Dunfermline Building Society Due to be Taken Over

Count_Dante

Another one bites the dust due to foolishness.

ONE OF Scotland's oldest building societies, the Dunfermline, is on the brink of unveiling a significant financial loss, exposing another of the country's great financial institutions to the threat of a takeover.
The 130-year-old mutual, which has about 240 staff, has been plunged into turmoil through its exposure to the beleaguered commercial property market, The Scotsman has learned.

The Dunfermline was one of the last lenders to pull out of the 100-per-cent-plus loans market, while it also had a considerable exposure to buy-to-let loans and lending to commercial property borrowers.

http://news.scotsman.com/latestnews/-Building-society-in-crisis.5086664.jp

baby_boomer

Appalling management.

As Scotland's only leading BS they could have enjoyed decades of growth by sticking to their knitting and relying on their brand position. Instead the directors have probably gone gambling in search of short term bonuses for themselves.

Also noted on this MSE thread which has a link to the Sunday Herald.