RBS Says EU Demands More Assset Sales

LONDON (AP) — Royal Bank of Scotland Group PLC said Monday that the European Commission will require more sales of assets before approving the bailout which made the government a majority owner.

The bank said negotiations between the British Treasury and the Commission, the executive arm of the European Union, were "in their final stages, and will include some divestments not initially contemplated."

The bank gave no details about what parts of its business it might be forced to sell.

It was already expected to sell branches in England under the revived Williams & Glyn's name.

"It remains RBS's goal that any required divestments do not threaten its recovery plan which is already under way," the company said.

RBS said it was also close to agreement with the Treasury about terms for insuring 325 billion pounds ($530 billion) of troubled assets, a step which will increase the government's stake in the bank from the current 70 percent to more than 80 percent.