The Bank of Spain

December 1st, 2013 Posted in News

2,800 million by means of the purchase of action will be contributed. A process will be abrir to adjudge it to the best postor. The Bank of Spain has decided east Friday to take part the Savings bank of Mediterrneo (CAM), the Spanish organization with worse level of solution, to capitalize it with the contribution of 2,800 million Euros by means of the purchase of action and abrir later a process to adjudge it to the best postor. In an official notice, the supervisor headed by Miguel Angel Fernandez Ordo’6nez announced today that the Bottom of Reestructuracin Banking Ordenada (FROB) will administer as of morning the savings bank of Alicante after the substitution of its advice of administration. With the aim of covering the needs with liquidity of CAM, the Bank of Spain also he will grant a line to him of credit by 3,000 million Euros with immediate availability. " All the adopted measures today guarantee that the CAM can continue operating with normality and fulfills all obligations against terceros". Tranquillity for the depositors the Bank of Spain it assures that " the depositors and acreedores" of the CAM " they can be absolutely calm " , because all the adopted measures today guarantee that the CAM can continue operating with normality. After evaluating the financial and patrimonial situation of the CAM and stating that its plan of recapitalizacin was not suitable to assure its viability, the Bank of Spain decided Thursday 21 of July to send a writing being granted to the organization ten days natural to present/display a definitive solution to its situation.

The CAM advice indicated this Friday to the Spanish emitting institute the impossibility to find a viable solution for their financial business and immediately asked for the substitution of their administrators by others designated by the FROB. From this form, the FROB will come to extend the capital of the Bank and will give total security to their depositors and creditors, indicate the organism that directs to Miguel Angel Fernandez Ordo’6nez. Elena Salgado, minister of Economy, have needed that the intervention will not have CTO in the markets and the Spanish debt since measurement adopted by the Bank of Spain shows " our decision to fortify our sector financiero". In this sense, it remembered that in " test of estrs" European that has been made recently to the communitarian organizations financial, the CAM has had a ratio " very just and after applying to the provisions genricas". CAM was one of the Spanish financial organizations that, considering the capital injection jeopardize by the FROB, was below the threshold of 5% fixed like rrencia to the tests of European resistance. The Bank of Spain has taken part 27 banks and 16 savings banks from 1978. Source of the news: The Bank of Spain takes part the CAM to capitalize it and to sell it

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