BMPS After mkt hours announced 2Q ’16 results: Interest Income Euro 1.08 bn, total income Euro 2.25 bn, llp’s Euro (772 mn), Net Income Euro 22 mn. CET1 increased by 40 bpts to 12.1% (11.8% FL).
The quarter benefited from EUR 134M fiscal benefits from Alexandria operation and EUR 108M gains from asset disposals.
BMPS also approved measures to de consolidate its entire bad loan portfolio and a capital increase of Euro 5 bn. Plans include: sale of EUR 27.7Bn of gross bad loans (EUR 9.2Bn net) to a securitization vehicle (Sec.Co) at a price equal to 33% of the gross book value. Vehicle to be funded by the issue of notes with some underwriting by Atlante fund.
Il Sole reports comments from CEO Mr Viola that a tie up with another bank is no longer a necessity.
Bloomberg reports comments from the Treasury that is no need for a public back stop for BMPS
BCO POPOLARE / POP MILANO Il Messagero reports comments from CEO that Bco Popolare’s results were solid under the stress tests and that the tie up with Pop Milano was proceeding well.
INTESA SP / BMPS Il Messagero reports comments from Chairman Mr Gros Pietro that even after a clean up of BMPS, Intesa SP is not interested.
UNICREDIT La Stampa reports comments from Mr Caltagiorone that does not exclude increasing stake in Unicredit.
Reuters reports that the bank said it would work with ECB supervisors to assess what it needs to do after stress tests showed its core capital close to the 7% level (under adverse conditions).
MEDIOBANCA Stated after mkt hours on Friday transitional CET 1 ratio fell to 11.5 percent in 2018 under the stress tests' adverse scenario, from 12.4 percent at end-2015, remaining well above a current SREP requirement of 8.75 percent.
POSTE ITALIANE Il Messagero reports that the Treasury will sell another 29.7% and that the board will consider a draft prospectus on Aug2. Timing for sale depends upon referendum-
STRESS TESTS / BANKS After mkt hours on Friday the results of the stress tests were announced. The Adverse scenario Dec 2018 CET1 FL was as follows: BMPS -2.4%, Bco Popolare +9%, UBI +8.9%, Unicredit +7.1%, Intesa SP +10.2% The average for Italian banks was 7.6% vs a European average of 9.2%.