OREANDA-NEWS  On 06 March was announced, that Ukrsotsbank Shareholders approved the results of its activity in 2008 and decided to increase the authorized capital by UAH 200 mln. At the Meeting they have approved the report on the results of Ukrsotsbank activity in 2008 as well as on the key performances for 2009.

The Chairman of Ukrsotsbank, Borys Tymonkin mentioned that, in 2008 the net assets of the bank grew by 59% which was the best result in the TOP-5 Ukrainian banks excluding Oschadbank, which increased its assets with the help of the state. Following the results of 2008 the Bank earned nearly UAH 792 mln of net profit. This is the second result among Ukrainian banks in terms of this indicator.

"Following the results of 2008 our bank paid UAH 1 bln 149 mln deposits to its clients which has become the largest item of our expenses, — Borys Tymonkin told — In addition, we paid UAH 564 mln. taxes and fiscal charges to the budget (for comparison: in 2008, this amounted to UAH 308 mln.). In Kyiv where the central offices of such major companies as Naftogaz Ukrainy are located, we are one of ten largest taxpayers — this is the result we pride of. Thus, Ukrsotsbank staff earned for citizens of Ukraine — the depositors of the Bank and the State more than UAH 1, 7 bln. Perhaps, this is the best illustration of the issue on social responsibility which was always on the top of USB activity".

Among the major achievements of Ukrsotsbank in 2008 were:

4th place in the rating of Ukrainian banks by capital and 2nd place in terms of net profit;

Market share in loans to legal entities -  4,1%, in funds to legal entities  -  4.2%. However, among the clients-legal entities there are the flagship companies of various branches of the Ukrainian economy. In particular, CJSC Kyivstar GSM, Boulevard Holdings Limited, LLC Kontynium-Galychyna, LLC Darna, LLC  Epicenter-K, LLC Soiuz Victan, LLC Kernel-Trade, JSC HC Kyivgorstroy, OJSC Concern Stirol, OJSC Mitall Steel Kryvy Rog, OJSC Pharmaceutical Factory Darnytsia, LLC Baltika, LLC Mega-safe, etc;

The absolute leader among the banks that provide services of both international and domestic factoring. Last year, the number of countries with which cooperates Ukrsotsbank in terms of international factoring has risen to 13;

Market share in loans to individuals — 9%, in funds of individuals — 3.4%;

Active promotion of services and the reform of the block of retail business. For example, last year we have adopted a new segmentation of individual clients, according to which clients are divided into three segments — Mass market, Affluent, Private. The Bank introduced a new type of Capitalist deposit which provides remote use (via the ATMs, Contact Center, self-service zones and Internet Banking). Increase in the number of active users of Internet Banking and SMS Banking, self-service zones (the number such zones increased by 33 to 112 for the last year). Joint ATMs network of Ukrsotsbank and its 48 partner banks makes 6 800 ATMs and is the largest in Ukraine.

Increase in the number of clients of small and medium enterprises (SME). Following the results of 2008 SME loan portfolio more than doubled,

1st place in the Underwriting market: the organization of 12 issues of corporate bonds of 6 issuers amounting to UAH 1 bln 364 mln.

"Our main shareholder — UniCredit Group — plays a critical role in the development, stability and confident look into the future of our bank, — emphasized Borys Tymonkin — Today, the contribution of UniCredit — our main funding partner is more than USD  3 bln or UAH 22 bln at the current exchange rate of our 40 bln of liabilities. Moreover, we are talking about the funding for a period of 5 to 7 years. Thus, the return term of these resources starts from 2013 i.e. after the crisis period. I want to emphasize once again, that there will not be any significant payments on external debts which could affect our liquidity in 2009".

Ukrsotsbank shareholders decided to increase the authorized capital of JSCB Ukrsotsbank in the total amount of UAH 200 mln by means of additional cash contributions by increasing the number of registered shares of common stock with the current nominal value (UAH 0.1 per share) for the 2 bln pieces. The placement of registered shares of common stock will take place at a price of UAH 0, 25 per each registered shares of common stock. Open (public) placement of shares will take place in two stages from 13 to 24 April 2009.

According to Borys Tymonkin, an increase of the Bank capitalization became the response of the Bank shareholders to the recommendations of the NBU to increase the capital of the largest Ukrainian banks. “As a result of the decision of shareholders, our authorized capital will increase by UAH 200 mln. and the Bank capital – by UAH 500 mln since the shares will be sold at a premium price," — says the Chairman of the Board of Ukrsotsbank — At the same time, given that during the crisis period, there are different predictions about the situation in the financial market, we have a clear position of UniCredit Group: our main shareholder will respond quickly and, if necessary, will initiate the question of additional capitalization of the Bank. Thus, our shareholders may be absolutely quiet: we have no problems with the capitalization of the bank and will not have them in future".

Shareholders’ Meeting also approved changes in the composition of the Supervisory Board of the Bank. They have excluded from the Supervisory Board Thomas Gross. At the same time, a member of the Supervisory Board of Ukrsotsbank was appointed Stephan Winkelmeier, who currently is the member of the Board and Chief Risk Officer of UniCredit Bank Austria.