OREANDA-NEWS. Rating Agency "RIA-Rating" confirmed the Bank URALSIB credit rating on the national scale at the level "AA". The rating agency " RIA Rating " confirmed URALSIB Bank credit rating on the national scale at 'AA'. The rating outlook is "stable". Rated "AA" means that the object belongs to the category of rating borrowers with very good credit. Financial condition is consistently good. The ability to timely and fully perform its obligations is characterized by a weak dependence of the negative changes in the macroeconomic environment and identifiable external factors.

Factor supporting the rating are the strong market position of the Bank URALSIB, which is one of the largest banks in the country , leading in many segments of the banking market (mortgage and auto loans, loans for small and medium-sized businesses).

Bank URALSIB has sufficiently strong and recognizable brand, and a good business reputation . Bank URALSIB not experiencing difficulties in attracting funding.

The Bank is a member of the Financial Corporation " URALSIB " whose shareholders have the opportunity to support the Bank in case of worsening macroeconomic conditions .

The competitive advantage of the Bank URALSIB is one of the most extensive sales network in Russia. The number of points where banking services are provided by the Bank URALSIB exceeds 430. The Bank operates in all eight federal districts and in more than 55 regions of Russia. In addition, a good development of the branch network allows URALSIB better diversify assets.

The factors supporting the rating is also a significant amount of liquid assets, which determines the acceptable ratio of assets and liabilities. In addition, URALSIB Bank acts as a net lender on the interbank market, which also indicates the good condition of banking liquidity.

In 2013, the Bank has substantially changed the structure of the loan portfolio, increased lending to individuals and small businesses and restructuring the corporate loan portfolio , the share of overdue loans in which is one of the risk factors. At the same time diversification and quality of the loan portfolio increased significantly .

Level of redundancy is at a good level , risk assessment and loan losses is quite conservative , and in general the Bank formed a sufficient safety margin against possible further deterioration of payment discipline borrowers.

A positive factor is the growth in the absolute volume of net commission income . Overall Bank URALSIB characterized acceptable structure of income.

Deterrent rating is a significant amount of operating expenses , which predetermines the low profitability of the Bank. Return on assets for the RAS standards , estimated rating RIA , in 2013 the Bank URALSIB was 0.3 % and return on equity - 2.7 %, which is below the average values. The Bank has adopted a three-year program to improve operational efficiency by reducing costs, which can have a positive effect in the medium term.

In the Bank's assets more than 10 % are investments in shares of closed-end mutual funds, which are the property of investment assets , including real estate , land and financial assets . At the moment, these investments have investment appeal , which subsequently can provide increased profitability , but has not brought significant income to the Bank.

Due to the low profitability of the Bank URALSIB a decline in equity, resulting in a reduction of capital adequacy. On February 1, 2014 the value of the capital adequacy ratio was 10.57 % H1.