CEC Bank: 15.5m-euro gross profit, down 50% on 2007

CEC Bank has posted gross profit worth 57 million RON (15.5 million euros), over half of the profit for 2007 as a whole (91 million RON). CEC Bank is the new name of the Romanian Savings Bank, after a rebranding initiative was launched yesterday at a press conference organised at the bank’s headquarters. Radu Ghetea, CEC president, said the rebranding process, which will continue until 2010, will entail 50 million euros in expenditures this year alone, which will depend on turnover results. “We will not spend money unless we see a development in our operations,” said Radu Ghetea. Apart from the new name, the bank’s rebranding process will entail changing the identity of the logo, refitting network branches, and restructuring the bank’s product portfolio in order to make it more accessible,” explained Ghetea. CEC is still state-owned, after the privatisation process was suspended in its final stage in 2005. However, the bank currently has a new strategy and plans to target clients with lower revenues and support rural entrepreneurs. The strategy also targets improved efficiency, after figures fell into the red in 2005. “People with lower incomes, who are our loyal clientele, still require basic products, such as checkbooks,” added the bank’s president. By the end of this year, around 600 units will be renovated, with the changes to affect everything from furniture to IT, as well as indoor & outdoor advertising.