Lloyds 'will write off £13bn'Lloyds Banking Group is bracing itself ahead of the publication of its H1 financial report in three weeks' time.According to the Times, the group is expected to post losses in excess of £13 billion as the flak damage from the merger of Lloyds TSB and HBOS continues to put holes in its balance sheet.An unnamed source known to the paper said that the upcoming performance figures will also show that the group's losses are accelerating, a movement that is likely to severely dampen investor sentiment lightened in recent weeks by indicators of a pending economic recovery.Lloyds has so far declined to comment on the reports, but traders have reacted quickly, sending the company's share price down a further 2.83 per cent by 08:40 GMT this morning (July 13th), when they traded at 61.51p on the London Stock Exchange.In August 2008, ordinary shares in the group changed hands for more than 250p each.Reacting to the report, sterling traded down against the euro and the yen.