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26.04.2006
"uaBBB" credit rating assigned to upcoming bond issue of JSB Kievskaya Rus
Today independent rating agency Credit-Rating announced the granting of a long-term uaBBB credit rating to the scheduled registered interest-bearing bond issue by JSB Kievskaya Rus in the amount of UAH 20 million with a circulation period of 3 years.
Factors supporting the credit rating's level :
- The bank grew over the past 5 years without imbalances in the structure of credit and debit operations and also was accompanied by general improvement of assets structure;
- The bank has a well developed regional infrastructure (54 establishments) with clear geographical concentration in Kyiv and Southern regions of Ukraine;
- In the period of 2001 2005 there was an improvement of the supply of bank operation with resources for credit and investment activity and also sufficient client diversification of resource base.
Factors restricting the credit rating's level :
- Low indices of supply of the bank with own capital: supply of assets with own capital was 9%, credit and investment portfolio 11.5%, which is considerably lower than average indices in Ukrainian banking system at the beginning of 2006;
- Low indices of quality of credit and investment portfolio: in 2005 overdue and doubtful debts increased 84%;
- Low profitability of the banks activity: in the period of 2001-2005 the value of assets profitability fluctuated in the range of 0.25% to 0.53%.
For more detailed information, please contact us.
Kyiv (+38044 490 25 50, fax +38044 490 25 54)
