SEB Runs for Shelter
Major bank SEB reports a big loss in the first financial quarter of 2009 - and will now apply to join the governments bank guarantee programme. This comes after SwedBank also reported significant fall in income on Tuesday.
Like SwedBank SEB has suffered from huge credit losses due to investment in plummeting Eastern European economies and has called a halt to any more expansion in Ukraine.. But unlike SwedBank SEB initially wanted to stay outside the government’s voluntary bank support scheme, which involves some limits on bank activity and pay outs.
Now SEB hopes that the guarantee package will strengthen it against international competition.