Bank released its results for the 1Q 2009 under the Russian accounting standards

In the 1Q 2009 Bank’s assets grew by 2% and amounted to RUB 219.9 billion as at April 1, 2009. Bank’s capital increased by 8% to RUB 24.5 billion as at April 1, 2009 compared to 22.7 billion as at January 1, 2009.

Alexander Savelyev, Chairman of the Management Board, comments on the Bank’s 1Q 2009 results:
“During several years Bank Saint Petersburg’s growth rate exceeded the average growth rate in the Russian banking sector. At the beginning of 2009 we have modified our development strategy and limited our business growth in order to meet the changes in the market environment. Our key priority for this year is to keep the high quality of the loan portfolio”.

The loans and advances to customers remained at the same level and amounted to RUB 158.6 billion as at April 1, 2009.

In the 1Q 2009 the corporate customer accounts decreased by 6.8% to RUB 99.9 billion as at April 1, 2009. The retail customer accounts increased by 5.1% RUB 50.6 billion as at April 1, 2009.

Gross profit before tax for the 1Q 2009 decreased by 35% to RUB 680 million compared with the same period of the previous year. The decrease resulted mainly from the 41% increase in provisions compared to January 1, 2009.  The level of coverage of the overdue loans by provisions makes up 2.5.

Bank’s revenues for the 1Q 2009 increased by 95% and amounted to RUB 7.7 billion compared with the same period of the previous year. Interest income increased by 70% and amounted to RUB 5.8 billion compared with  RUB 3.4 billion for the 1Q 2008. Commission income increased by 41.5% and amounted to RUB 475 million compared with RUB 335 million for the 1Q 2008.

In the 1Q 2009 the number of cards issued by the Bank exceeded 627,000 (+37,000); as at April 1, 2009 the Bank’s card network comprised of 425 ATMs. In the 1Q 2009 the number of Bank’s corporate clients reached 35 500 corporates; the number of retail customers increased by 37 000 and reached 811 000 individuals.

The corporate lending remains the core business and the high priority for the Bank. The credit lines to Obukhovsky Zavod, Kazan Helicopter Plant and Admiralty Shipyards are among the latest significant projects.

In March 2009 the Bank has started to use the 3D-Secure technology developed by the card payment system VISA. 3D-Secure technology serves as a basis for the Verified by Visa program used to ensure the Internet payments security. With this system implemented the VISA cards holders (except the VISA Electron card holders) get an opportunity to make Internet payments, to make hotel reservations and to order e-tickets.

1Q 2009 Financials under RAS are available on the Bank’s website.