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“The Greek economy continues to display signs of gradual recovery” - Michalis Sallas, BoD Chairman of Piraeus Bank Group
16 September 2014

Net interest income for the Group continued its upward trend on a quarterly basis and amounted to €500 mn, 4% higher compared to Q1 2014. The Group total assets amounted to €88.5 bn. This information was announced by the Group’s press service with reference to the Piraeus Bank Group’s financial report in Q2 2014.

In accordance with the results of six months activity, net fees & commissions income amounted to €80 mn in Q2 2014, displaying stabilization compared to the previous quarter. Operating income amounted to €138 mn, including income from the restructuring of the troubled loan portfolio.

Gross loans before adjustments amounted to €73.1 bn, of which business loans were 65 %, mortgages 24% and consumer loans 11%. Deposits amounted to €54 bn and stabilized when compared to both the two previous quarters. “The Greek economy continues to display signs of gradual recovery. Performance is encouraging both in the fiscal sector and in terms of competitiveness (current account balance). The following period will confirm the anticipated return to growth of the Greek economy, an event that will also mark the gradual decline in unemployment which is the major issue for the economy and society”- says Michalis Sallas, BoD Chairman.

Based on the Group’s financial results, Piraeus Bank Group total equity has amounted to €9.4 bn, while the Group’s Common Equity Tier I ratio according to Basel III, increased to 15.0% compared to 14.5% at end-March 2014.

The Group’s branch network at the end of June 2014 comprised of 1,277 units, of which 889 branches operated in Greece and 388 in 9 countries internationally.

“The Group’s liquidity further improved, with the net loans to deposits ratio setting at 108% in June 2014 from 111% at the end of December 2013. The Group’s capital adequacy improved on a quarterly basis with the Common Equity Tier 1 ratio standing at 15.0% (+0.5% qoq) according to the Basel III framework. The ratio incorporates the share capital increase and the repayment of the preference shares owned by the Hellenic Republic in Q2 2014.” – adds Stavros Lekkakos, Managing Director & CEO.

Piraeus Group focuses on further reducing its funding cost, improving its operational efficiency also through the exploitation of synergies stemming from the acquisitions, effectively managing troubled loans with proper planning, tools and long-term solutions, but above all on financing viable business plans necessary for the revitalizing of the Greek economy.