Muscles for Brussels

Waiting pays. Just a week ago BNP Paribas’ offer for Fortis was rejected because the Belgian government refused to guarantee the Dutch-Belgian bank’s toxic assets. With Fortis’ original rescue plan in tatters, the Belgians had a rethink. As part of BNP’s purchase of Fortis’ Belgian branch for E14.5bn, they have also agreed that the French bank will only retain a 10% exposure to some E10bn of Fortis’ riskier assets. BNP Paribas, already France’s largest bank, will thus become the eurozone’s large...