Monte Paschi shares collapsed another 8.4% yesterday after a 5.7% fall on Tuesday as fears build that the losses could amount to as much as Eur 740 mio.
The bank’s been struggling for months to overcome write-downs from acquisitions and posted a net loss of Eur 1.7 bln for the first nine months of 2012, but stated yesterday it could absorb any losses thanks to extra government aid. (MPS asked for a total of Eur 3.9 bln in state loans in 2012 which has been authorised, but not yet paid)
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