May 20, 2005
Another year of strong growth for RBTT

Peter J. July, Group Chairman, RBTT Financial Holdings Limited, has announced another successful year for the group.

The Group reported profits attributable to shareholders of US$148 million, an increase of 15% over the previous year for the fiscal year ended March 31, 2005.

These results include a gain of US$37 million realised on sale of part of the Group’s shareholding in Guardian Holdings Limited (GHL); an unrealised mark to market loss of US$14 million before tax related to the downgrading of the sovereign credit rating of Grenada as a result of Hurricane Ivan, and the recognition of an actuarially determined post retirement medical benefit expense of US $18 million before tax for employees in accordance with IAS 19.{{more}}

July said the Group’s growth in profits would have been 4.4% if these items were excluded. Total assets increased by US $845 million or 16% due principally to strong growth in Loans and Advances. Customer deposits also grew significantly by US$404 million or 14%.

Shareholders’ equity increased by US $173 million to US$674 million, of which US$91 million was due to a mark to market revaluation of the Group’s residual shareholding in GHL.

The RBTT group said the year ended March 31, 2005, presented challenging market conditions, the most significant of which was the impact of hurricanes on several territories in the Caribbean.

Notwithstanding these challenges, the operations across the Group, including the most recently acquired subsidiary in Barbados, turned in stellar performances.

RBTT Merchant Bank Limited, despite having to adjust for the sovereign downgrade, reported a solid pre-tax profit of US$51 million.