Set-off is to facilitate minority investors to read our balance sheet clearly: IOB

Indian Overseas Bank (IOB) will use reserves and surplus to write-off accumulated loss. This is the first time in the last ten years that a bank is using share premium to write-off losses.

In an interview to CNBC-TV18, R Subramaniakumar, MD & CEO of IOB said it is not the write-off; an appropriate term would be to make use of it as a set-off to the negatives and positives in our capital book.

He further said that our capital adequacy, capital structure and shareholding pattern remain intact.

The set-off is for facilitating the investors especially the minority investors to read our balance sheet clearly. It doesn't affect them in any way, he added.