Early results for this year of Germany’s Landesbanken, to casual observers, might seem like they are doing well, when in fact Laura Noonan states they are actually not doing well, financially, at all. While some Landesbanken are starting to get off their dependency on state funding, the net income which is being announced by the banks (which is extremely uplifting) are actually not a good sign that they have a viable business model, which will continue to generate the profits and increases in profits that they claim. European banks, on the other hand, are actually asking their shareholders for support. However, that doesn’t mean that they have horrible business models, it just means they are going through some tough economic struggles. However, the European Commission is currently going after European banks and requiring them to repay their debts. Nevertheless, European banks can get away with not repaying these debts if they provide proof that they are indeed not profiting, but Brussels is not guaranteeing that they will be any easier with their demands. A European Commission ruling is going to favor the bank that has done everything in its power to cooperate and make good on its debts, but is simply unable to given hard economic times.

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