Final Results
February 15 2005 - 9:00AM
PR Newswire (US)
Final Results Bladex Reports Net Income of US$53.9 million for the
Fourth Quarter 2004 and Record Net Income of US$141.7 million for
2004 Fourth Quarter and Year 2004 Financial Highlights * Net income
in the fourth quarter of 2004 was US$53.9 million, compared to
US$33.7 million in the third quarter of 2004, and US$16.2 million
in the fourth quarter of 2003. * For the year, net income was a
record US$141.7 million, compared to US$111.5 million in 2003. *
During the fourth quarter of 2004, the trade credit portfolio
increased 15%, or US$279 million. For the year, the trade credit
portfolio increased 25%, or US$431 million. * During the fourth
quarter of 2004, the credit portfolio in Argentina decreased by
US$86 million, or 26%. For the year, the credit portfolio in the
country decreased by US$195 million, or 45%. * The Argentine credit
portfolio at December 31, 2004 was US$240 million, or US$156
million net of allowances for credit losses. During 2004, provision
reversals related to the reduction in the portfolio in Argentina
amounted to US$104.9 million in 2004, compared to US$48.4 million
in 2003. PANAMA CITY, Feb. 15 -- Banco Latinoamericano de
Exportaciones, S.A. (NYSE: BLX) ("Bladex" or "the Bank") announced
its results for the fourth quarter ended December 31, 2004. The
table below depicts selected key figures and ratios for the periods
indicated (the Bank's financial statements are prepared in
accordance with U.S. GAAP; and all figures are stated in U.S.
dollars): Key Figures 2003 2004 4Q03 3Q04 4Q04 Net Income (In US$
million) $111.5 $141.7 $16.2 $33.7 $53.9 EPS (*) $3.88 $3.61 $0.41
$0.86 $1.39 Return on Average Equity 23.9% 22.8% 11.2% 21.2% 33.1%
Tier 1 Capital Ratio 35.4% 42.8% 35.4% 43.8% 42.8% Net Interest
Margin 1.87% 1.65% 2.07% 1.74% 1.46% (*) Earnings per share
calculations are based on the average number of shares outstanding
during each period. Comments from the Chief Executive Officer Jaime
Rivera, Chief Executive Officer of Bladex, stated, "The fourth
quarter proved a fitting end to a solid year. In January 2004, we
established four main objectives for the year. First, the execution
of our commercial strategy, focused around re-leveraging the
balance sheet and developing new sources of fee income. Second, the
management of our portfolio in Argentina, an effort geared around
completing pending restructurings and maximizing collections.
Third, taking capital management action in view of the Bank's
medium-term needs, and fourth, expanding our shareholder base to
increase the liquidity of our common stock. "In our view, the
quantitative and qualitative results for the year are evidence of
significant progress in respect to all four objectives. "Regarding
our commercial strategy, the critical job of re-leveraging the
balance sheet is well underway. During the fourth quarter, and in
spite of significant reductions in non-trade credits in Argentina,
the amount of our assets reached its highest level since the first
quarter of 2003. In addition, the US$1.6 billion in disbursements
in the fourth quarter represented an increase of 52% over the
activity during the previous quarter. "The figures reflecting the
management of our Argentine portfolio speak for themselves. Our
success along this front exceeded our expectations. "Regarding
capital management, we achieved our objective of maintaining a
solid capitalization while providing significant cash flow to our
shareholders. Since January 1, 2004, and including the recently
announced US$2.00 per share special dividend, we have returned a
total of US$144.0 million in equity capital to our shareholders,
and still have a balance of US$42.5 million with which to purchase
shares in the open market under our US$50.0 million share
repurchase program. "We were also glad to see our investor
relations efforts pay off handsomely. Average daily trading volumes
for the year increased by 42% (152,949 in 2004 vs. 107,535 in
2003). In addition, we had the honor of welcoming a number of
prestigious new institutions as shareholders of the Bank. "Beyond
these four objectives, Bladex made important headway in a number of
different areas. The launching of our new corporate identity, for
instance, has resonated well in the market, making significant
contribution to our commercial efforts. "Despite our progress in
2004, we are well aware that we still have work to do, particularly
in one important area: the generation of additional fee income. We
are focusing our efforts in 2005 accordingly. "The principles
behind our work in 2005 remain unchanged: to continue making
progress towards our vision of becoming the leading trade finance
house in the Latin American and Caribbean region (the "Region"),
while creating significant added value for our shareholders, and
improving opportunities for people in the Region. "To this end, our
priorities for 2005 remain unchanged: executing our commercial
strategy, making continued progress with respect to our Argentine
portfolio, paying special attention to capital management, and
increasing the liquidity for our common stock. We believe Bladex
has the skills, clients, contacts, and financial resources to
execute accordingly." SAFE HARBOR STATEMENT This press release
contains forward-looking statements of expected future
developments. The Bank wishes to ensure that such statements are
accompanied by meaningful cautionary statements pursuant to the
safe harbor established by the Private Securities Litigation Reform
Act of 1995. The forward-looking statements in this press release
refer to executing the Bank's commercial strategy, progress with
respect to the Bank's Argentine portfolio, capital management
actions, increasing the liquidity of the Bank's common stock and
the ability of the Bank to make progress in these areas. These
forward- looking statements reflect the expectations of the Bank's
management and are based on currently available data; however,
actual experience with respect to these factors is subject to
future events and uncertainties, which could materially impact the
Bank's expectations. Among the factors that can cause actual
performance and results to differ materially are as follows: a
decline in the willingness of international lenders and depositors
to provide funding to the Bank, causing a contraction of the Bank's
credit portfolio, adverse economic or political developments in the
Region, particularly in Brazil or Argentina, which could increase
the level of impaired loans in the Bank's loan portfolio and, if
sufficiently severe, result in the Bank's allowance for credit
losses being insufficient to cover losses in the portfolio,
unanticipated developments with respect to international banking
transactions (including, among other things, interest rate spreads
and competitive conditions), a change in the Bank's credit ratings,
events in Brazil or Argentina or other countries in the Region
unfolding in a manner that is detrimental to the Bank, or which
might result in adequate liquidity being unavailable to the Bank,
the Bank's operations being less profitable than anticipated, or
higher than anticipated equity capital requirements. ABOUT Bladex
Bladex is a supranational bank originally established by the
Central Banks of Latin American and Caribbean countries to promote
trade finance in the Region. Based in Panama, its shareholders
include central banks and state- owned entities in 23 countries in
the Region, as well as Latin American and international commercial
banks, along with institutional and retail investors. Through
December 31, 2004, over its 25 years of operations, Bladex had
disbursed accumulated credits of over US$129 billion. Bladex is
listed on the New York Stock Exchange. Further investor information
can be found at http://www.blx.com A LONGER VERSION OF THIS PRESS
RELEASE WITH DETAILED INFORMATION HAS BEEN FILED WITH THE UNITED
STATES SECURITIES AND EXCHANGE COMMISSION, AND CAN BE OBTAINED FROM
BLADEX AT: Bladex, Head Office, Calle 50 y Aquilino de la Guardia,
Panama City, Panama Attention: Carlos Yap, Senior Vice President,
Finance Tel. No. (507) 210-8581, e-mail: cyap@blx.com, -or-
Investor relations firm i-advize Corporate Communications, Inc.
Melanie Carpenter / Peter Majeski Tel: (212) 406-3690, e-mail:
bladex@i-advize.com There will be a conference call to discuss the
quarterly and annual results on February 16, 2005 at 11:00 a.m. New
York City time. For those interested in participating, please dial
(800)-458-9009 in the United States or, if outside the United
States, 719-457-2623. Participants should give the conference ID#
1604296 to the telephone operator five minutes before the call is
set to begin. There will also be a live audio webcast of the event
at http://www.blx.com. Bladex's conference call will become
available for review on Conference Replay one hour after the
conclusion of the conference, and will remain available through
February 23, 2005. Please dial (888) 203-1112 or (719) 457- 0820
and follow the instructions. The Conference ID# for the replayed
call is 1604296. SOURCE Banco Latinoamericano de Exportaciones,
S.A. -0- 02/15/2005 /CONTACT: Carlos Yap, Senior Vice President,
Finance, Bladex, +1-507-210-8581, or cyap@blx.com ; or Melanie
Carpenter or Peter Majeski, both of i-advize Corporate
Communications, Inc., +1-212-406-3690, or bladex@i-advize.com , for
Bladex/ /Web site: http://www.blx.com / END
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