KCB profits up 42%
by Richard Kilner
Story link: KCB profits up 42%
The Kenya Commercial Bank (KCB) has recorded a surge in profitability over the course of last year, with profits up 42%.
KCB Group’s chairman, Peter Muthoka, has stated that the firm has exceeded the KSh4.2bn pre-tax profit of 2007 and achieved a figure of KSh6.01bn for 2008.
A key part of the bank’s soaring profits were derived [...]
BNP Paribas selected by Henderson Group
by Richard Kilner
Story link: BNP Paribas selected by Henderson Group
French bank BNP Paribas has been selected by Henderson Group to act as sole provider of services for Henderson Global Investors’ investment operations and related banking services.
The deal excludes servicing hedge funds, however.
The agreement means that BNP Paribas will also expand its global distribution contribution to Henderson’s products, in addition to providing the firm with [...]
Lloyds stays in profit while HBOS posts £10.8bn loss
by Gill Montia
Story link: Lloyds stays in profit while HBOS posts £10.8bn loss
Lloyds Banking Group has reported that profit at its Lloyds TSB business plummeted by 80% in 2008, to £807 million. Revenue fell 8% to £9.9 billion.
Meanwhile, the group’s HBOS subsidiary and the UK’s leading mortgage lender, posted a loss of £10.8 billion.
The merger of Lloyds TSB and HBOS was completed in January following a hurried [...]
RBS nationalisation resisted as Government stake rises
by Gill Montia
Story link: RBS nationalisation resisted as Government stake rises
The latest government support for Royal Bank of Scotland (RBS) will mean that the bank comes within a whisker of nationalisation.
The taxpayer’s current 68% stake in the failed bank is heading over the 90% mark as the group receives a further injection of cash.
Last year RBS snuffled up to £19.5 billion of the Government’s original [...]
Consumers win latest round in overdraft charges case
by Gill Montia
Story link: Consumers win latest round in overdraft charges case
The banks involved in the High Court case brought by the Office of Fair Trading (OFT) to establish the legality of unauthorised overdraft charges, have lost an appeal against a ruling in the case.
Last year, Mr Justice Andrew Smith ruled that the OFT had the right to decide whether or not the charges were fair [...]
Crédit Agricole aim to increase CACEIS stake
by Richard Kilner
Story link: Crédit Agricole aim to increase CACEIS stake
Crédit Agricole S.A. and Natixis have engaged in exclusive talks with one another regarding the sale by Natixis of 35% of CACEIS SAS.
The stake includes capital and voting rights and the sum involved is thought to be €595m.
The deal would be subject to regulatory approval, but if it should get the green light then Crédit [...]
New CEO at UBS
by Richard Kilner
Story link: New CEO at UBS
Swiss bank UBS has announced that Oswald J. Grübel has been appointed by its Board of Directors to serve as the firm’s new group chief executive officer.
The appointment occurs with immediate effect and is one in a series of moves the bank has made recently to try and restore confidence.
Grübel succeeds former CEO Marcel Rohner, [...]
RBS posts £24.1 billion loss
by Gill Montia
Story link: RBS posts £24.1 billion loss
Royal Bank of Scotland (RBS) has reported a £24.1 billion loss for 2008, stealing a place in the record books for the largest annual loss in UK corporate history.
The bank, which is 68% state-owned, has also lined up £325 billion of bad loans and investments for the Government’s Asset Protection Scheme, full details of which [...]
Israel cuts rates to 0.75%
by Richard Kilner
Story link: Israel cuts rates to 0.75%
The Bank of Israel is to reduce the country’s interest rate by 25 basis points to 0.75% in March.
After a recent spike in the Consumer Price Index (CPI) measure of inflation of 3.3% it has recently fallen by 0.5% to 1.2%.
It is widely forecast that Israel’s interest rate will continue to fall, heading towards a [...]
Treasury hammers out guarantees with RBS and Lloyds
by Gill Montia
Story link: Treasury hammers out guarantees with RBS and Lloyds
More details are emerging of proposed taxpayer support for Royal Bank of Scotland (RBS) and Lloyds Banking Group.
Yesterday, the BBC reported that the Treasury was working on a scheme that would guarantee £500 billion worth of bad debt and investments held by the banks under an Asset Protection Scheme.
Negotiations over the proportion of losses that [...]
FSA bans sale of single premium PPI
by Gill Montia
Story link: FSA bans sale of single premium PPI
Banks must stop selling single premium Payment Protection Insurance (PPI) alongside unsecured loans by 29th May.
Consumer groups have been campaigning for such a ban for years because single premium PPI involves the premium for the entire life of a loan being added to the debt, making it liable for interest.
Alliance & Leicester, Barclays, Co-Operative Bank, [...]
Anglo Irish under investigation for fraud
by Gill Montia
Story link: Anglo Irish under investigation for fraud
Anglo Irish, the third-largest bank in the Republic, is being investigated for fraud.
The bank was nationalised in January after plans to inject €1.5 billion into the lender, in return for a 75% stake, were rejected by ministers because the sum was insufficient to recapitalise the business.
Anglo Irish has been in difficulties since late December when [...]
Northern Rock to offer £14bn mortgage lending
by Richard Kilner
Story link: Northern Rock to offer £14bn mortgage lending
Nationalised bank Northern Rock has, after consultation with the Government, performed a volte-face in its approach to mortgage lending.
The bank, which was rescued by the British Government in the early stages of the unfolding credit crunch, had previously had a policy of reducing its mortgage book.
Now, however, Northern Rock is to offer up to £14bn [...]
Crédit Agricole propose new CEO for Emporiki
by Richard Kilner
Story link: Crédit Agricole propose new CEO for Emporiki
French bank Crédit Agricole S.A. is to propose, on 26 February, that Alain Strub be named as the new chief executive officer of the Greek venture Emporiki.
On the same day Emporiki will announce its financial results for the year 2008.
The bank will also consider the proposal of an €850m capital increase to shore up its [...]
BNP Paribas reveals Q4 and 2008 results
by Richard Kilner
Story link: BNP Paribas reveals Q4 and 2008 results
French bank BNP Paribas has released its financial results for the full year and fourth quarter of 2008.
For the year total revenue fell from €31bn to €27bn, and gross operating income was similarly affected, falling from €12bn to just under €9bn.
Annual net income fell by more than half, down from €7.8bn to just €3bn.
The fourth [...]
ING to name new CFO
by Richard Kilner
Story link: ING to name new CFO
Dutch bank ING is to name Patrickk Flynn as the firm’s new chief financial officer (CFO).
The Supervisory Board plans to nominate the 49 year old Irishman to join the Executive Board at the bank’s AGM in April, and should he join the Board Flynn will take up the role of CFO.
He would succeed John Hele, [...]
Crédit Agricole make two senior real estate appointments
by Richard Kilner
Story link: Crédit Agricole make two senior real estate appointments
Crédit Agricole Asset Management Real Estate (CAAM RE) has announced a pair of senior appointments.
Nicolas Simon assumes the role of chief executive officer, with Nicolas Kert becoming chief investment officer.
Simon brings 20 years of experience with him, and began his career in 1989 with Auguste-Thouard as a senior property consultant.
In 1995 he became asset manager [...]
Financial institutions urged to continue technology investment
by Richard Kilner
Story link: Financial institutions urged to continue technology investment
Wealth management software provider International Private Banking Systems (IPBS) have advised financial institutions facing hard times to utilise improved technology to help improve their situations.
The world banking system has been rocked by the credit crunch, which has seen a variety of banks across Europe and America writedown billions in subprime-related losses.
As a result the spending [...]
Cattles issues profit warning
by Gill Montia
Story link: Cattles issues profit warning
Cattles has issued a profits warning and postponed publication of its full-year results, scheduled for 26th February.
The “doorstep” lender also recently withdrew its application to become a retail bank, having raised £200 million in a rights issue last April to ensure that it had sufficient capital adequacy to qualify for the licence.
The move would have [...]
Jobs at risk as RBS prepares to sell one-fifth of business
by Gill Montia
Story link: Jobs at risk as RBS prepares to sell one-fifth of business
The Royal Bank of Scotland (RBS) is to sell at least one-fifth of its business in efforts to protect profit making elements of the group from heavy writedowns.
Chief executive, Stephen Hester, has announced plans to separate out non-core parts of the business, including those with toxic debt.
The bank, which is now 68% state owned, will [...]
