HVB Central Profit Banka

Retail customers:

By expanding its branch network, providing support in the form of 24 mobile sales force staff and introducing new products for business customers in particular, the Retail Division continued to focus on further growth. The number of retail customers rose by 16% to over 182,000 – outgrowing the market.

Loans to private individuals increased by 22% to € 191 m, loans to business customers by 62% to € 21 m. Total deposits in this segment grew year-on-year by 21% to € 158 m.

The number of debit cards rose by 21% to over 110,000, the number of credit cards increased by 5.6% to 14,400. 14 new ATMs and 137 new PoS terminals were installed.

Corporate customers:

Lending business and cash management services were further diversified in line with local market trends and in cooperation with the Group. The first real estate and syndicated finance transactions were carried out. New instruments such as forfaiting have been added to the product range of the trade finance segment.

Coordinated approaches to customer business and on the market have been achieved by supporting the integration activities of Nova banjalučka banka.

International Markets:

The trading, sales, asset/liability management and custody units of the INM Division met all their targets and achieved the planned growth in market share.

The trading unit maintained its market maker position; HVB Central Profit Banka continued to be the only provider in the money market and foreign exchange market in Bosnia and Herzegovina. Some of the first FX swap and FX forward transactions were carried out in the market, and the first derivative product – FX forward with a time option – was offered.

HVB Central Profit Banka was the first bank in Bosnia and Herzegovina to provide custody transactions in the country and now has a market share of over 50% in this segment.

Outlook:

In the final quarter of 2007, HVB Central Profit Banka and UniCredit Zagrebačka banka will merge and become the country’s leading bank.