Commerzbank expects to fully write off the existing goodwill of around ?1.5bn and a negative risk result of at least ?1.7bn in the financial year 2020.
Commerzbank expects to fully write off the existing goodwill of around ?1.5bn and a negative risk result of at least ?1.7bn in the financial year 2020. The risk result includes a top-level adjustment of around ?500m for Corona related effects expected in 2021. Due to deteriorating market parameters, among others the interest rate levels in the euro area and in Poland, the Bank expects the existing goodwill of around ?1.5bn to be fully written off. This write-off has no effect on the regulatory capital ratio (CET1).
For the financial year 2020, the bank expects a negative risk result of at least ?1.7bn. This includes a top-level adjustment of around ?500m for Corona related effects expected in 2021. With the higher risk result, the Bank anticipates the currently expected impact of the second lock-down.
Disclaimer This release contains forward-looking statements. Forward-looking statements are statements that are not historical facts. In this release, these statements concern inter alia the expected future business of Commerzbank, efficiency gains and expected synergies, expected growth prospects and other opportunities for an increase in value of Commerzbank as well as expected future financial results, restructuring costs and other financial developments and information. These forward-looking statements are based on the management's current plans, expectations, estimates and projections. They are subject to a number of assumptions and involve known and unknown risks, uncertainties and other factors that may cause actual results and developments to differ materially from any future results and developments expressed or implied by such forward-looking statements. Such factors include the conditions in the financial markets in Germany, in Europe, in the USA and other regions from which Commerzbank derives a substantial portion of its revenues and in which Commerzbank holds a substantial portion of its assets, the development of asset prices and market volatility, especially due to the ongoing European debt crisis, potential defaults of borrowers or trading counterparties, the implementation of its strategic initiatives to improve its business model, the reliability of its risk management policies, procedures and methods, risks arising as a result of regulatory change and other risks. Forward-looking statements therefore speak only as of the date they are made. Commerzbank has no obligation to update or release any revisions to the forward-looking statements contained in this release to reflect events or circumstances after the date of this release.Contact: Christoph Wortig Head of Investor Relations Commerzbank AG Investor Relations Tel.: +49 69 136 - 21331 e-mail:firstname.lastname@example.org
08-Jan-2021 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.deLanguage: English Company: Commerzbank Aktiengesellschaft Kaiserstra?e 16 60311 Frankfurt am Main
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