UBI Banca Group

BANCA POPOLARE COMMERCIO E INDUSTRIA SPA
Figures in thousands of euro
31.12.2011 31.12.2010 Change
% change
Balance sheet
Loans to customers 8,563,354 8,885,600 -322,246 -3.6%
Direct funding (*) 7,496,973 8,175,503 -678,530 -8.3%
Net interbank debt -139,265 253,106 -392,371 n.s.
Financial assets held for trading 41,756 32,731 9,025 27.6%
Available-for-sale financial assets 10,366 19,314 -8,948 -46.3%
Equity (excluding profit for the year) 1,159,664 1,159,451 213 0.0%
Total assets 9,819,351 10,129,982 -310,631 -3.1%
Indirect funding from customers (including insurance) 10,057,784 11,186,686 -1,128,902 -10.1%
of which: assets under management 4,132,113 4,743,435 -611,322 -12.9%
Income statement
Net interest income 216,731 197,832 18,899 9.6%
Dividends and similar income - 2 (2) (100.0%)
Net commission income 137,313 134,274 3,039 2.3%
Net loss from trading, hedging and disposal/repurchase activities (832) (2,145) (1,313) (61.2%)
Other net operating income/(expense) (**) 3,868 7,791 (3,923) (50.4%)
Operating income 357,080 337,754 19,326 5.7%
Personnel expense (127,136) (137,261) (10,125) (7.4%)
Other administrative expenses (106,440) (116,059) (9,619) (8.3%)
Net impairment losses on property, equipment and investment property and intangible assets (7,097) (6,122) 975 15.9%
Operating expenses (240,673) (259,442) (18,769) (7.2%)
Net operating income (loss) 116,407 78,312 38,095 48.6%
Net impairment losses on loans (***) (25,220) (30,827) (5,607) (18.2%)
Net impairment losses on other assets/liabilities (888) (13) 875 n.s.
Net provisions for risks and charges (2,134) (2,718) (584) (21.5%)
Profit on the disposal of equity investments (2) (20) (18) (90.0%)
Pre-tax profit from continuing operations 88,163 44,734 43,429 97.1%
Taxes on income for the year from continuing operations (38,153) (22,820) 15,333 67.2%
Profit for the year 50,010 21,914 28,096 128.2%
Other information
Number of branches 235 234 1
Total work force (actual employees+personnel on leasing contracts) 1,713 1,756 -43
Financial ratios
ROE [profit for the year/equity (excluding profit for the year)] 4.31% 1.89%
Cost:income ratio (operating expenses/operating income) 67.40% 76.81%
Net non-performing loans/net loans to customers 3.60% 2.96%
Net impaired loans/net loans to customers 2.15% 2.53%
(*) The item included bonds as at 31 st December 2010 subscribed by the Parent amounting to €181 million.
(**) The item included approximately one million euro in 2010 as the price received for the sale to RBC Dexia of the correspondence banking
operations and €1.7 million of amounts recovered following the bankruptcy of a counterparty.
(***) The item for 2010 included an impairment loss relating to the Mariella Burani Group amounting to €1.6 million.
As at 31 st December 2011, UBI Banca held 75.0769% of the share capital of Banca Popolare Commercio, the
Banca del Monte di Lombardia Foundation held 16.2369% and the remaining 8.6862% was held by Aviva
Spa.
The Bank ended the year with a profit of €50 million, a more than twofold increase compared
to €21.9 million earned in 2010.
Net operating income amounted to €116.4 million (+€38.1 million compared to 2010), the
result of both an increase in operating income (+6% to €357.1 million) and the containment of
costs (-7.2% to €240.7 million).
The performance by operating income (+€19.3 million) was driven primarily by net interest
income, up from €197.8 million to €216.7 million, which benefited from growth in interest rate
spreads and also from greater volumes of medium to long-term lending business.
Net commission income also made a positive contribution, although to a more moderate
extent, rising from €134.3 million to €137.3 million, as a result of contributions from “foreign
business”, “collection and payment services” and “current account management”.
Trading and hedging activity recorded a net loss of €0.8 million (a loss of €2.1 million at the
end of 2010), as it continued to be affected by the negative impact of hedges on fixed rate
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