During 2008 the business volume of the Nova KBM Group rose by almost 8 per cent and amounted to almost €5.5 billion at the close of the year. The Nova KBM Group concluded the previous year with a profit of €38.59 million from continuing operations, of which €32.25 million were made by the controlling bank. The aggravated financial conditions on the market and the valuation of financial assets held for trading had a significant effect on the profit level.
The Supervisory Board established that Nova KBM d.d. sustained regulatory and operating liquidity and, taking into consideration the given situation and stiffer credit conditions, ensured in this manner the operations of its retail and corporate clients. Last year, Nova KBM d.d. posted a growth in corporate and retail loans of almost 20 per cent, while deposits rose by 7 per cent. The report with unaudited operating data of the Bank and the Group will be published today on the information portal of the Ljubljana Stock Exchange.
The Supervisory Board gave its approval to the Management Board to create reserves from profit amounting to €5.84 million. The Management Board had previously created legal reserves amounting to €1.23 million and statutory reserves amounting to €11.68 million. In this way the dividend policy and the necessary capital adequacy will be ensured. The total capital adequacy ratio of Nova KBM d.d. as at 31 December 2008 stood at 11.18 per cent.
The Supervisory Board gave its approval to the proposal of the Management Board for the capital increase in the leasing companies amounting to 8,1 million, members of the Nova KBM Group. The capital increases will take place during this year in order to consolidate the capital of those companies in the current market conditions.
At the today’s meeting the Supervisory Board discussed the proposal of the Bank’s new organisational structure to ensure a more efficient implementation of the Bank’s and the Group’s development strategy over the coming five-year period, endorsed by the Supervisory Board at the previous meeting.
The Supervisory Board also discussed the internal audit report for the last quarter of 2008 and gave its approval to the work of the internal audit during 2009. It also gave its approval to the work programme of the Supervisory Board Audit Committee during 2009, which includes all prescribed and required audit procedures.
