Spain's biggest bank Santander escapes worst of credit squeeze

0 Comments | AFP, April, 2008

MADRID (AFP) — Santander, Spain's biggest bank, on Tuesday reported a 22.4 percent rise in first-quarter net profit from a year earlier to 2.2 billion euros (3.5 billion dollars) as it escaped the worst of the current global credit squeeze and a domestic economic slowdown.

The results, which were in line with analysts' forecasts, reflected its buoyant Latin American operations and conservative Spanish lending policies, which spared it the massive credit losses faced by many of its global rivals.

In a conference call will analysts, Santander chief executive Alfredo Saenz said the bank had benefited from its "capacity to adapt, which allowed it to absorb the shock of the slowdown" and the "advantage of diversification."

Profits at its Latin American division...