Annual Report - VÚB banka

Information on the Expected Economic and Financial Situation
for 2008
The Bank’s priorities for 2008 center on improving
the quality of services and increasing the market
share combined with constantly growing revenues.
Retail clients, small businesses and SME segment
represent the key targets, but the Bank intends to
pay more attention also to the large corporate clients.
In this regard, the development of the branch
in Prague, will play a positive role in this process,
since the Bank, using the Prague branch aims to
expand its operations to larger extent on the Czech
market.
Adoption of the single currency – Euro - expected
on January 1, 2009 will present a specifi c area in
2008, as the adoption process will test coordination
capacities and preparedness of all Bank units.
The Bank’s objective is to become a leader in the
preparatory stage designed for the banking sector
and its clients within Euro adoption in 2009.
Integration of the Bank’s recent acquisition – B.O.F.,
a.s. will represent one of the key projects for the
year 2008.
Moreover, an objective to preserve the existing level
of effi ciency in the controlling and supporting
functions and processes is also of high importance.
With the effi ciency kept at the existing level,
the Bank will be able to curb its operating costs in
2008 and the cost income ratio will oscillate around
50%. Since the implementation of the Euro will probably
affect the trading income, the ever increasing
emphasis is put on growing income from fees and
commissions and interest income. Sound growth in
the interest bearing assets, namely those related to
clients´ loans and deposits plays a key role in this
process.
In 2008, the Bank is planning to generate an operating
profi t of SKK 6.9 billion, thus representing increase
by 9% as compared to 2007. The net profi t
should exceed SKK 4.3 billion.
116
Annual Report 2007