ZURICH, Nov 27 Reuters Julius Baer, which has been expected to write down some loans to troubled property group Signa, said on Monday it has nominal exposure totalling 606 million Swiss francs 684.36 million to a European conglomerate.

The 606 million francs was extended over three loans to different entities within the conglomerate, the Swiss private bank said, without identifying the client.

A source familiar with the matter told Reuters that the group was Signa.

The aggregate exposure towards this client group is secured by multiple collateral packages related to commercial real estate and luxury retail and is now subject to a longerterm restructuring, Julius Baer said in a statement.

The exposure is the largest in the bank39;s private debt loan book, which amounted to 1.5 billion francs at the end of October, the bank said.

If and when appropriate, the Group will remain prudent in booking further valuation adjustments as required, Julius Baer said.

A source told Reuters last week that Julius Baer has exposure to Signa and was expected to write down some of those loans.

We regret that a single exposure has led to the recent uncertainty for our stakeholders, Julius Baer CEO Philipp Rickenbacher said in Monday39;s statement, referring to recent speculation of Baer39;s exposure to Signa, which helped send the bank39;s shares down sharply last week.

Financing is an inherent part of the wealth management proposition to Baer39;s clients, Rickenbacher said, but…