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UPDATE 1-SNS Reaal retail bank may cut hundreds of jobs - Dutch media

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AMSTERDAM, Oct 11 (Reuters) - Dutch bank and insurer SNSReaal , which is struggling with a loss-making propertyarm and must repay state aid by the end of next year, may cuthundreds of jobs at its retail banking operations, Dutchbroadcaster NOS said on Thursday.

A spokesman for SNS Reaal told Reuters a reorganisation ofvarious departments at the retail bank, which has about 2,400employees, will entail job losses but declined to give anynumbers. NOS did not cite a source for the job losses.

The country's fourth-largest bank needed 750 million euros($967.62 million) of Dutch state aid in 2008 and has struggledto revive its loss-making property division, which has recordedmore than 1 billion euros in net losses since 2009 largelybecause of the weak state of the real estate market.

In July, the group said it was considering the sale of itsinsurance business, which is one of its main cash generators.

The spokesman said the reorganisation of the retail bankbusiness was not part of that transaction.

SNS Reaal shares were down 0.1 percent by 1149 GMT. Thestock has lost about a third since the start of the year, whilethe Amsterdam blue chip index has risen about 5 percent.

($1 = 0.7751 euros)(Reporting by Sara Webb)

((sara.webb@thomsonreuters.com)(+31 20 504 5000)(ReutersMessaging: sara.webb.thomsonreuters.com@reuters.net))

Keywords: SNSREAAL JOBS/