OREANDA-NEWS. December 11, 2007. Bank Electronika has made public its plans to begin the second phase of its strategy for retail and corporate development – expansion of the Bank’s business providing services to the general public (individuals, small and medium-sized businesses). Bank Electronika’s goal is to take a leading position in the retail banking segment for clients with median incomes and to become a bank of first choice for small and medium-sized business. By bringing this strategy to fruition, Bank Electronika intends, by 2010, to become an important provider of a number of retail products as well taking a notable role in the corporate services segment it has targeted.

At the heart of Bank Electronika’s retail strategy are plans to establish the best financial services network in Russia for middle-income clients. By 2010 the Bank plans to open 150 retail offices in cities with populations exceeding 200,000. It expects to capture a 3.2 percent share of the market segment it has chosen to serve; that is, 630,000 middle-income individuals. Bank Electronika will invest a total of 1.3 billion rubles by 2010 to realize its retail strategy. Its forecasts of cumulative profits before taxes – 7.5 billion rubles.

The corporate strategy Bank Electronika has designed includes opening six regional corporate centers and 50 service sites by 2010. These offices will serve medium-sized and small businesses and corporate clients across the country. The Bank intends to attain a leading position in the regions where it is present and to become the number one financial institution there for small and medium-sized businesses (turnover from 30 million to 300,000 million rubles). Realization of its corporate strategy will enable Bank Electronika, by 2010, to capture 3.4 percent of the banking market in target regions and attract up to 14,000 clients. The Bank plans to invest a total of 520 million rubles by 2010 to realize its corporate strategy; it projects cumulative profits before taxes at 2.4 billion rubles.

The Bank will improve financial services for its major accounts by providing services to structure complex transactions, primarily in export-import operations: trade financing, investment projects. It will also organize bonded loans and transactions for syndicated credits.