Not all Centro bank loans secured

The Herald Sun reports for a second day on the approximate exposure of banks to the Centro Properties Group.

According to the newspaper, among foreign bank lenders to Centro JP Morgan is the biggest lender to Centro with at least $2 billion of loans, followed by RBS with $1.13 billion on the line, more than half of which is unsecured.

ANZ, Commonwealth Bank and National Australia Bank  each have lending exposures of more than $1 billion.

BNP Paribas has lent $550 million that is unsecured and another $110 million worth of secured loans.

Japan's Sumitomo Mitsui Banking Corporation has lent $100 million while Germany's West LB advanced $186 million.

Among the domestic banks St George Bank has at least $350 million at risk according to data supplied to the newspaper, though the bank's chair, John Thame, yesterday told the annual meeting it was around $400 million.

Thame said, "Centro's trusts are a customer of the bank … but I can say that all of our loans are through sub-trusts and they are a first mortgage."