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royal bank of schotland

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  1. [verwijderd] 19 januari 2009 16:12
    4th UPDATE: RBS Sees 2008 Loss Up To GBP28B In Troubled Mkt
    DJ 4th UPDATE: RBS Sees 2008 Loss Up To GBP28B In Troubled Mkt


    (Adds share price fall.)


    By Vladimir Guevarra
    Of DOW JONES NEWSWIRES

    LONDON (Dow Jones)--Shares in Royal Bank of Scotland Group PLC (RBS) plunged to a record low Monday afternoon after the bank said that tough market conditions in the fourth quarter and mounting impairment charges could push it to a 2008 full-year net loss of up to GBP28 billion, the U.K.´s biggest ever corporate loss.

    At 1434 GMT, RBS shares were trading 69% lower at 11 pence, below its price of around 25 pence when it first traded in 1985, according to data from FactSet.

    Trading volume was at a hefty 400 million shares, far outstripping the 71 million average over the past month.

    This contributed to the 0.7% fall in the FTSE100 index, reversing its earlier gains.

    Excluding goodwill the full-year loss would be between GBP7 billion and GBP8 billion, while its estimated goodwill impairment charge will be in the range GBP15 billion-GBP20 billion, the bank said.

    It said write-downs for the full year relating to its credit market exposures are around GBP8 billion.

    RBS finances have been hobbled since it bought ABN Amro assets in a consortium with Belgian-Dutch financial services group Fortis NV (FORA.AE) and Spain´s Banco Santander SA (STD). It was Europe´s biggest banking takeover and was completed just ahead of the credit crisis. The value of the assets RBS bought has plummeted since.

    The U.K. government could end up with a 70% RBS stake after agreeing to swap its GBP5 billion of preference shares for ordinary shares. The move forms part of the latest U.K. financial rescue package announced Monday.

    The government currently owns just under 58% of RBS after last year underwriting a GBP15 billion rights issue that saw little take-up by existing shareholders.

    The move means RBS will now have to pay back less to the government, but it has also to agree to boost lending to consumers and businesses. The Monday update comes ahead of the announcement of its 2008 results on Feb. 26.

    RBS said it expects to "improve materially" the quality of its capital structure by increasing its pro forma core Tier One ratio - the level of equity held against losses on risky assets - by just under 1% to between 6.9% and 7.4%.

    The bank´s credit impairment losses for 2008 are estimated at between GBP6.5 billion and GBP7 billion. About GBP3 billion of that came from the global banking and markets division.

    RBS Group Chief Executive Stephen Hester said: "The dislocation of credit markets and the global economic downturn continue to hit RBS hard, as with many other banks."

    "We are making progress in recognizing excess risk and dealing with it. Significant uncertainties and risks inevitably remain."

    "In this context, the support we are receiving from the government benefits all our stakeholders and enables us to provide more customer support in return," Hester said.

    "With enhanced core capital, removal of the preference share dividend and the prospect of further asset and liquidity measures, RBS is able to continue its strategic restructuring purposefully," he said.

    RBS said it estimates that it will report break-even underlying financial performance after credit impairment losses and that profitability across its retail and commercial business in the U.K. and elsewhere will be offset by losses in the global banking and markets division.

    Collins Stewart analyst Alex Potter said the high level of government ownership and involvement mean RBS is the "restructuring/recovery option" in the sector "and we cannot be more excited than a hold call."

    In a conference call, Hester said the bank will reduce its exposure to international lending "over time."

    "Most of the excess balance sheet expansion of recent times occurred outside the U.K. and that´s why outside the U.K. will see a bigger retrenchment in the balance sheet," he said.

    He also said the bank doesn´t seem to be on the way to full-ownership by the U.K. government.

    "If the government wanted full nationalization, they would have had good excuses to do it by now ... While governments around the world are supporting banks at the equity capital level, they are also providing support to assets and funding to avoid nationalization if possible," Hester said.

    He said he felt sorry for shareholders who have seen the value of their shares in the bank drop to record lows.

    "Of course (I feel sorry). And by the way, I´m one of them," he said.


    Company Web site: www.rbs.com


    -By Vladimir Guevarra, Dow Jones Newswires, +44 (0) 20 7842 9486, vladimir.guevarra@dowjones.com


    Click here to go to Dow Jones NewsPlus, a web front page of today´s most important business and market news, analysis and commentary: www.djnewsplus.com/access/al?rnd=NsIt... You can use this link on the day this article is published and the following day.



    (END) Dow Jones Newswires

    January 19, 2009 09:47 ET (14:47 GMT)

    Copyright (c) 2009 Dow Jones & Company, Inc.
  2. [verwijderd] 19 januari 2009 17:06
    ik vind het bovenstaand stuk positief, vooral "He also said the bank doesn´t seem to be on the way to full-ownership by the U.K. government.

    "If the government wanted full nationalization, they would have had good excuses to do it by now ... While governments around the world are supporting banks at the equity capital level, they are also providing support to assets and funding to avoid nationalization if possible," Hester said."

    en

    ""We are making progress in recognizing excess risk and dealing with it. Significant uncertainties and risks inevitably remain."

    "In this context, the support we are receiving from the government benefits all our stakeholders and enables us to provide more customer support in return," Hester said.

    "With enhanced core capital, removal of the preference share dividend and the prospect of further asset and liquidity measures, RBS is able to continue its strategic restructuring purposefully," he said."

    Gewoon een goed stuk, een goed vooruitzicht. Bovendien is de afschrijving ivm ABN éénmalig. Afstraffing is buiten proporties. Morgen weer up of eind van deze dag al.
  3. [verwijderd] 19 januari 2009 17:21
    quote:

    AtPatat schreef:

    Je zult die zooi gekregen hebben bij de overname van ABNAMRO.

    Dit gaat bordjes nationalisatie.

    Nationalisatie, daar geloof ik niks van. Je moet het stuk van Hester hierboven goed lezen. Bovendien valt de omzet van een kleine 11 miljoen aandelen vandaag mij nog mee. Zitten ook veel paniekverkopen en stoplosses tussen.
  4. forum rang 10 voda 19 januari 2009 17:23
    quote:

    sam en moos schreef:

    [quote=AtPatat]
    Je zult die zooi gekregen hebben bij de overname van ABNAMRO.

    Dit gaat bordjes nationalisatie.

    [/quote]

    Nationalisatie, daar geloof ik niks van. Je moet het stuk van Hester hierboven goed lezen. Bovendien valt de omzet van een kleine 11 miljoen aandelen vandaag mij nog mee. Zitten ook veel paniekverkopen en stoplosses tussen.
    ????

    Fonds: aand. Royal Bank Scotland Plc.
    Beurs: London Stock Exchange

    Laatste Volume Tijd
    Laatste £ 0,121 3.009 16:22:39
    Verschil £ -0,226 -65,1297 %
    Bied ---
    Laat ---
    Hoogste £ 0,349 08:15:03
    Laagste £ 0,10 14:47:38
    Cum. volume --- 639.042.854
    Indicatieve opening ---
    Open £ 0,345 08:15:03
    Vorig slot £ 0,347 16-01-2009
    Gemiddelde dagomzet --- 129.293.633
223 Posts
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