Spain's Sabadell 9 mo profit down 56 pct on writedowns

MADRID Thu Oct 25, 2012 2:08am EDT

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MADRID Oct 25 (Reuters) - Spanish bank Sabadell posted a 56 percent decline in nine-month net profit on Thursday, missing forecasts after setting aside 2.17 billion euros ($2.8 billion) in provisions against soured property investments.

Net profit at Sabadell reached 90.6 million euros compared to a forecast of 95 million euros in a Reuters poll, while net interest income grew 20 percent to 1.38 billion euros, in line with estimates, thanks to the integration of smaller lender CAM in June.

However, Sabadell's bad loan ratio jumped to 8.46 percent at end-September from 7.82 percent in June after including toxic property assets held by CAM. ($1 = 0.7711 euros) (Reporting By Jesus Aguado; Editing by Julien Toyer)

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