During 1999, in its first full year of operation, the European Central Bank posted a loss of EUR 247m, said the ECB in its annual report. This unusual state of affairs was not theresult of profligacy on the part of the fledgling bank. Despite recentexpansion the ECB still employs only 732 staff. Administrative costs forthe year were a modest EUR 122m. There are two reasons for the ECB'sheadline loss. First, accounting: while, the plummeting euro hasembarrassed the Governing Council it has done