Bangkok--6 Feb--Kiatnakin Bank “Kiatnakin Bank” targets the total assets to reach Baht 100,000 million by the end of 2008. Kiatnakin Bank also aims to increase loans by 30% and raise deposits through its 10 new branches. Kiatnakin Bank is confident that its top-tier manpower can offer full-service banking beyond expectation and establish Kiatnakin Bank as Top of the Mind for customers. Mr. Tawatchai Sudtikitpisan, the President of Kiatnakin Bank Plc, said “In 2008, Kiatnakin Bank targets the value of total assets to reach Baht 100,000 million, aims to open 10 new branches and increase revenue from operating fee by 40%. Kiatnakin Bank anticipates growth for the total assets by 15%, while for loans by 30% or Baht 20,000 million, up from last year’s outstanding loans of Baht 65,084 million. The Hire Purchase Loans, our core business, are expected to grow by 35%, whereas the Residential Project Loans growth is estimated to maintain the same, and the SMEs Loans growth is expected to double. Liability is expected to grow by 20%. These estimates refer to an assumption that the Gross Domestic Product is around 4-5% and the inflation is around 3-4%.” To attain the aforementioned goals, Kiatnakin Bank gives high importance to its manpower and business partners, meaning professional staff and value customers. These factors will help support Kiatnakin Bank to become “Top of the Mind” in the customers’ point of view and will lead to sustainable business growth. As for overall strategy and plans for Hire Purchase Loans in 2008, Kiatnakin Bank is going to add more service channels and develop service systems in all branches nationwide to serve customers’ needs. For example, establishing Knowledge Center to circulate vital business news and support clients’ businesses, or HP Approval Online and Super Fast Service for loans approval within 30 minutes, which was launched at Motor Expo last year and very well-accepted. Additionally, Kiatnakin Bank will focus on Event Marketing by joining national-scale events, as well as will multiply Personal Loans and Insurance Policy products. Recently, the Bank has implemented KK Car Shield PLUS with alliances who are leading insurance experts such as AIA and ACE Life, said Mr. Tawatchai. Ms. Thitinan Wattanavekin, Head of Deposit and Marketing at Kiatnakin Bank, said “In 2008, Kiatnakin Bank targets liability to grow by 20% through the current 27 Kiatnakin Bank branches and 10 new locations which are soon to be open by the end of the year. In addition, Kiatnakin Bank aims to expand the customer base by 70%, by focusing on retail customers, as well as increase the ratio of B/E. Also, Kiatnakin Bank will issue stocks and raise more long-term deposits of over one -year time horizon to support the Deposit Insurance Agency (DIA). Furthermore, Kiatnakin Bank will increase service channels such as ATM, Internet Banking, Call Center, and more, to provide easier access to banking services for the clients. Besides, the Bank plans to advance its CRM to improve efficiency and effectiveness of services offered to all groups of customers. Bringing IT systems into play will help the Bank to serve clients in a more comprehensive manner. The systems are likely to be of service by the end of this year. Regarding deposit raising, Kiatnakin Bank will use customer centric approach as we know our long-time customers very well, including their saving patterns and time horizons, and can propose products that suit customers’ needs. As for new customers, there will be distinguished promotions, for example, friend-to-friend recruitment, which can ensure to some extent that customers who recommend their friends to become a customer are satisfied with our services. Last but not least, Kiatnakin Bank also sets sights on raising more deposits of over one-year time horizon, to be in line with out credit terms.” Mr. Chavalit Chindavanig, Head of Finance and Budgeting at Kiatnakin Bank, revealed the operating results in the year 2007 that “In 2007, Kiatnakin Bank and its subsidiaries earned a net profit of Baht 2,154 million, up Baht 120 million or 6% from the previous year. Total assets were Baht 88,779 million, up 16% from the previous year. The loans loss reserve level is at 16.4%. The core loans expansion in 2007 was Hire Purchase Loans, which stood at Baht 42,328 million, up by 42.4% from the previous year and took up 10% market share. Deposits, debentures, B/E notes, and other borrowings were approximately Baht 70,178 million, up by 18% from the previous year and retaining the customer base of over 9,000 customers. The Bank has a capital adequacy ration (capital funds to risk assets) was 16.4% (excluding profits from Q4/2007), remains at the same strong level if calculated under Basel II, which will be effective end of 2008. Total loan’s spread after provision was at 4.1% Note to Editor: Kiatnakin was established in 1971, and started operating as a commercial bank entitled “Kiatnakin Bank Public Company Limited” on October 3, 2005. The bank has a capital adequacy ratio was 16.4% (excluding profits from Q4/2007) and assets of Baht 88,779 million. Currently the bank has 27 branches throughout Thailand. The bank provides comprehensive savings and credit services, including saving deposits, fixed deposits, current account deposits, as well as Hire Purchase loans, Residential project loans, Corporate loans and NPAs. For more information, please contact Ms. Tippawan Wortong (MO) Tel. 081 421 2923 or E-mail: [email protected] ; [email protected]