BOC Made Operating Profit of RMB5.587 billion in January 2004

In January 2004, the Bank of China group ("the Bank") realized an operating profit of RMB5.587 billion, an increase of RMB0.438 billion or 8.52% over the same period of last year. Pre-tax profit reached RMB3.558 billion, up RMB2.167 billion or 155.86%.

The increase of the Bank's profit was mainly deriving from the profit of domestic operations, which saw operating profit and pre-tax profit increased by 14.56% and 1853% respectively, accounting for 76.33% and 58.39% of the Bank's corresponding items as a whole.

The business development of domestic operations has following characteristics.

Led by the increase of savings deposit, RMB deposit grew rapidly, and RMB loans rose steadily. By the end of January, RMB deposit was increased by RMB47.4 billion, RMB0.5 billion more than the figure of the same period of last year. Savings deposit soared RMB55.7 billion, up RMB13.7 billion over the increase of same period of last year. RMB loans got an increase of RMB22.9 billion, the year-on-year increment being RMB5.6 billion, among which the rises of consumer loans and corporate loans were RMB9.3 billion and RMB8.7 billion respectively.

Pulled by the corporate deposit, foreign exchange deposit continued growing, and spot exchange loans maintained a rapid growth. By the end of January, the foreign exchange deposit grew US$0.7 billion, up US$0.9 billion over the increase of the same period of last year, and spot exchange loans gained US$0.9 billion, the year-on-year increment being US$0.9 billion.

All fee-based business developed steadily. In January 2003, the business of international trade settlement reached US$23.9 billion, increased by 20% year on year. The income of bank card business was up 39%. Foreign exchange wealth management service, fund distribution and fund custodian business developed steadily. Each commission business had varied growth.
The business of overseas operations slowed the growth pace, or even, decreased a little. The balance of all types of loans was US$46.6 billion, down US$0.15 billion or 0.32%. Syndicated loans and consumer loans, however, were increased by US$0.02 billion and US$0.08 billion, or 0.15% and 0.48% respectively, thus the lending mix got optimized. The balance of deposit of all overseas operations amounted to US$89.7 billion, up 0.18% over the last year-end.

Below was some figures showing the quality of the Bank's credit assets. By the end of January, the balance of the Bank's NPL was RMB342.6 billion, RMB1.3 billion less than the end of 2003, and NPL ratio was 15.64%, down 0.28%. Of them, the NPL volume and NPL ratio of domestic operations stood at RMB310.467 billion and 17.47% respectively, representing a year-on-year decrease of RMB0.88 billion, or 0.35% lower. And the corresponding NPL figure for overseas operations was US$3.876 billion or 7.77%, decreased by US$0.047 billion or 0.09% respectively.