(Lima, Peru, February 3, 1997) - Credicorp, Ltd. ("Credicorp") (NYSE:BAP;LSE:BAPC1) today announced its financial results for the quarter ended December 31, 1996.
Credicorp announced net income of US$116.1 million for the year ended December 31, 1996 and of US$26.1 million for the fourth quarter of 1996. Credicorp had earnings per share of US$1.89 for year 1996 and of US$0.43 for the fourth quarter 1996 based on 61.3 million net outstanding shares (which includes the share dividend of March 1996 and excludes 10.2 million shares held by subsidiaries).
Credicorp which owns Banco de Crédito del Peru (BCP), El Pacifico-Peruano Suiza Cia. de Seguros y Reaseguros (PPS) and Atlantic Security Holding Corporation (ASHC), was established through an exchange of shares carried out in October 1995 whereby, respectively, 90.1%, 75.8% and 98.2% of the aforementioned companies were acquired. Subsequently, in accordance with Cayman Islands corporate law, Credicorp acquired the remaining outstanding ASHC shares which, as of March 19,1996, brought Credicorps ownership of ASHC to 100%. Credicorp also owns 100% of Inversiones Crédito, a holding company with US$37.3 million in assets, with 40% interest in AFP Union and in other non-financial business companies. On December 20 1996, Credicorp won the bid for the acquisition of Banco Tequendama, established in Bogotá, Colombia, with approximately US$390 million in assets. Since the transfer of shares was effected in January 1997, ,Banco Tequendamas assets which haves not been consolidated into the current financial statements.
In an effort to facilitate quarter-over-quarter comparisons, consolidated financial statements as of December 31, 1996 have been prepared, on a pro-forma basis, as if Credicorp had been operational since January 1994.
Credicorps consolidated financial statements, are summarized as follows:
The increase in net profits from year 1995 to 1996 is primarily attributable to growth in the volume of banking operations resulting in increased net interest income. SuchThis increase was partially offset by higher provisions for possible loan losses, lower growth in non-interest income and by increases in operating expenses.
Estimated financial statements prepared as if Credicorp began operating
in January 1994.