The former Banif has already contributed € 9 million of profit until September for the result of the Santander-Totta. The president of the bank, Vieira Monteiro, hopes that this investment will yield even more in the future. This forecast came the purpose of the presentation of the results of Santander Totta: until September, the profit soared 66% to 294 million euros.
"Although the integration [of Banif in Santander Totta] is completely made up, I can say that the Banif represents in our results, one million euros per month, ( … ), it Is evident that we take some results of this investment but it is not what our strategy provides for in terms of the future," said António Vieira Monteiro, at a press conference.
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it Was in December of 2015 that the Government and the Bank of Portugal announced the resolution of the Banif and the sale of the banking activity, the Santander-Totta by eur 150 million. Was created company-vehicle Oitante to which has been transferred from the banking activity, the Totta was not.
On the integration of the assets and liabilities of Banif on Totta, which was expected to be made until the end of the year, Vieira Monteiro said today that this was already completed "successfully":
last week we finished the computer integration of Banif. At this time, the integration of what were the liabilities and assets of the former Banif is completely made up".
“we don’t need the vehicle for bad debt”
On the creation of a vehicle to remove bad debts from the balance sheet of banks proposed recently by the Government, still in contact with entities to design a model for estebanco bad, the Santander Totta guarantees, such as the BIS, you do not need to resort to it.
we are neither against nor in favour, we do not need a vehicle of non-performing loans. We do not need to apply to the vehicle. Let’s see what’s there."
Vieira Monteiro admits, therefore, that will analyse the that there comes, but he pointed out that the bank has been able to sell credit portfolios by itself, and with capital gains, which means that the loans are well provisioned.
Operation in Madeira and in the Azores
Vieira Monteiro took advantage of even the press conference held today to deny that Santander Totta is the decrease of the business in Madeira and the Azores, the regions in which Banif was strong. "So much of a market as elsewhere in the volume of business is increasing 2% since December 2015", said, quoted by Lusa.
On the drive of the Banif Bahamas, where they were found operations problematic, Vieira Monteiro said that is to be made of the liquidation, assuming some losses for the bank.
As to the low compliance bond subordinated Banif – that were in the 'bank evil' Banif and therefore should bear the losses – to the commercial proposal by Santander Totta presented, Vieira Monteira understands that it is not adhered may be waiting for a better solution on the part of the State, that may not happen.
When it was negotiating the purchase of part of the activities of Banif, Santander Totta has made a proposal to "get in the subordinated bonds", that is, to assume the responsibility to these bondholders, told the purpose, saying that however this was not allowed by the authorities due to the law of bank resolution. In this case, the values involved in the business could have been different.