Elektrim's bankruptcy could drag BRE Bank down

Market analysts estimate that BRE Bank could lose as much as zl. 80 million on its investment in Elektrim, which could cause key shareholders to desert the bank. The loss could threaten BRE Bank's net profit forecasts of zl. 408 million, although creative accounting techniques could allow BRE to avoid that problem. Leading investors on the stock exchange, such as investment and pension funds, are generally not satisfied with BRE Bank's recent aggressive and often unclear strategy. An unnamed pension fund represe ntative told Puls Biznesu that he is thinking of withdrawing his deposits from BRE, as companies financed by the bank are being threatened and banks should be institutions of public trust. Pension funds feel that BRE leading a large company such as Elektrim into bankruptcy will certainly not add to the bank's prestige. (Puls Biznesu, p. 6) T.J.