Germany's Commerzbank has offloaded under-performing shipping loans worth a "significant" EUR 900m ($1.065bn) in the first half, with more to come.
This cut the marine portfolio to EUR 3.9bn in the Asset & Capital Recovery (ACR) unit.
The lender send it wants to dispose of another EUR 900m by the end of the year.
Loan loss provisions for the second quarter were reduced to EUR 167m, down from EUR 187m a year ago.
The first half figure was EUR 362m for the first half, compared to EUR 335m in 2016.
The bank’s non-performing loan (NPL) ratio was 1.5%, which remains low compared to its European peers, it added. It highlighted a "healthy risk profile".
The net loss was EUR 406m in the first half, against a deficit of EUR 384m last year, due to restructuring costs.
The ACR operating result improved in the first half to a loss of EUR 115m, from EUR 251m a year ago.
Loan loss provisions increased to EUR 211m from EUR 145m over the same period.
The second quarter figure was EUR 92m, versus EUR 75m in 2016.
This was solely related to ship finance.
For the whole year, overall provisions are expected to hit EUR 800m, with the ACR segment accounting for around EUR 450m.
