ANZ shares dive on El Paso fears
(Australia) - Shares in the ANZ Banking Corp hit 15-month lows last week on concerns the bank has up to A$225 million of exposure to troubled US pipeline company El Paso.
ANZ refused to reveal its specific exposure, but the bank said it expected its international losses to be lower this year than in 2002, when the bank was hurt by a US$131 million exposure to UK telecoms equipment maker Marconi. ANZ was also exposed to Enron.
The concerns on El Paso were sparked by a company announcement that it was slashing its dividend and would sell assets worth just under A$3 billion.
ANZ shares lost 3 percent and closed at A$16.41 last Thursday February 6, their lowest level since October 2001.
The shares were trading at A$16.62 as ACB went to press.
The concerns on El Paso were sparked by a company announcement that it was slashing its dividend and would sell assets worth just under A$3 billion.
ANZ shares lost 3 percent and closed at A$16.41 last Thursday February 6, their lowest level since October 2001.
The shares were trading at A$16.62 as ACB went to press.
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