Banca Carpatica profits down 9%

Banca Carpatica concluded last year with 134.8bn ROL (3.4 million euros) of net income from gross income of 172.9bn ROL (4.3 million euros). This is only 0.3% higher (in nominal terms) than the previous year, representing a decline of 9% in real terms. In order to achieve its development targets, the bank is continuing with its policy of capitalising profit by including in it the reserves made from the previous year’s income and will distribute bonus shares to its shareholders. The total volume of the bank’s assets had reached 4,400bn ROL (111 million euros) by the end of 2004, 55% higher than in 2003. “2004 was a year of sustained investment efforts by Carpatica, which can be seen in the opening of 15 new branches throughout the country and a new headquarters,” said Nicolae Hoanta, the bank’s chairman. The bank invested five million euros during 2004, primarily for the development of its branch and cash machine network, and its IT system. In 2005 it will invest more than 3.5 million euros in developing its network and implementing a new online IT system that will boost the efficiency and security of banking operations. ZF