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Asset manager to exceed 2009 revenue target by HUF 20 bln

Hungary's national asset management company MNV will surpass this year's revenue target by at least HUF 20 billion (€73.71 million), CEO Miklós Kamarás told MTI.

Although revenues from property sales will remain below the target, this will be offset by surplus revenues in other areas, thus the impact on the ESA balance will be positive, Kamarás added. As for property sales, the MNV CEO said the crisis did not help the sales, and it was also difficult to find banks to provide loans for the transactions.

The revenue exceeding the target stemmed primarily from the Richter share-exchange and the FHB capital raise.

The transactions of bonds exchangeable for Richter shares, issued to replace bonds issued five years earlier, contributed a combined HUF 33.2 billion to the balance. The proceeds from the bond exchange yielded around HUF 240 billion. The net revenue has already been transferred to the treasury's account.

Expenditures accounted for 59% of the targeted amount by the end of September, not including the effect of the state's acquisition of a stake in FHB. Using part of Hungary's IMF loan set aside to strengthen the capital position of banks based in Hungary, the Finance Ministry acquired a direct holding in the mortgage bank through two newly issued share series worth HUF 30 billion in the spring.

The 2009 budget targeted HUF 97 billion in revenues related to state-owned assets and HUF 112 billion in expenditures. The revenue target from property sales amounted to HUF 31.5 billion. (MTI – Econews)