Three big Australian corporate collapses this week -- Allco Finance, ABC Learning and Freightlink -- have left the big four banks holdings debts worth over A$1.3 billion. The big four Australian banks, CBA, NAB, ANZ and Westpac, own ASB, BNZ, ANZ National and Westpac NZ respectively. The collapse of Australian childcare group ABC Learning yesterday has left the big four with at least A$600 million in debt. Westpac announced this morning its exposure to ABC Learning was A$200 million, while ANZ said it was owed A$182 million and NAB is owed A$140 million. CBA has already provided for a A$100 million loss against its loans to ABC Learning, which has 1,100 childcare centres and looks after 1 in 3 Australian children in childcare. Westpac has announced its exposure in the collapse of Allco Finance is A$200 million, while Commonwealth Bank says its exposure totals A$170 million. The company owning the Adelaide to Darwin Railway, Freight Link, went into receivership yesterday after attempts to sell its assets failed. The Australian's John Durie said ANZ held A$350 million worth of Freight Link senior debt. * This article was first published in our daily subscription newsletter for the banking and finance industries. The email costs NZ$365 per annum and carries exclusive news and analysis for New Zealand banking and finance industry executives, regulators and investors. Sign up for a free trial here.
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