Loan losses slashed

German lender Commerzbank has cut back loan-loss provisions in the second quarter as it grew profit.

The bank said the loan-loss figure was EUR 257m ($344m) to 30 June, down from EUR 537m in the same period of 2013, without specifying how much was due to shipping.

Net profit in the second quarter increased to EUR 100m from EUR 40m.

Revenues fell in the non-core assets (NCA) division as it sold distressed portfolios

NCA’s operating loss fell in the first half by 25% to EUR 355m.

The bank has found itself taking back the keys to vessels in recent months as owners default on loans, despite saying it wants to exit shipping.