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Welcome to the NBG's Quarter One 2012 Results Conference Call. My name is (Sara) and I will be your coordinator for today’s conference. For the duration of the call, you will be on listen-only. However, at the end of the call, you will have the opportunity to ask questions. (Operator Instructions)
I am now handing you over to Mr. Paul Mylonas to begin today's conference. Thank you.
Hello, everyone. Thank you for joining us for the Q1 results call. As usual, we’ll start off with Anthimos Thomopoulos going through the company remarks and then we'll have Q&A. I am joined here also by Babis Mazarakis, Group CFO who will be also available for financial questions afterwards. Anthimos?
Thank you, Paul. Good afternoon everyone. Let's proceed with the key highlights of the first quarter. I'd like to start with a quick reference to the recapitalization. As you know, we have received yesterday the first installment of €7.4 billion from the Hellenic Financial Stability Fund. And as a result, our capital base has been replenished with post-PSI with a capital adequacy ratio now standing at just over 8% on a pro forma basis of course, taking into account the disbursement that took place last night.
The result for the quarter came in at a loss of €537 million, primarily because of the negative trading results of €270 odd million in Greece. The trading results was to a large extent the impact of credit valuation adjustments, the counterparty risk we have with the Hellenic Republic on derivative transactions that carry with the Republic, including Titlos. And as the credit standing of the – credit rating of Republic was deteriorating, we booked a significant markdown on those positions as well. Turkey turned a good quarter contributed €125 million to the group's bottom line, on the back of a very strong showing in net interest income, while businesses in Southeastern Europe were marginally in the red as the leverage in the region impacts the top line.