The Bank of East Asia Limited has announced that malicious rumors have been circulated questioning the stability of the bank. The management of Bank of East Asia understands that these rumors were first disseminated via electronic devices, and stated that such rumors have no basis in fact.
The management further confirmed that the bank’s financial position is sound and stable. As of June 30, 2008, the total consolidated assets of The Bank of East Asia (BEA) stood at HKD396.6 billion. The bank’s capital adequacy ratio is 14.6%, well above the international required level.
Upon learning of the malicious rumors, the management of BEA reported the matter to the police and the Hong Kong Monetary Authority. The police are taking expedient and appropriate measures in response, the bank said.
The management also announced that its total outstanding exposures to Lehman Brothers and AIG are HKD422.8 million and HKD49.9 million, respectively.