Novo Banco, BCP and Caixa Geral de Depositos lead a large list of debtors issued by Bank of Portugal. Overall, eight financial institutions including – the third are joined by the Portuguese Business Bank (BPN), Banco Espírito Santo (BES), Banif, BPI and Banco Privado Português (BPP) – who have requested state assistance in the last 12 years and who demand 24 billion euros from public funds. Overall, we talked about the exposure of 5116 million euros with losses reaching almost four billion euros.
Leading the loss rating is a New Bank. As of June 2018 – when receiving injections of 3542 million euros – this institution now led by António Ramalho has an exposure of more than 4.4 billion euros to large debtors. This requires the creation of a decline in value, that is, a potential loss of 2.4 billion, which results in a loss of 3.5 billion. Champion debtors are customers identified as & # 39; 130 & # 39;, whose losses exceed 2.9 billion euros. Everything shows that this is BES Angola.
Data released by regulators also showed losses at the end of 2014, the year in which financial institutions emerged after the fall of Banco Espírito Santo, where 11 borrowers with a potential loss of 502 million euros were shown, but for an actual loss of 2,948 million.
BCP also has a June 2012 exposure of 2.7 billion for large debtors. While the decline in value amounted to EUR 556 million, the loss was EUR 2 billion. The Greek state has been shown by financial institutions as its main debtor, after generating a loss of 358 million euros.
16 major debtors in the last recapitalization
As for Caixa Geral de Deposisitos, received the latest public assistance in 2017 – an operation that requires five billion euros, of which 2,500 million comes from State direct injection. On that date, public banks had 2.8 billion exposures for large debtors, with a value of more than 1.6 billion and actual losses of 1.9 billion. Overall, he has 16 economic groups with large bad loans.
However, in the past 12 years, Caixa has benefited from other public assistance. But let's go to numbers. At the end of 2007 there were no losses to large debtor claims, with only equity losses, 129 million decline in value and 428 million other losses, with an exposure of 782 million euros.
On that date, customers identified as & # 39; 012 & # 39; is the biggest debtor of a commercial bank. The latter received a loan of € 1,144 million, which translates into a direct loss of 427 million euros. The following year, the same customer received a new loan of 1,167 million euros, which eventually proved a loss of 526 million euros. This customer loss was repeated in 2009, reaching 605 million euros in 2009, in 2010 they were at 369 million euros, in 2012 at 208 million and 101 million euros in 2017. With value, and being transversal in other years, it would be entrepreneur Joe Berardo, from the start the credit concession coincided with financing for the purchase of BCP shares.
Also the client & # 39; 018 & # 39; appears repeatedly – still with a lower amount. By the end of 2007, it had received a loan of 1,192 million euros, which resulted in a loss of 428 million euros. The following year, the loan value was set at 435 million euros, representing a loss of 42 million euros.
Value for Box does not stop here. At the end of 2008, share ownership losses were also disclosed, from 463 million euros in value and 568 million other losses, with an exposure of 777 million euros.
In 2009, on June 30, a group of debtors appeared on the list where CGD experienced a decrease in value of EUR 97 million and a loss of EUR 3 million for exposures with an exact value of EUR 97 million, that no steps were taken to reduce losses.
There were 392 million euros in impairment losses and 650 million euros in other losses in terms of other investments, with an exposure of 641 million euros. Already in June 2010, 95 million euros of losses on credit with an initial exposure of 115 million euros (without reference to a decline in value) and a further 300 million euros decrease in value was recognized in five participation in equity instruments and 546 million other losses.
In 2012, the last second recapitalization of Caixa, nine debtor groups with 191 million euros of impairment and 158 million other losses referred to the exposure of 812 million euros on that date. This year, in capital instruments, there were 736 million euros in value and 609 million in other losses, with an exposure of 2,082 million euros.
Lower losses occurred at BPI, which in December 2012 was recognized at 508 million euros. Also the bank, led by Pablo Forero, attributed most of this loss to Greek debt, more precisely 80%. "Exposure to Greek debt was covered by the country's restructuring process involving the elimination of debt and public securities trading operations in early 2012. The BPI bank sold all exposure to Greek debt in the second half of 2012 at market prices," he said in a statement.
Financial institutions added that "as is clear from the information published today by Bank Portugal, in addition to losses on Greek debt, BPI only presented nine additional situations in the list of large debtors, which together amounted to € 100 million", adding that it was " fully repay the debt to the Ministry of Finance of Portugal, for the benefit of the State and taxpayers, and that the reason for using BPI's public funds is not due to non-compliance by banks with loans to companies ".
The banks that no longer exist: BPN was recognized in December 2012, a 3.5 billion exposure for large debtors, a loss of 11 million and a decrease of 1.9 billion.
As for Banif, in December 2014 there were 145 million euros in impairment, but there were no actual losses. The same thing happened with the BPP in June 2010.
Bank Portugal has submitted the first version of this list in May, thus fulfilling the law that has been granted 100 days to be submitted to Parliament. However, at that time, the numbers that had been provided by financial institutions were eliminated. Now this information remains anonymous, but each debtor is identified by code and not by name.
How is this served? For each credit institution that is protected (and with reference dates) there are tables that show large financial positions – including loans and equity investments -. Sebagaimana As determined by law, transactions involving related losses of at least 1% of the total amount of funds mobilized but not less than EUR 5 million have been considered, resulting in a minimum limit for each related institution & # 39; , explained Bank of Portugal. This means that the limit is different depending on the bank: EUR 62.5 million in CGD, EUR 49.2 million at BPN, EUR 43.3 million from BES / Novo Banco, EUR 33.6 million in Banif, EUR 30 million at BCP, 15 million at BPI and 5 million at BPP.