Northern Bank reports £100m loss
The bank made an operating profit of 68.6m, but had to set aside 168.7m to cover loans it thinks might not be repaid, mainly in the property sector.
The bank said it returned to clear profitability in the last quarter of the year, making 2.2m in that period.
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Hide AdChief Executive Gerry Mallon said that while conditions remain tough he is optimistic 2010 will see slow recovery.
He said that despite the huge bad loan provision the size of actual write offs was "very low" at 7.6m for the year.
Mr Mallon said the bank has faced "aggressive competition" for customer deposits but was successful in retaining its deposit base.
Total lending fell 5% compared to 2008. Retail lending - things like mortgages and personal loans - actually rose by 3% but lending to corporate customers dropped 8%.
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Hide AdNorthern Bank began in 1809 as a Belfast-based banking company known as the Northern Banking Partnership.
It was acquired by the Danske Bank Group in 2005, the largest bank in Denmark and a major player in Scandinavian financial markets.
It has 83 branches in Northern Ireland employing 1250 people.