This year for Spanish banks, and hence difficult for Santander, as the record of unemployment in Spain ensures high credit losses. The rating agency Moody's recently moved even with Santander, as prior to the downgrading of financial stability as well as the ratings for deposits and loans of 36 Spanish banks warned. In the case of the market capitalization of major European bank, the demotion - if anything - but marginally fails, it is Moody's.
"If you only look at the Spanish market, is the pressure is not large enough for credit rating changes," said Johannes Wassenberg Moody? S. "But we look at some other engagements, such as in Latin America, in regards to possible adjustments." But in contrast to his Spanish BBVA Hauptrivalin that are highly engaged in kriselnden Mexico has changed its focus Santander in Brazil, which is relatively resistant to the crisis has shown.
Brazil is at Santander in the year 2009 total nearly one third of the revenue incidentally, if the 2008 in the wake of the ABN-Amro deal bought Brazilian bank Banco Real for the first time all year in the balance sheets included. "We expect that the proportion of Brazil will increase, given the problems in the Spanish property market," says analyst Kerstin Vitvar from Unicredit. Santander was also the Spanish and UK mortgage market exposure, but the Latin American leg look very healthy.
Like all other Spanish banks, Santander has so far neither write-downs on U.S. sub-prime papers, nor government capital support is required. Instead, the owners, according to market capitalization of the largest European bank last year, the British financier Alliance & Leicester and Bradford & Bingley, as well as the U.S. bank Sovereign Bancorp. In November, finally succeeded in Santander, thanks to the strength of its global advertising network industry, a capital of 7.2 billion euros to implement.
Success has been overshadowed the year in December by the U.S. investor Bernard Madoff. Santander investor funds were optimal with a loss of 2.3 billion euros, the main victim of the fraudulent pyramid scheme. But the episode did not refrain from investors, continue on the major bank to set. This year, the Santander share by around 25 percent - and exceeded the stock index IBEX with its 5.5 percent to lengths.
In March Santander had a non-performing loan (NPL) rate of 2.5 percent, significantly less than the sector. But by their handsome profits of 2.09 billion euros last in the first quarter and its huge reserves reserves of more than six billion euro, the Spaniards much cushion. Also, the high cost efficiency impressed experts. The Spaniard made it to the British Abbey, the cost to the revenue since the acquisition in 2004 by 70 percent to 42 percent to press. Similarly at U.S. bank Sovereign run.
A certain risk is, however, the property owned dar. Santander owns real estate valued at more than four billion euros, with which its builders loans repaid. This strategy is designed to avoid bad loans, but may take in the view of experts in the future problems. Because the real estate prices will lose much of its value.