Austria: Liquidation No Option for Hypo Group

People ♦ Published: November 4, 2013; 15:47 ♦ (Vindobona)

Nationalized-by force Hypo Group Alpe Adria, which is struggling under liabilities running in the billions, will not be closed. OeNB rejects rumors about establishing a bad bank

Austria: Liquidation No Option for Hypo Group / Picture: © Hypo Alpe-Adria-Bank International AG

“A liquidation of the bank or other insolvency scenarios are by no means part of the model calculation,” Klaus Liebscher, chairman of the bank’s board and head of the task force appointed by the government, said on Monday.

Instead, Liebscher announced to look for solutions which allow a restructuring of the bank and will burden the taxpayers as little as possible. According…