Opposition grows to ABN Amro unit sale

MPs are resisting giving their approval to the sale of several ABN Amro units to Deutsche Bank, according to various media reports on Wednesday.


The sale of HBU and a number of regional offices has been ordered by the European commission in return for its approval for the merger of ABN Amro and Fortis Nederland.
The sale was finally agreed late October after months of delays and new deadlines.
But Christian Democrat MPs, the largest party in parliament, are now calling on finance minister Wouter Bos to appeal against the sale of HBU or demand compensation from the commission itself.
MPs say HBU is being sold too cheaply and that the Dutch state is being left with the risks. The sales agreement makes the state responsible for 75% of HBU’s risky loan portfolio.
Crisis
Liberal (VVD) MP Frans Weekers also wants changes in the terms of sale, arguing that the economic crisis has not been taken fully into account. Brussels should have given Bos five years to make the sale, he said, so that ABN Amro could wait for a ‘buyers’ market’.
Bos has already invested some €30bn in buying ABN Amro and Fortis Nederland and shoring up their finances. HBU was sold for €700m and last week the national auditor’s office said the sale could mean a book loss of up to €1.6bn.
However, Bos’s Labour party (PvdA) is fully behind the minister.
The Socialist party and anti-Islam PVV both oppose the merger in the first place.

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