Feb 2012 Financial News

New name for BNB, effective July 2012

Feb 09, 2012

COME July this year, the Barbados National Bank Incorporated (BNB) will be renamed Republic Bank (Barbados) Limited.

This has been announced by Chairman of the BNB, Ronald Harford in a recent review of the bank’s operations for the three months ended December 31, 2011.

Harford explained that the decision to change the name of the BNB was taken at the annual general meeting of shareholders last December. He added that the change will allow the Bank to realise the benefits of standardisation of marketing and communication activities across the Republic Bank Group.

Republic Bank, a Trinidadian bank, acquired the majority stakes in the BNB, which had been fully owned by the Barbados Government. Currently, Republic Bank Limited owns 62.5 million or 65.13 per cent of the BNB shares; the Barbados Government owns 17.4 million or 18.17 per cent of them; and the National Insurance Board 9.6 million or 10 per cent of the shares.

Suggestions have been made for Government to sell its shares, but one Government official had said at the time that once the price was right the State would be willing to divest itself of them.

The share price of the BNB, which is listed on the Barbados Stock Exchange, is quoted at $5.50 a share. Total assets of the BNB Group amounted to about $2.24 billion at the end of December 31, 2011.

Many Barbadians had voiced disapproval of the decision to sell the BNB. Late Prime Minister David Thompson had stated his Government would have been keen to buy it back, but nothing became of that as the Barbados economy slipped into recession.

Commenting on the performance of the BNB in the three months, Harford said the financial institution recorded a consolidated net profit of $7.2 million – an increase of $1.1 million or 18 per cent when compared with the corresponding period in 2010.


Source:
Barbados Advocate
February 9, 2012

http://www.barbadosadvocate.com/newsitem.asp?more=business&NewsID=22676