AMP loss grows after new write-off
AMP will write a further $2.42 billion off its UK operations which will see the group post a full-year loss of around $4 billion. The latest writedown was flagged but not quantified in the August half-year results. It represents the difference in directors' valuations and the book value of the group's UK operations. When announcing the writedown yesterday, AMP claimed it would have no impact on the financial strength of the new, post-demerger AMP Australia. The group's shares closed 19 cents lower to $6.91 but remain above analysts' valuations on the belief that National Australia Bank will make a takeover bid following the demerger.