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ABN Amro to keep cutting despite profit

Dutch banking group ABN Amro has said its net profit in the second quarter rose by 19% compared with the same period last year to €1.2 billion.

While welcoming the result, ABN Amro said it would  push on with cost-cutting measures in the second half of the year  and sell its property subsidiary Bouwfonds OPS in two parts to Dutch banks SNS Reall and Rabobank for €840m and €845m respectively.

It said savings from the integration of Italian bank Banca Antonveneta would result in a €160m profit by the end of  2007.