The European Commission is determined not only to restructure the banks that have been propped up by the state, but also to make sure that they can never get themselves into that position again. It is also determined the create a level playing field among those banks that have received state aid, and also between those that have and those that have not.
That means more divestitures – in ING’s case the sale of ING Direct USA. Simon Adamson at CreditSights describes this as "probably as distressing to management as the divestment of its insurance business". ING prides itself on its direct banking franchise. "We are the world’s leading direct bank," declares Hommen. "Internet banking is the future of banking and we are the leading internet bank." ING Direct’s US operations account for a full quarter of ING Direct business – so it is a substantial blow to...
