Italian, Portuguese and Spanish lenders will bear the brunt of a100 billion-euro ($139 billion) plan to recapitalize Europeanbanks, while their counterparts in the U.K., Germany and France mayavoid raising additional funds.

European policy makers, trying to reach agreement before ameeting in Brussels tomorrow on how to tackle the euro zone crisis,may force banks to boost core Tier 1 capital to 9 percent ofrisk-weighted assets by the end of June, two people with knowledgeof the talks said. UniCredit SpA, Italy's largest bank, BancoComercial Portugues SA, Portugal's second-biggest, and Banco BilbaoVizcaya Argentaria SA, Spain's No. 2, are among the companiesanalysts say may have to raise the most capital.

Lenders may be able to mark up the value of bonds that aretrading above face value, allowing them to mitigate the cost ofwriting down their southern European sovereign debt, the peoplesaid. That may benefit U.K. and German lenders such as Royal Bankof Scotland Group Plc and Deutsche Bank AG, whose biggest holdingsof bonds are those issued by their own governments. It may alsoallow French banks to avoid further fundraisings.