Europe shares slide on oils, banks; Ahold jumps

LONDON, Nov 20 (Reuters) - European stocks unofficially ended 3.7 percent lower Thursday, their lowest close since April 2003, as oil shares tracked hefty losses in crude and recession fears hammered banks.

The FTSEurofirst 300 .FTEU3 index of top European shares unofficially closed down 3.7 percent at 781.9 points, recovering somewhat from a session low of 765.38 points. The index has shed about 48 percent so far this year in deepening economic gloom.

European banks lost ground after Citigroup's (C.N) shares skidded more than 20 percent as investors questioned the U.S. bank's survival prospects.

In Europe, Credit Suisse (CSGN.VX) fell 9.8 percent, Dutch financial group ING (ING.AS) lost 8.9 percent, Germany's Deutsche Bank (DBKGn.DE) dropped 9.4 percent and Spain's Banco Santander (SAN.MC) traded 5.5 percent lower.

But Royal Bank of Scotland (RBS.L) swam against the tide, rising 8.8 percent ahead as shareholders met to approve a fundraising plan.

Fears that recession will dent demand for oil saw the price of crude CLc1 fall 2.5 percent to $52.3 a barrel, hitting sector stocks such as OMV (OMVV.VI), down 4.5 percent, ENI (ENI.MI), down 2.5 percent, Royal Dutch Shell (RDSa.L), down 1.4 percent, and Petroplus (PPHN.VX), down 2.5 percent.

Ahold (AHLN.AS) shares shot up 8.9 percent after the group reported a higher-than-expected 11 percent rise in core quarterly profit and reiterated its full-year margin target.

Major U.S. stock indexes mostly fell, with the benchmark S&P 500 index .SPX hitting its lowest in more than six years as the latest data showed the economy sinking more and investors worried about possible failures by U.S. automakers without a government bailout. (Reporting by Rebekah Curtis)