Bank of China dismisses worries

Shares in the bank fell on Wednesday despite the statement

Bank of China has dismissed reports it was about to unveil massive losses stemming from its exposure to the US mortgage market.

Its shares have fallen in recent days on fears exposure to sub-prime loans given to people with poor credit histories will have cost it billions.

Profits continued to grow in 2007 and media reports about the losses were "unfounded", the bank said.

It shares, which were suspended on Tuesday, fell almost 3% on Wednesday.

By contrast, the Shanghai Composite index, where the Bank of China's shares are listed, ended Wednesday's session 3.1% higher.

Bank of China said that: "After-tax profit continued to grow in 2007, taking into consideration provisions made for subprime-linked assets."