Dutch financial services group ING posted a fourth-quarter loss of €3.7 billion ($4.7 billion) due to writedowns and said today it will focus on fewer businesses and markets.
Two analysts had expected ING's quarterly net loss to be around €3.9 billion for the period, while ING's full year loss was €729 million, better than its forecast last month and the average estimate of €858 million from four analysts.
ING gave preliminary figures last month when it got state guarantees for €22 billion of risky U.S. credit assets and expected a full year loss of around €1 billion.
"Our basic strategy, based on retail savings and investments, is a solid foundation for the future, but we must reduce the complexity of the group by focusing on fewer businesses and markets", ING Chairman and designated chief executive Jan Hommen said in a statement.
The Dutch bank and insurance group, which got a €10 billion injection from the Dutch state last October, wants to divest assets to reduce risks, cope with the credit crisis, and focus on savings and investment products.
ING shares have fallen 72 per cent in the past year, worse than a 47 per cent fall of the DJ Stoxx European insurance index , and trading at 5.2 times expected 2009 earnings per share compared to 6.1 for rival Allianz and 4.4 for UK's Prudential.
Reuters