Bank Austria Takes Drastic Measures

Professional ServicesBanks ♦ Published: March 16, 2013; 14:21 ♦ (Vindobona)

Because of selling the Kazakhstan division and bad credits, quarter losses of € 553m for parent company UniCredit have to be faced.

Bank Austria Takes Drastic Measures / Picture: © Uni Credit Group Bank Austria

Analysts had actually estimated profits around € 400m for the first quarter of 2013. Instead, Bank Austria needs to cut jobs. Beause of the difficult economic situation, UniCredit expects further losses in its own country, Italy. In 2012, loan loss provisions and value adjustments added up to € 9.6bn which was an increase of almost 68 % compared with the previous year. Also, in the…