Egg cuts losses

NEWS Egg, the online bank, cut its losses by 43 per cent last year and attracted 600,000 new customers, according to preliminary financial results released this morning. The bank also claimed it had reached breakeven during the final three months of 2001, achieving a stated aim when it went public. Egg floated in June 2000 at 160p a share, giving it a market capitalisation of £1.5bn at the time. Losses for 2001 totalled £87.8m down from £155.3m in 2000. CEO Paul Gratton said he was delighted with the results. He said in a statement: "Egg has achieved substantial growth in 2001. We acquired 600,000 net new customers during the year, principally through our credit card business. "We have fulfilled our published commitments at time of flotation to bring the UK business into profitability during the fourth quarter of the year and we are confident our UK business is now sustainably profitable."