Santander posts record $13 bln loss

The global health crisis has businesses around the world struggling.

One way or another, that leaves banks feeling the pain.

And in Europe right now, it’s Santander experiencing the worst agony.

On Wednesday (July 29) the Spanish bank posted a record loss of 13 billion dollars for the second quarter.

That as it took the biggest hit of any European bank in connection with the global crisis.

In all Santander said it booked one-off charges of 12.6 billion euros - or close to 15 billion dollars.

That’s to cover writedowns on the value of acquistions.

Its core markets, including Brazil and Spain, have been among the hardest hit.

Even excluding the one-off items, Santander’s underlying profits were down by more than a quarter.

Provisions for bad loans are also expected to rise in the second half.

However, the bank says it’s ahead of target on cost-cutting measures.

In the first half it generated savings of about 300 million euros - around 350 million dollars.

That’s three-quarters of the target it set for the full year.

By early afternoon Wednesday Santander shares were down over 5 percent.