Penza, 1 July 2014. PenzaNews. JSC “Rating agency AK&M” confirmed the JSC Bank Kuznetsky credit rating on the national scale at “B++” with a “stable” outlook. This rating means that the bank belongs to a class of creditors with a satisfactory level of creditworthiness.

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As the press service of the bank told news agency “PenzaNews,” qualitative growth of the main balance sheet and operating achieved by the end of 2013 was the the key factor in preserving the credit rating.

The stock of Bank Kuznetsky increased by 10.9% — from 466.4 million rubles on January 1, 2013, to 517.5 million rubles on June 1, 2014 — due to growth of authorized capital, undistributed profit of the current year and subordinated loan, as well as the additional issue of equity shares.

This improved the capital adequacy ratio at the beginning of this year and was the impetus to improve the rest of performance indices.

As a result, the bank’s funding base increased by 11.5% in 2013 and in the first quarter of 2014, while the assets increased by 11%. The number of customers in the period from April 1, 2013 to April 1, 2014 increased by 15.8%, while the increase in the number of loans for the same period was amounted to 15.9%.

Last year activities of Bank Kuznetsky were profitable — before-tax income in 2013 was 70.8 million rubles, which is higher than the profit in 2012 by 47%.

As positive factors, the rating agency noted the balance of liquid assets and liabilities by maturity. More than 60% of the bank's liabilities are concentrated for longer than one year.

During the reporting period there have been no violations of established standards of liquidity and credit risk standards. Their performance met the requirements of the CBR.

“One of the fundamental factors in choosing a financial institution is such a thing as ‘trust.’ It is important for out customers and partners to feel that we will not fail to meet our obligations, and will help them solve their problems in a competent way. Customer confidence in the safety and soundness of Bank Kuznetsky was once again confirmed by expert evaluation of JSC “Rating agency AK&M,” the bank's chairman Mikhail Dralin said.

“It is safe to note that confirmation of the rating during several years reflects the strong market position of the credit institution in the regional market, good results of its work, the right direction of the chosen development strategy. We will not stop on what has been achieved, and will continue active movement towards strengthening of our position in the financial market,” the chairman of Bank Kuznetsky said.