OREANDA-NEWS. On November 12, 2008 B.I.N.BANK has issued the Interim IAS Financial Statements as at 30 September 2008 (unaudited). Financial statements reflect the Bank’s stable position notwithstanding the market disruption which occurred in September. The Bank has successfully mobilized its financial and human resources and showed decent result in the 3rd quarter of 2008, reported the press-centre of B.I.N.BANK.

According to the balance sheet as of September 30, 2008 the total assets increased up to RUB 66,9 bn. from RUB 64,3 bn. as of December 31, 2007. Loans to customers increased by 9% and comprised RUB 42,3 bn. versus RUB 38,7 bn. as of December 31, 2007. Customer accounts make RUB 47,9 bn. and demonstrate stable funding base which virtually remains unaffected by the financial turmoil. Total capital has grown up to RUB 8,8 bn. from RUB 8,4 bn. as of December 31, 2007. Mostly the capital was expanded through the increased retained earnings.

Our income statement demonstrates growth of interest income up to RUB 2,8 bn. against RUB 2,5 bn. for the same period of the last year. Net non-interest income reduced to RUB 709 mln. due to loss of RUB 336 mln. on financial assets at fair value through profit or loss. According to international accounting standards any profit on securities in form of discounts and coupon yields shall be reclassified in interest income. So, the considerable part of the profit on securities has been included in interest income.

As for the growth of operating expenses, we relate it with the aggressive expansion of the branch network throughout 2008. The operating expenses have grown in proportion to increased personnel recruitment to the newly opened outlets. In future expenses related to sales network shall be compensated by increase in sales capacity per one outlet.

Net profit comprised RUB 358 mln. and was mostly pressured by the Bank’s measures to accumulate substantial liquidity reserve as well as increased operating expenses. Nevertheless, we consider the Bank’s result positive under current market conditions and we believe that the Bank’s strategy was optimal for keeping stability. Without doubt, current liquidity position of the Bank is one of the most solid among the market peers and is our priority in the nearest future.