For the year since June 2012 many Russian banks demonstrated really efficient results of their work, both from the point of view of the assets growth and from the point of view of branch network expansion, increasing of product range offered to customers and raising of availability level of bank services. And Kedr Bank is one of these financial-lending institutions too. In his interview to NBJ, Kirill SITRO, first deputy chairman of the board told us about the results achieved by the Bank over the previous year and for the period from June 2012 to June 2013 and shared his future plans.

NBJ: Over 2012 the net profit of Kedr Bank tripled. What was the reason of such growth of business amount?

K. SITRO: That's really true, by the results of 2012 the net profit of Kedr CJSC CB amounts to 459 370 thousand rubles according to IFRS. The major factor that stimulated the growth of business profitability of the Bank was building-up of lending amounts and interest rate margin that resulted in 30% growth of net interest income in comparison with 2011 and now it amounts to 1 384 833 thousand rubles; besides non-interest income of the Bank increased by 17%, -up to 870 million rubles in 2012. Revival in a lending market, emergence of new credit products and stabilisation of the economic situation in general are the reasons of profit and returns rising.

NBJ: What are the ratings of the International rating agencies and International payment systems of the market position of the Bank?

K. SITRO: Moody's Investors Service Agency confirmed the credit rating of Kedr Bank liabilities as "B2" on the international scale and as "Baa l" on the national scale, and "E+" as the financial stability rating on the international scale - which can serve as a key criterion. While the ratings of a number of large Russian lending institutions are decreasing, Kedr Bank is keeping on its ratings on the same level, which proves its stable position, reliability and financial strength.

NBJ: Kedr Bank is actively developing its business in the regions. Please tell us about the situation in the network of the service rendering locations and the strategy of the regional growth of the Bank.

K. SITRO: By the results of 2012, Kedr Bank is included into TOP-50 of financial-lending institutions of Russia as a bank with the widest branch expansion according to RBC Agency rating. The territory of Kedr Bank presence covers five Federal Districts, seven Regions of the Russian Federation and the Republic of Greece. We have presence in 47 cities; have more than 120 branches and 197 ATMs. Development priorities for us mean the expansion of branch network in Russia, transfer to a new level of customers' servicing, development of large joint projects on cooperation with small and medium-sized enterprises.

For comfort and convenience of our customers we increased the number of service-rendering locations. In 2012 new branches of the Bank were set up in Saint Petersburg and Novosibirsk. We are going to increase the number of offices in Moscow, set up branches in the regions of the Central Federal District of Russia, Altaisky Krai, Yekaterinburg and to consolidate business in Kuzbass and to expand the international presence of the Bank (setting up of two subsidiary offices in Greece).

NBJ: Can you please tell us about the international business of Kedr Bank?

K. SITRO: The international business of the Bank is concentrated in Greece where we are going to set up a network of subsidiary offices. Besides, we are thinking over the possibility of establishing of some branches and representative offices in other EU countries.

NBJ: What activity areas became the most important for the Bank relative to business amount and growth of profitability from June 2012 up to June 2013?

K. SITRO: Kedr Bank is focused on traditional products that have a good reputation in the Russian retail services market: debit cards, premium products (cards for the customers with a high level of income), corporate cards (business cards), and acquiring servicing.

We implement the policy of assistance to small and medium enterprises. Special attention has been paid to the formation of lending for SME. For this purpose the Bank keeps on working to upgrade its credit products. Individual programs on the interaction with start-up enterprisers are being developed.

During the last year Kedr Bank continued cooperation with public organizations to support SMEs within the whole presence area of the Bank's branches.

NBJ: If it is possible, please tell us about the goals of the Bank for 2013. What results do you hope to achieve by the end of this year? Do you hope to attain higher ratings for the assets amounts and profit?

K. SITRO: New "senior" shareholders connected with the Russian power industry have joined Kedr Bank. The key point in development of a lending institution is the full-scale servicing of Federal Structures (Rosatom, Rosenergoatom, Gazprom). The aforesaid raises new goals and opens new opportu­ities for the Bank. The financial plan for 2013 specified the target parameters of revenue that ought to reach 450 million rubles (excluding the reserves) due to expansion of the services and products range, upgrading of services quality, development of card business, updating and implementation of web-services.

In addition, new fields of work will include the implementation of e-trading facilities and entry into the market of bank guarantees. Kedr Bank plans to raise international capital and to work with foreign investments.