Factbox: European banks set to pay back long-term loans to ECB

Sat Jan 26, 2013 6:04am EST

(Reuters) - Banks will repay 137 billion euros of long-term loans to the European Central Bank next week.

It is the first opportunity they have to pay back part of the 1 trillion euros ($1.3 trillion) borrowed a year ago as a lifeline when funding costs spiked.

The ECB set up longer term refinancing operations (LTROs) in December 2011 and February 2012 to help banks, especially those in Spain and Italy, which were struggling to raise funds.

Banks can start returning some or all of the cash in weekly installments from January 30 for the first 489 billion euros and from February 27 for the remainder.

The ECB will give advance notice. It said 278 banks will repay loans next week.

Here are details of repayment plans, based on confirmation from individual banks and sources:

BELGIUM

KBC (KBC.BR) said it will repay 8.3 billion euros, or almost all of the 8.9 billion it took in the two offers, in the first quarter of this year.

Belfius, a state-owned bank, said it will repay 5 billion euros next week. Belfius was formerly the Belgian banking arm of Dexia and took 10 billion euros of loans in the first LTRO offer and 15 billion in the second.

FRANCE

BNP Paribas (BNPP.PA) and rival Societe Generale (SOGN.PA) have been considering paying some of their cash back, industry sources have said. Analysts at Barclays estimate French banks could pay back 80 billion euros in the first half of this year.

GERMANY

Commerzbank (CBKG.DE) has said it plans to pay back the 10 billion euros it took in the first LTRO offer this quarter. The bank took about 6 billion euros more in the second LTRO offer.

Deutsche Pfandbriefbank, the successor of state-owned Hypo Real Estate, said next week it will pay back some of the 2 billion euros it took in the first LTRO offer. It took a further 2 billion in the second offer.

ITALY

Unicredit (CRDI.MI) and Intesa Sanpaolo (ISP.MI) are expected to hold off on a decision on paying back loans until after Italian elections in late-February, executives and analysts have said.

SPAIN

Bankinter (BKT.MC) said it will repay about 1.4 billion euros, or 15 percent of the 9.5 billion it took, this year.

BBVA (BBVA.MC) said next week it will repay a "meaningful" amount and more in February. A spokeswoman said the amount was unlikely to account for all of the roughly 22 billion euros it took in the two offers.

Sabadell (SABE.MC) said it plans to pay back 1.5 billion euros at the first opportunity. It took a total of 24 billion euros in the two offers.

UK

Lloyds (LLOY.L) will pay back 8-10 billion euros, or up to three-quarters of the 13.5 billion it took, a person close to the bank said. Lloyds took all its cash in the second LTRO offer and will repay at its earlier opportunity on February 27, the source said.

Other UK banks are considering their options, sources have said. Most of the cash they took was in the second LTRO offer.

($1 = 0.7477 euros)

(Compiled by Steve Slater; editing by Jeremy Gaunt and Jason Neely)

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