Egg looks overseas as losses narrow

British Internet bank Egg has reported a sharp reduction in losses and says it is considering further expansion overseas.

British Internet bank Egg has reported a sharp reduction in losses and says it is considering further expansion overseas.

Egg, which is 79-per cent owned by insurer Prudential Plc, said losses for the year ending December 2002 were £16.6 million sterling, compared to £87.8 million a year ago. Analysts had given a consensus forecast of £15 million pounds for the loss.

Egg's main credit card business in Britain has benefited from record low interest rates in that country, which have spurred consumer borrowing.

Egg last year made its first move overseas by launching an international Visa card in France.

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The company said it now had around 90,000 French customers, and said it was considering entering the world's biggest consumer market - the United States.

Egg shares closed up 2.5 per cent at 113-1/2 pence on Friday. The stock has outperformed the FTSE banking sector by about six per cent over the past year.