Dexia reported a 1H12 net loss of € 1.2bn which was in line with our expectations for net loss in excess of € 1.0bn.
Due to technical problems on the Dexia website the press release and figures are not yet available upon publication of our morning note.
Our View:
The current standoff and very slow progress that is being made, makes it virtually impossible to gauge what the scope, business model (if any) and valuation could look like which is why we have a symbolic target of € 0.10.
Conclusion:
We maintain our Reduce recommendation and € 0.10 target.