Ceska sporitelna said yesterday morning that it transferred CZK 7.9 bil. of non-performing assets to state-owned Konsolidacni banka this year as part of the ring-fencing agreement, in line with our expectations. The bank will report cleaner balance sheet as a result of the transfer, the impact on P&L will be largely neutral. CS yesterday reiterated that it would know by August the amount of additional loans it will include in the ring-fenced portfolio. Nothing new, the stock’s movement yesterday reflected market dynamics rather than the effect of the above information.
(Ondřej Daťka)