condensed financial statements for the financial … · total shareholders’ equity 761,575...

AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD (Incorporated in Malaysia) Company No. 719057-X

1

CONDENSED FINANCIAL STATEMENTS

FOR THE FINANCIAL HALF YEAR ENDED

30 JUNE 2009

Registered Office

Ground Floor, East Block Wisma Selangor Dredging 142-B Jalan Ampang 50450 Kuala Lumpur


2

CONDENSED FINANCIAL STATEMENTS UNAUDITED BALANCE SHEET

AS AT 30 JUNE 2009

Note Unaudited Audited 30 June 31 December 2009 2008 RM’000 RM’000

ASSETS Cash and short-term funds 1,141,189 1,529,945 Financing and advances 1 3,514,219 2,860,348 Securities held-to-maturity 2 81,353 79,721 Securities available-for-sale 3 1,590 - Other assets 15,843 17,912 Statutory deposits with Bank Negara Malaysia 29,194 98,193 Investment properties 95,000 95,000 Property and equipment 67,276 68,478 Intangible assets 26,249 26,445 Deferred tax assets 23,319 23,319

Total Assets 4,995,232 4,799,361

LIABILITIES AND SHAREHOLDERS’ EQUITY Liabilities Deposits from customers 4 3,836,560 4,016,941 Deposits and placements of banks and other financial institutions

5 313,984

350,200

Bills and acceptances payable 38,834 9,807 Other liabilities 44,279 54,039

Total Liabilities 4,233,657 4,430,987 Shareholders’ equity Share capital 1,000,000 600,000 Reserves (238,425) (231,626)

Total Shareholders’ Equity 761,575 368,374 Total Liabilities and Shareholders’ Equity 4,995,232 4,799,361

COMMITMENTS AND CONTINGENCIES 11 969,185 735,160

CAPITAL ADEQUACY 10 Core capital ratio 21.66% 11.71% Risk-weighted capital ratio 23.24% 13.19% The condensed financial statements should be read in conjunction with the audited financial statements of the Bank for the year ended 31 December 2008.


3


UNAUDITED INCOME STATEMENT FOR HALF YEAR ENDED 30 JUNE 2009

2

nd Quarter Ended Half Year Ended

Notes

30 June 2009 RM’000

30 June 2008

RM’000

30 June 2009 RM’000

30 June 2008

RM’000

Income derived from investment of depositors’ funds and others

6 56,847 35,787 110,708 64,256

Income derived from investment of shareholders’ funds

7 10,907

4,212 19,929 7,788

Allowance for losses on financing 8 (8,045) (5,682) (15,130) (8,022) Other expenses directly attributable to the investment of the depositors’ funds

(1,988) (761)

(3,275) (2,557)

Total distributable income 57,721 33,556 112,232 61,465 Income attributable to depositors 9 (22,590) (23,313) (51,740) (42,263)

Total net income 35,131 10,243 60,492 19,202 Personnel expenses (16,099) (13,862) (32,720) (27,765) Other overheads and expenditures

(17,261) (15,115) (34,571)

(27,089)

Loss before zakat and taxation 1,771 (18,734) (6,799) (35,652) Zakat - - - - Taxation - - - -

Net loss for the period 1,771 (18,734) (6,799) (35,652)

The condensed financial statements should be read in conjunction with the audited financial statements of the Bank for the year ended 31 December 2008.


4


UNAUDITED STATEMENT OF CHANGES IN EQUITY FOR HALF YEAR ENDED 30 JUNE 2009

Distributable

Share

Statutory

Accumulated

Capital Reserve losses Total RM’000 RM’000 RM’000 RM’000 At 1 January 2009 600,000 - (231,626) 368,374 Issue of share capital 400,000 - - 400,000 Net loss for the period - - (6,799) (6,799)

At 30 June 2009 1,000,000 - (238,425) (761,575)



5

CONDENSED FINANCIAL STATEMENTS UNAUDITED CASH FLOW STATEMENT FOR HALF YEAR ENDED 30 JUNE 2009

30 June

2009 RM’000

30 June 2008

RM’000

CASH FLOWS FROM OPERATING ACTIVITIES Loss before zakat and taxation (6,799) (35,652) Adjustments for: Depreciation of property and equipments 12,013 10,410 Net profit suspended (1,034) 261 Allowance for losses on financing 15,130 8,022 19,310 (16,959)

(Increase)/decrease in Operating Assets Financing and advances (667,968) (330,883) Statutory deposits with BNM 68,999 (74,564) Other assets (1,153) (1,373)

Increase/(decrease) in Operating Liabilities Deposits from customers (410,581) 920,178 Deposits and placements of banks and other financial institutions

193,984

- Bills and acceptances payable 29,027 (25) Other liabilities (9,760) 7,156 Net cash (used in)/generated from operating activities (778,142) 503,530

CASH FLOWS FROM INVESTING ACTIVITIES Purchase of property and equipment (10,614) (13,524) Net cash used in investing activities (10,614) (13,524) CASH FLOWS FROM FINANCING ACTIVITIES Issue of ordinary shares 400,000 - NET (DECREASE)/INCREASE IN CASH AND CASH EQUIVALENTS

(388,756)

490,006

CASH AND CASH EQUIVALENTS

- AS AT BEGINNING OF THE PERIOD 1,529,945 540,054

- AS AT END OF THE PERIOD 1,141,189 1,030,060



6

EXPLANATORY NOTES 1. FINANCING AND ADVANCES (i) By type

Unaudited 30 June

2009

Audited 31 December

2008 RM’000 RM’000 Term Financing: Corporate financing 4,266,261 3,915,317 Personal financing 1,040,030 622,302 Home financing 263,493 166,307 SME financing 153,768 80,341 Vehicle financing 4,261 4,252 Charge cards 3,286 3,436 Shop house financing 324 - Staff financing 42 42 5,731,465 4,791,997 Unearned income (2,148,105) (1,877,638) Gross financing and advances 3,583,360 2,914,359 Less: Allowance for bad and doubtful debts and financing - General (53,891) (43,525) - Specific (15,250) (10,486) Total net financing and advances 3,514,219 2,860,348

(ii) Financing and advances analysed by contract are as follows:

Unaudited 30 June

2009

Audited 31 December

2008 RM’000 RM’000 Bai’ Bithaman Ajil 3,850,032 2,910,881 Qard 3,286 3,436 Others 42 42 3,583,360 2,914,359


7

EXPLANATORY NOTES 1. FINANCING AND ADVANCES (Cont’d)

(iii) Financing and advances analysed by type of customers are as follows:

Unaudited 30 June

2009

Audited 31 December

2008 RM’000 RM’000 Domestic non-bank financial institutions – Others 33,042 4,220 Domestic business enterprises – Others 1,051,052 749,338 Individuals 814,591 514,615 Foreign entities 1,684,675 1,646,186 3,583,360 2,914,359

(iv) Financing and advances analysed by profit rate sensitivity are as follows:

Unaudited 30 June

2009

Audited 31 December

2008 RM’000 RM’000 Fixed rate: Corporate financing 2,628,253 2,310,997 Personal financing 678,887 427,291 SME financing 117,475 73,748 Home financing 44,290 38,864 Vehicle financing 3,516 3,483 Charge card 3,286 3,436 Shop house financing 163 - Staff financing 42 42 Variable rate: Home financing 107,448 56,498

3,583,360 2,914,359

(v) Financing and advances analysed by purpose are as follows:

Unaudited 30 June

2009

Audited 31 December

2008 RM’000 RM’000 Purchase of securities 1,537,364 1,508,763 Working capital 1,105,608 794,310 Personal use 678,929 427,334 Charge card 3,286 3,436 Purchase of landed property – residential property 151,738 95,362 Purchase of transport vehicles 3,516 3,483 Purchase of shop house 163 - Others 102,756 81,671 3,583,360 2,914,359


8


(vi) Financing and advances analysed by sectors are as follows:

Unaudited 30 June 2009

Audited 31 December

2008 RM’000 RM’000 Telecommunication 1,574,412 1,543,914 Household 837,632 529,614 Manufacturing 424,429 330,644 Wholesale & retail trade 223,548 259,582 Construction 268,956 168,174 Real estate & business activities 135,478 52,244 Education, health and others 35,085 - Finance services 33,042 4,220 Research & development 30,730 17,540 Transportation 10,445 403 Other business 7,053 5,612 Electricity, gas and water supply 1,276 1,407 Agricultural 1,022 1,005 Hotel and restaurants 252 - 3,583,360 2,914,359

(vii) Movements in non-performing financing and advances

Unaudited 30 June 2009

Audited 31 December

2008 RM’000 RM’000 At 1 January 2009 / 1 January 2008 15,741 3,017 Classified as non-performing 7,765 12,456 Reclassified as performing (2,240) (902) Accrued profit 2,037 1,235 Amount recovered - (65) At 30 June 2009 / 31 December 2008 23,303 15,741 Less: Specific allowance (15,250) (10,486) Net non-performing financing and advances 8,053 5,255

Ratio of net non-performing financing and advances to total net financing and advances

0.2%

0.2%


9


(viii) Movements in the allowances for bad and doubtful financing

Unaudited 30 June

2009

Audited 31 December 2008

RM’000 RM’000 General allowance At 1 January 2009 / 1 January 2008 43,525 28,360 Allowance made during the period / year 10,366 15,165 At 30 June 2009 / 31 December 2008 53,891 43,525

As % of total gross financing and advances less specific allowance

1.5%

1.5%

Specific allowance At 1 January 2009 / 1 January 2008 10,486 1,777 Allowance made during the period / year 9,023 10,980 Amount recovered (4,259) (2,271) At 30 June 2009 / 31 December 2008 15,250 10,486

As % of total gross financing and advances less specific allowance

0.4% 0.4%

(ix) Non-performing financing by purpose

Unaudited 30 June

2009

Audited 31 December

2008 RM’000 RM’000 Personal use 17,736 12,187 Working Capital 5,567 3,554 23,303 15,741

2. SECURITIES HELD-TO-MATURITY

Unaudited 30 June

2009

Audited 31 December

2008 RM’000 RM’000 At amortised cost Unquoted : Islamic private debt securities 81,353 79,721


10

EXPLANATORY NOTES 3. SECURITIES AVAILABLE-FOR-SALE

Unaudited 30 June

2009

Audited 31 December

2008 RM’000 RM’000 Unquoted securities: Unit Trust 1,590 -

4. DEPOSITS FROM CUSTOMER

(i) By type of deposit

Unaudited 30 June

2009

Audited 31 December

2008 RM’000 RM’000 Non-Mudharabah Demand deposits 311,657 208,906 Savings deposits 36,557 35,051 Commodity Murabaha 788,343 1,273,497 Others 613 533 1,137,170 1,517,987 Mudharabah General investment deposits 2,664,680 2,471,238 Saving Account 34,710 27,716 3,836,560 4,016,941

(ii) By type of customer

Unaudited 30 June

2009

Audited 31 December

2008 RM’000 RM’000 Business enterprises 2,501,775 2,025,621 Government and statutory bodies 1,037,884 834,438 Individuals 218,261 220,664 Others 78,640 936,218 3,836,560 4,016,941


11

EXPLANATORY NOTES

5. DEPOSITS AND PLACEMENTS OF BANKS AND OTHER FINANCIAL INSTITUTIONS

Unaudited 30 June

2009

Audited 31 December

2008 RM’000 RM’000 Non-Mudharabah - Licensed Islamic Banks 63,306 120,000 - Others 250,678 230,200 313,984 350,200

6. INCOME DERIVED FROM INVESTMENT OF DEPOSITORS’ FUNDS AND OTHERS

2nd Quarter Ended Half Year Ended

30 June 2009

30 June

2008 30 June

2009

30 June 2008

RM’000 RM’000 RM’000 RM’000 Income derived from investment of: (i) General investment deposits 41,336 10,672 80,267 37,072 (ii) Other deposits 15,511 25,115 30,441 27,184 56,847 35,787 110,708 64,256

(i) Income derived from investment of general investment deposits

2

nd Quarter Ended Half Year Ended

30 June 2009

30 June

2008 30 June

2009

30 June 2008

RM’000 RM’000 RM’000 RM’000 Finance income and hibah Financing, advances and other loans 38,884

8,870

73,297

32,350

Money at call and deposit with financial institutions 2,452

1,802

6,970

4,722

Total finance income and hibah 41,336 10,672 80,267 37,072

Other income

Service charges - - - - 41,336 10,672 80,267 37,072


12

EXPLANATORY NOTES 6. INCOME DERIVED FROM INVESTMENT OF DEPOSITORS’ FUNDS AND OTHERS (Cont’d)

(ii) Income derived from investment of other deposits

7. INCOME DERIVED FROM INVESTMENT OF SHAREHOLDERS’ FUNDS


30 June 2009

30 June

2008 30 June

2009

30 June 2008

RM’000 RM’000 RM’000 RM’000 Finance income and hibah Money at call and deposit with financial institutions 1,002

749

2,504

2,297

Other operating income

Gain from foreign exchange translations 1,772

938

4,683

1,515

Others 1,837 321 3,623 321 Other income

Service charges 3,549 1,445 5,263 2,598 Commission received 2,747 759 3,856 1,057 10,907 4,212 19,929 7,788


30 June 2009

30 June

2008 30 June

2009

30 June 2008

RM’000 RM’000 RM’000 RM’000 Finance income and hibah Financing, advances and other loans 13,517 20,598 25,420 22,337 Securities held-to-maturity 791 - 1,735 - Money at call and deposit with financial institutions 1,203

4,517

3,286

4,847

Total finance income and hibah 15,511 25,115 30,441 27,184 Other income

Service charges - - - - 15,511 25,115 30,441 27,184


13

EXPLANATORY NOTES

8. ALLOWANCE FOR LOSSES ON FINANCING


30 June 2009

30 June

2008 30 June

2009

30 June 2008

RM’000 RM’000 RM’000 RM’000 Allowance for bad and doubtful financing:

(a) Specific allowance - provided during the financial quarter

(5,136) (2,598) (9,023) (3,266)

- written back 2,919 668 4,259 668 (b) General allowance

- provided during the financial quarter

(5,828) (3,752) (10,366) (5,424)

(8,045) (5,682) (15,130) (8,022)

9. INCOME ATTRIBUTABLE TO DEPOSITORS


30 June 2009

30 June

2008 30 June

2009

30 June 2008

RM’000 RM’000 RM’000 RM’000 Deposits from customers - Mudharabah (16,536) (12,373) (35,663) (22,560) - Non-Mudharabah (5,851) - (15,365) - Deposits and placements of banks and other financial institutions

- Non-Mudharabah (203) (10,940) (712) (19,703) (22,590) (23,313) (51,740) (42,263)


14

EXPLANATORY NOTES

10. CAPITAL ADEQUACY

(a) The capital adequacy ratios of the Bank are as follows:

Unaudited Audited 30 June

2009 31 December

2008 RM’000 RM’000 Tier-1 capital Paid-up share capital 1,000,000 600,000 Accumulated losses (238,425) (231,626)

761,575 368,374 Less: Deferred tax (23,319) (23,319)

Total Tier-1 capital 738,256 345,055

Tier-2 capital General allowance for bad and doubtful financing 53,891 43,525

Total Tier-2 capital 53,891 43,525

Capital base 792,147 388,580

Core capital ratio 21.66% 11.71% Risk-weighted capital ratio 23.24% 13.19%

The capital adequacy ratios of the Bank are computed in accordance with Bank Negara Malaysia Capital Adequacy Framework for Islamic Banks (‘CAFIB’): Standardised Approach for Credit and Market Risk and Basic Indicator Approach for Operational Risk (Basel II) respectively.

AL RAJHI BANKING & INVESTMENT CORPORATION (MALAYSIA) BHD

(Incorporated in M

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15

EXPLANATORY NOTES

10.

CAPITAL ADEQUACY (cont’d)

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30 June 2009

31 December 2008

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16

EXPLANATORY NOTES

10.


30 June 2009

Exposures after netting and Credit Risk M

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84

2

,21

7

2,7

01

,21

9

2,3

20

,45

0

91

5,7

65

6

87

,69

7

31

6,2

40

2

85

,46

7

5,0

73

,09

6

3,2

95

,83

0


(Incorporated in M

alaysia)

Co

mp

an

y N

o.

71

90

57

-X

17

EXPLANATORY NOTES

10.


31 December 2008

Exposures after netting and Credit Risk M

itigation

Sovereigns/Central

Banks

Banks, Development

Financial

Institutions & M

DBs

Corporates

Regulatory Retail

Other assets

Total

Exposure

Total Risk

Weighted

Assets

Risk W

eights

E

xp

os

ure

s

aft

er

Ne

ttin

g &

C

RM

Ris

k

We

igh

ted

A

ss

ets

Ex

po

su

res

a

fte

r N

ett

ing

&

CR

M

Ris

k

We

igh

ted

A

ss

ets

Ex

po

su

res

a

fte

r N

ett

ing

&

CR

M

Ris

k

We

igh

ted

A

ss

ets

Ex

po

su

res

a

fte

r N

ett

ing

&

CR

M

Ris

k

We

igh

ted

A

ss

ets

Ex

po

su

res

a

fte

r N

ett

ing

&

CR

M

Ris

k

We

igh

ted

A

ss

ets

Ex

po

su

res

a

fte

r N

ett

ing

&

CR

M

Ris

k

We

igh

ted

A

ss

ets

RM

’00

0

RM

’00

0

RM

’00

0

RM

’00

0

RM

’00

0

RM

’00

0

RM

’00

0

RM

’00

0

RM

’00

0

RM

’00

0

RM

’00

0

RM

’00

0

Perform

ing Exposures

0%

1

,39

5,2

26

-

- -

- -

- -

26

,57

9

- 1

,42

1,8

05

-

20

%

- -

20

6,5

41

4

1,3

08

-

- -

- -

- 2

06

,54

1

41

,30

8

75

%

- -

- -

1,5

08

,76

3

1,1

31

,57

2

55

2,2

79

4

14

,20

9

- -

2,0

61

,04

2

1,5

45

,78

2

10

0%

-

- -

- 9

96

,66

7

99

6,6

67

-

- 2

84

,28

7

28

4,2

87

1

,28

0,9

54

1

,28

0,9

54

T

ota

l 1

,39

5,2

26

-

20

6,5

41

4

1,3

08

2

,50

5,4

30

2

,12

8,2

39

5

52

,27

9

41

4,2

09

3

10

,86

6

28

4,2

87

4

,97

0,3

42

2

,86

8,0

44

Defaulted Exposures

50

%

- -

- -

- -

51

8

25

9

- -

51

8

25

9

10

0%

-

- -

- 2

,61

4

2,6

14

2

,11

8

2,1

18

-

- 4

,73

2

4,7

32

1

50

%

- -

- -

- -

14

1

21

2

- -

14

1

21

2

To

tal

- -

- -

2,6

14

2

,61

4

2,7

77

2

,58

9

- -

5,3

91

5

,10

3

Total Perform

ing and Defaulted

1,3

95

,22

6

- 2

06

,54

1

41

,30

8

2,5

08

,04

4

2,1

30

,85

3

55

5,0

56

4

16

,79

8

31

0,8

66

2

84

,28

7

4,9

75

,73

3

2,8

73

,24

6


(Incorporated in M

alaysia)

Co

mp

an

y N

o.

71

90

57

-X

18

EXPLANATORY NOTES

10.


Disclosure on Off Balance Sheet and Counterparty Credit Risk

30 June 2009

31 December 2008

Pri

nc

ipa

l a

mo

un

t

Cre

dit

e

qu

iva

len

t a

mo

un

t

Ris

k

we

igh

ted

a

mo

un

t

P

rin

cip

al

am

ou

nt

Cre

dit

e

qu

iva

len

t a

mo

un

t

Ris

k

we

igh

ted

a

mo

un

t

RM

’00

0

RM

’00

0

RM

’00

0

R

M’0

00

R

M’0

00

R

M’0

00

2008

Dir

ec

t c

red

it s

ub

sti

tute

s

20

2

0

15

53

5

3

40

T

ran

sa

cti

on

-re

late

d c

on

tin

ge

nt

ite

ms

8

8,6

70

4

4,3

35

3

3,2

51

17

,12

5

8,5

63

6

,42

2

Sh

ort

te

rm s

elf

liq

uid

ati

ng

tra

de

re

late

d c

on

tin

ge

nc

ies

1

35

,83

6

27

,16

7

25

,73

4

4

,47

3

89

5

67

1

Fo

reig

n e

xc

ha

ng

e r

ela

ted

co

ntr

ac

ts

-

On

e y

ea

r o

r le

ss

5

2,7

57

-

-

51

,78

8

- -

Cre

dit

de

riv

ati

ve

co

ntr

ac

ts

-

On

e y

ea

r o

r le

ss

6

51

4

68

4

68

10

5,9

92

3

7

37

O

the

r c

om

mit

me

nts

, s

uc

h a

s f

orm

al

sta

nd

by

fa

cili

tie

s a

nd

c

red

it l

ine

s,

wit

h a

n o

rig

ina

l m

atu

rity

of

ov

er

on

e

ye

ar

2

35

,35

1

- -

22

0,8

03

11

0,4

02

10

6,6

38

O

the

r c

om

mit

me

nts

, s

uc

h a

s f

orm

al

sta

nd

by

fa

cili

tie

s a

nd

c

red

it l

ine

s,

wit

h a

n o

rig

ina

l m

atu

rity

up

to

on

e

ye

ar

4

55

,90

0

- -

31

7,5

97

63

,51

9

6

2,8

98

U

nu

tilis

ed

cre

dit

ca

rd l

ine

s

- -

-

17

,32

9

3,4

66

2

,59

9

9

69

,18

5

71

,99

0

59

,46

8

7

35

,16

0

18

6,9

35

1

79

,30

5


19

EXPLANATORY NOTES

11. COMMITMENTS AND CONTINGENCIES

In the normal course of business, the Bank made various commitments and incurred certain contingent liabilities with legal recourse to their customers. No material losses are anticipated as a result of these transactions. The commitments and contingencies and the related risk-weighted exposures of the Bank as at the end of financial year are as follows:

Unaudited

30 June 2009

Audited 31 December 2008

Principal amount

Credit

equivalent amount

Risk

weighted amount

Principal amount

Credit

equivalent amount

Risk

weighted amount

RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Direct credit substitutes 20 20 15 53 53 40 Transaction-related contingent items

88,670

44,335

33,251

17,125 8,563 6,422

Trade-related contingencies 135,836 27,167 25,734 4,473 895 671

Irrevocable commitments to extend credit:

- Maturity not exceeding one year

455,900 - - 317,597 63,519 62,898

- Maturity exceeding one year 235,351 - - 238,132 113,868 109,237 Foreign exchange-related contracts 52,757

-

-

51,788

-

-

Miscellaneous 651 468 468 105,992 37 37

969,185 71,990 59,468 735,160 186,935 179,305

The credit equivalent amount and risk-weighted were computed in accordance with BNM’s Capital Adequacy Framework for Islamic Banks (CAFIB): Standardised Approach for Credit and Market Risk, and Basic Indicator Approach for Operational Risk (Basel II) respectively.

12. CREDIT EXPOSURE ARISING FROM CREDIT TRANSACTIONS WITH CONNECTED PARTIES

Unaudited

30 June 2009 Outstanding credit exposures with connected parties (RM’000) 4,540

Percentage of outstanding credit exposures to connected parties as proportion of capital base

0.57%

Percentage of outstanding credit exposures to connected parties as proportion of total outstanding credit exposures

0.13%

The credit exposures above are derived based on Bank Negara Malaysia’s revised Guidelines on Credit

Transactions and Exposures with Connected Parties, which are effective on 1 January 2008.


20

EXPLANATORY NOTES 13. PROFIT RATE RISK

The Bank is exposed to various risks associated with the effects of fluctuations in the prevailing levels of yield/profit rate on its financial position. The rate of return risk is the potential impact of market factors affecting rates on returns in comparison with the expected rates of return for investment account holders. Yield/profit rate is monitored and managed by the ALCO to protect the income of its operations. The assets and liabilities at carrying amount are categorised by the earlier of the next contractual repricing dates and maturity dates as follows:

Non-trading book

Up to 1 month

>1-3

months

>3-12

months

1 to 5 years

> 5 years

Non- profit

sensitive

Trading

book

Total

Effective profit rate

RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 % 30 June 2009

Assets Cash and short term funds 1,141,189 - - - - - - 1,141,189 2.31 Securities held-to-maturity - - - 81,353 - - - 81,353 4.18 Securities available-for-sale - - - - - 1,590 - 1,590 - Financing and advances: - performing 133,673 125,650 272,278 701,055 2,326,869 2,589 - 3,562,114 6.23 - non-performing

(1) - - - - - (47,895) - (47,895) -

Other assets(2)

- - - - - 256,881 - 256,881 -

Total assets 1,274,862 125,650 272,278 782,408 2,326,869 213,165 - 4,995,232

Liabilities

Deposits from customers 1,061,355 1,362,259 1,404,765 7,569 - 612 - 3,836,560 2.61 Deposits and placements of banks and other financial institutions

- 313,948 - - - - - 313,984 1.86

Bills and acceptance payable - - - - - 38,834 - 38,834 -

Other liabilities - - - - - 44,279 - 44,279 -

Total liabilities 1,061,355 1,475,565 1,605,443 7,569 - 83,725 - 4,233,657

Shareholders’ fund - - - - 761,575 - 761,575

Total liabilities and

shareholders’ fund 1,061,355 1,475,565 1,605,443 7,569 - 845,300 - 4,995,232

On-balance sheet profit sensitivity gap

213,507 (1,349,915) (1,333,165) 774,839 2,326,869 (632,135)

-

- Off-balance sheet profit sensitivity gap - - - - - - - -

Total profit sensitivity gap 213,507 (1,349,915) (1,333,165) 774,839 2,326,869 (632,135)

- -

Note: (1)

This is arrived at after deducting the general allowance and specific allowance from the outstanding gross non performing financing.

(2) Other assets include property and equipment, and deferred tax assets.


21

EXPLANATORY NOTES 13. PROFIT RATE RISK (Cont’d)

Non-trading book

Up to 1 month

>1-3

months

>3-12

months

1 to 5 years

> 5

years

Non- profit

sensitive

Trading

book

Total

Effective profit rate

RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 % 31 December 2008

Assets Cash and short term funds 1,309,364 - - - - 220,581 - 1,529,945 3.43 Securities held-to-maturity - - - 79,721 - - - 79,721 5.34 Financing and advances: - performing 32,701 273,969 422,372 331,033 1,835,065 3,478 - 2,898,618 5.76 - non-performing

(1) - - - - - (38,270) - (38,270) -

Other assets(2)

- - - - - 329,347 - 329,347 -

Total assets 1,342,065 273,969 422,372 410,754 1,835,065 515,136 - 4,799,361

Liabilities

Deposits from customers 1,035,328 1,655,308 490,608 821,407 - 244,490 - 4,247,141 3.31 Deposits and placements of banks and other financial institutions

-

-

120,000

-

-

-

-

120,000

3.69

Bills and acceptance payable - - - - - 9,807 - 9,807 - Other liabilities - - - - - 54,039 - 54,039 -

Total liabilities 1,035,328 1,655,308 610,608 821,407 - 308,336 - 4,430,987

Shareholders’ fund - - - - - 368,374 - 368,374

Total liabilities and

shareholders’ fund 1,035,328 1,655,308 610,608 821,407 - 676,710 - 4,799,361

On-balance sheet profit sensitivity gap 306,737 (1,381,339) (188,236) (410,653) 1,835,065 (161,574) Off-balance sheet profit sensitivity gap - - - -

Total profit sensitivity gap 306,737 (1,381,339) (188,236) (410,653) 1,835,065 (161,574)

Note: (1)

This is arrived at after deducting the general allowance and specific allowance from the outstanding gross non performing financing.

(2) Other assets include property and equipment, and deferred tax assets.


22

EXPLANATORY NOTES 14. COMPARATIVE FIGURES Certain comparatives have been restated to be consistent with current financial quarter’s presentation.

As re-stated As previously stated

Balance Sheet as at 31 December 2008 - Deposits from customers

4,016,941

4,247,141

- Deposits and placements of banks and other financial institutions

350,200

120,000

4,367,141 4,367,141

15. Review of performance for the financial half year ended 30 June 2009 against the corresponding

financial half year of the preceding year

For financial quarter ended 30 June 2009, the Bank recorded a lower loss of RM6.8 million as compared to a net loss of RM35.6 million in the preceding year’s corresponding financial period, a favorable variance of 81%. Generally, the Bank is making tremendous progress in generating its income whilst maintaining its expenses at its current level.

16. Prospects for 2009

Despite challenges that lie ahead, the Bank shall position itself in the market and to leverage on the investments available. The Bank is confident that it has set the groundwork for such growth and will continue to propel it further in the coming years to come.

condensed financial statements for the financial … · total shareholders’ equity 761,575...

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