Update on Third Quarter Tradi

RNS Number : 1948B

Arbuthnot Banking Group PLC

22 October 2009

 



Arbuthnot Banking Group PLC

Update on Third Quarter Trading

As indicated in the recent Interim Results, Arbuthnot Banking Group today announces an update on trading for the three months from 1 July 2009 to 30 September 2009. Trading during the period has been encouraging. The Group has been able to take advantage of its financial strength and its liquidity to invest in new opportunities created by the recent financial crisis. In the context of a fragile economy we remain cautiously optimistic about the outlook for the full year results of the Group.

Retail Banking

Secure Trust Bank carried its momentum into the third quarter. It completed the acquisition of a £21 million portfolio of instalment loans from Citigroup in August. Both this portfolio and the book of loans acquired from LV in February are performing according to our expectations and will make a positive contribution to full year profits. The roll-out of the Pre Paid Current Account announced with our interim results in July is progressing as planned. 

Private Banking

Arbuthnot Latham continues to maintain strong capital and liquidity ratios and it has traded profitably in the third quarter. Gilliat Financial Solutions, the structured product business that we started in June this year, began selling its first products to the IFA market in September. During the start up phase this business will inevitably have a negative impact on full-year earnings.

Investment Banking

Arbuthnot Securities was profitable in each month in the third quarter and enters the fourth quarter with an improved corporate finance pipeline. Secondary revenue in the third quarter was significantly ahead of the run rate achieved in the first half. 

Enquiries:

Arbuthnot Banking Group PLC  Tel: [phone] Henry Angest, Chairman and Chief Executive Andrew Salmon, Chief Operating Officer James Cobb, Group Finance Director Maitland  Tel: [phone] Emma Burdett Richard Farnsworth

 

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