European Debt Crisis

Another Portuguese bank needs help, this time for $5.7B

For Portuguese taxpayers fed up with coming to the rescue of troubled banks, there's bad news: another one needs help.

The government said Wednesday it has won provisional approval from European authorities to recapitalize Portugal's biggest bank by assets, state-owned Caixa Geral de Depositos, with 5.1 billion euros ($5.7 billion).

The government will inject 2.7 billion euros into CGD, the Finance Ministry said in a statement. Also, it will convert 960 million euros' worth of government-held CGD bonds into CGD shares while state-owned holding company ParCaixa will transfer shares worth 500 million euros to CGD. The bank will raise a further 1 billion euros through a debt...