Suncorp is warning that profits will fall in its banking arm during the 2010 financial year, but will this mean that its bank will be put up for sale?
The firm has also bought forward the departure of its CEO John Mulcahy as it struggles to ride out the credit crunch. Investors are worried about its exposure to development finance.
And outgoing chief financial officer Chris Skilton has admitted that Suncorp will suffer in the same way as other regional banks whose interest margins have shrunk due to higher funding costs.
Does Suncorp now look silly to have spurned ANZ’s offer for its banking unit last October? Is a sale now inevitable? Let us know below.