FROM THE MANAGING DIRECTOR AND CHIEF EXECUTIVE OFFICER OF BANK LEUMI (UK) PLC, LAWRENCE M WEISS:
Bank Leumi (UK) plc - Annual Report 2008
2008 was a year of unprecedented turmoil throughout the global economy and in particular within the financial services industry.
Despite this, the Bank increased its Operating Income by nearly 21%, from £40.5million in 2007 to £48.9million in 2008 (before deducting losses of £9.9m from financial instruments carried at fair value). Total assets rose to £1.6billion – an increase of 10% relative to 2007.
It was necessary, however, to make provisions of £24.1million for a small number of problematic situations in the loan portfolio, which – together with the fair value adjustment mentioned above - resulted in a net loss of £4million for the 2008 financial year.
The 2008 result is clearly disappointing; however, I would stress that our overall position remains sound with capital and liquidity ratios well ahead of regulatory requirements. Our parent company, Bank Leumi le-Israel, provided a further £40million of capital for regulatory purposes during 2008 to support our business plans. This was a tangible expression of their confidence in Bank Leumi (UK) plc.
Although I only took on the leadership of the Bank towards the end of 2008, it is already apparent to me that the business is very sound, it is staffed by true professionals and there are very good business opportunities in the Bank’s niche markets.
BLUK Annual Report 2008
