B&N Bank Summarized Results of International Business in 2009
OREANDA-NEWS. January 28, 2010. Notwithstanding the financial turmoil B&N Bank actively worked at international trade finance market. As of the end of 2009, total amount of short- and long-term trade finance deals exceeded USD 130 mln. Usually, financing of the customers’ deals was made in form of L/Cs (including stand-by) and guarantees. Throughout 2009 B&N Bank issued L/Cs and guarantees under import deals in the total amount exceeding USD 22.5 mln. Meanwhile export L/Cs totaled about USD 10 mln., reported the press-centre of B&N Bank.
On May 18, 2009 B&N Bank fully repaid its Eurobond issue for the amount of USD 100 mln. as per conditions of the deal. Initially a 3-year Eurobond program was launched in May 2006 with the total amount of USD 200 mln. and a coupon rate at 9.5%. Earlier in May 2007 B&N Bank redeemed USD 100 mln. according to ‘put-option’ agreed in the framework of terms and conditions of the placement.
In August 2009 B&N Bank fully repaid the Syndicated Loan amounted to USD 27 mln. With the scheduled repayment of the loan amidst financial turmoil B&N Bank has demonstrated its status of a reliable borrower, its solid financial position and healthy liquidity.
In December 2009 international rating agency Moody’s Investors Service assigned B2 long-term and Not Prime short-term local and foreign currency deposit ratings and an E+ bank financial strength rating (BFSR) to B&N Bank. The outlook on all the ratings is stable. At the same time, Moody's Interfax Rating Agency affirmed the Bank’s A3.ru long-term national scale credit rating (the higher national scale rating corresponding to B2 global scale rating according to Moody’s classification).
In March 2009 national rating agency RusRating upgraded credit rating of B&N Bank from “BB+” to “BBB-” with “Stable” outlook. Agency pointed out that rating upgrade was determined by positive assessment of the key financial parameters which ensured the Bank’s stability under difficult market conditions. Thus, the Agency noted healthy capitalization and well-balanced liquidity position independent of official backing or interbank market resources. According to RusRating’s report, the Bank also had limited exposure to the securities market and solid shareholder’s support.
B&N Bank continued to develop its correspondent network. Following the strategy of expansion of its presence on international financial market B&N Bank established relationships with one of the leading global financial institutions - JPMorgan. In November JPMorgan Chase Bank, N.A., New York opened USD account and in December J.P.Morgan AG, Frankfurt am Main, opened EUR account for B&N Bank.
New accounts will be used for acceleration of settlements under clients’ international trade contracts as well as under own deals of the Bank. Likewise, they will allow B&N Bank to use competitive advantages of wide correspondent network of J.P.Morgan to reduce the Bank’s expenses for commercial and bank-to-bank payments.
In August 2009 Commerzbank AG, Germany, presented "STP Award 2008" to B&N Bank for excellent quality of international payments settled in 2008.
Комментарии