GE finance firm halved Irish loan book
Published 09/04/2010 | 05:00
GE Capital Woodchester, the finance and loans company, saw its loan book almost halve to €193.7m in 2008 as it embarked on a massive retrenchment from the Irish market.
The lender, which is part of America's largest company General Electric, stopped writing new business in personal loans and subprime mortgages in the second part of the year, as the global financial crisis went into overdrive.
The group continues to write commercial leases and car loans, it said in its financial report. It added that it "remains committed to the management of delinquent accounts with an increased focus on collections and recoveries".
GE Capital Woodchester set aside €9.3m of provisions to cover bad loans in 2008, sending it into a net loss of €2.2m, compared to a €176,000 profit for the previous year.
Ciaran Barr, who took over as chief executive in August 2008, said in the directors' report that the company had "experienced an increase in the level of loan arrears, leading to increased impairment provisions post year-end".