Interim Report 2008 - Raiffeisenlandesbank Oberösterreich

Half-year status report of Raiffeisenlandesbank Oberösterreich
Aktiengesellschaft Group
Exploiting opportunities, calculating and restricting risk
The global economy is currently undergoing somewhat of a paradigm shift. On
the one hand, global economic development is no longer borne by North America
alone, but also by China, India and Russia. Furthermore, relations between
banks have become very difficult due to the financial crisis which began in the
USA. Credit-spread changes have affected the global financial economy.
The Raiffeisenlandsbank Oberösterreich did not and does not have any financing
in US sub-prime. The Raiffeisenlandesbank Oberösterreich Aktiengesellschaft
Group was able to show very solid growth in the first half of 2008 despite
the increasingly difficult environment. The results achieved confirm the broader
orientation of the Raiffeisenlandesbank Oberösterreich Group focussing on
customer business.
The increase in operating result comes from the positive development of business
volume. Profit before tax achieved for the period was EUR 101.7 million.
Net interest income after risk provisions also contributed positively to the result.
A lower interest margin increases competitiveness among customers. In the
first half of 2008, the interest margin was 0.49 percent.
Ludwig Scharinger,
Chief Executive and Chairman
of the Managing Board
Compared internationally, the Raiffeisenlandesbank Oberösterreich Aktiengesellschaft
Group’s holdings have also developed outstandingly. Among the most
important companies accounted for at-equity in the Group are the voestalpine
AG, which took a major strategic step towards the future by acquiring Böhler-
Uddeholm in 2007. This important investment certainly affected the results of
voestalpine AG accordingly, the consequence of which was that the result for
the first half of 2008, a decrease of EUR 17 million, was also reflected in the
Raiffeisenlandesbank Oberösterreich Group.
The half-year operating result for 2008 rose by 11.7 percent compared to the
same period in the previous year to EUR 123.6 million. As a result, the Group’s
operational profitability continues to remain at a very high level.
Interim Report 2008 3