Republic Bank Records $1.17 billion Profit at Year's End

Port of Spain, Trinidad, November 7, 2013: For the year ended September 30, 2013, Republic Bank Limited has recorded profit attributable to equity holders of $1.17 billion. This is an increase of $11.0 million or 1.0%, when compared with the corresponding period in 2012.

In announcing the results, Republic Bank's Chairman, Mr. Ronald F. deC. Harford, said, that he is particularly encouraged by the increase in loans and advances of $1.9 billion or 8.2% following an increase of 6.6% in 2012. Harford stressed that he remains optimistic that this growth will continue in 2014. Total assets stood at $57.6 billion at September 30, 2013, an increase of $6.0 billion or 11.6% over the prior period.

The Board of Directors has declared a final dividend of $3.00 (2012:$3.00) payable to shareholders on December 02, 2013. This brings the total dividend for the fiscal year to $4.25, in line with 2012.

Harford also noted that difficult economic conditions persisted in the tourism-dependent countries with profitability in Barbados declining by $23.3 million or 29.6% and losses being recorded in the Eastern Caribbean. The Group recorded a loss of $75.7 million on its investment in Eastern Caribbean Financial Holdings Limited, the parent company of the Bank of Saint Lucia, while impairment expenses of $53 million were booked as a result of the Government of Grenada defaulting on its indebtedness. This default contributed to our subsidiary in Grenada recording a loss of $18.2 million (RBL's share $9.3 million). Improved performance in Trinidad and Tobago and Guyana offset this decline, leading to a marginal increase in the Group’s overall profitability.

Harford added that, "the commodity-exporting economies of Trinidad and Tobago and Guyana are expected to drive our performance in the coming year, while tourism-dependent economies of Barbados and the Eastern Caribbean are expected to face ongoing challenges with little or no growth." He expressed his confidence that the Group’s current level of profitability will remain robust.

In expressing his thanks to management, staff and customers of the Group, for the Bank’s overall performance, Harford took time to welcome the newest member of the Republic Bank Group, HFC Bank (Ghana) Limited in which, the Group holds a 40% stake.