OREANDA-NEWS. November 05, 2008. AB Parex Bankas, which belongs to one of the largest international financial Parex Group in the Baltic States, incurred losses amounting to LTL 2.4 million over nine months this year, reported the press-centre of Parex Bankas.

“Over nine months, the operational costs of the bank exceeded the revenue, as had been envisaged, due to the planned investment to the development of American Express cards and the increased cost of lending resources in the international financial market,” Alma Vaitkunskiene, Chairwoman of the Board of Parex Bankas, stated.

As of the beginning of 2008, the bank’s assets has increased by 10 per cent (LTL 166 million), and loans – by 14 per cent (LTL 178 million). Deposits of Parex Bankas grew by 13.1 per cent (LTL 88 million) from the beginning of the year until 1 October.

The bank’s subsidiary UAB Parex Faktoringas ir Lizingas has been profitable – over three quarters this year the company earned unaudited profit of LTL 93,700.

The Latvian AS Parex Banka, which owns 100 per cent of the bank’s shares in Lithuania, earned the profit amounting to LVL 12.4 million (LTL 59.89 million) over nine months.

In 2006 and 2007 Parex Bankas actively increased the market share and was constantly on the list of banks with the most rapid growth rate. With the start of economic decline and decrease in the growth volume of the entire financial services market in 2008, the bank retained its market share and was most rapidly increasing its share in the payment cards market.

In the field of lending, the bank has established in three significant niches: it takes the leading position in financing modernisation of multi-dwelling buildings, and it is constantly ranked among four banks which have most successfully granted credits with guarantees of state guarantee funds to SMEs, farmers and agricultural undertakings.

Parex Bankas belongs to the third largest financial Parex Group in the Baltic States which has the highest investment rating among local capital financial services groups (Moody’s Investors Service – Baa3, Fitch Ratings – BB+, Capital Intelligence – BBB). The bank has been successfully complying with all requirements set by the Bank of Lithuania.