FRANKFURT Aug 21 German public-sector lender
BayernLB said its strong capitalisation put it in a
good position ahead of European Central Bank health checks of
the financial sector.
"As at 30 June 2014, BayernLB has a very solid CET 1 ratio
of 14.4 percent and is therefore well prepared for the ECB's
asset quality review and subsequent bank stress test in the
fourth quarter," BayernLB said in a statement on Thursday.
The lender nevertheless said the sale of banking subsidiary
MKB in Hungary would contribute to a consolidated loss for the
full year, despite good earnings at BayernLB's core business.
(Reporting by Jonathan Gould; Editing by Maria Sheahan)