1 Sep 2009

BNZ reports loss, Westpac profit down

4:53 pm on 1 September 2009

The Bank of New Zealand has reported a loss of $183 million in the nine months to the end of June, compared with a profit of $597 million in the same period last year.

The bank made a one-off provision of $661 million to cover potential costs after the High Court found the bank used structured finance transactions to avoid paying tax. BNZ is appealing against the ruling.

Meanwhile, Westpac's profit slumped 60% to $186 million, while its bad debt loans rose more than fivefold to $515 million.