In a statement, the bank said that on the basis of internal estimates it expected to post a net loss for last year of around 330 million euros ($429.31 million).

Banco Popolare said the difference with the consensus forecast was due to the amount of losses at its subsidiary Agos-Ducato and an increase in the cost of credit in the fourth quarter.

The bank confirmed its expectations for a Core Tier 1 ratio above the minimum target set by the European Banking Association.