KBC BANK IRELAND'S 2009 PROFITS DOWN 10% - The Irish business of Belgian banking group KBC Bank says its profit after tax for 2009 was €92m, down just over 10% on the previous year. It says arrears in the first half of 2009 increased, but the rate moderated in the second half. The bank says it has fairly low exposure to the property development market, which has allowed it to report profits, but that its substantial impairment costs reflect difficulties in the Irish economy.
KBC Bank Ireland's chief executive John Reynolds says that while the bank is satisfied with having achieved substantial profitability in 2009, it found the credit and funding environment for the business very challenging. He said KBC aims to remain a long term relevant lender to personal and business customers here.
***
GREENCORE SELLS MALT BUSINESS FOR €116M - Greencore has announced it intends selling its malt business to French Farmer's co-op Axéréal for over €116m. Because of the size of the deal it will have to be approved by shareholders at an EGM. Greencore Malt has businesses in Ireland, the UK and Belgium. Its revenue last year was €217m.
Greencore's chief executive Patrick Coveney says that the company will use the proceeds from the sale to reduce its debt levels. The company has now sold its beet, water and malt operations and says it will concentrate on becoming a focused convenience foods player. He says that shareholders at the company's AGM later today will hear that despite a challenging consumer environment last year, Greencore had delivered a good performance overall. the coming year
***
MORNING BRIEFS - Guinness owner Diageo says economic weakness in Ireland and lower consumer spending has hit the alcohol industry with sales down 10%. Diageo says sales of its drinks sold though pubs was down 14%, but its market share in pubs grew, in both its spirits and beer brands. Guinness also grew market share in both Ireland and the UK and says it now has over 30% of the beer market in Ireland.
*** Rescue efforts are underway for Greece's troubled economy. Today it is likely that Germany and France will promote an aid package for Greece, but any conditions attached to a deal remain unclear.
*** The euro steadied this morning ahead of those Greece talks and the European Union summit. This morning it is trading at $1.3777 cents and 88.11 pence sterling.
