BONDHOLDERS FOUNDATION CRITICIZES ‘POLITICAL’ ANNAL REPORT 2012 SNS REAAL
The ‘Stichting SOS-NS’, who act on the interest of expropriated subordinated bondholders considers the annual report of SNS Reaal, issued today, more as a political document written in order to legitimize the nationalization of the company by the Dutch State rather than an attempt to make an evaluation of its management policies and decisions possible.
Investors, who apparently have been misled the last years while hiding the imminent problems within the real estate by creative accounting have seen themselves confronted with sudden and imminent write downs on this troubled investment. Most likely on instruction of the Minister of Finance, Jeroen Dijsselbloem, who appointed new management after the nationalization, the conclusions from the unprofessional and severely scrutinized Cushman & Wakefield report are now nevertheless incorporated in the annual report.
The foundation also criticizes the timing of the issuance of the annual report. Expropriated bondholders are awaiting the (preliminary) verdict of the Enterprise Chamber on the compensation issue and it seems that SNS tries to influence this procedures by presenting the losses right now although they are merely a result of highly subjective provisions.
Furthermore the trading update on the first quarter of 2013, also issued today, which shows a net operational profit of € 99 million, confirms in the opinion of the foundation, the viability of the remaining operation (banking and insurance activities). It therefore considers the lack of compensation offered by the Dutch State for the expropriated subordinated bondholders as unjustified and sees good opportunities to challenge this in the respective Courts (Enterprise Chamber and European Council for Human Rights)
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Further information:
Frans Faas
Chairman Stichting SOS-NS
00 31 623122456