MBU Informe Anual 2009 Ingles24may10:maquetaci..n 1

Loan Portfolio Provision
During 2009 expenses for loan portfolio losses increased Bs 164 million (52.5%) and Bs 390 million
(451.2%) to Bs 477 million compared to December 31, 2008 and 2007 respectively, as a result of
loan portfolio growth and in particular to increase provision for the commercial and construction
sectors. The accumulated provision is Bs 725 million at December 31, 2009 and accounts for
378.9% of past-due and nonperforming loans. Write-offs for the year totaled Bs 207 million.
Other Income, net
Other income, net totaled Bs 538 million in 2009, Bs 53 million (10.8%) and Bs 151 million
(39.0%) more than at December 31, 2008 and 2007 respectively. The increase compared to
2008 is due mainly to:
• Bs 34 million in revenue from bank charges for services, 7.4% higher than at year end 2008, due
to the rise in the volume of operations carried in 2009.
• Bs 42 million increase in earnings from investment trading, mainly in government securities.
• Bs 36 million from the sale of shares issued by VISA and Mastercard in 2009, compared with
Bs 46 million in 2008.
• Bs 28 million in losses due to the difference between the value in the domestic market at the
date of purchase and the fair value on the international market, of investments in foreign
currency-denominated securities purchased in October 2009.
Operating Expenses
Operating expenses totaled Bs 1,841 million in 2009 and are Bs 254 million (16.0%) and
Bs 592 million (47.5%) higher than for the years ended December 31, 2008 and 2007
respectively. This increase is due mainly to:
• Bs 179 million (22.3%) rise in personnel expenses. This includes the application of wage and
salary increase policies. Assets per employee grew from Bs 3.9 million in 2008 to Bs 4.9
million in 2009.
• Bs 75 million (9.5%) increase in general and administrative expenses. This increase is mainly
due to:
• Bs 23 million (21.2%) in expenses for outsourced services, such as security transportation.
• Bs 23 million (16.6%) in Depreciation, Property and Equipment Expenses, Amortization
of Intangibles and Others.
Mercantil Banco Universal
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