Banco Popolare archives the first 9 months of the year with losses of 122 million euros, against the profit of 165 million recorded in the same period last year. The institute also makes it known that by the end of the year it will close 112 branches by the end of the year "to eliminate overlaps and improve competitive positioning by reducing costs".
The higher charges for the January-September period weigh on the red 67,6 million to encourage the exit of 330 people in 2015, as foreseen in the agreement with the trade unions. The loss also comes from risky loans with le value adjustments on credits which amounted to 1,065 billion (against 685 million in the same period of 2013) and 445 million in the third quarter alone, up compared to 292 million in the second quarter and against a limited market forecast of 300 million.
As for the balance sheet aggregates, direct collection it fell by 5% compared to the end of 2013 to 85,5 billion, while gross loans stood at 89,9 billion (-1,8%). Net non-performing exposures rose by 6,6% compared to the end of 2013 to 14,9 billion (+14,8% on an annual basis). However, Banco points out the strengthening of the coverage ratio of the entire aggregate which, including write-offs, stands at 38,4%.
In detail, the coverage of sufferings is at 54,3%, that of substandard at 18,1%, that of restructured at 22,5% and that of expired at 7%. The coefficient common equity tier 1 calculated with the partial application of the Basel 3 rules, it is equal to 13,7% and rises to 13,9% also considering the impacts of the incorporation of Banca Italease. The coefficient calculated instead with the full application of the new rules stands at 11,9%.
