The sale is tied to the bank's desire to reduce its footprint in Australia, however the debt on FKP, which owns properties estimated to be worth $533m, is understood to be classified as a good loan. In assorted tranches, BoS, a subsidiary of the partly nationalised British bank Lloyds, has sold $3.5 billion of debt in its Australian loan book and is in the process of selling a $750m portfolio of loans. The sale of their interests in FKP comes after that group's embarrassing clarification of its intentions following a leaked video on YouTube in which recently appointed chief executive Geoff Grady said the company would not go ahead with plans to demerge its $1bn-plus retirement business.