Emporiki reports 2009 results

by Richard Kilner

Story link: Emporiki reports 2009 results

Greek bank Emporiki has announced its annual results for 2009.

Net banking income rose 5% on 2008 to €751m, with gross operating income surging by 41.4% to €104.2m.

However, net losses hit €582.6m, a figure attributed to Greece’s worsening macroeconomic environment and realigning risk management according to Crédit Agricole standards.

The cost of risk in the final quarter declined by 14% compared to Q3, down to €138.4m.

Quarterly net losses were marginally lower than Q3’s €113m, standing at €110.5m.

Chief Executive Officer Alain Strub has said that the firm’s results confirm it is moving in the direction of the four year Restructuring
and Development Plan.

Under the plan, Emporiki would return to the black by 2011, with major shareholder Crédit Agricole ready to fully subscribe to a €1bn share capital increase to secure the bank’s liquidity and capital efficiency.

The support the French bank will prove of great help to Emporiki, particularly as the Greek economy is in a deeply challenging situation.

A week ago the BBC reported a national public sector strike in Greece over austerity measures intended to slash the country’s enormous deficit.