Australia’s Westpac to take $1.44 billion impairment charge in first-half result

(Reuters) – Australia’s Westpac Banking Corp on Tuesday said it expects to record pre-tax impairment provisions in its first-half results of A$2.24 billion ($1.44 billion), which includes provisions for an expected jump in credit losses due to the coronavirus outbreak.

About A$1.6 billion of the impairment charges are predominantly related to COVID-19 impacts, the country’s second-largest lender said.

The impairments are in addition to provisions of A$1.43 billion the lender announced earlier this month, mostly for an expected fine over accusations it enabled millions of illegal payments, including between known child sex offenders.

(Reporting by Rashmi Ashok in Bengaluru; Editing by Tom Hogue)