Bank Austria, RZB shed more light on Russia debt

Article Abstract:

Bank Austria AG, the biggest lender of Russia, reported that it might need additional provisions totaling from 2.5 billion to 4.5 billion schillings ($205.8 million to $370.4 million) for nondeliverable forward contracts as safeguards against the collapsing Russian Treasury bills. Raiffelsen Zentralbank AG (RZB) confirmed that it had sought the assistance of other foreign banks operating in Moscow, Russia, as protection against similar financial losses. Moscow's decision to restructure its debt payments have adversely affected Bank Austria and RZB as well as many other foreign banks.

Comment:

Had sought the assistance of other foreign banks operating in Moscow, Russia, as protection against financial losses

Strategy & planning, Austria, Bank Austria AG, Raiffelsen Zentralbank AG

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Increased risk provisions for Asia hurt results at Dresdner, Bank Austria

Article Abstract:

Dresdner Bank AG and Bank Austria raised risk provisions in Asia as their earnings continue to be hurt by the current economic turmoil in the region. Dresdner infused additional 250 million deutschmarks for its operation in the region, bringing its risk provisions to a total of 850 million marks. Bank Austria, meanwhile, increased its provisions for Asia from around 1.35 billion Austrian schillings to two billion schillings. The new provisions helped the two banks to achieve their lower-than-expected earnings of 3% for Dresdner and 5.5% for Bank Austria.

Comment:

As well as Dresdner Bank raise risk provisions in Asia as earnings continue to be hurt by current economic turmoil in the region

Asia, Use of Funds, Oesterreichische Nationalbank, Dresdner Bank AG (Frankfurt, Germany)

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Bankers Trust looks likely to post loss

Article Abstract:

Bankers Trust Corp. is expected to report a $1.7 billion (1.6 billion euros) net loss for the first-half of 1999. The expected net loss is being mainly attributed to restructuring and compensation costs. According to analysts, Deutsche Bank's share value could struggle temporarily as the earnings are absorbed by investors. Bankers Trust is being integrated with Deutsche Bank.

United States, Sales, profits & dividends, Banking industry, Finance, Abstract, Bankers Trust Corp.

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