Bangkok--11 Dec--TMB
TMB welcomes the rating and affirms focus on growth and rigorous risk management
TMB Bank Public Company Limited (TMB) today said it welcomes the ratings released by Standard & Poor’s Ratings Services yesterday, which revised the outlook on TMB Bank Public Co. Ltd. (TMB) to ‘Stable’, and at the same time affirmed the ‘BB+/B’ counterparty credit ratings on the bank.
“The rating change reflected a sustained improvement in the company’s credit profile, which is supported by the bank’s strengthened management team and improved financial profile —particularly in earning and capital,” said S&P. “The bank’s operating performance is now adequate. Profitability has been restored this year,” the report added.
Mr.Boontuck Wungchareon, Chief Executive Officer, welcomes the rating. TMB’s operating performance has improved continuously since last year. In the 9 month period, the bank booked solid profits, said TMB.
TMB said its net interest margin continue to improve, driven by the strategy to realign loan portfolio and growing low cost deposits. Credit management is under control with the strengthening of its risk management capabilities and conservative methodology, while the process of NPL and NPA sale is well underway.
Mr.Bart Hellemans, Chief Risk Officer, said TMB has concluded the sale of some NPL tranches and is continuing discussion with several potential groups of investors into next year.
Mr Boontuck added that the upgrade by S&P is attributed to the strengthened management team, which is ready to pursue its customer centric strategy.
“Our growth aspirations will be driven by deposits which we aim to attain a 14% market share by 2011,” said Mr Boontuck. “This will allow us to expand and further generate fee income while we optimize the quality of our loan portfolio and further strengthen our liquidity from the current strong position of 90% LDR today.”
Notes to Editor — The S&P Credit Research report on TMB Bank Public Co. Ltd was released by Standard & Poor’s on December 8, 2008. See S&P website for details (you must be a registered user of standardandpoors.com and be logged in to gain access to certain content areas which are available by subscription only). Please contact S&P for specific report request if required.
TMB Bank Public Company Limited
Founded on 8 November 1957, TMB Bank Pcl. operates a commercial banking business under a license granted by the Ministry of Finance, and with consent given by the Bank of Thailand. It also operates a securities business licensed by the Ministry of Finance and agreed to by the Securities Exchange Commission.
The Bank aims to respond to the needs of its clients through its 470 branch network, 110 foreign exchange centers, 1,864 ATMs, as well as electronics banking systems. Its business encompasses commercial banking, offshore banking, investment banking, and other businesses as permitted by the regulatory authorities, including acting as an insurance agent for its alliance insurance companies.
Listed on the Stock Exchange of Thailand, the Bank is the sixth largest bank, by total assets, in Thailand. As at 30 September 2008, its total assets are valued at THB 592,987 million.
www.tmbbank.com
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