Commonwealth bank of Australia warns over dividends
Commonwealth Bank of Australia, or CBA, warned on Wednesday that it may cut future dividends after bad debts rose almost five-fold to 1.6 billion Australian dollars, or $1.05 billion, in the first half on loans to failed companies including ABC Learning Centres Ltd.
As I've been saying repeatedly, Australian banks have not yet reached peak credit losses in the current cycle and all will be forced to raise new equity and/or cut dividends.