This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/7705525.stm
The article has changed 9 times. There is an RSS feed of changes available.
| Version 0 | Version 1 |
|---|---|
| Lloyds TSB and HBOS seeking £17bn | Lloyds TSB and HBOS seeking £17bn |
| (30 minutes later) | |
| Lloyds TSB and HBOS have announced plans, backed by the government, to raise up to £17bn as they go ahead with their proposed merger. | Lloyds TSB and HBOS have announced plans, backed by the government, to raise up to £17bn as they go ahead with their proposed merger. |
| Lloyds wants to raise £4.5bn from investors and HBOS is seeking £8.5bn. If the shares are not taken up, the government will acquire them. | Lloyds wants to raise £4.5bn from investors and HBOS is seeking £8.5bn. If the shares are not taken up, the government will acquire them. |
| The government will also directly buy preference shares in the two banks - worth a total of £4bn. | The government will also directly buy preference shares in the two banks - worth a total of £4bn. |
| Lloyds TSB said that its acquisition of HBOS would save it £1.5bn a year. | Lloyds TSB said that its acquisition of HBOS would save it £1.5bn a year. |
| It also announced that the combined group would be named Lloyds Banking Group. | |
| Lloyds did not say how many jobs would be cut as a result of the merger, but Ged Nichols, general secretary of the Accord Union which represents HBOS workers, said he hoped redundancies could be avoided. | |
| "Well they're talking about something in the region of 16% reduction in their costs, over a time frame into 2011," he told BBC News. | |
| "[The banks] could reduce their employee head count, if it were necessary, without resort to redundancies, whether voluntary or compulsory." | |
| Lloyds also said that the market turmoil had reduced earnings. | |
| It said third quarter profits at its wholesale and international division had been hit by a £270m writedown on assets hit by global credit problems. |