Germany's BayernLB reports 1st-half profit

German public-sector bank BayernLB on Tuesday reported a first-half profit, citing strong customer business and lower costs, but warned that risk provisions rose and the year's second half won't be easy.

BayernLB, which received a rescue package from the Bavarian and German governments, had a net profit of euro359 million ($514 million) in the January-June period. That compared with a euro722 million loss a year earlier.

The bank did not immediately give second-quarter figures.

"Performance in the customer business is very satisfactory," chief executive Michael Kemmer said. "At the same time, the risk protection plan ... had a …