Crédit Agricole closes the first quarter of 2012 with a net profit falling by 75%, to 252 million, mainly due to write-downs of 940 million euros on Greek assets. On the other hand, revenues exceeded expectations, rising by 2,3%, to 5,43 billion. The 'core Tier 9,4' coefficient rose to 8,6% from 1% at the end of the year.
In detail, the devaluations related to Greece are divided into 373 million for the debt restructuring plan and 567 million for the Greek subsidiary Emporiki (including provisions relating to country risk). The performance was also affected by capital losses from the sale of securities, including the reduction of the stake in Intesa Sanpaolo.
But it also weighed on earnings the adaptation plan, for 224 million. Crédit Agricole is carrying out a downsizing of its investment banking activities to focus once again on the network of regional cooperative banks.
On the other hand, positive results for the Italian subsidiary Cariparma, which recorded a net profit of 116 million in the first quarter, also thanks to the extraordinary capital gain of approximately 70 million deriving from the sale of CA Vita. Deposits reached 34,9 billion in March, with a 16% growth.
