Here’s how banks and the Treasury will try to save Banca Popolare Bari

Here's how banks and the Treasury will try to save Banca Popolare Bari

Green light from the Treasury to the decree that transfers 430 million to Mediocredito Centrale to allow the bank indirectly controlled by the MEF to proceed with the capital increase of Popolare di Bari. Facts, numbers, problems and next steps

Treasure on the field – with the banks through Fitd – to save the Banca Popolare di Bari. Here are all the details.

Green light from the Treasury to the decree that transfers 430 million to Mediocredito Centrale to allow the bank indirectly controlled by the MEF to proceed with the capital increase of Popolare di Bari.

Mediocredito Centrale (controlled by Invitalia of the Ministry of Economy and Finance) will lead the relaunch operation of Banca Popolare di Bari submitted to the shareholders' meeting scheduled for 29 and 30 June. Operation that takes the form of absorbing losses thanks to the intervention of the Interbank Deposit Protection Fund (Fitd), the transformation of the bank into a joint-stock company and its recapitalization for the purpose of implementing the new business plan.

With the publication of the decree by the Ministry of Economy and Finance, in fact, the green light has arrived for the payment by the Ministry itself of 430 million in capital account in favor of Banca del Mezzogiorno – Mcc through a corresponding transaction in favor of the parent company Invitalia.

"We have published the decree that transfers 430 million to Mcc to allow it to proceed with the capital increase of Banca Popolare di Bari. It is a dossier on which we have been working for a long time, complex, which is about to reach a positive conclusion and therefore we are very satisfied and of course now we will work for the success of the assembly "announced yesterday the Minister of Economy Roberto Gualtieri, at the end of the fourth day of the General States.

Mcc will take full control of Banca Popolare di Bari even if the amount paid is lower than the 700 million initially assumed. From Fitd, however, 1.17 billion will come.

The weight of the rescue will therefore fall largely on the shoulders of the Interbank Deposit Protection Fund, which will have to write off a 1.17 billion check as mentioned.
The other actor of the match, Mediocredito Centrale, will not commit instead for an amount higher than 430 million. While committing a lower amount than the 700 million initially assumed, Mcc (controlled by Invitalia del Tesoro) will assume full control of the bank now commissioned, of which the current shareholders will have only a residual share.
The payment, recalls a note from the MEF , will allow Mediocredito Centrale to guide the bank's relaunch operation, which will be submitted to the shareholders' meeting scheduled for 29 and 30 June.

A result that, as underlined in a study published in Start Magazine , goes against the political trend compared to what the 5-Star Movement has supported for years, the first parliamentary group that supports the yellow-red government chaired by Giuseppe Conte.

The transaction takes the form of absorbing losses thanks to the intervention of the Fitd, the transformation of the bank into a joint-stock company and its recapitalization for the purpose of implementing the new business plan.

In the meantime, in recent days, an agreement has been reached between the commissioners of the Popular of Bari, Enrico Ajello and Antonio Blandini, and the trade unions of the Fabi, First Cisl, Fisac ​​Cgil, Uilca, Unisin categories.

The main point of the agreement between the bank and the trade unions regards the redundancies, which have fallen to about 650 redundancies – out of the total of 2,700 employees – compared to the 900 initially planned. The outputs will be spread over a period of 10 years also with the use of the rules for the advance payment of the "Quota 100" pension. Retirements and early retirements will be managed only on a voluntary basis and will allow savings of 67 million euros, less than the 70 million initially requested by the commissioners.

On the branch front, 91 will also be closed in this case with a reduction compared to the request of the commissioners by 94. Any hypothesis of outsourcing averted, all fixed-term employment contracts will be confirmed.

Neither the references to the law 223 of 1991 on collective redundancies nor the references to the demotion of employees were found in the initialed agreement. There is also a highly limited staff mobility on the territory. The trade union organizations in the sector have called for a "strong discontinuity in management" and that the business plan is managed by a new management team.


This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/economia/ecco-come-banche-e-tesoro-cercheranno-di-salvare-banca-popolare-bari/?utm_source=rss&utm_medium=rss&utm_campaign=ecco-come-banche-e-tesoro-cercheranno-di-salvare-banca-popolare-bari on Thu, 18 Jun 2020 07:00:48 +0000.