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Slovenian bank NKBM posts big loss for 2012

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(Globalpost/GlobalPost)

Slovenia's second largest bank, state-owned Nova KBM, posted on Friday a loss that more than doubled last year to 205.5 million euros ($267 million) from 81.1 million euros in 2011.

The heavy setback was "due to the continued worsening situation (of the bank) and further write downs of bad loans," the bank said in a report published on its website.

In January, a 100-million-euro state loan allowed Nova KBM to raise its core capital ratio enough to meet stiffer European requirements.

The bank plans a fresh 90-million-euro capital hike in the first half of the year, Nova KBM board president Ales Hauc said on Thursday.

Last month, the country's largest bank Nova Ljubljanska Banka (NLB) also said it would need 400 million euros in fresh capital after losses in 2012 widened to 273.5 million euros from 239 million euros a year earlier.

The eurozone country's third-largest bank, state-owned Abanka, said on Friday that it would also need a 90-million-euro capital hike by July.

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http://www.globalpost.com/dispatch/news/afp/130308/slovenian-bank-nkbm-posts-big-loss-2012