REFILE-UPDATE 2-Dexia fears going under after huge loss

(Corrects dateline to read '23' instead of '22')

* Still needs guarantees, EU clearance to stay going concern

* 2011 net loss 11.6 bln euros

* Loss due to Greek debt, break-up, clean-up of toxic assets

By Philip Blenkinsop

BRUSSELS, Feb 23 (Reuters) - Bailed out Franco-Belgian bank Dexia said it risked going out of business as it reported a 2011 net loss of 11.6 billion euros ($15.4 billion), hit by its break-up and exposure to Greek debt and other toxic assets.

Dexia, the first European banking victim of the euro zone debt crisis, said its continuation as a 'going concern' relied on several factors - state guarantees of up to 90 billion euros to allow it to borrow, its ability to pay for those guarantees and European Commission approval of its restructuring plan.

"In the absence of additional corrective measures, the non-realisation of one or several of the above mentioned assumptions could impair the 'going concern' status of Dexia SA and challenge the Group's liquidity and solvency situation," the company said in a statement.

"These assumptions rely on certain external factors beyond the control of Dexia," it continued.

Belgium, France and Luxembourg agreed in October to provide the 90 billion euros of guarantees for 10 years, but Dexia has only to date received commitments for half that amount until the end of May.

The European Commission gave temporary approval in December for state guarantees of up to 45 billion euros, adding it had doubts whether the guarantee mechanism was compatible with the EU single market.

Dexia, which accepted a state-led break-up and the nationalisation of its Belgian banking arm in October, said on Thursday it would not pay a dividend and also did not plan to pay a coupon on its hybrid debt.

Dexia, which is set to be stripped down to little more than a holding of bonds, said it suffered a 4.0 billion euro loss due to the disposal of Dexia Bank Belgium and a further 1.0 billion hit from the sale of French lending arm Dexia Municipal Agency.

It also booked a 3.4 billion euro loss on its holding of Greek sovereign bonds, while the cost of an accelerated sale of low-grade U.S. assets, carried out in the first half of the year, was 2.6 billion.

Dexia's shares dropped 5 percent at the opening.

KBC Securities analyst Dirk Peeters said the size of the loss was not a surprise, given the bank had already indicated a loss of 10.5 billion euros at the nine-month mark.

"There are still a lot of questions to be answered, such as on guarantees, the position of the European Commission," he said.

Dexia said core shareholder equity stood at 7.6 billion euros at the end of December

In a rare piece of positive news, Dexia said its assets for sale reserve was 800 million euros higher by mid-February from the end of 2011 because of a more risk-hungry market, which tightened spreads for certain sovereign issuers.

Dexia said its tier 1 and core tier 1 ratios were 7.6 percent and 6.4 percent respectively.

There are echoes of Fortis, once the largest bank in the Benelux, which was carved up during the height of the financial crisis in October 2008 and reported a 28 billion euro loss for that year. Fortis lives on as Belgian insurer Ageas ($1 = 0.755 euro) (Reporting By Philip Blenkinsop; Editing by Helen Massy-Beresford)