- Business
- Childbirth & Education
- Legal Formalities
- Motoring
- Other
- Pensions & Benefits
- Property & Accommodation
- Taxes
- Airports and Airlines Spain
- Paramount Theme Park Murcia Spain
- Corvera International Airport Murcia Spain
- Join us for Tea on the Terrace
- When Expat Eyes Are Smiling
- Meet Wincham at The Homes, Gardens & Lifestyle Show, Calpe
- QROPS 2014
- Spain Increases IHT in Valencia & Murcia
- Removals to Spain v Exports from Spain
- The Charm of Seville
- Gibraltar Relations
- Retiro Park : Madrid
- Community Insurance in Spain
- Calendar Girls
- Considerations when Insuring your Boat in Spain
- QROPS – HMRC Introduces changes that create havoc in the market place
- QROPS – All Change From April 2012
- Liva & Laia : 15th November
Holders of junior debt instruments such as preference shares and subordinated debt in Spain's nationalised bank Banco de Valencia will suffer losses ranging from 85% - 90%, the country's bank restructuring fund, FROB, said on Monday.
Banco de Valencia was one of the lenders hardest hit by the bursting of a property bubble in Spain in 2008.
The FROB, which had to inject €5.5 billion into the bank, said in November it would sell the entity to the country's 3rd biggest lender, Caixabank, for the nominal fee of €1.
"The important losses are justified in order to ensure a fair share of the restructuring and resolving costs and to reduce the cost of public aid," the FROB said in a statement.
Just last week the stricken lender reported they had made losses of €3.6 Billion during 2012. CaixaBank said that the losses would not be consolodated into their own figures.
CaixaBank themselves saw their profits slide by 80% last year.