News bank

On 21 of July 2011 international rating agency Fitch Ratings confirmed current rating of INDUSTRIALBANK as «В-», having changed long-term Outlook. On 13 of August 2010 Fitch agency rated INDUSTRIALBANK as follows: Foreign currency Long-Term IDR – «В-», Short-Term IDR – «В», Individual Rating – «D/E», Support Rating – «5», Foreign Currency Long-Term IDR Support Rating Floor – «No Floor», Outlook – «Stable».

Long-Term Rating Outlook has been downrated due to change in ZAPOROZHSTAL shareholding, which, in the agency’s opinion, may effect implementation of the Bank business development strategy.

Fitch analysts note that currently INDUSTRIALBANK’s liquidity is adequate: «As at the end of the first quarter 2011 the Bank maintained adequate liquidity cushion, which covered cistomer funds by 23% (excluding encumbered deposits)».
Fitch states that «INDUSTRIALBANK’s capital ratios appeared solid 27,5% at the end of the first quarter 2011 (at regulatory value being not less than 9%), and Bank was able to increase its loan impairment reserve to 40% of credit portfolio without breaching the minimum capital requirements».

The report also points that «solid revenues and moderate operating efficiency helped INDUSTRIALBANK to demonstrate reasonable pre-impairment profit, which substantially exceeded the results reported by the bank’s peers».
«Audit intended to confirm ratings enables ourselves to show openness of the Bank, and allows customers and investors estimate performance of the financial institution. In the nearest future Bank will systematically implement its business development strategy directed to extend its franchise and diversify long-term risks. Bank plans to increase its retail credit portfolio, retail business will be supported by development of payment card business line», - Leonid Grebinskiy, Chairman of the Board of JSCB INDUSTRIALBANK, says.