NETHERLANDS/BELGIUM - Dutch/Belgian financial group Fortis has told investors to expect a 7% dip in net profit for 2001, compared to 2000's company high of EUR2,768m.
The firm blamed weak financial markets and badly hit insurance operations for the fall.
Last year, Fortis carried out a review of its credit and investment portfolios which confirmed the need for higher provisions particularly with regard to its US insurance activities.
As a result, it is expected that the net operating profit for 2001 will be around 5% lower than in 2000 at EUR2,355m.
Fortis has put aside a further EUR195m for restructuring of those units that caught the brunt of last year’s volatile climate, including provisions for early retirement in The Netherlands and Belgium. The provision will be charged to the non-operating items.
The annual results will be presented on March 13, 2002.
By Madhu Kalia
The Pensions Regulator (TPR) is seeking "improved" powers to set a schedule of contributions in defined benefit (DB) schemes in the government's upcoming white paper, it has revealed.
New regulatory rules which require providers and advisers to produce annuity illustrations will not solve the problem of consumer detriment as they are "fundamentally" flawed, according to Retirement Advantage.
Paul Budgen is set to join financial technology and auto-enrolment (AE) firm Smart Pension as director of business development.
This week's edition of Professional Pensions is out now