CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of...

21
April 2007

Transcript of CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of...

Page 1: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

April 2007

Page 2: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

These forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from future results expressed or implied by the forward-looking statements. Important factors that could cause actual results to differ materially from the information set forth in these forward-looking statements include, but are not limited to, the effect of general economic conditions, increases or changes in competition in the markets in which we operate, the actions of competitors, our ability to implement and complete successfully our plans and strategies or delays or additional costs encountered in connection with their implementation, the benefits from and resources generated by our plans and strategy being less than or different from those anticipated, the costs or other results of pending or future investigations or legal proceedings, actions of courts, law enforcement agencies, government agencies and third-parties, fluctuations in exchange rates, the diversion of management's attention from implementing our plans and strategy, and other factors. Given these uncertainties, readers are cautioned not to place undue reliance on the forward-looking statements, which only speak as of the date that they were made. Corp Banca does not undertake any obligation to release publicly any revisions to such forward-looking statements included in this web-page, to reflect later events or circumstances or to reflect the occurrence of unanticipated events.

Unless otherwise stated, figures are presented in ThCh$ as of February 2007.

Exchange rates considered in the preparation of this document are:-Ch$/US$ : 538.96-Ch$/UF : 18,343.65

Forward Looking Statements

Page 3: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

Established in 1871 as the Bank of Concepción

Investor group led by Mr. Álvaro Saieh purchased a majority interest in 1995 (1)

• The bank was renamed to Corp Banca in 1997

• Aquired Corfinsa and Condell, two finance companies, in 1998

Market Capitalization of approx. US$ 1.2 billion(2)

Total assets of US$ 7.0 billion(3)

No. 5 private sector bank with a loan market share of 6.2% (3)

Initial Public offering in 2002

Listed on the NYSE on November 2004

International Ratings: BBB+ (S&P), BBB+ (Fitch)

73 branches country-wide operated under the brand names Corp Banca and Banco Condell

2,554 employees (3)

(1) Transaction closed on January 2, 1996(2) As of February 28, 2007(3) Unconsolidated information as of February 28, 2007

Branches

3

2

3

734

81

4

1

1

3

30

Corp Banca

Santiago

Page 4: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

Organizational StructureCORP BANCA

Chief Executive Officer

Retail

Corporations

Large Corporations and Real Estate

International and Treasury

Corp Banca Capitaland Subsidiaries

Commercial Areas

Chief Operating Officer

Information and Technology

Chief Financial Officer

Commercial Credit Risk

Human Resources

Legal Services

Risk

Marketing

Corporate Controller

Support Areas

Compliance

Page 5: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

Growth

Profitability drivers

Intensify growth in profitablesegments (Retail, SMEs)

Increase client data base

Increase client transactions(Credit Cards, CheckingAccounts)

Cross selling (Cash Management, Foreign Trade, Mortgages, Checking Accounts)

Focus on Fees

Portfolio Quality Efficiency

Cost control culture

State of the art technology

Centralization of internalprocesses

Credit standards

Sound allowance policies

Solid risk valuation models

Corp Banca’s Strategic Plan

Page 6: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

Phase II: Cleansing of Phase III: Efficiency and Segmentation

Phase IV: Solid Equity the loan portfolio

Phase I: Purchase

Purchase of Corfinsaand Condell finance companies

Purchase of the Bank of Concepción

(1) Pro forma Corp Banca and Banco Condell, net of inter-bank transactions

Efficiency Ratio: 80.3% 82.0% 98.8% 91.3% 78.7% 59.3% 47.6% 38.8% 38.2% 39.8% 39.9% 50.13% 58.27%

IPO of Corp Banca (2002 ROAE = 20.2%)

Phase V: Retail and Commercial Growth /

Balanced Portfolio

The Bank’s Successful History

0.5%

(7.4%)(10.3%)

(4.2%)

20.1%

13.3%

17.4%15.6% 14.8%

9.9%

5.0%

(1.4%)

12.0%

1.46%1.40%2.12%2.24%2.24%

2.62%

3.16%

3.74%

3.14%

2.50%

2.21% 1.72% 1.56%

(15%)

(10%)

(5%)

0%

5%

10%

15%

20%

25%

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 Feb-07

ROE

(%)

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

4.0%

Allo

wan

ces

/ Lo

ans

(1)

Page 7: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

Loan Portfolio Structure

8 2 .4 % 79 .9 %76 .4 % 73 .9 % 71.0 % 6 9 .6 %

17.6 %2 6 .1%2 3 .6 %

2 0 .1%

2 9 .0 % 3 0 .4 %

0 %

10 %

2 0 %

3 0 %

4 0 %

50 %

6 0 %

70 %

8 0 %

9 0 %

10 0 %

2 0 0 2 2 0 0 3 2 0 0 4 2 0 0 5 2 0 0 6 Feb- 0 7

Commerc ial Retail

Page 8: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

Loan Portfolio Growth – TTM *

(*) As of February 28, 2007

Institution Total Growth

Commercial Growth

Retail Growth

Total Mkt. Share

Mkt. Share

VariationSantander 12.3% 7.3% 21.1% 22.3% (0.5%)Chile 14.5% 13.2% 17.7% 17.7% (0.3%)BCI 15.8% 16.7% 13.6% 12.5% -BBVA 20.4% 25.4% 10.4% 8.4% 0.3%Corp Banca 15.2% 10.4% 33.2% 6.2% -Desarrollo 18.0% 15.5% 28.1% 3.9% 0.2%Security 20.7% 20.8% 20.5% 3.0% 0.1%Scotiabank 10.0% 15.8% 2.2% 2.4% (0.2%)Industry 15.3% 14.8% 16.5%

Page 9: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

Source: Fitch, Feller Rate, SBIF, and Corp Banca.(1) Pro forma Corp Banca with Banco Condell.(2) Ratings as of 2001.

1995 Feb-07Nat. Nat. Intern.

Deposits < 1 year Level 2 Level 1 F2

Deposits > 1 year A- AA- BBB+

Letters of Credit A- AA-

Subordinated bonds BBB A+

Shares Level 4(2) Level 2

Past due loans / Total Loans (1) – Feb. 2007Risk Classification

• Corp Banca has one of the lowest indicators of past-due loans in the industry.

Risk Policies

0.2%

0.6% 0.7%0.8% 0.8% 0.8%

1.0% 1.0%

1.3%

Cit

iban

k

Cor

pban

ca

Chi

le

Indu

stry

Sant

ande

r

BCI

Scot

iaba

nk

BBVA

Des

arro

llo

Page 10: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

Products

Page 11: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

0.5

1.0

0.6

1.0

0

0.5

1.0

1.5

2.0

42.1

49.35

6

2.922.82

06 07 06 07 06 07Monthly

Sales(Th #)

Stock(Th #)

06 07Market Share*

(%)Quartly Average

Sales (Th #)

Retail Checking Account Sales

(*) Market share of retail checking account stock

100% 66%

17%

10 bp

Page 12: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

No. of Checking Accounts and Balances

Note: Industry figures are as of November 2006

Corporate Division Feb-06 Feb-07 Var. (%) Industry

Average Balance (MCh$) 90,706 102,401 12.9% 3,945,138

Number of Clients 9,157 9,056 (1.1%)

Number of Accounts (#) 10,089 9,985 (1.0%) 285,657

Ave. Bal. per Account (MCh$) 8.99 10.26 14.1% 13.81

Retail Division Feb-06 Feb-07 Var. (%) Industry

Average Balance (MCh$) 45,158 50,335 11.5% 1,837,349

Number of Clients 41,489 48,637 17.2%

Number of Accounts (#) 42,066 49,271 17.1% 1,687,581

Ave. Bal. Per Account (MCh$) 1.07 1.02 (4.8%) 1.09

Page 13: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

05

10152025303540

06 07 06 07Monthly

Sales (BCh$)Quartly Average

Sales (BCh$)

06 07Loan Stock

(BCh$)

06 07Market Share

(%)

Consumer Loan Sales

30% 13%

22%

20Bp11.5

14.9 14.115.9

319

389

6.4 6.6

Page 14: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

0.3

0.9

0.4

1.0

0

0.5

1.0

1.5

2.0

16.7

25.1

3.3

2.5

06 07 06 07Monthly Sales

(M U.F.)Quartly AverageSales (M U.F.)

* Includes retail banking, mortgage loan center and external sales force

Mortgage Loan Sales*

200%150%

06 07Loan Stock

(M U.F.)

50%

80Bp

06 07Mk. Share

(%)

Page 15: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

3.1

6.6

3.8

7.5

00.51.01.52.02.53.03.54.04.55.05.56.06.57.07.58.08.59.09.510.010.511.011.512.012.513.013.514.014.515.0

Credit Card Sales

113% 97%

06 07 06 07Monthly Sales

(Th #)Quarterly Average

Sales (Th #)

47%

06 07Card Stock

(Th #)

122

180

Page 16: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

Credit Cards

Feb-06 Feb-07 ∆ ∆ Industry

ActivityPurchases (Th U.F.) 515 892 73.4% 20.7%Total Consumption (Th U.F.) 633 1,079 70.4% 32.0%

Market Share Accumulated Purchases 3.23% 4.63% 1.41%Monthly Purchases 3.28% 4.65% 1.37%

Credit in Cards (MCh$) 22,640 37,320 64.8%Card Stock (#) 122,054 179,977 47.5% 18.0%Purchases / Cards (U.F.) 3.60 5.01 39.1% 9.5%

Page 17: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

Focus on Fees (BCh$)

0

1

2

3

4

5

6

7

8

1Q04 2Q04 3Q04 4Q04 1Q05 2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 4Q06

Page 18: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

Financial Information

Page 19: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

Loans (MCh$)

(*) Includes: Overdrafts

Note: Prior Balances have been restated for inflation

Feb-07 Prior Mth Year 12 Mths Feb-07(MCh$) (MCh$) (MCh$) (MCh$) (ThUS$)

Commercial Banking 2,489,194 (21,925) (28,876) 266,871 4,618.5Commercial Loans* 1,515,693 11,207 6,326 203,556 2,812.3Foreign Trade Loans 226,396 (16,723) (10,928) 7,864 420.1Other Mortgages 187,172 (2,776) (3,920) (12,055) 347.3Lease Contracts 233,165 9,500 6,259 21,080 432.6Factored Receivables 60,974 (4,169) (10,674) 10,550 113.1Contingent Loans 265,794 (18,965) (15,939) 35,876 493.2

Retail Banking 816,420 18,988 37,281 203,803 1,514.8Consumer Loans* 453,612 9,838 17,046 81,000 841.6Housing Mortgages 362,807 9,150 20,235 122,803 673.2

Past Due Loans 21,137 769 1,996 (3,836) 39.2Total, net of interbank 3,326,750 (2,169) 10,400 466,838 6,172.5

Demand Deposits, net of clearing 249,862 11,604 (4,133) 67,339 463.6Time Deposits 1,756,688 23,037 58,501 174,474 3,259.4

∆ February 2007

Page 20: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$

Income Statement

(*) Includes: Fees from loans in the form of Letters of Credit and Monetary Correction(**) Includes: Loss on sale of assets received in lieu of payment, gain on sale of leased assets and unrealized gains

and losses of UF-Peso Forward contracts.(***) Includes: Gain on sale of assets received in lieu of payment, goodwill amortization and collection expenses.

2005(MCh$)

2006(MCh$)

∆(MCh$)

2006(ThUS$)

2006(MCh$)

2007(MCh$)

∆(MCh$)

2007(ThUS$)

GROSS OPERATING RESULTS 124.282 113.492 (10.789) 210.577 7.668 10.680 3.012 19.817Interest and adjustments, net * 107.792 105.516 (2.276) 195.777 7.412 9.590 2.179 17.794Fees, net 15.360 19.095 3.735 35.430 1.239 1.627 388 3.019Gains and losses from trading activities 5.349 481 (4.869) 892 (333) 791 1.124 1.467Foreign exchange transactions 1.909 214 (1.695) 398 260 (330) (590) (613)Other operating income, net ** 3.071 (219) (3.290) (407) (107) 27 135 50External sales force expenses (9.200) (11.595) (2.395) (21.513) (802) (1.024) (222) (1.901)

OPERATING EXPENSES (54.833) (60.230) (5.397) (111.752) (4.276) (6.015) (1.739) (11.160)PROVISIONS AND WRITE-OFFS, GROSS (22.075) (23.581) (1.506) (43.752) (2.223) (3.130) (907) (5.808)RECOVERED LOAN WRITE-OFFS 8.243 8.915 671 16.541 712 677 (35) 1.256INCOME FROM SUBSIDIARIES 7.707 7.099 (609) 13.171 487 640 153 1.188

BUSINESS RESULTS 63.325 45.695 (17.630) 84.783 2.368 2.852 484 5.292NON-OPERATING RESULTS *** (1.486) (338) 1.148 (627) (193) (128) 65 (237)

INCOME BEFORE INCOME TAXES 61.839 45.357 (16.482) 84.156 2.175 2.724 550 5.055INCOME TAXES (9.206) (6.252) 2.954 (11.600) (256) (354) (99) (657)

NET INCOME 52.633 39.104 (13.528) 72.555 1.919 2.370 451 4.397

EQUITY ACCOUNT VARIATION (8.462) 5.510 13.972 10.224 3.368 66 (3.302) 123ADJUSTED NET INCOME 44.171 44.615 444 82.780 5.287 2.436 (2.851) 4.520

As of December 31, As of February 28,

Page 21: CORP BANCA CHILE DICIEMBRE 2000Unless otherwise stated, figures are presented in ThCh$ as of February 2007. Exchange rates considered in the preparation of this document are:-Ch$/US$