BSI Group – Annual Results 2014 Montag, 30. März 2015 - 19:15

Assets under Management up at CHF 92.3 billion (+3.3%). Adjusted gross profit up at CHF 208.9 million (+6.3%). BSI reaches Non-Prosecution Agreement with the U.S. Department of Justice regarding Bank’s Legacy U.S. Private Banking Business.

• Increase in Assets under Management (AuM) mainly driven by good performance. Net New Money (NNM) negative of CHF 0.6 billion mainly due to the ongoing transformation of the customer base.
• Excluding CHF 36.1 million of legal and audit costs related to the Bank’s participation to the US tax program, adjusted consolidated gross profit is well above 2013 results at CHF 208.9 million (+6.3%), confirming resilience of BSI business in a very challenging market.
• Following a proactive and productive dialogue with the U.S. Department of Justice (DOJ), BSI is the first “Category 2 bank” to reach a Non-Prosecution Agreement (NPA) with the DOJ under the Program for Non-Prosecution Agreements or Non-Target Letters for Swiss Banks (U.S. Tax Program). By entering into the NPA, BSI resolves its liability with the DOJ arising from its legacy U.S. private banking cross-border business and pays USD 211 million. The settlement is recorded in the 2014 financial statements.
• Net profit was significantly impacted by the payment under the NPA and stood at CHF 2.2 million.
• The payment under the NPA does not affect BSI’s solidity. Group’s Total capital ratio stood at 17.1% (31.12.2013: 18.2%).
• The agreement with the DOJ facilitates the completion of BSI’s pending acquisition by Banco BTG Pactual SA, which remains subject to certain regulatory approvals and other closing conditions.
• The execution of BSI’s strategic initiatives in key markets is continuing successfully. Both Italian and Panamanian activities, recently launched, are well on track. BSI Fund Management Company was launched in Luxembourg.
• The operational excellence program launched in 2014 is on track. The implementation will continue until the end of 2015 and outcomes will be fully effective from 2016.