Derbyshire Building Society, the mutual rescued yesterday by Nationwide, was wrong-footed by bad bets in the money markets, hamstrung by a botched IT system and facing the consequences of a poorly timed £1.4bn foray into sub-prime lending.
Failings at the top of Britain's ninth-biggest building society emerged yesterday as it admitted that it was facing 'material financial uncertainties' and was surrendering to a takeover by Nationwide.
Graham Beale, the chief executive of Nationwide, said that the proportion of Derbyshire's sub-prime borrowers more than three months in arrears was running at 9%, which was 'very high'.
The Times
No comments yet