BBVA sees €1.8 billion impact from new bank rules

MADRID (MarketWatch)
BBVA SA on Monday said it sees a 1.8 billion euro ($2.3 billion) impact this year from new measures announced late last week by the government to clean up the banking system
BBVA said the rules will have a €1.3 billion impact on net profit for 2012
The bank said the moves will reduce its core capital by 38 basis points
Over the weekend, Banco Santander SA said it will set aside an extra €5.0 billion to comply with the new rules, adding to the €2.3 billion it set aside for the bank clean-up law announced in February
Both amounts will be absorbed in 2012 results
The after-tax result will be €2.9 billion, after taking into account provisions of €900 million made with capital gains from the sale of Santander Colombia
Santander and BBVA both said dividend policy remains unchanged
The Spanish government said Friday banks will be required to set aside an extra €30 billion in provisions to cover potential losses on property assets