Romania’s Millennium Bank Reports 9-mo Net Loss of 79.5 Mln Lei, or 21.3 Mln Euro

Comparative figures were not available as Millennium Bank started operations in Romania in October last year, investing some 40 million euro ($51 million).

The bank said in a statement it had a net operating income of 35 million lei in the first nine months of 2008. Its assets reached 945 million euro at the end of September, up some 222% from the end of 2007. The figures were reported under the International Financial Reporting Standards.

The bank’s loan portfolio rose by 409% at end-September to 706.7 million lei compared to end-2007. Loans to individuals accounted for 42% of the total. The total value of deposits, current and savings accounts doubled to 295 million lei in the same period.

“We are glad to announce that, one year after the entrance of Millennium Bank on the Romanian market, the financial results continue to overpass our expectations. […] we go on with our expansion plans throughout the country and Millennium BCP group continues to support us in our commitment to the local market,” Millennium Bank CEO, Jose Toscano, said in the statement.

The bank has a network of 52 branches in the capital Bucharest and another eight Romanian cities. It plans to expand its network to 80 branches by the end of this year and to 100 by the end of 2009. The bank had 17,000 clients and employed 619 at the end of September.

Millennium Bank (www.millenniumbank.ro) said earlier it expects to break even in 2011 and invest an additional 300 million euro by then.

($ = 0.7828 euro)