OREANDA-NEWS. February 14, 2012. Strengthening the cooperation with existing  clients and the acquisition of new clients for the SEB Group companies in Latvia, as well as targeted efforts in extending our range of financial services form the basis for the stable growth of SEB Group in Latvia in 2011, reported the press-centre of SEB Group.

The number of active SEB bank's customers in private segment has increased by 9% and by 14% in company segment which means that SEB bank's initiatives have been acknowledged and are helpful in customers' development and growth. In 2011 SEB bank by 28% increased new financing for companies and privates. Cooperation with clients has resulted in the rise of income by 2% and in profit at the amount of LVL 60.6 million.
 
SEB bank's President Ainars Ozols about the results of 2011:

"The end of the year 2011 in the financial sector of Baltic States was very eventful. This has lead to drawing conclusions and learning of how to look for chances to actively involve society in the process of informing about the operation of banks and their most significant stability indicators and their assessment.

Looking back at the achievements of SEB bank, last year we carried out a number of initiatives that are related to bank's accessibility and efficiency of internal processes. I am sure that we are in our best shape in order to serve Latvia's largest companies as well as that are only looking for their businesses. The increase of active customers shows that over the years built reputation and responsibility towards society also during the time of economic downturn has been the right way of development.

In December the volume of SEB bank's deposits grew by 10%, by 3% over the year. For several years, SEB bank is in the leading position in the field of long-term savings – both voluntary pension provisions as well as accrual of life insurance. Society's choice in the favor of SEB bank's long-term savings is definitely not a coincidence as SEB bank is the one that first started to introduce this service's implementation in the market and ensured public's education on making long-term accumulations for more than 10 years now.

Our aim for 2012 is to continue the path of implementing home bank strategy. With this approach we will devote maximum attention to the customers who as their bank for daily financial needs choose SEB bank. At the moment a number of things are in the development stage so that in the nearest future could help our clients in the realization of their business or life plans."
 
Financial indicators for the SEB Group in Latvia in 2011
 
The 2011 profit for SEB Group in Latvia amounted to LVL 78.5, by 2% more than in 2010;
The expenses have declined by 7%, reaching the amount of LVL 37.9 million;
Gross profit or profit before tax and provisions in 2011 amounted to LVL 40.5 million which is by 11% more than in 2010;
Operating income after tax and provisions in 2011 amounted to LVL 60.6 million;
The total amount of deposits at SEB bank as at 31st December 2011 amounted to LVL 1.04 billion that is by 3% more than at the end of 2010;
The total loan portfolio as of 31 December amounted to LVL 2.07 billion;
In 2011 the amount of newly issued loans at SEB bank was LVL 479 million that is by 28% more than a year ago;
Capital and reserves as of 31 December amounted to LVL 289.5 million;
Total assets as of 31 December, 2011 amounted to LVL 2.61 billion;
The capital adequacy ratio of SEB Group in Latvia as of 31 December was 18.87%;
The liquidity ratio of SEB Bank as of 31 December was 46.83%.

"The operating profit for the fourth quarter, which amounted to SEK 3.2bn, shows the strength of our customer business. Despite the global uncertainty, customer activity remained high and there is a 5 per cent increase in the divisional result compared to the previous quarter. The decrease in operating profit compared to the fourth quarter 2010, is fully explained by the fact that the reversals of credit losses in the Baltic countries were lower given the current global economic outlook, and that the liquidity portfolio was realigned to decrease overall risk, which encompassed certain one-time expenses.

SEB's position as the Relationship bank in our part of the world improved further during 2011. Business volumes increased - loans by SEK 111bn and deposits by SEK 150bn. The expansion within the Nordic and German operations developed according to plan. In this uncertain and volatile environment, SEB's resilience improved further and asset quality continued to be strong and stable.

During 2012, we will focus on maintaining our resilience and increasing cost efficiency while continuing to work closely with our customers", says Annika Falkengren, SEB's President and CEO, commenting on the fourth quarter 2011 result.

During 2011 SEB bank in Latvia has received many local and international awards and assessments:

The Ministry of Welfare has granted SEB bank the status of family-friendly enterprise,
The Latvian Employer's Confederation acknowledged SEB bank as one of three best employers in the Riga region.
In Sustainability Index SEB was ranked among three enterprises that gained the Gold category,
Euromoney recognized SEB bank as the best bank in Latvia,
EMEA Finance awarded SEB bank as the best in two categories – as the best bank in Latvia and SEB Wealth Management as the best asset manager in Latvia,
International finance magazine The Banker acknowledged SEB bank as the best bank in Latvia,
TNS Latvia in its TRI*M reputation index affirmed SEB bank as the leader of reputation among all banks that are operating in Latvia.