Market turbulence brings first-ever quarterly loss for ING

12 November 2008

Dutch banking, insurance and investments group ING recorded its first-ever quarterly loss between July and September, taking a €585 million ($732 million) hit driven by the ongoing crisis in the financial markets.

The group said pre-tax impairments and losses on its equities, pressurized assets and other debt securities amounted to €1.5 billion

Its net profit for the first nine months of the year stood at €2.98 billion, down from €6.75 billion in the same period of 2007.

Furthermore, the company recorded a net loss per share of €0.22 in the third quarter, compared with a net profit of €1.08 per share in the three months to the end of September 2007.

ING chief executive officer Michel Tilmant said: "Financial markets deteriorated rapidly toward the end of the quarter, with steep declines in equity markets, widening credit spreads, declining property prices and the failure of several banks."

Nevertheless, he insisted the group has been stabilized by the Dutch government's injection of €10 billion and customers have "no reason to be concerned" about its long-term strength.

ING has around 85 million clients in Europe, Asia, Australia and North and South America.

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