Privatbank provides positive guidance for 2012

Privatbank (PRBANK) CEO Aleksandr Dubilet said (in an interview with Interfax) on Friday the lender plans to earn 2012 net income of no less than it did in 2011 (USD 178 mln according to local accounting standards), while the bank’s loan portfolio is unlikely to grow considerably. He added that the bank is actively developing its lending program for automobile purchases and its total car loan portfolio should remain unchanged this year, while mortgage lending will remain weak due to high credit risks. He declined to comment on IPO prospects for Privatbank, saying that management never announced plans for a public offering. In his words, external funding remains expensive and the bank is unlikely to tap external debt markets at least until 2H12.