Shares in Lloyds nudge higher as the bank nears the appointment ofNorman Blackwell as its new chairman, according to the Financial Times.
Lloyds declined to comment.
Blackwell is currently chairman of Lloyds' Scottish Widows subsidiary andhas been seen as one of the favourites to succeed Win Bischoff, who has said heplans to step down early next year. Blackwell has been on the board since June2012. He is currently chairman of Interserve and has previously workedat NatWest and McKinsey.
Lloyds has turned around its fortunes and its shares are up 67 percent thisyear, allowing the government to start selling its stake. But Britain still owns33 percent of the bank and would like to sell all its stake by the time of the2015 election - possibly including a sale to retail investors - and the newchairman will play a key role in that process.
Lloyds shares were up 0.3 percent at 77.1 pence by 0805 GMT, in line with aslightly firmer DJ STOXX Europeans bank sector. Interserve shares weredown 0.2 percent.
Reuters messaging rm://steve.slater.thomsonreuters.com@reuters.net (Reporting by Steve Slater)