Spain's bailed-out Bankia today posted a full-year net loss of €19.2 billion, the biggest ever suffered by a Spanish company.
The losses came after the lender cleaned up its balance sheets of bad property loans and other risky investments.
The bank transferred loans worth some $22.3 billion to the new Spanish "bad-bank", which was set up to take on the banking sector's toxic assets.
BFA, Bankia's parent company, set aside €26.8 billion in provisions. The group's overall net losses were €21.2 billion.
Spain's partners in the euro zone granted Bankia an €18 billion bailout last year to strengthen its shaky balance sheet.
The loan was part of a €100 billion credit line earmarked for Spain's banks so that the cost of rescuing them would not sink the Spanish government's finances and force it to demand a sovereign bailout.
Bankia was formed in 2010 by merging seven savings banks. Back then it was one of Spain's top financial entities and heralded as the solution to the country's banking problems following the collapse of the once-booming property sector in 2008.
The 2012 results were more than six times bigger than the €3 billion losses suffered in 2011. Just months prior to being nationalised last May, Bankia had been reporting €309m in profits in 2011.
Bankia lost €14.5 billion in deposits last year while its bad-loan ratio shot up to 13% from 7.6% in 2011.
Spain's National Court is now investigating suspected mismanagement at Bankia by its former president - ex-ruling Popular Party minister and ex-IMF chief Rodrigo Rato - and 32 other one-time Bankia board members. Rato has not been charged with any crime.
The bank, which is to shed some 6,000 staff, said today that it hoped to return to profit in 2013.