German commercial bank HSH Nordbank expects to report a net loss of EUR 2.8 bn before tax and one-off charges for 2008. In a statement on its preliminary results, the state-owned bank said the figure compares to net profit of EUR 285 mln a year ago. The EUR 2.8 bn loss includes impairments of around EUR 1.6 bn on the credit investment portfolio and further writedowns of EUR 900 mln as a result of the financial crisis.
German commercial bank HSH Nordbank expects to report a net loss of EUR 2.8 bn before tax and one-off charges for 2008. In a statement on its preliminary results, the state-owned bank said the figure compares to net profit of EUR 285 mln a year ago. The EUR 2.8 bn loss includes impairments of around EUR 1.6 bn on the credit investment portfolio and further writedowns of EUR 900 mln as a result of the financial crisis.
HSH Nordbank added that it is 'in the advanced stages of constructive negotiations' with its owners concerning a strategic realignment of the group. According to several media reports, the German bank is in talks for a EUR 3 bn capital injection from its owners, the states of Schleswig-Holstein and Hamburg which each hold stakes of about 30%.
