BUDAPEST May 16 Hungary's OTP Bank may have to
write down some goodwill at its Ukrainian unit later this year,
with more information available at the end of the second
quarter, Deputy Chief Executive Laszlo Bencsik told a news
conference on Friday.
Bencsik did not give an indication about the probable size
of the goodwill writedown, but said the situation in Ukraine,
where the bank faces steep losses amid the ongoing crisis, did
not point toward a positive turnaround.
"We will know a lot more by the end of the second quarter,
there will be a new government after the elections (on May 25),
we will know what kind of agreement the new political leadership
might strike with international organisations," he said.
"We will decide on that basis. A goodwill writedown cannot
The Ukrainian unit wrote down 37.2 billion forints ($167.23
million) of its registered 64 billion forints worth of goodwill
in Ukraine in the third quarter of last year.
OTP posted a modest profit in the first quarter.
Its shares were up by a third of a percent at
0800 GMT, versus a flat wider market.
($1 = 222.4438 Hungarian Forints)
(Reporting by Gergely Szakacs and Marton Dunai)