Kuwait's Global makes Q3 loss of $19.6 million

* Q3 net loss 5.6 mln dinars vs profit of 20.7 mln yr ago

* Nine-month loss 104.2 million dinars

KUWAIT, Nov 9 - Kuwait's Global Investment House <GLOB.KW> made a net loss of 5.6 million dinars in the third-quarter, on investment losses and the losses of associates, it said on Monday.

Global, which defaulted on most of its debt earlier this year, is one of the largest investment companies in the Gulf Arab state facing problems amid tight credit conditions.

"The size of total bank debt to be restructured is expected to be 500 million ... The outstanding bonds of 89.5 million are expected to be paid as per their scheduled maturities," Global said in the statement.

The bank began talks to reschedule its debt in December, appointing HSBC <HSBA.L> as an adviser to hold talks with its lenders.

I t made a net loss in the nine months to Sept. 30 of 104.2 million dinars, Global said in statement on Monday.

It posted a net profit of 20.7 million dinars in the third quarter of 2008.

"The loss is mainly attributable to realised and unrealised losses and impairments from principal investments and real estate of 41.7 million losses from share of results of associates of 29.9 million ," Global said.

Coast Investment had forecast a third-quarter net profit of 18.95 million dinars, while SHUAA Capital expected Global to post a net loss of 25 million dinars.

Total assets stood at 981.4 million dinars on Sept 30, the statement said, without giving comparative figures. Total assets stood at 1.01 billion dinars at the end of the first half.

"I am pleased with the narrowing of the losses quarter-on-quarter ... We have invested the past few months not only in working towards a successful completion of restructuring but strengthening fee generating lines of business," Maha al-Ghunaim, Global's chairwoman and managing director, said in the statement.

The firm posted a net loss of 98.6 million dinars in the first half of 2009, following a 360.5 million dinar net loss in the fourth quarter of last year.

The troubles of Global and other investment firms, including major Islamic firm Investment Dar <TIDK.KW>, led the government of the world's fourth-largest oil exporter to approve a rescue package worth 1.5 billion dinars earlier this year.

Global's shares were flat at 0.102 dinars at Monday's close, before the results were released.