ANZ temporarily halted trading of New Zealand-listed shares today ahead of an announcement relating to customer remediation matters.
A statement on the New Zealand's Exchange (NZX) website from ANZ today announced its second half 2019 Cash Profit will be impacted by a charge of NZ$599 million after-tax as a result of increased provisions for customer related remediation.
It said the trading halt was put in place at 10.01am today, but has since lifted at 11.42am.
A statement issued by ANZ Chief Financial Officer Michelle Jablko today read:
"Within continuing operations, remediation charges recognised in the second half of 2019 will be AU$405m ($NZ434m) after-tax (NZ$519m) before tax), largely related to product reviews in Australia Retail & Commercial for fee and interest calculation and related matters. These include historical matters recently identified during the period, as well as refinements to estimates of existing customer compensation programs and associated costs."
"Within discontinued operations, remediation charges recognised in the second half of 2019 will be AU$154m ($NZ164m) after-tax ($NZ177m before tax), primarily associated with the advice remediation program and customer compensation charges for other Wealth products.
"The charges relate to issues that have been identified from reviews to date and these reviews remain ongoing.
"We recognise the impact this has on both customers and shareholders.
"We are well progressed in fixing issues and have a dedicated team of more than 500 specialists working hard to get any money owed back to customers as quickly as possible."