Thursday, April 3, 2008

Bayern Landes Bank writes down 6.7 billion...

"A large German-owned bank, BayernLB, said Thursday that it would write down 4.3 billion euros, or $6.7 billion, double its previous estimate, as the contagion from the tight credit market continued to spread to state-owned banks in Germany.

The result is likely to increase calls in Germany for a broad consolidation of so-called Landesbanks"
(NYTimes)

the american loan fiasco spreads to Germany - they kicked out their Chief executive officer and Germans are worried that this may pave the way of consolidating the German Banking system - which the regions have successfully resisted. They worry that this would mean extensive lay - offs, which would be true, I say.

It is interesting to me that our crisis could effect a monopolization of Banks in another industrialized country!

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