SNS Reaal gets $1.6 billion capital injection
The head office of Dutch banking and insurance group SNS Reaal is seen in Utrecht November 13, 2008. SNS Reaal said on Thursday it will get a 1.25 billion euro ($1.6 billion) capital injection from the Dutch state and its controlling foundation after booking a third quarter loss due to fresh writedowns.
Credit: Reuters/Michael Kooren.
AMSTERDAM |
AMSTERDAM (Reuters) - Dutch bank and insurance group SNS Reaal (SR.AS) is getting a 1.25 billion euro ($1.6 billion) capital injection from the Dutch state and its controlling foundation after booking a third quarter loss due to fresh writedowns.
The Dutch state will give 750 million euros in Tier 1 securities, while the foundation that owns 54 percent of SNS Reaal shares will inject 500 million euros, SNS Reaal said in a statement.
SNS Reaal follows larger Dutch peers ING (ING.AS) and Aegon (AEGN.AS), which took 10 billion and 3 billion euros in state support last month.
SNS Reaal, which has no exposure to U.S. subprime mortgages, said it booked a third-quarter loss of 88 million euros after a negative impact of 177 million euros of writedowns linked to the credit crisis. It was its first quarterly loss since listing in 2006.
(Reporting by Gilbert Kreijger; editing by John Stonestreet)
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