Denmark: Fionia Bank collapses

Denmark’s 11th largest bank, Fionia Bank, has collapsed after massive writedowns of 1.2 billion Danish kroner. However, the company will not face liquidation. According to Politiken, Instead of bankruptcy, Fionia’s assets will be transferred to a newly incorporated banking company.

In advertising campaigns, Fionia had dubbed itself the “bank of your future.” Despite the obvious, the bank’s chairman insists the future is still bright and all is well

Denmark gets on the deposit guarantee train: all aboard!

EU governments have woken up to the need to defend the banking system by guaranteeing all or some of their citizens’ bank deposits. After Germany, Ireland and Greece, Denmark is the latest to do so. And Denmark may also be the one country that needs to do so the most of the remaining EU holdouts.

Danish banking crisis the worst in Europe

The U.S. and the UK are not the only countries suffering from a housing bust and a credit crisis. Ireland and Spain have had massive busts as well and it is only a matter of time before we begin to see effects on the banking sector. And there are many other countries that have seen

Writedown news: 28 Aug 2008

Below are the latest writedown stories from the web that I have seen. For the full timeline of news, visit my credit crisis timeline. Bloomberg recently updated their tally of writedowns to arrive at $503.8 Billion to date. That is on the timeline as well. Also see my list of Bankrupt Global Financial Institutions.Some of

Foreign Press Alert: 28 Aug 2008

Given the number of foreign articles I have translated recently, I thought it would be useful to start a foreign press alert which pulls together common themes in order to present a holistic view. Today, I will post on Argentina, Spain, Denmark and Sweden. Later, I hope to get to the Netherlands, Germany and France

PIMCO message to clients on Roskilde

PIMCO, the brainchild of Bill Gross and now owned by the German insurance giant Allianz, is concerned enough about the bankruptcy of Roskilde Bank in Denmark to have sent the following e-mail out to its clients. I have put important parts in red not already highlighted in the text. Note that the bailout plan involves

The Roskilde Bank problem

Over the weekend the Danish Central Bank took over bankrupt Roskilde Bank, wiping out shareholders. Tiny Denmark has had a bankruptcy on its hands that is following the script of Northern Rock in the UK to a tee: After lending too much money to the wrong people, the government is forced to step in as

Bankrupt Danish Bank Roskilde sold

The bankrupt Danish Bank Roskilde received no bidders as the Central Bank of Denmark looked to unload the bank as quickly as possible. Roskilde got into trouble after the Danish economy turned down and loans it had made to home builders went sour. Eventually, Roskilde became the third large European institution to fail since the

Bankrupt Roskilde’s shareholders argue over what to do

As you may recall, Roskilde Bank in Denmark was recently rescued by the Danish central bank as it fell prey to the recession in Denmark. However, shareholders there are still fighting to save the bank, pitting interested parties against one another. My translation from the following article in the Danish Daily Berlingske Tidene demonstrates that

Weekend reading: 12 Jul 2008

After a brutal week in the market, my goal is to find enough positive stories to compliment the negativity that is the global markets. These round-ups mirror what is in the business press and economic blogs of importance and most of it just plain stinks. I’ll keep it short for that reason. No stories on

Denmark bails out Roskilde Bank

Earlier this morning, I read about the bailout of Roskilde Bank in Denmark through the Sydney Morning Herald. Roskilde Bank, whose shares performed the worst last year among the Nordic region’s 86 financial companies, became the first Danish lender to be bailed out by the central bank since the subprime crisis started. The bank found

Bankrupt global financial institutions

Latest Major Bankruptcy News 2007 06 13 IndyMac Sued Over Investor Claims It Hid Loan Losses2008 06 30 IndyMac to Trim Operations, Not Shut Down, Perry Says2008 07 01 IndyMac Chief Financial Officer A. Scott Keys Resigns2008 07 07 IndyMac Cuts Half its Staff as Mortgage Losses Mount2008 07 08 IndyMac Falls After Regulators Say