HB: Profit Warning for three-month results and final results 2009
27/4/2009 10:06
The consecutive forecasts of Hellenic Bank Public Company Ltd for the repercussions of the global financial crisis on real economy and the portfolios of the financial organizations have become true. This pleaded the intensification of the efforts to minimize those repercussions.
As a result of the aforementioned ascertainments, the preliminary results for the first quarter of 2009 are expected to show lower operating profits before the provisions for bad debts compared to the corresponding period of 2008. The bad debt provisions are expected to increase due to the specific economic conditions of the period and the strict policy that the Group has adopted. Moreover, determinative factors are the increase in the cost of deposits and the drop in the interest rate revenues and certain non interest rate revenues. As a result, the final result of the first quarter is expected to show loss.
Taking into account the negative impacts of the financial crisis in Cyprus and Greece, the results of the Group for 2009 are expected to be negative. It is stressed that due to the uncertainty in the financial environment, these forecasts are subject to uncertainty.
Therefore, the strategic targets of the Group in 2009 focus on the safeguard of healthy liquidity, the improvement of the quality of the loan portfolio, the capital adequacy indices and the careful and rational growth.
The Board of Directors and the Executive Management take all necessary measures for the better and more effective management of the impacts of the financial crisis on the Group.
As a result of the aforementioned ascertainments, the preliminary results for the first quarter of 2009 are expected to show lower operating profits before the provisions for bad debts compared to the corresponding period of 2008. The bad debt provisions are expected to increase due to the specific economic conditions of the period and the strict policy that the Group has adopted. Moreover, determinative factors are the increase in the cost of deposits and the drop in the interest rate revenues and certain non interest rate revenues. As a result, the final result of the first quarter is expected to show loss.
Taking into account the negative impacts of the financial crisis in Cyprus and Greece, the results of the Group for 2009 are expected to be negative. It is stressed that due to the uncertainty in the financial environment, these forecasts are subject to uncertainty.
Therefore, the strategic targets of the Group in 2009 focus on the safeguard of healthy liquidity, the improvement of the quality of the loan portfolio, the capital adequacy indices and the careful and rational growth.
The Board of Directors and the Executive Management take all necessary measures for the better and more effective management of the impacts of the financial crisis on the Group.
