FRANKFURT, Aug 7 (Reuters) - Commerzbank is not expecting to face major losses from its Russia-related business, which may be affected by EU sanctions, Chief Financial Officer Stephan Engels said.
The exposure of Germany’s second largest lender consists predominantly of export trade financing for German medium-sized companies as well as loans to big Russian corporates, Engels told analysts on a conference call to discuss second-quarter earnings. It accounts for less than 2 percent of group revenues.
“All of that (is) well-covered by collateral and also covered by the export credit agency. So that (latter) part, simply speaking, is German sovereign risk,” Engels said. (Reporting by Arno Schuetze; editing by Thomas Atkins)