Daiwa Sells Property To Offset Trading Loss

Daiwa Bank said Friday it used proceeds from sales of real estate and securities to offset a $1.1 billion trading loss blamed on a rogue U.S. bond trader at its New York branch.

It also said that top executives of the bank will take pay cuts of up to 30 percent for about six months starting in October. They also will not get their next annual bonuses, to be paid in June.

Daiwa sold land and portions of buildings it owned which housed seven of its branch outlets, including ones in the major cities of Tokyo, Osaka and Hiroshima, to raise 34 billion yen, or about $340 million, a bank spokesman said.