All articles by Douglas Blakey
Douglas Blakey
Sberbank posts 67% fall in net earnings
Russias largest bank, Sberbank, has reported a 67 percent drop in net profits for fiscal 2009 to RUB36.2 billion ($1.2 million) under Russian accounting standards Operating income before provisions grew 30.2 percent year-on-year to RUB647.2 billion with net interest income, up by 36.4 percent to RUB456.8 billion, the main driver of growth.
HSBC and Bradesco target Mexico
HSBC and Bradesco, Brazils second-largest privately-owned bank, are both targeting the Mexican retail banking market with ambitious acquisition and investment plans in anticipation of the country emerging from its worst recession since 1995, reports Douglas Blakey. Bradesco is to acquire Mexican-based Ibi Mexico for an undisclosed sum in a deal expected to close by the end of the first quarter, while HSBC will invest $700 million to increase the operating capital of its Mexican subsidiary by around 30 percent. Bradescos purchase represents its first international retail banking deal and is an extension of the BRL1.4 billion ($749.1 million) Brazilian agreement last year between the bank and Ibis parent, Cofra, the Swiss-based holding company that also owns the C&A retail chain (see RBI 614).
Wells Fargo targets LatAm remittances
Wells Fargo has expanded its ExpressSend remittances service to eight countries in Latin America: Honduras, Nicaragua, the Dominican Republic, Colombia, Ecuador, Peru, Bolivia, and Argentina. ExpressSend initiative was launched by Wells Fargo in 2007 and currently serves the Philippines, Mexico, Guatemala, El Salvador, China, India and Vietnam. Additionally, Wells Fargo has added Telecomunicaciones de Mxico one of the largest telecommunications companies in Mexico as a new paying agent
1 in 10 Europeans planning bank switch
Falling customer satisfaction levels mean 1 in 10 Europeans will switch their main banking provider this year, up from 4 percent in 2009, according to a report from Ernst & Young The economic crisis has resulted in a marked change in customer attitudes towards banks, with lenders facing a tough job to retain customers, restore public confidence and provide the services customers really want, according to a recent survey from accountants Ernst & Young (E&Y).
Newcastle Building Society debuts customised gift card in the UK
Card personalisation specialist Serverside Group, UK prepaid programme manager Quantum Card Services and Newcastle Building Society, the largest issuer of prepaid cards in the country, have teamed up to launch the UKs first customisable prepaid card, a single load MasterCard-branded gift card.
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Deutsche Bank reports ?5bn net profits
Deutsche Bank has reported net profits of 5 billion ($6.92 billion) for fiscal 2009, compared with a net loss of 3.9 billion the previous year, and has had a promising start to 2010, said CEO Josef Ackermann. Net revenues within the banks private and business clients unit were down 3 percent versus 2008 at 5.6 billion; total retail and private client customer numbers remained flat at 14.6 million.
Current accounts up 38% at Co-operative
Co-operative Bank, the UKs second-largest mutual, has revealed a 38 percent increase in current account customers during 2009. The Co-op continued to attract account switchers from the traditional Big Four UK groups: Lloyds, Royal Bank of Scotland, Barclays and HSBC, with a 31 percent increase in customers ditching those banks in favour of the Co-op during 2009. According to the bank, reasons for customers switching current account provider included a desire to receive better customer service (29 percent), better online banking (23 percent), and access to a local branch (19 percent).
Santander’s ‘best ever’ profits
Europes second-largest bank by market capitalisation, Santander, has posted net profits for fiscal 2009 of 8.94 billion ($13.3 billion), up 1 percent from the previous year, boosted by strong earnings growth at its UK and Brazilian retail units. Latin America contributed 36 percent of group profits, Spain accounted for 26 percent, continental Europe 22 percent and the UK 16 percent.
Cetelem releases 2010 spending survey
BNP Paribass consumer finance subsidiary Cetelem has released its 21st annual consumer spending survey, the Observatoire Cetelem, a survey of 8,000 people in Germany, Belgium, Spain, France, Hungary, Italy, Poland, Portugal, the Czech Republic, UK, Russia and Slovakia. Though economic sentiment remains low in most European countries, respondents to the survey were slightly more optimistic about 2010, with an average score of 4.5 out of 10 given for the overall future outlook in the various countries, compared to 4.2 last year.
Freedom comes to Barclaycard
Barclaycard is to launch what it calls the broadest retail rewards scheme the UK has ever known to over eight million cardholders on 17 March