Financial Times FT.com

Brussels wary on Nordbank bail-out plans

By James Wilson in Frankfurt

Published: October 23 2009 13:27 | Last updated: October 23 2009 20:00

The European Commission has questioned whether some of HSH Nordbank’s restructuring efforts comply with European Union state aid rules – and whether the scheme will ensure the German bank’s survival.

Neelie Kroes, EU competition commissioner, said the commission was opening an investigation into a €10bn ($15bn) guarantee against losses and a €3bn recapitalisation provided by its two main owners, the German states of Hamburg and Schleswig-Holstein.

You have viewed your allowance of free articles. If you wish to view more, click the button below.

Read this