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BRIEF-CYBG bumps up provisions over legacy conduct costs

Published 02/11/2017, 06:31 pm
Updated 02/11/2017, 06:40 pm
© Reuters.  BRIEF-CYBG bumps up provisions over legacy conduct costs
VMUK
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Nov 2 (Reuters) - CYBG PLC CYBGC.L :

* NAB HAS RECOGNISED A CHARGE IN CONNECTION WITH CLAIMS THAT HAVE BEEN, OR ARE EXPECTED TO BE, MADE BY CYBG

* CLAIMS IN CONNECTION WITH CONDUCT INDEMNITY DEED BETWEEN CYBG AND NAB

* CYBG WILL INCREASE ITS PROVISIONS FOR LEGACY CONDUCT COSTS AS AT 30 SEPTEMBER 2017 BY £403 MILLION

* UNDER TERMS OF CONDUCT INDEMNITY DEED CYBG IS REQUIRED TO FUND 9.7 PCT OF THIS PROVISION INCREASE

* CYBG WILL RECOGNISE A FURTHER CHARGE OF £39 MILLION (PRE-TAX) IN ITS INCOME STATEMENT FOR TWELVE MONTH PERIOD ENDED 30 SEPTEMBER 2017

* THIS WILL IMPACT CYBG'S CET1 CAPITAL RATIO BY APPROXIMATELY 20 BPS AS AT 30 SEPTEMBER 2017

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