Republic subsidiary wins Banker award

The Barbados National Bank (BNB), a subsidiary of Republic Bank, was recently presented with the award for Bank of the Year 2003 by The Banker magazine of London, UK. Among Barbados banks, The Banker magazine noted that BNB’s 40 per cent increase in net profit was evidence of the bank’s profitability and stability. Such a significant rise in net profit came highly commended given the current difficult national economic conditions. Despite a contraction in the Barbados economy, BNB improved its returns on equity to 17.8 percent from 14.3 percent in 2001 while it lowered its cost-to-income ration to 61.3 percent from 72.2 per cent.

In accepting the award, Louis Greenidge, Chief Executive Officer and Managing Director of Barbados National Bank commented, “2002 was an excellent year for our bank, even in the face of difficult market conditions.” “We attribute our success to our focus on excellence in service, continuous improvement in productivity, and risk management.” With an asset base of US$626 million, BNB enjoys a market share of approximately 20 percent in Barbados with an after-tax profit of US$13.1 million in 2002. Its subsidiaries include the Barbados Mortgage Finance Company Limited and the BNB Finance and Trust Company Limited. The Bank has a complement of 363 employees and six branches across Barbados. Republic Bank Limited became the majority shareholder of Barbados National Bank (BNB), following the completion of purchase of 57 percent of BNB’s shares on July 31 in Barbados. In accordance with the Takeover Code, Republic Bank made an offer to minority shareholders on conclusion of the transaction with the Government. With 952 shareholders accepting the offer for sale of shares, Republic Bank has increased its share holding to 65 percent of BNB.