Unicredit: Profumo’s halo

A derivatives rumpus has dented Alessandro Profumo’s halo. The Unicredit chief executive has looked a step ahead of his peers for much of his 10-year reign at the Italian bank. He took a lead in domestic banking consolidation and, after buying Germany’s HVB two years ago, in cross-border deals too. But Unicredit’s sale of E30bn in derivatives, mainly to heavily-indebted Italian companies, in 2000 is causing him embarrassment. The companies wanted a cushion against a possible rise in interest ra...