Standard & Poor’s positively assessed sustainability of V.Bank business profile

Moscow, September 20, 2016: S&P Global Ratings has affirmed the long- and short-term counterparty credit ratings of Vozrozhdenie Bank at ‘BB-/B’ on the global scale and ‘ruAA-‘ long-term rating on the Russia national scale.

The ratings outlook remained “negative” reflecting the challenges of the difficult operating environment in Russia, which could constrain profitability due to high credit costs and potentially erode the bank’s capital buffers.

“We continue to view Vozrozhdenie Bank's strategy as relatively conservative, which explains the bank's generally stable performance through the cycle,” commented Sergey Voronenko, Deputy Head of Financial Institutions Rating Group at the Moscow office of S&P Global. “The bank's revenue base is broadly stable, indicating more sustainable earnings capacity in its core banking business than many of its peers' ".

Andrey Shalimov, Deputy Chairman of the Management Board commented, “Today we are working in tough economic conditions. Thus S&P’s high recognition of our conservative business approach and good risk management is very much appreciated. Recently we’ve been focused on supporting interest income, recovering fee-income generation capacity as well as timely revealing and provisioning of problems in a “matured” loan portfolio. Rating affirmation provides evidence of our strong positions in regions where we have branches and of our clients’ loyalty which contributes to the stability of the bank’s solid funding base. This encourages us to continue our development of SME and retail businesses”.

The agency also acknowledged the bank to be a highly strategically important member of the consolidated Promsvyaz Capital banking group and positively assessed that the new majority shareholder would unlikely make significant changes to Vozrozhdenie Bank's historically prudent and well-articulated strategy, which has allowed it to post recurring, healthy operating profits in previous years.

Other news
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04/22/2017
RAEX Rating Agency (Expert RA) has kept unchanged its ‘А++’ credit rating on PromSvyazCapital’s Series 01 Bond (Registered No. 4-01-44790-H)
03/21/2017
The bank earned Rub 2.1 billion of net profit for 2016 compared to a net loss of Rub 3.8 billion for 2015 due to positive dynamics of all components of the income, moderate provisioning and a decrease in operating expenses
03/17/2017
Promsvyazbank (PSB) publishes Q4 2016 and 2016 consolidated financial statements in accordance with International Financial Reporting Standards (IFRS), audited by PricewaterhouseCoopers
11/28/2016
Promsvyazbank (hereafter “PSB” or “the Bank”) and PromSvyazCapital today announce that on November 25, 2016 PromSvyazCapital has successfully completed the placement of its BO-P01 series exchange bonds (the “Bonds”) on the Moscow Exchange for a total amount of RUB 10 bn under a registration number of 4В02-01-44790-Н-001Р from November 22, 2016.
11/08/2016
For the first half 2016 and an audit report prepared by PriceWaterhouseCoopers.
10/20/2016

According to the preliminary reporting (published form) under the Russian Accounting Standards (RAS), PSB net profit for 9M 2016 amounted to RUB 2.0 bn. Income from core banking operations (interest income and fee and commission income) increased by 21% to RUB 36.9 bn.

09/29/2016

Promsvyazbank has appointed a new Board of Directors at the Extraordinary General Meeting of shareholders. Lindsay Forbes, representing the interests of the European Bank for Reconstruction and Development, was appointed to the Board.

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