NATIONAL BANK OF GREECE MADE PROFIT IN UBB
National Bank of Greece, which in the autumn of 2000 paid USD207MN for 99% of United Bulgarian Bank (UBB), reported a return on its investment. On April 30, 2001, UBB General Assembly (which lasted just the record 28 minutes) voted the distribution among shareholders a divident of some BGL29.63MN (about USD13.5MN). The return on the bank's own capital - about BGL254.77MN for 2000 - is 12.3%, while the return on the shareholders capital (BGL75.96MN) is over 39% for the same period. A UBB share of par value BGL1 will get a divident of BGL0.39.
UBB management declared that in 200 the bank's credit portfolio increased by 38.8%, reaching BGL269MN. Yet, compared to total assets the credits loanched are just 22%, while in the actively crediting banks this ratio goes above 35%. In order to meet the shareholders' requests, in 2001 UBB management will have to at least keep the last year credit volume, which is not an easy task having in mind the growing competition in the banking sector.