ING a step closer to full bail-out repayment

Dutch banking and insurance
group ING has taken another important step towards full repayment
of its debt to the Dutch state.

Digging into its retained
earnings, ING has, at a 50% premium, repurchased €2bn ($2.8bn) of
the core Tier 1 securities issued to the state in November 2008 to
prop up its embattled balance sheet.

“Repaying this second tranche
from retained earnings, while maintaining a strong capital
position, sets us on the right track towards full repayment, which
we aim to realise by May 2012,” said ING Group CEO Jan
Hommen.

In November 2008, ING
received total support of €10bn through the issue of core Tier 1
securities.

With the latest repayment,
ING has repaid €7bn in principal plus interest totalling €684m and
premiums totalling €1.347bn, resulting in a total amount of
€9.031bn.

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