Letno poročilo 2007 - UniCredit Banka Slovenija dd

Business ReportBank’s Segment Performance ReviewBank is interested in issuing the first bondof this kind in 2008, hence adding varietyto the investment options on the domesticmarket while assuring important, long-termfinancial resources.Volatile conditions on domestic andforeign money and capital markets willpose additional challenges to the Bank tooffer its partners the option of reducing theinterest, exchange rate and price risks withdifferent derivative instruments. Our goal isto maintain the leading role in this segmentof the Slovenian market and to furtherstrengthen it with the synergy of the entirefinancial group, UniCredit Group.Because of greater than anticipated inflationpressures, all cost categories will be moreexposed. This means the Bank will haveto pay more attention to this concern and,despite such pressures, continue with thetrend of decreasing costs as it is the onlyway of achieving target profitability throughorganic business growth.business sector. We are convinced theBank has all the necessary prerequisites,in particular highly qualified employees,who respect ethical norms that formthe foundation for liable development,strengthening of trust and additionalassurance for the quality of service. Thisawareness will be the foundation, inaccordance with the adopted instruments,for enabling the best employees to achievetheir own goals within the Bank and UniCreditGroup; those goals are related to additionalprofessional trainings, achieving betterfinancial results and obtaining appropriatepositions within the financial Group.The euro has brought additional marketfreedom to the Slovenian market; it hasincreased competition and also our commonresponsibility. We are aware of all of this andwe will make the additional, necessary effortsfor which we thank everyone in advance aswe are convinced these efforts will lead us tothe set goals and to strengthening the Bank’sreputation.In line with strategic three-year guidelinesadopted last year we are aware that thegrowth of business alone, without theadequate profitability, can not be thefoundation of a healthy and successfulbusiness. For this reason, we will focus onall three basic indicators of our success:return on equity, total revenue/expensesratio, as well as market share. In order tofuel additional market growth, the Bank willneed additional capital, so it anticipates thatthe owners will continue current businesspolicy of reinvesting generated profits andadditional investments in shareholder’sequity if necessary.Based on the stated facts or assessmentsconcerning the development in 2008, theBank is determined to continue with itsprofitable growth and primarily with itsintensified activity in the retail and small132 2007 Annual Report · UniCredit Bank