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Rediff.com  » Business » SBI does not expect to recover much from Kingfisher collateral sale

SBI does not expect to recover much from Kingfisher collateral sale

February 14, 2013 19:14 IST

State Bank of India (SBI), the country's biggest lender, does not expect to recover much from the sale of collateral held by Kingfisher Airlines, its chairman told reporters on Thursday.

The consortium of Kingfisher's lenders, lead by SBI, expects to get at least Rs 10 billion (Rs 1,000 crore) through the sale of share and property pledged against loans taken by the grounded airline, said SBI Chairman Pratip Chaudhri.

The lender, earlier on Thursday, posted a 4 percent rise in quarterly net profit, its smallest increase in six quarters, as higher provisions for bad loans and slower loan demand in a sluggish economy hurt growth.

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