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United Bank of India, OBC slipped into red before merger with PNB

While UBI posted a net loss of around Rs 6,700 crore in the quarter ending March 2020 (Q4FY20), OBC logged a net loss of around Rs 2,700 crore, an executive said, requesting anonymity.

PNB, Punjab national bank
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The finances of UBI and OBC will eat into the capital base of PNB, which started the financial year as the country’s second-largest state-owned bank.

Somesh Jha New Delhi
Erstwhile state-owned lenders United Bank of India (UBI) and Oriental Bank of Commerce (OBC), which have now merged with Punjab National Bank (PNB), posted huge losses in the fourth quarter, which would erode the capital base of PNB, the anchor bank.

While UBI posted a net loss of around Rs 6,700 crore in the quarter ending March 2020 (Q4FY20), OBC logged a net loss of around Rs 2,700 crore, an executive said, requesting anonymity. In the year-ago quarter, UBI had reported a net profit of Rs 95 crore, while OBC’s profit was Rs 201 crore.

Both the banks had posted continuous profits

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First Published: Jun 25 2020 | 10:04 PM IST

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