Rothschild Bank AG Zurich - Rothschild | Private Banking & Trust

Chairman’s Statement
Favorable financial markets and strong transaction volumes have been an encouraging feature of the past
financial year in an environment that has continued to reflect market and currency volatilities and uncertainties
across the usual spectrum of geo-political concerns, oil prices and inflation outlooks.
I am pleased to report that the Bank increased its consolidated net profit to CHF 38.5 million up from
CHF 31.2 million representing an increase of 23.5 % and consolidated total income by 17.3 % to CHF 157.9
million. This sound result was further supported by both a positive inflow of new funds and a satisfactory
investment performance achieved for clients.
For the Bank in Zurich, net profit rose by 20 % to CHF 32.7 million and total income by 17.8 % to
CHF 97.3 million. The subsidiary banking and asset management operations in Guernsey, Geneva and
Frankfurt continued their growth with increased contributions to the group results.
During the month of July 2005 we obtained our licence from the Spanish regulator that enabled us to
commence the activities of our new subsidiary Rothschild Gestión SA with offices in Madrid and Barcelona.
This initiative is in line with our commitment to serve the needs of wealthy families across Europe and expand
our presence as key private wealth management and financial service specialists worldwide.
Our Trust operations continued to do well breaking the CHF 50 million barrier for gross income for the first
time. This was up by 7.7 % to CHF 51.8 million from CHF 48.1 million. Strategically, this area is a core part
of our operations and important to our success as a private wealth management group.
On the 30th June 2006 Mr. Guy Wais, the General Manager and CEO of the Bank retired and he is succeeded
by Mr. Veit de Maddalena. I take this opportunity to thank him on behalf of the board, staff and clients for the
outstanding contribution that he has made to the group over the last 14 years and wish him a very long and
enjoyable retirement. I am pleased to announce that Mr. Guy Wais will continue to be involved in the group’s
affairs with seats on various boards including of course the Bank itself.
The Board of Directors of Rothschild Bank AG has proposed to increase the dividend to CHF 28 million,
up from CHF 26 million. After this distribution, the Bank’s reported shareholder’s equity will be CHF 327.7
million. This represents a ratio of shareholders’ funds to total assets of 33.8 % reflecting the Bank’s strong
balance sheet.
On behalf of my fellow Directors, I would like to express my gratitude to our clients for their continued
confidence and loyalty and to the staff a sincere thank you for their dedication and professionalism without
whom we would not have achieved so much to be proud of.
On behalf of the Board of Directors
Baron Eric De Rothschild
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Rothschild Bank AG Zürich