NAB's British balancing act
With a UK budget that doesn't augur well for banking conditions, and a pending strategic review, Cameron Clyne has a window of uncertainty to sort out the future of NAB's businesses there.
You must be logged in to read this article
Not a member yet? Register today ›
Business Spectator is available on all of your devices so you can access the latest news and commentary where and how you like
Register now ›
Already a member? Sign in here
- Log in to post comments
Comments on this article
Comments PolicyStephen, I disagree that NAB's UK operations are well run (NAB's British balancing act, March 23).
The UK side is not well run at all. You just have to look at the NAB's accounts and note that they have $600 million of toxic debt.
Clyne is trying to sell "mark to market" will now no longer apply, what rubbish that is.
These guys in the UK went off the charts buying and selling CDOs, and the UK bank got stung. Put very simply, NAB can't get out without taking a 50 per cent hit on its UK assets.
And worst, most of its customers are in the north of the UK, not the south. Economic activity is dying in the north.
So most of the NAB's UK arm can expect to go backwards sooner rather than later. NAB has been well and truly done like a dinner in the UK.
Buying at the top of the market and selling at the bottom doesn't seem to be a way to establish long term value (NAB's British balancing act, March 23). NAB has enough money, how about they fix their UK banks and then wait till no one is worried about anything again and then sell them to some sucker. London has been and remains addicted to hot money which is not a great sign for that nation (a country where the investment bankers are happy is almost certainly a country were everyone else is going to pay for it).
The NAB should bite the bullet and get out soon even if it does cost $2 billion (NAB's British balancing act, March 23). There is no point hanging on in a country that is going nowhere and with a business that is stagnating.