The NAB flags a new remediation bill of $1.2 billion

Company News

by Rachael Jones

The National Australia Bank (ASX:NAB) today announced additional charges of $1.18 billion after tax relating to increased provisions for customer-related remediation and a change to the application of the software capitalisation policy.

This is expected to reduce 2H19 cash earnings by an estimated $1.12 billion after tax and earnings from discontinued operations by an estimated $57 million after tax.

Customer-Related Remediation The 2H19 result will include charges of $832 million after tax for additional customer-related remediation.

The key driver of these additional charges is inclusion of a provision for potential customer refunds of adviser service fees paid to self-employed advisers.

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Rachael Jones

Finance News Network
Rachael comes to FNN after working for Fairfax Media covering international breaking news, including the global economy and politics. She joined FNN in February 2018. She has reported on Australia’s finance news for various organisations since 2000 and has also interviewed a number of key business players, including Bill Gates. Rachael has also worked across a number of countries, including the UK and the US.