Independent authorized rating agency IBI-Rating announces confirmed individual reliability rating of JSC CB SOYUZ deposits at 4+ (high reliability)

Confirmed individual deposit reliability rating reflects the Bank's good reputation. Also IBI-Rating agency believes that the Bank may rely on the support from its owners. Capitalization is at an acceptable level, and asset quality remains good. The share of liquid assets is at an acceptable level primarily due to balances on current accounts with other banks. However, the dependence of JSC CB SOYUZ on the financial position of certain borrowers increases its vulnerability to credit risk, which could put pressure on its liquidity and capitalization. Concentration of the resource base with major creditors and customer deposit portfolio with major investors limits the Bank's financial flexibility and increases liquidity risk. Economic ratios of quick and current liquidity are slightly above the limits set by the NBU. The Bank remained profitable despite considerable funds spent on formation of reserves for active operations. Performance indicators of JSC CB SOYUZ are consistently high.

Factors maintaining the credit rating: diversification of the resource base by major creditors and client deposit portfolio by major investors; reduced dependence of the Bank on the financial position of individual borrowers; implementation of key development strategies of the Bank. Factors constraining the credit rating: decrease in the Bank's capitalization and solvency (liquidity), increased credit risks due to deteriorating asset quality, further increase in Bank's dependence on the interbank market, as well as the deterioration in the financial markets and in the economy as a whole.

Analytical study used data from JSC CB SOYUZ, including annual financial statements for 2009-2012 and January-May 2013, other necessary inside information, as well as information from open sources deemed reliable by the rating agency.