Credit Agricole took a 708 mln euro hit for its stake in troubled BES. The French bank has had these shares since 1984, but failed to hold the Portuguese lender to account, says Breakingviews.
So Credit Agricole was accessed from bash this -- -- bring these calls predictably clumsy Dominic Eliot's eyes had to explain why I I guess this title. -- -- Similar exits. In peripheral Europe. The costliest. That's right I said we've had some and -- key agreed to buying can wage I think Indians Credit Agricole lost about two billion your -- How bank insert in Spain again. I was probably a loss the doubts 200 million euros that -- now today we've got them the essentially it's the full exit from. Daschle by who practical -- fourteen point 6%. And sending its second quarter results of its value in that -- -- zero complete right now. On the and that's partly because of this good bank -- -- explanation and the and the role of that. The M governments and in rescuing the primetime at 700 million Europe heads from what what does that number it cannot breaks down into you 500 million -- -- -- -- share in the losses that. -- -- -- tell -- recently for the second quarter which I think with three point six billion -- something about magnitude and also. This 200 million write down which I mean that's what the stake is -- doubt about 200 million. And now it's 78 -- zero and so that does the extra -- I'm just looking at the. The the the -- text peace -- credit Jack -- C we can any regret having been misled by the family. With which I was trying to create -- true partnership the next paragraph talks of Credit Agricole signs representatives on the board bash. That -- -- questions. Actually I mean you go find guys on the board and even if they're walls for holds which we it's still an option to declare whether that walls aware that. This is something that's some board members nearby recognize. But it's even say they -- of make sure there's a bit more due diligence done the world to see these warning signs in the rights issue prospectus for example some people knew that there was some. Some things going on the world perhaps a little fishy I'm so yes I'm me when concerning the argument that great to stewardship here. We've been a good idea for Credit Agricole -- -- representatives bash. Am Credit Agricole were returned to profit. Lost to two years of losses. Given this financial. What what's that -- Near retirement like the credit that because I think Garcia looks funny in -- below rosier picture is you know underlying -- Business looks pretty okay it's the capital ratio has improved again until it's 10% at this level best distinctions. Is required these days and Credit Agricole strategy of course is to pull outs of these countries and when pressure was forced opponents -- but it it did want to get towel them anyway. And give new strategy is from some Italy that seems a lot more sensible. It's whatsoever stretched its cut down in the -- -- -- alienation -- -- -- 5% today. -- -- -- -- France in the retail bank it was on a platform that having two different economies and in a terrible position but yet crowd called it okay. Don't not just to finish with a want to -- put words in my -- forcing it to gazans the breaking news crystal ball but. Given. Exits from. Stakes increased stakes in Spain passed takes him in Portugal now. Clumsy. Exits. And of the ocean looking at a particular case of mistaken approach for Europe that we -- isolating the same -- about. And has pretty much it. Obviously it's really has halted the actual strategy side and and that's something that they all. Probably gonna do much better because that focus that yes I mean these peripheral stakes. That perhaps wasn't the you know the management. Application that could have been. It's this is probably a fitting coda to not hold periphery of you know dissolves the story I -- very get Dominik many things that the US has atrocities and seventeen patriots team. Alex appropriate sources.