OREANDA-NEWS. May 07, 2008. We are pleased to present Audited IFRS Financial Statements as of 31 December 2007, reported the press-centre of RosEvroBank.

Very briefly, in 2007 RosEvroBank achieved the following results:

1. Assets grew by 72% to more than USD 2 billion

2. Shareholders equity exceeded USD 244 million

3. Loan book grew by nearly 71% to more than USD 1.2 billion (however NPL are extremely low at 0,2% and the Bank did not write off any loans in 2007)

4. Net profit amounted USD 33 million having decreased from 2006 because of change of structure of income (now more income is generated by lending activities, previously the Bank had quite big portfolio of securities including corporate shares, this portfolio was bought in 1999 and was sold in 2005-2006).

Excess liquidity is maintained to resist market turbulence. As of 31 December 2007 approximately USD 600 million were accumulated in cash and cash equivalents and in deposits with the prime Russian banks.

RosEvroBank is now among Top 25 banks in Russia in terms of funds of corporate customers accumulated within the Bank and among Top 50 banks in terms of assets and equity.
In June 2007 RosEvroBank's shares were purchased by DEG (6% of shares) and by Renaissance Investment Management (6%), our shareholders are looking forward to have new equity partners in future.

RosEvroBank continues to keep excess liquidity which helps the Bank to further develop its business irrespective of the market turbulence, in 2007 the Bank achieved significant growth of corporate customers (more than 2,000 corporate customers became our customers in 2007), now more than 70% of the Bank's resources are coming from customer accounts and only 25% - from international borrowings.

The Bank has stable market place not only in Moscow (where we have 11 branches) but also in regions (4 branches plus 22 credit offices). ROAE in 2007 was 16%, C/I increased from 33,7% to 51% (due to network and personnel growth - we buy offices into property). Related party's lending is relatively small (about 3%) because the other businesses of our shareholders (National Logistics Company and RosEvroDevelopment) are independent companies with foreign shareholders and they are able to raise funds by themselves.

Year of 2007 was very successfull year for RosEvroBank's international business- in April RosEvroBank raised USD 150 million through 18-month LPN issuance, in June the Bank attracted USD 45 million 2-year syndicated loan, in October RosEvroBank completed 1-year car loans-backed syndicated loan for USD 22 million, in November the Bank signed 5-years Loan Agreement with National City Bank (Cleveland, USA) for amount USD 20 million and in December RosEvroBank reached agreement about RUB 620 million 5-year credit line from EBRD to help the Bank to develop its SME lending business.