms cost slightly more than the traditional terms offered by ÖBFA.

April 8, 2015

Raiffeisen Polbank Filed Motion to Create Mortgage Bank

Raiffeisen Polbank has filed a motion with Polish financial supervision authority KNF for a permit to create a mortgage bank. The bank expects this year a stabilization of demand for mortgage loans in Poland.

April 3, 2015

Hypo Salzburg posted EUR 10.6 million loss following Heta moratorium

The financial report of Hypo Salzburg for 2014 posted on Friday shows a consolidated loss of EUR 10.6 million (USD 11.5 million), though the main reason of the loss were external factors the moratorium on payments of liabilities of Heta, the successor bank of Hypo Alpe Adria. Hypo Salzburg had to make provisions to the tune of EUR 15.5 million for that purpose, as it is one of the provinceowned Hypotype banks in Austria to bear responsibility for the liabilities of Heta.

April 3, 2015

Supervisor Collects More Acceptances of Hypo Liabilities

The debate on how the Hypo banks in Austrian provinces, or rather the province authorities as guarantors, should split liability for the debts of Hypo Alpe Adria bad bank Heta, will have to end soon. The regional hypo banks have to say how they want to determine liabilities and how they might assist the Pfandbrief (debenture) issuing institution.

April 2, 2015

Bundesbank: German Engagement in Heta Totals EUR 7.1 Bln

The debt moratorium at Heta (formerly Hypo Group Alpe Adria) won't be a great burden for German banks. "The expected value adjustments are in individual case painful, but not unbearable” member of the executive board of Deutsche Bundesbank, Andreas Dombret said. It is estimated that the Heta engagement of German banks and insurance companies totals EUR 7.1 billion.

March 31, 2015