Monday, November 3, 2008
The German Commerzbank million 8200 calls for public support
Commerzbank, the second German bank lending, yesterday became the first private bank that calls for a direct injection of public capital and the second request in state aid that the government of Angela Merkel made available to the financial sector last October. The entity will receive a capital injection of 8,200 million euros Soffin of the stabilization fund, established on October 20 to rescue German banks affected by the crisis. Germany DEPTH Capital: Berlin. Government: Federal Republic. Population: 82,369,552 (est. 2008) global financial crisis DEPTH See full coverage The news on other websites Websites in Spanish in other languages In addition, Commerzbank has asked for guarantees 15,000 million. The Munich bank Hypo Real Estate, the most notorious German victim of the financial crisis was last week, the first private bank which called for a public endorsement of 15.000 million. A decline in prestige in principle poses to a bank having to resort to public sopitas, align the conditions imposed by the government. In return for aid, the Commerzbank no dividend divided by 2010. The directors of the company receive a maximum of 500,000 euros per year. Despite millions disburse 8200, the State will not be a shareholder of the bank, which does not dilute the participation of current members. Soffin receive an interest of 8.5% by early 4100 million and 5.5% for the other half. The bank refunded the contribution in the medium term. The third quarter of 2008 was bad for Commerzbank. The collapse of U.S. investment bank Lehman Brothers will cost 357 million. The entity yesterday acknowledged losses of 285 million between July and September. They have also resorted to aid three banks public. First, the Bavarian BayernLB, which needs 5400 million. Yesterday, the HSH Nordbank-owned by the states of Hamburg and Schleswig-Holstein, announced that 30,000 asked endorsements million, while WestLB, the State of North Westphalia, made public its intention to invoke the aid plan Rescue government, Efe reported. According announced yesterday the supervisory board of the entity, which did not specify the amount requested, WestLB wants to use the guarantees to secure external funding for the coming years.