"CEC Bank" sees higher profit

"CEC Bank" posted a gross profit of 89 million lei after the first nine months of the year, up from 55 million lei at the end of Q3 2009, the bank announced in a press release.

According to the representatives of the institution, these results are due to an increase in the net banking revenues and a rigorous cost control.

On September 30, 2010, the bank"s total assets reached 19,019 million lei, a 20% increase YOY, in particular due to an increase in the number of deposits raised from customers by around 16% (2,075 million lei). Lending also continued the upward trend, as the total balance of loans granted increased more than 5% (486 million lei), according to the press release by CEC Bank.

In the first three quarters of 2010, the bank mainly focused on identifying projects drawn by SMEs, farmers, public authorities and local administrations which were fit to receive funding. The bank granted approximately 9,500 new loans with a value of 1,360 million lei, in particular in the agricultural sector (8,770 new loan amounting to 610 million lei) and SMEs (730 new loans worth about 730 million lei). Over the same period, the bank"s corporate customers (most of them SMEs and agricultural operators) used about 6.680 in loans, compared to 5,380 million lei during last year"s similar period.

So far, the bank has financed over 5,042 projects eligible to access European funds, for which the grants received exceed 1,280 million lei.

By the end of September 2010, CEC Bank restructured 12.13% of the total loan portfolio, of which 6.46% pertaining to loans for individuals (2,178 loans, 314,66 million lei) and approximately 18.07 for loans granted to corporate customers (903 loans, 842.5 million lei).

In September 2010, the bank has increased its loan-loss provision ratio to 8.21% compared to 5.99% in December 2009. The weight of overdue and doubtful loans in the total loans portfolio has increased to 6.23% in September 2010, compared to 3.55% in December 2009.