German Hypo Real reveals state guarantees

German bank Hypo Real Estate said on Wednesday that it has received new state-backed guarantees worth 10 billion euros (12.9 billion dollars).
The latest aid brought the total amount of state-backed guarantees for HRE to 52 billion euros, and will allow it to refinance debt which comes due on May 14, a statement said.
Talks continued with Germany's banking sector stability fund SoFFin to provide HRE with long-term cash to reinforce its capital base, it added.
HRE benefited in October from a rescue package worth 50 billion euros in direct aid that was set up by the governement and a consortium of private banks.
Berlin has been mulling a privatisation of HRE for the past several weeks, but discussions have gotten hung up on legislative obstacles and the price to be paid to private shareholders.
Earlier this month, a spokesman for Chancellor Angela Merkel said she felt that nationalising the bank must only be "a last resort.”