The biggest factor that was responsible for the slump in the bank’s profits is reported to be from losses on bad loans and investments.
Arnaud Scarpaci at Agilis Gestion has said that "SocGen's results are a mixed picture. The bad debt charge remains a cause for concern."
The provision set aside for bad loans was less than analysts had expected and Societe Generale shares increased by 6.1% in early trading. Frederic Oudea, manager of the bank in question, claimed that his bank had managed to be “highly resilient.”
