Article: Societe Generale posts fourth-quarter loss after trading fraud

Troubled French bank Societe Generale SA said Thursday that a trading scandal and writedowns linked to the crisis in financial markets led to a net loss in the fourth quarter last year.

France's second-largest bank said it lost euro3.35 billion (US$4.91 billion) compared with a euro1.18 billion (US$1.73 billion) net profit in the same period of 2006.

The French bank took a euro4.9 billion (US$7.18 billion) hit closing the unauthorized positions of futures trader Jerome Kerviel. Though it discovered the positions on Jan. 18, the losses that resulted were booked in the fourth quarter.

Shares rose 0.3 percent to euro66.81 ($97.92) in Paris morning trading. The stock has ...

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