Piraeus Bank re-initiates interbank repo activity‏

Gazzetta team 19 Οκτωβρίου 2015 - 12:58

Piraeus Bank on Monday said its customer deposits totaled 38.1 billion euros at the end of September, of which 34.5 billion in Greece.

The bank said that economic and political conditions in Greece showed signs of stabilization following the agreement with the Institutions in mid-July, and as of the termination of the bank holiday on 20 July 2015 to-date (mid-October) there have been 0.5 billion euros in net domestic deposit inflows.
Piraeus Bank said that Eurosystem funding decreased from 37.3 billion euros at the end of June 2015 to 35.8 bn at the end of September, with ELA down from 22.2 billion euros at the end of June to 21.2 bn at the end of September. Gross loans stood at 68.9 billion euros at the end of September 2015 (of which 63.3 bn in Greece) from 70.0 billion at the end of June 2015 (of which 64.2 bn in Greece). Further reduction of time deposit rates in Greece in the third quarter (front book at 110 bps in Sep 2015 against 174 bps in June 2015, monthly averages), partially contributed to offsetting the ELA burden (in excess of 2 pct cost including State fee for Pillar 2 as collateral).
Net 90-day delay loans in arrears formation in the third quarter 2015 was at 356 million euros for the Group against 111 million in the second quarter, while in Greece it came in at 327 million from almost zero formation in the second quarter. This amount of new NPL formation in Greece corresponds to 52 bps over the domestic loan book.
Group branch network comprised 1,071 units at the end of September 2015, of which 778 branches were in Greece and 293 abroad. The Greek branch network was reduced by 51 branches in 9 months 2015, with the Restructuring Plan 2017 target of reducing the Greek network to 870 units having already been exceeded. Group headcount at the end of September 2015 stood at 19,769 employees, of which 15,715 were related to the Groupʼs Greek operations.
As at 30 September 2015, Piraeus fully repaid 2.2 billion euros of Pillar 3 bonds, as liquidity conditions stabilized. Interbank repo activity with EFSF bonds as collateral was re-initiated, with 0.4 billion euros outstanding at the end of September 2015 from zero balance at the end of June 2015.