MILAN Jan 14 The board of Monte dei Paschi di
Siena has unanimously confirmed its faith in CEO
Fabrizio Viola despite him being forced to delay a crucial
capital increase, the bank said on Tuesday.
Viola had threatened to resign last month after a
shareholder meeting voted down his proposal to launch the
3-billion euro share issue this month.
The statement made no reference to Chairman Alessandro
Profumo, who had also threatened to resign, but a source with
direct knowledge of the matter said he too would stay in his
Italy's third-largest bank said its management would work
towards carrying out a 3-billion euro ($4.11 billion) rights
issue as soon as feasible and on the best possible terms,
despite the cash call being postponed until at least mid-May.
The lender also expressed hope that its largest shareholder,
a charitable foundation with links to local politicians, would
sell its stake in the bank as quickly as possible. The stake
sale by the foundation was the reason why the cash call was
(Reporting by Silvia Aloisi, editing by Agnieszka Flak)