Commerzbank profits wiped out by Greek debt

Commerzbank has seen its second quarter profits destroyed by a 760m euros (£676m) write-down of its Greek debt.

Net profit fell by 93 per cent at Germany's second largest bank from the same period a year ago to 24m euros.

Earlier this month the UK's RBS also wrote down around $1bn of Greek loans, as they gave up hope of being paid back.

Commerzbank said it was still expecting full-year profits to be above last year's.

In a statement, the bank said it was expecting a "challenging environment characterized by a high degree of market uncertainty in the second half of this financial year".

Last year it made an operating profit of 1.39bn euros.

Commerzbank also said it would "continue to pursue" its goal of reaching a 4bn euros operating profit by 2012, adding targets were still conditional upon market stability.