ABN Amro cuts take effect

ABN Amro Holding, the Netherlands' largest bank, said fourth-quarter profit jumped 29 per cent as cost cuts accelerated and loan losses declined.

Net profit rose to €685 million ($1.34 billion) from €533 million, excluding a restructuring cost in the fourth quarter of 2001.

Its wholesale division, which combines corporate and investment banking, recorded a net profit of €63 million in the fourth quarter after three straight quarters of losses.

As part of its cost-cutting the bank is eliminating more than 10,000 jobs, or about 9 per cent of staff, and shutting branches.