Austria: Kranebitter to Leave Hypo Group

People ♦ Published: August 19, 2013; 14:53 ♦ (Vindobona)

After three and a half years, Gottwald Kranebitter steps back as CEO of nationalized Hypo Alpe Adria. Tax payers are left with a burden running in the billions in the years to come.

Austria: Kranebitter to Leave Hypo Group / Picture: © KPMG - Pressefoto Gottwald Kranebitter

Only a year ago, the CEO declared not to require any further capital. His plans to deposit € 12bn of non-performing loans into a bad bank were thwarted by Finance Minister Maria Fekter, who did not want to accept any further state debts. The EU Commission played a further decisive role in this matter. € 500m in cash and € 1bn in state guarantees had to be injected into the bank in…