MILAN Jan 29 Italian bank UniCredit
Chief Executive Federico Ghizzoni said on Tuesday he expects the
bank's sale of a stake in its Polish unit Bank Pekao to
boost its Core Tier 1 ratio.
The bank's Core Tier 1 ratio was 9.3 percent, it said on
Nov. 13 of last year -- higher than the end-2012 previous target
of 9.1 percent.
Ghizzoni sees the sale of as much as 9.1 percent of Pekao
as boosting the bank's Basel III Core Tier 1 by about 10 to 13
basis points, he said on Tuesday at a press conference.
UniCredit said earlier Tuesday it is selling the stake in
Pekao to institutional investors through an accelerated book
building process, and does not plan to sell a further stake.
The bank's presence in Poland continues to be strategic, he
Ghizzoni also said that the bank's risk of posting losses
from derivatives contracts is "extremely limited."
(Reporting by Gianluca Semeraro, writing by Jennifer Clark)