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09:09 GMT, Friday, 25 April 2008 10:09 UK

Nomura reports sub-prime losses

Reporters outside Nomura headquarters in Tokyo

Nomura Holdings has become the latest bank to report losses linked to the securities backed by US mortgages.

Japan's biggest brokerage reported a three-month net loss of 153.9bn yen ($1.47bn; £745m).

In December, Nomura had about 170bn yen in securities backed by US commercial mortgages and 7.5bn yen in residential mortgage-backed securities.

Nomura also made big losses on its exposure to companies that insure such securities, known as monoline insurers.

Nomura has also suffered from a tough environment for stockbroking and investment banking deals.

It reported a loss of 67.9bn yen for the year to the end of March, compared with a net profit of 175.8bn yen for the previous year.

The results came in the week that Nomura said it had dismissed an employee who had been arrested in an insider-trading investigation.

Its recently-appointed chief executive Kenichi Watanabe warned on Tuesday that the loss of trust caused by the scandal would hit the bank's business.



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