Thursday, February 21, 2013 6:44 am
EU clears $24bn state guarantee for French bank
The Associated Press
The EU Commission's anti-trust regulator said Thursday the guarantee for Credit Immobilier de France is necessary to avoid major disruption in the French banking system as a whole.
It said the state guarantee is necessary to cover the real estate lender's urgent liquidity needs and to give it time to draw up a restructuring or orderly resolution plan.
French authorities bailed out CIF after it ran into a funding crunch following rating downgrades last year.